Shinden Hightex Corp. (3131) AI Stock Analysis

• Market Cap: ¥6.22B
• Dividend Yield: 3.86%
• Average Volume (3M): 10.95K
• Price to Earnings (P/E): 7.9
• Beta (1Y): 1.02
• Revenue Growth: 4.66%
• EPS Growth: 8.00%
• Country: JP
• Employees: 92
• Sector: Technology
• Sector Strength: 87
• Industry: Semiconductors
• EPS (TTM): 48.81
• Shares Outstanding: 2,110,200
• 10 Day Avg. Volume: 13,340
• 30 Day Avg. Volume: 10,950
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥3,461.00
• Price Target Upside: 6.82% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 84 Outperform
• Price Target: ¥3,461.00 ▲(6.82% Upside)

Shinden Hightex Corp. is a strong investment opportunity in the semiconductor industry, driven by robust financial performance, favorable technical indicators, and attractive valuation. The company's ability to generate cash and manage its capital structure effectively supports long-term growth potential, complemented by its current market momentum and value proposition.

Shinden Hightex Corp. Business Overview & Revenue Model

Company Description

Shinden Hightex Corp. (3131) is a Japan-based company primarily engaged in the textile industry, focusing on the development, manufacturing, and sales of high-performance textile products. The company is known for its innovative approach in creating advanced textile solutions that cater to various sectors including automotive, industrial, and consumer goods, emphasizing quality and technological advancement.

How the Company Makes Money

Shinden Hightex Corp. generates revenue through the sale of its high-performance textile products. The company's key revenue streams include contracts with automotive manufacturers for specialized textile components, industrial clients seeking durable and efficient materials, and consumer goods companies requiring innovative textile solutions. Additionally, the company may engage in strategic partnerships with other businesses to co-develop new products, enhancing its market reach and technological capabilities, which contributes to its profitability.

Shinden Hightex Corp. Financial Statement Overview

Summary

Shinden Hightex Corp. exhibits strong financial health with consistent revenue growth, improved profitability, and robust cash flow generation. The company has enhanced operational efficiency and managed its capital structure well, but needs to maintain profit margins and manage liabilities for sustained long-term growth.

Income Statement

Shinden Hightex Corp. demonstrated steady revenue growth with a 3.45% increase from 2024 to 2025, following a modest 0.86% rise the previous year. Gross profit margin has shown improvement, reaching 8.37% in 2025 from 9.27% in 2024, a sign of better cost management. However, the net profit margin remains low at 1.47% in 2025, indicating that a significant portion of revenue is absorbed by operating expenses and other costs. The EBIT and EBITDA margins have also shown improvement, reflecting enhanced operational efficiency.

Balance Sheet

The company's balance sheet reflects a strong equity position, with an equity ratio of 44.51% in 2025, up from 38.12% in 2021. The debt-to-equity ratio has improved to 0.81, suggesting a stable capital structure with manageable leverage. Return on equity is moderate at 8.68% in 2025, indicating effective use of equity capital to generate profits. However, the high total liabilities relative to assets could pose a risk if not managed carefully.

Cash Flow

Cash flow health is robust, with operating cash flow surging to ¥3,068 million in 2025, a significant improvement from ¥1,033 million in 2024. Free cash flow has also seen a substantial increase, indicating strong cash generation capabilities. The free cash flow to net income ratio is impressive at 4.75, highlighting the company's ability to convert net income into cash. The company has improved its cash reserves while reducing net debt, further strengthening its liquidity position.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.75B	43.75B	42.29B	41.92B	43.46B	49.08B
Gross Profit	3.66B	3.66B	3.92B	4.30B	3.42B	2.80B
EBITDA	1.43B	1.42B	932.37M	1.68B	1.18B	835.33M
Net Income	642.70M	642.78M	292.55M	897.50M	748.17M	497.46M
Balance Sheet
Total Assets	16.64B	16.64B	18.58B	16.86B	20.89B	20.40B
Cash, Cash Equivalents and Short-Term Investments	6.59B	6.59B	5.97B	4.19B	6.33B	6.24B
Total Debt	5.97B	5.97B	8.09B	6.35B	11.44B	11.10B
Total Liabilities	9.23B	9.23B	11.50B	9.91B	14.50B	14.63B
Stockholders Equity	7.40B	7.40B	7.08B	6.93B	6.38B	5.77B
Cash Flow
Free Cash Flow	0.00	3.05B	1.02B	4.56B	746.32M	-604.69M
Operating Cash Flow	0.00	3.07B	1.03B	4.58B	747.66M	-602.42M
Investing Cash Flow	0.00	-39.26M	-70.61M	-15.93M	7.76M	1.85M
Financing Cash Flow	0.00	-2.46B	473.04M	-6.77B	-866.74M	862.45M

Shinden Hightex Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3240.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3131, the sentiment is Positive. The current price of 3240 is above the 20-day moving average (MA) of 2928.95, above the 50-day MA of 2929.32, and above the 200-day MA of 2469.26, indicating a bullish trend. The MACD of 53.94 indicates Negative momentum. The RSI at 76.24 is Negative, neither overbought nor oversold. The STOCH value of 90.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3131.

Shinden Hightex Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3131	84 Outperform	¥6.22B	7.94		3.86%	4.66%	8.00%
6855	78 Outperform	¥36.24B	10.13		2.30%	32.53%	182.70%
6627	75 Outperform	¥40.80B	13.68		2.34%	-0.46%	-25.32%
Sector *	61 Neutral	$36.05B	6.66	-10.10%	1.86%	8.68%	-8.81%
6616	56 Neutral	¥19.02B	―		3.22%	-7.92%	43.84%
6656	52 Neutral	¥2.85B	160.51		―	34.13%	59.74%
6614	45 Neutral	¥3.59B	31.45		1.85%	-5.64%	-113.92%