Sala Corporation (JP:2734)
:2734
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Sala Corporation
(2734)
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Rating:61Neutral
Price Target:
¥1,080.00
▼(-4.76% Downside)
Action:ReiteratedDate:03/24/26
The score is driven by improving financial performance (revenue and cash flow recovery) and supportive valuation (low P/E and solid dividend yield). These positives are tempered by weak technicals, with the stock in a downtrend below major moving averages and negative momentum indicators.
Positive Factors
Revenue Recovery
A 21.2% revenue rebound in 2025 signals meaningful demand or execution recovery, increasing scale and supporting fixed-cost absorption. Durable revenue growth enhances the company's ability to invest in product lines, sustain cash flow and fund strategic initiatives over the next 2–6 months.
Negative Factors
Thin Profit Margins
Structural margins near 2–3% leave limited buffer against cost inflation or demand shocks and constrain internal reinvestment. Low operating leverage reduces returns on incremental revenue and makes earnings highly sensitive to small changes in costs or sales mix over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Recovery
A 21.2% revenue rebound in 2025 signals meaningful demand or execution recovery, increasing scale and supporting fixed-cost absorption. Durable revenue growth enhances the company's ability to invest in product lines, sustain cash flow and fund strategic initiatives over the next 2–6 months.
Read all positive factors
Sala Corporation (2734) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥70.65B
Dividend Yield2.91%
Average Volume (3M)75.29K
Price to Earnings (P/E)12.0
Beta (1Y)0.69
Revenue Growth5.82%
EPS Growth21.40%
CountryJP
Employees3,963
SectorIndustrials
Sector Strength72
IndustryConglomerates
Share Statistics
EPS (TTM)49.66
Shares Outstanding66,041,145
10 Day Avg. Volume75,580
30 Day Avg. Volume75,290
Financial Highlights & Ratios
PEG Ratio1.03
Price to Book (P/B)0.77
Price to Sales (P/S)0.28
P/FCF Ratio10.23
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Sala Corporation Business Overview & Revenue Model
Company Description
SALA Corporation, through its subsidiaries, engages in the energy supply and solution business in Japan. It provides natural gas, and LP gas/petroleum products; sells electricity; and generates biomass power. The company also engages in the transp...
Sala Corporation Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
68
Positive
Cash Flow
64
Positive
| Breakdown | TTM | Nov 2025 | Nov 2024 | Nov 2023 | Nov 2022 | Nov 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 251.79B | 251.53B | 240.50B | 242.06B | 234.85B | 227.94B |
| Gross Profit | 62.24B | 55.91B | 51.83B | 50.54B | 52.07B | 52.89B |
| EBITDA | 15.69B | 14.18B | 12.95B | 12.74B | 13.87B | 13.63B |
| Net Income | 6.68B | 5.87B | 5.25B | 6.10B | 5.68B | 5.26B |
Balance Sheet | ||||||
| Total Assets | 221.12B | 218.34B | 202.28B | 189.27B | 188.42B | 187.48B |
| Cash, Cash Equivalents and Short-Term Investments | 25.98B | 31.88B | 26.40B | 22.97B | 24.19B | 24.75B |
| Total Debt | 67.61B | 61.65B | 55.64B | 54.23B | 53.65B | 58.60B |
| Total Liabilities | 124.79B | 124.77B | 116.66B | 110.62B | 115.06B | 120.78B |
| Stockholders Equity | 94.37B | 91.72B | 83.98B | 77.18B | 72.01B | 65.43B |
Cash Flow | ||||||
| Free Cash Flow | 2.55B | 6.89B | 4.37B | 98.00M | 5.14B | 10.47B |
| Operating Cash Flow | 15.48B | 16.16B | 14.24B | 5.76B | 9.93B | 15.82B |
| Investing Cash Flow | -14.85B | -12.43B | -10.33B | -5.62B | -3.86B | -4.40B |
| Financing Cash Flow | 671.00M | 1.75B | -431.00M | -1.37B | -6.52B | -8.79B |
Sala Corporation Technical Analysis
Positive
1134.00
Price Trends
1111.38
Negative
1103.30
Positive
1051.75
Positive
Market Momentum
-9.27
Negative
56.15
Neutral
79.66
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2734, the sentiment is Positive. The current price of 1134 is above the 20-day moving average (MA) of 1060.55, above the 50-day MA of 1111.38, and above the 200-day MA of 1051.75, indicating a neutral trend. The MACD of -9.27 indicates Negative momentum. The RSI at 56.15 is Neutral, neither overbought nor oversold. The STOCH value of 79.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2734.
Sala Corporation Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
87 Outperform | ¥45.09B | 16.86 | ― | 3.48% | 18.42% | 51.06% | |
77 Outperform | ¥63.79B | 11.67 | 16.91% | 2.28% | 12.37% | 26.48% | |
74 Outperform | ¥66.59B | 9.41 | ― | 1.52% | 5.75% | 59.69% | |
73 Outperform | ¥111.36B | 10.14 | ― | 3.74% | -2.33% | -16.42% | |
68 Neutral | ¥109.35B | 9.91 | ― | 2.91% | 31.48% | 83.15% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
61 Neutral | ¥70.65B | 12.01 | ― | 2.91% | 5.82% | 21.40% |
* Industrials Sector Average
JP:2734
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Sala Corporation Corporate Events
Sala Sets Terms for ¥6.25 Billion Secondary Share Offering
Mar 11, 2026
Sala Corporation has set the terms for a secondary offering of its common shares, following a board decision earlier in March, in a move that will see underwriters purchase stock at a discount and sell it into the market. The main tranche is price...
SALA Corporation Launches Share Buyback to Boost Capital Efficiency and Support Stock
Mar 4, 2026
SALA Corporation has completed a repurchase of 500,000 of its common shares for approximately ¥576.5 million via the Tokyo Stock Exchange’s off-auction ToSTNeT-3 system. The buyback is part of a broader capital policy aimed at enhancing...
SALA Corporation Launches Targeted Buyback Under ¥3 Billion Share Repurchase Mandate
Mar 3, 2026
SALA Corporation’s board has approved a concrete step in its previously announced share buyback program, opting to repurchase 500,000 common shares for up to ¥576.5 million through the Tokyo Stock Exchange’s off-auction ToSTNeT-3 ...
Sala Corporation to Grant Restricted Treasury Shares to Employee Stock Ownership Plan
Mar 2, 2026
Sala Corporation has approved a disposal of up to 513,600 treasury shares of its common stock to the Sala Corporation Employee Stock Ownership Association under a restricted stock incentive plan. The disposal, priced at ¥1,222 per share and f...
Sala Corp Launches ¥3 Billion Share Buyback to Lift Capital Efficiency
Mar 2, 2026
Sala Corporation’s board has approved a share buyback of up to 2 million common shares, representing 3.11% of its outstanding stock, for a maximum of ¥3 billion. The repurchase will run from March 4 to November 30, 2026, via market purc...
Sala Corporation to Launch Large-Scale Secondary Share Offering
Mar 2, 2026
Sala Corporation has approved a substantial secondary offering of its common shares, with several major financial institutions, including Sumitomo Mitsui Trust Bank, MUFG Bank and others, collectively selling more than 5.1 million shares through u...
SALA Corporation Overhauls Top Management to Bolster Strategy and Governance
Jan 13, 2026
SALA Corporation has announced a leadership reshuffle effective 20 February 2026, elevating Managing Director Takayuki Watarai to Representative Managing Director while he continues to head the Management Strategy Division, signaling continuity in...
SALA Corporation Sets Five-Year Plan to Lift Profitability and Build “X (Cross) 120” Growth Model
Jan 13, 2026
SALA Corporation has unveiled its 6th Medium-Term Management Plan covering the five years from the fiscal year ending November 30, 2026 to the fiscal year ending November 30, 2030, built around the basic policy “X (Cross) 120,” which e...
SALA Corporation Books ¥1.9 Billion Derivative Valuation Gain, Affirms Dividend Policy
Jan 13, 2026
SALA Corporation recorded ¥1.892 billion in non-operating income for the fiscal year ended November 30, 2025, stemming from a gain on valuation of forward exchange contracts used to hedge foreign currency exposure on imported biomass fuel for...
Sala Corporation Posts Strong FY2025 Profit Growth and Plans Higher Investment Amid Modest FY2026 Outlook
Jan 13, 2026
Sala Corporation reported consolidated net sales of ¥251.5 billion for the fiscal year ended November 30, 2025, up 4.6% year on year, with operating profit rising 17.0% to ¥7.4 billion and ordinary profit climbing to ¥9.9 billion, w...
SALA Corporation Lifts FY2025 Earnings and Dividend, Projects Moderate Growth with Profit Pressure in FY2026
Jan 13, 2026
SALA Corporation reported consolidated net sales of ¥251.5 billion for the fiscal year ended November 30, 2025, up 4.6% year on year, with operating profit rising 17.0% to ¥7.4 billion and profit attributable to owners of parent increasi...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.