Sanyo Trading Co., Ltd. (3176) AI Stock Analysis

• Market Cap: ¥44.82B
• Dividend Yield: 3.68%
• Average Volume (3M): 39.70K
• Price to Earnings (P/E): 8.9
• Beta (1Y): 0.88
• Revenue Growth: 3.94%
• EPS Growth: -13.24%
• Country: JP
• Employees: 713
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Distribution
• EPS (TTM): 38.78
• Shares Outstanding: 29,007,708
• 10 Day Avg. Volume: 34,820
• 30 Day Avg. Volume: 39,703
• PEG Ratio: 0.96
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 9.16
• 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: ¥1,712.00
• Price Target Upside: 10.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: ¥1,712.00 ▲(10.52% Upside)

Sanyo Trading Co., Ltd. exhibits strong financial performance with solid revenue growth and profitability, supported by a sound balance sheet. The stock is undervalued with an attractive dividend yield, enhancing its investment appeal. However, technical indicators suggest a neutral to slightly bearish short-term outlook, which tempers the overall score.

Sanyo Trading Co., Ltd. Business Overview & Revenue Model

Company Description

Sanyo Trading Co., Ltd. (3176) is a Japanese company engaged in the distribution and trading of various products across multiple sectors, including electronics, chemicals, and materials. The company specializes in importing and exporting goods, particularly focusing on high-demand industrial materials and components that support manufacturing and technology sectors. With a robust supply chain network, Sanyo Trading strives to connect manufacturers with global markets, enhancing operational efficiency and product availability.

How the Company Makes Money

Sanyo Trading Co., Ltd. generates revenue primarily through its trading activities, which include the sale of industrial materials and components to manufacturers and other businesses. The company's revenue model is based on markups on products purchased from suppliers and sold to clients, ensuring a profit margin on each transaction. Key revenue streams include bulk sales of electronic components, chemicals, and raw materials, which are essential for various industries. Additionally, Sanyo Trading may benefit from long-term partnerships with manufacturers and suppliers, providing steady income through consistent orders and favorable pricing arrangements. The company's extensive network enables it to capitalize on market demands, driving sales and enhancing profitability.

Sanyo Trading Co., Ltd. Financial Statement Overview

Summary

Sanyo Trading Co., Ltd. demonstrates robust financial performance with strong revenue growth and profitability metrics. The balance sheet is solid with low leverage, enhancing financial stability. Cash flow presents some variances but remains generally positive. The company is well-positioned within the Industrial - Distribution industry, although ongoing cash flow management will be crucial for sustained growth.

Income Statement

Sanyo Trading Co., Ltd. shows strong revenue growth with a consistent upward trajectory from 2020 to 2024. The gross profit margin for TTM (Trailing-Twelve-Months) is around 17.0%, and net profit margin stands at approximately 4.1%, indicating stable profitability. EBIT and EBITDA margins are also healthy, suggesting efficient operations. However, the slight decline in gross profit margin requires monitoring.

Balance Sheet

The company maintains a solid balance sheet with a debt-to-equity ratio of 0.13, reflecting low financial leverage and minimal risk. The equity ratio is around 61.1%, indicating strong equity financing. Return on equity (ROE) is approximately 10.7%, showing efficient use of shareholder funds. Overall, the balance sheet reflects sound financial health with a strong equity base.

Cash Flow

Cash flow analysis reveals some volatility, with operating cash flow showing significant fluctuations over years. The TTM free cash flow is not available, but historical data suggests a positive trend. A high ratio of operating cash flow to net income is a positive indicator, though the absence of recent free cash flow data limits a comprehensive analysis.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	132.12B	129.26B	120.53B	111.25B	89.79B	76.09B
Gross Profit	22.38B	22.23B	19.19B	17.14B	15.51B	14.21B
EBITDA	9.15B	8.93B	8.43B	7.23B	6.74B	5.61B
Net Income	5.05B	5.21B	4.79B	4.30B	4.26B	3.01B
Balance Sheet
Total Assets	78.00B	75.39B	68.54B	62.86B	50.83B	47.23B
Cash, Cash Equivalents and Short-Term Investments	11.09B	8.01B	7.03B	5.88B	8.66B	10.42B
Total Debt	4.63B	4.51B	5.72B	6.07B	2.43B	4.53B
Total Liabilities	27.49B	27.58B	24.65B	23.65B	16.11B	16.19B
Stockholders Equity	50.51B	47.81B	43.54B	38.88B	34.40B	30.74B
Cash Flow
Free Cash Flow	4.18B	4.74B	5.57B	-3.64B	1.37B	5.37B
Operating Cash Flow	4.33B	5.45B	5.73B	-3.40B	2.25B	6.19B
Investing Cash Flow	1.16B	-2.04B	-2.91B	-1.81B	-1.01B	-2.19B
Financing Cash Flow	-2.24B	-2.79B	-1.77B	1.86B	-3.30B	1.83B

Sanyo Trading Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1549.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3176, the sentiment is Negative. The current price of 1549 is below the 20-day moving average (MA) of 1588.79, below the 50-day MA of 1568.57, and above the 200-day MA of 1458.20, indicating a neutral trend. The MACD of -7.10 indicates Positive momentum. The RSI at 43.76 is Neutral, neither overbought nor oversold. The STOCH value of 47.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3176.

Sanyo Trading Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8061	78 Outperform	¥81.73B	13.99	―	3.57%	12.01%	-23.10%
8103	78 Outperform	¥35.16B	9.74	―	4.24%	-2.99%	14.80%
9932	76 Outperform	¥38.44B	18.80	―	2.44%	6.18%	4.74%
3176	71 Outperform	¥44.82B	8.90	―	3.68%	3.94%	-13.24%
7128	69 Neutral	¥54.60B	19.95	―	3.29%	-2.41%	-43.98%
8052	68 Neutral	¥50.28B	9.07	―	3.05%	16.43%	52.00%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Sanyo Trading Co., Ltd. Corporate Events

Sanyo Trading Reports Record Sales Amid Strategic Investments

Sanyo Trading Co., Ltd. reported a record high in sales for the first half of the fiscal year ending September 2025, although operating profit decreased due to growth investments. The company highlighted the strong performance of its Sustainability segment, which offset weaker results in other areas, and maintained its full-year forecasts despite macroeconomic uncertainties, indicating confidence in achieving its long-term SV2028 targets.

Sanyo Trading Co., Ltd. Reports Increased Net Sales Amid Profit Decline

Sanyo Trading Co., Ltd. reported a 4.9% increase in net sales for the first half of the fiscal year ending September 30, 2025, despite a decline in operating and ordinary profits. The company plans to distribute dividends starting June 13, 2025, and has maintained its earnings forecast for the full fiscal year, indicating stability in its financial outlook. The shareholders’ equity ratio improved to 65.0%, reflecting a solid financial position.