Tokai Senko K.K. (3577) AI Stock Analysis

• Market Cap: ¥2.82B
• Dividend Yield: 2.88%
• Average Volume (3M): 3.64K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.33
• Revenue Growth: 8.57%
• EPS Growth: 140.21%
• Country: JP
• Employees: 777
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Apparel - Manufacturers
• EPS (TTM): 92.34
• Shares Outstanding: 3,614,252
• 10 Day Avg. Volume: 2,570
• 30 Day Avg. Volume: 3,640
• PEG Ratio: 0.11
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -35.67
• 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

• Rating: 68 Neutral
• Price Target: ¥985.00 ▲(13.48%Upside)

The overall stock score of Tokai Senko K.K. is mainly driven by its solid financial performance and attractive valuation. The company's strong revenue growth and cash flow generation are significant strengths. However, short-term technical indicators suggest weak momentum, which slightly offsets the positives.

Tokai Senko K.K. Business Overview & Revenue Model

Company Description

Tokai Senko K.K. (3577) is a Japan-based company primarily engaged in the textile industry. The company specializes in the dyeing, processing, and sale of various textile products. Tokai Senko K.K. focuses on providing high-quality dyed and processed fabrics, catering to a diverse range of customers in the textile sector.

How the Company Makes Money

Tokai Senko K.K. generates revenue through the sale of dyed and processed textile products. The company earns money by offering its expertise in fabric dyeing and processing to manufacturers and retailers in the textile industry. Key revenue streams include contracts with apparel manufacturers, wholesalers, and retail brands requiring custom textile solutions. Additionally, the company's specialized services in textile processing allow it to maintain strong relationships with clients, ensuring a steady demand for its products. Tokai Senko K.K. may also engage in strategic partnerships or collaborations to enhance its market presence and expand its service offerings.

Tokai Senko K.K. Financial Statement Overview

Summary

Tokai Senko K.K. demonstrates a solid financial performance with notable strengths in revenue growth and cash flow generation. The company maintains a balanced capital structure with a focus on improving profitability. While there are areas to enhance operational efficiency, the overall trajectory is positive, reflecting a stable financial position.

Income Statement

Tokai Senko K.K. has shown consistent revenue growth with a recent increase of 8.57% year-over-year. Gross profit margin improved to 14.84%, reflecting effective cost management. The net profit margin increased to 2.17%, indicating improved profitability. However, EBIT and EBITDA margins suggest room for efficiency improvements.

Balance Sheet

The balance sheet shows a healthy equity ratio of 48.12%, indicating a strong capital structure. The debt-to-equity ratio is manageable at 0.29, showing moderate leverage. Return on Equity improved to 4.35%, reflecting better utilization of equity. However, potential risks include slightly high debt levels relative to equity.

Cash Flow

Free cash flow increased significantly by 108.44%, highlighting strong cash generation capabilities. The operating cash flow to net income ratio of 2.59 indicates robust cash flow relative to profitability. The company effectively converts its earnings into cash, supporting stability and growth.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	13.76B	14.35B	13.22B	13.06B	11.14B	10.62B
Gross Profit	1.99B	2.13B	1.65B	1.54B	1.50B	1.37B
EBITDA	975.75M	1.14B	781.40M	623.25M	609.47M	397.93M
Net Income	327.81M	311.71M	129.81M	-100.91M	48.49M	-174.33M
Balance Sheet
Total Assets	15.02B	14.89B	14.55B	13.94B	13.38B	12.91B
Cash, Cash Equivalents and Short-Term Investments	3.21B	3.07B	2.68B	2.50B	2.32B	2.27B
Total Debt	2.51B	2.11B	2.52B	2.83B	2.65B	2.53B
Total Liabilities	6.77B	6.30B	6.54B	6.62B	6.23B	6.05B
Stockholders Equity	6.97B	7.17B	6.84B	6.23B	6.19B	6.05B
Cash Flow
Free Cash Flow	0.00	635.39M	304.80M	-100.86M	-181.54M	-158.43M
Operating Cash Flow	0.00	808.81M	531.06M	189.36M	57.18M	319.79M
Investing Cash Flow	0.00	-41.56M	-19.98M	-99.13M	123.23M	-359.96M
Financing Cash Flow	0.00	-487.47M	-439.78M	26.95M	-49.40M	-114.31M

Tokai Senko K.K. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 868.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3577, the sentiment is Neutral. The current price of 868 is below the 20-day moving average (MA) of 873.60, below the 50-day MA of 894.90, and above the 200-day MA of 833.13, indicating a neutral trend. The MACD of -6.83 indicates Negative momentum. The RSI at 42.04 is Neutral, neither overbought nor oversold. The STOCH value of 31.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3577.

Tokai Senko K.K. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3104	77 Outperform	¥64.12B	14.24		2.42%	18.84%	113.24%
3201	74 Outperform	¥94.00B	11.61		332.12%	5.77%	11.61%
3580	69 Neutral	¥30.43B	9.84		3.60%	8.60%	93.71%
3577	68 Neutral	¥2.82B	8.79		2.88%	8.57%	140.21%
3109	66 Neutral	¥12.04B	13.35		5.12%	1.05%	5.06%
Sector *	63 Neutral	$16.67B	10.96	-6.97%	3.00%	1.72%	-24.21%