Atsugi Co., Ltd. (3529) AI Stock Analysis

• Market Cap: ¥17.65B
• Dividend Yield: N/A
• Average Volume (3M): 107.86K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.49
• Revenue Growth: 4.15%
• EPS Growth: -289.87%
• Country: JP
• Employees: 1,443
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -22.18
• Shares Outstanding: 17,319,569
• 10 Day Avg. Volume: 71,710
• 30 Day Avg. Volume: 107,863
• PEG Ratio: 0.37
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 0.81
• P/FCF Ratio: -7.38
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: ¥1,140.00 ▲(3.64% Upside)
• Action: Reiterated Date: 11/28/25
• Date: Action: Reiterated 11/28/25

Atsugi Co., Ltd. shows strong technical momentum, which is a positive indicator for short-term performance. However, financial performance is hindered by profitability and cash flow challenges, and valuation metrics are unattractive due to ongoing losses.

Positive Factors

Low leverage / strong equity ratio

Low leverage and a high equity ratio give Atsugi durable financial flexibility, helping absorb seasonal apparel demand swings and input-cost shocks. This reduces refinancing risk, supports working capital and selective investments, and preserves optionality for strategic initiatives over months.

Revenue rebound and stable gross margin

A recent revenue rebound alongside a relatively stable gross margin suggests product demand recovery and consistent manufacturing economics. That combination supports longer-term margin sustainability if demand persists and helps absorb fixed costs, improving prospects over the next several months.

Improving operating cash flow and EBITDA margin

Improved operating cash flow and a rising EBITDA margin point to better cash conversion and operational efficiency. These trends, if sustained, strengthen internal funding for inventory and capex, reduce reliance on external financing, and enhance resilience through apparel seasonality.

Negative Factors

Negative net and EBIT margins

Persistent negative EBIT and net margins indicate the core business is not consistently profitable, limiting retained earnings and undermining long-term return generation. Continued operating losses constrain reinvestment, reduce strategic flexibility, and increase vulnerability to cost or demand shocks.

Volatile and falling free cash flow

Significant free cash flow volatility and a recent negative trend restrict the company's ability to fund growth, working capital needs, or shareholder returns from operations. This forces greater reliance on balance sheet reserves or new financing during downturns, weakening durability.

Negative ROE and inconsistent revenue history

A negative ROE signals capital is not generating returns, eroding shareholder value and making external capital costlier. Combined with inconsistent historical revenue growth, it raises execution risk and uncertainty about sustaining the recent rebound across product cycles and retail channels.

Atsugi Co., Ltd. Business Overview & Revenue Model

Company Description

Atsugi Co., Ltd. (3529) is a prominent Japanese company primarily engaged in the manufacturing and sales of hosiery, lingerie, and other textile products. The company operates in the apparel sector, offering a wide range of products that cater to both domestic and international markets. Atsugi is known for its innovative designs and high-quality materials, positioning itself as a leader in the fashion and textile industries.

How the Company Makes Money

Atsugi Co., Ltd. generates revenue primarily through the sale of its hosiery and lingerie products, which are distributed through various channels, including retail stores, e-commerce platforms, and partnerships with other fashion brands. The company benefits from strong brand recognition and customer loyalty, which drives consistent sales. Additionally, Atsugi engages in strategic collaborations with retailers and fashion designers, enhancing its market presence and expanding its customer base. The company's revenue model is further supported by seasonal product launches and marketing campaigns that boost consumer interest and drive sales.

Atsugi Co., Ltd. Financial Statement Overview

Summary

Atsugi Co., Ltd. faces challenges in profitability and cash flow, with negative net and EBIT margins. However, it maintains a strong balance sheet with low debt levels, providing some financial stability.

Income Statement

Atsugi Co., Ltd. has demonstrated inconsistent revenue growth with a recent rebound in 2025 after a decline in 2024. The gross profit margin is relatively stable, but the company struggles with profitability, indicated by negative net and EBIT margins over the years. The EBITDA margin showed improvement in 2025, yet remains weak compared to industry standards.

Balance Sheet

The company maintains a strong equity position with a high equity ratio. However, the return on equity is negative due to net losses. The debt-to-equity ratio is low, indicating minimal leverage risk, which is a positive aspect in terms of financial stability.

Cash Flow

Atsugi Co., Ltd.'s cash flow situation is mixed. Operating cash flow has improved in 2025 but remains low compared to net income. Free cash flow has shown significant volatility, with a negative trend in recent years. The company faces challenges in translating earnings into cash flow.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	21.69B	21.88B	21.21B	20.50B	21.45B	16.23B
Gross Profit	6.74B	6.94B	6.85B	5.38B	5.12B	3.69B
EBITDA	-117.00M	326.00M	2.35B	-714.00M	-1.35B	-3.48B
Net Income	-907.00M	-376.00M	1.33B	-1.22B	-1.83B	-3.83B
Balance Sheet
Total Assets	39.78B	40.85B	42.01B	40.69B	42.23B	44.34B
Cash, Cash Equivalents and Short-Term Investments	4.68B	5.41B	3.87B	4.79B	6.31B	8.11B
Total Debt	927.00M	1.06B	909.00M	1.38B	1.85B	2.32B
Total Liabilities	8.86B	9.18B	8.57B	9.76B	10.09B	10.39B
Stockholders Equity	30.91B	31.66B	33.44B	30.93B	32.15B	33.83B
Cash Flow
Free Cash Flow	0.00	-2.39B	-3.50B	-3.21B	-1.87B	-3.12B
Operating Cash Flow	0.00	415.00M	-1.34B	-1.36B	-748.00M	-2.95B
Investing Cash Flow	0.00	719.00M	456.00M	760.00M	-1.04B	522.00M
Financing Cash Flow	0.00	53.00M	-472.00M	-471.00M	-616.00M	2.07B

Atsugi Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1100.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3529, the sentiment is Negative. The current price of 1100 is above the 20-day moving average (MA) of 1091.40, below the 50-day MA of 1175.54, and below the 200-day MA of 1165.11, indicating a neutral trend. The MACD of -21.32 indicates Negative momentum. The RSI at 47.21 is Neutral, neither overbought nor oversold. The STOCH value of 67.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3529.

Atsugi Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3569	78 Outperform	¥195.02B	13.54	10.24%	2.43%	6.08%	8.55%
3104	75 Outperform	¥121.70B	24.35	―	1.79%	10.76%	54.82%
3608	68 Neutral	¥55.73B	4.29	17.77%	6.12%	-6.22%	679.61%
3002	66 Neutral	¥154.86B	48.89	2.34%	3.38%	>-0.01%	-49.83%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3591	59 Neutral	¥236.41B	19.95	5.31%	2.29%	-6.04%	146.54%
3529	57 Neutral	¥17.65B	-9.38	―	―	4.15%	-289.87%

Atsugi Co., Ltd. Corporate Events

Atsugi Swings to Loss and Maintains No-Dividend Policy Despite Solid Equity Base

Atsugi Co., Ltd. reported consolidated net sales of ¥15.7 billion for the nine months ended 31 December 2025, down 1.1% year on year, and booked an operating loss of ¥681 million and a net loss attributable to owners of the parent of ¥710 million, reversing a profit in the same period a year earlier. Earnings per share deteriorated to a loss of ¥44.38, and the company maintained a strong equity ratio of 79.1% as total assets were largely unchanged at about ¥40.8 billion; however, no interim or year-end dividends are planned for the current fiscal year, and full‑year guidance calls for a slight increase in sales but continued operating and net losses, signalling ongoing earnings pressure and limited near‑term returns for shareholders.

The most recent analyst rating on (JP:3529) stock is a Hold with a Yen1265.00 price target. To see the full list of analyst forecasts on Atsugi Co., Ltd. stock, see the JP:3529 Stock Forecast page.