Seiren Co (3569) AI Stock Analysis

• Market Cap: $165.25B
• Dividend Yield: 2.24%
• Average Volume (3M): 114.42K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.56
• Revenue Growth: 9.12%
• EPS Growth: 7.93%
• Country: JP
• Employees: 6,108
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 69.71
• Shares Outstanding: 64,633,650
• 10 Day Avg. Volume: 132,400
• 30 Day Avg. Volume: 114,416
• 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: 0.61
• Enterprise Value/Revenue: 0.63
• Enterprise Value/Gross Profit: 2.24
• Enterprise Value/Ebitda: 3.97
• 1Y Price Target: $3,440.68
• Price Target Upside: 11.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥3,435.00 ▲(11.53% Upside)

Seiren Co's strong financial performance and technical momentum are the primary drivers of its stock score. The company shows robust revenue growth and profitability, supported by a solid balance sheet. While the stock is technically overbought, its reasonable valuation and dividend yield offer a balanced investment proposition.

Seiren Co Business Overview & Revenue Model

Company Description

Seiren Co., Ltd. (3569) is a Japanese company engaged in the manufacture and sale of textiles and related products. The company operates within various sectors, including automotive materials, fashion, and home textiles. Seiren is known for its innovative textile technologies and high-quality fabrics, catering to a wide range of industries with its diverse product offerings.

How the Company Makes Money

Seiren Co. makes money primarily through the manufacturing and sale of its textile products, which are distributed across several sectors. The company generates revenue through its automotive materials division by providing high-performance fabrics used in car interiors. In the fashion sector, Seiren supplies advanced textiles for clothing manufacturers, leveraging its proprietary technologies to offer unique materials. Additionally, the company serves the home textiles market with products such as curtains and upholstery fabrics. Key revenue streams include direct sales to manufacturers, partnerships with automotive and fashion brands, and licensing of its textile technologies. Seiren's focus on research and development enables it to maintain a competitive edge, contributing to its earnings by continuously introducing innovative products to the market.

Seiren Co Financial Statement Overview

Summary

Seiren Co demonstrates strong financial performance with impressive revenue growth and profitability. The balance sheet is robust with low leverage, and cash flow generation is strong, though there is room for improvement in cash flow efficiency.

Income Statement

Seiren Co demonstrates strong revenue growth with a TTM increase of 21.5% and consistent profitability, evidenced by a stable gross profit margin of approximately 27.6% and a net profit margin of 8.7%. The EBIT and EBITDA margins are healthy, indicating efficient operations. However, the slight decline in EBIT margin from the previous annual report suggests potential cost pressures.

Balance Sheet

The company's balance sheet is robust, with a low debt-to-equity ratio of 0.07, indicating conservative leverage. The return on equity is solid at 10.1%, reflecting efficient use of equity capital. However, the equity ratio of 73.7% suggests a strong reliance on equity financing, which could limit financial flexibility.

Cash Flow

Seiren Co's cash flow is strong, with a significant free cash flow growth rate of 381.8% TTM, indicating improved cash generation. The operating cash flow to net income ratio of 0.51 and a free cash flow to net income ratio of 0.72 suggest effective cash conversion. However, the operating cash flow coverage ratio remains moderate, indicating room for improvement in cash flow management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	161.59B	159.65B	141.91B	132.36B	109.77B	98.69B
Gross Profit	45.42B	44.03B	37.21B	36.74B	32.12B	27.90B
EBITDA	25.58B	25.59B	22.02B	20.31B	16.60B	12.97B
Net Income	14.47B	13.89B	12.16B	11.02B	8.55B	6.25B
Balance Sheet
Total Assets	191.82B	199.22B	187.46B	167.79B	155.49B	144.70B
Cash, Cash Equivalents and Short-Term Investments	44.53B	51.92B	46.93B	39.87B	39.59B	42.63B
Total Debt	9.13B	10.42B	18.90B	25.86B	29.75B	34.35B
Total Liabilities	50.08B	55.34B	62.77B	62.01B	63.65B	63.80B
Stockholders Equity	141.31B	143.37B	124.14B	105.07B	91.23B	80.24B
Cash Flow
Free Cash Flow	15.44B	14.76B	9.19B	4.59B	1.62B	9.73B
Operating Cash Flow	21.32B	20.54B	13.49B	12.94B	9.71B	12.96B
Investing Cash Flow	-5.80B	-11.81B	-5.28B	-9.61B	-8.65B	-1.89B
Financing Cash Flow	-7.76B	-7.80B	-7.05B	-7.01B	-6.62B	12.32B

Seiren Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3080.00
• 50DMA: Positive
• 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:3569, the sentiment is Positive. The current price of 3080 is below the 20-day moving average (MA) of 3101.75, above the 50-day MA of 2871.02, and above the 200-day MA of 2587.56, indicating a neutral trend. The MACD of 44.89 indicates Positive momentum. The RSI at 56.64 is Neutral, neither overbought nor oversold. The STOCH value of 37.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3569.

Seiren Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3104	77 Outperform	74.55B	15.49	9.43%	1.93%	15.29%	87.17%
3569	76 Outperform	$165.25B	12.25	10.88%	2.24%	9.12%	7.93%
3201	74 Outperform	107.07B	12.94	7.30%	2.43%	7.01%	11.28%
3110	72 Outperform	231.92B	18.76	9.89%	1.66%	12.19%	34.21%
3109	66 Neutral	12.81B	14.58	2.60%	4.84%	1.93%	-1.93%
3002	66 Neutral	125.98B	39.69	5.27%	3.78%	1.05%	-36.55%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Seiren Co Corporate Events

Seiren Co. Reports Strong Q2 2025 Financial Performance

Seiren Co., Ltd. reported a positive financial performance for the three months ending June 30, 2025, with a 5% increase in net sales and significant growth in operating and ordinary profits compared to the previous year. Despite a decline in comprehensive income, the company’s equity ratio improved, indicating a stronger financial position, which could enhance its market competitiveness and stakeholder confidence.

Seiren Co. Announces Treasury Share Disposal for Executive Compensation

Seiren Co., Ltd. has announced the disposal of 128,000 treasury shares as restricted stock compensation for its directors and executive officers. This move is part of a broader compensation plan aimed at aligning the interests of its leadership with shareholders and promoting sustainable corporate value. The plan allows for up to 170,000 shares to be allocated annually, with restrictions on transfer and provisions for the company to reacquire shares under certain conditions, reflecting a strategic effort to enhance governance and incentivize performance.

Seiren Co. Adjusts Convertible Bond Conversion Price Following Dividend Approval

Seiren Co., Ltd. has announced an adjustment in the conversion price of its Zero Coupon Convertible Bonds due 2025, reducing it from ¥1,855.6 to ¥1,833.2, effective April 1, 2025. This adjustment follows a dividend payment of ¥68 per share, classified as an Extraordinary Dividend, approved at the company’s general meeting, potentially impacting bondholders and reflecting the company’s financial strategies.

Seiren Co. to Acquire Unitika’s Textile Business for Revitalization

Seiren Co., Ltd. has entered into a memorandum of understanding with Unitika Ltd. to acquire the textile business of Unitika and its subsidiary Nippon Ester Co., Ltd. This acquisition aims to revitalize the Okazaki Plant’s operations, which include Japan’s largest polyester polymerization facilities. Despite challenges such as decreased demand and rising raw material costs, Seiren plans to implement structural reforms and leverage synergies with its existing businesses to revive the operations. The company also intends to develop a chemical recycling business at the plant, addressing ESG and carbon neutrality issues, and aims to enhance its corporate value and sustainable growth.