Sekisui Jushi Corporation (4212) AI Stock Analysis

• Market Cap: ¥79.02B
• Dividend Yield: 3.27%
• Average Volume (3M): 47.36K
• Price to Earnings (P/E): 18.2
• Beta (1Y): 0.68
• Revenue Growth: 12.09%
• EPS Growth: 5.46%
• Country: JP
• Employees: 1,514
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): 41.86
• Shares Outstanding: 31,813,599
• 10 Day Avg. Volume: 47,700
• 30 Day Avg. Volume: 47,363
• PEG Ratio: -1.17
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.82
• P/FCF Ratio: 16.71
• 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: 60 Neutral
• Price Target: ¥2,657.00 ▲(24.68% Upside)
• Action: Downgraded Date: 02/01/26
• Date: Action: Downgraded 02/01/26

The score is driven primarily by moderate financial quality: a strong balance sheet and revenue rebound are offset by weaker margins/returns and uneven cash conversion. Technicals are a notable drag due to negative momentum and price weakness versus key moving averages. Valuation is supportive with a reasonable P/E and a solid dividend yield.

Positive Factors

Conservative balance sheet

Sekisui Jushi's very low debt-to-equity (~0.17) and large equity base provide durable financial flexibility. This conservatism supports capital allocation for cyclical downtimes, targeted capex, or selective M&A without forcing distress asset sales, underpinning multi-month liquidity and resilience.

Revenue rebound and top-line growth

A clear rebound in revenue and reported ~8.3% revenue growth indicate recovering end-market demand across infrastructure, logistics and construction segments. Sustained top-line recovery supports fixed-cost absorption and provides scope for margin recovery and reinvestment over the medium term.

Stable product-level margins & diversified markets

Gross margin near ~30% shows underlying product profitability from polymer processing and molding. Combined with exposure across public works, traffic safety and logistics, this diversified product mix reduces single-market risk and supports durable cash generation if volumes remain steady.

Negative Factors

Compressed net margins and low ROE

Net margin and ROE have materially softened versus 2021–2023, signaling weaker operating leverage or higher cost pressure. Persistently low margins and returns constrain reinvestment, dividend sustainability, and the company’s ability to convert asset strength into shareholder value over the coming months.

Uneven cash conversion / FCF volatility

Free cash flow volatility and TTM FCF covering under half of net income point to working-capital swings or higher investment needs. This uneven conversion limits reliable internal funding for growth or payouts and increases reliance on the balance sheet or external financing.

Rising debt trend

While leverage is low today, the upward debt trend reduces the margin of safety. Continued increases could raise interest expense and constrain strategic optionality, making the balance sheet less of a competitive advantage if economic or rate conditions worsen.

Sekisui Jushi Corporation Business Overview & Revenue Model

Company Description

Sekisui Jushi Corporation provides materials based on composite technology in Japan. The company offers transportation and landscape related products, including road marking materials, road signs, signs, signboards, soundproof wall materials, traffic safety materials, electronic system related products, pedestrian protection fences, wind and snow fences, car stops, assembly sidewalks, balustrades, park materials, shelter, solar lighting, artificial wood, etc. It also provides sports facility related products, artificial turf field watering systems, artificial turf field high-speed drainage systems, etc. In addition, the company offers housing and building materials related products, which include mesh and soundproof meshes, vertical lattice fences, bicycle storage, decorative building materials, handrail products, etc.; and packing and binding bands and films, packing materials, packing machines, agricultural materials, facility gardening materials, etc. Further, it provides other products consisting heat-shielding pavement products, concrete piece peeling prevention systems, aluminum resin laminated composite boards, assembly pipe systems, digital picking systems, automobile parts related products, etc. Sekisui Jushi Corporation was incorporated in 1941 and is headquartered in Osaka, Japan.

How the Company Makes Money

Sekisui Jushi Corporation generates revenue through the sale of its diverse range of plastic products and materials. The company has established multiple key revenue streams, including the production of high-performance plastic components for automotive applications, which are in high demand due to the growing automotive industry's focus on lightweight and fuel-efficient materials. Additionally, the company provides specialized plastic solutions for the electronics sector, catering to the needs of manufacturers looking for reliable and durable components. Strategic partnerships with various industry players and consistent investment in research and development further enhance its earnings potential by allowing Sekisui Jushi to innovate and expand its product offerings, thereby attracting a wider customer base.

Sekisui Jushi Corporation Financial Statement Overview

Summary

Revenue has rebounded strongly, and the balance sheet remains conservatively levered (debt-to-equity ~0.17). However, profitability has cooled materially versus 2021–2023 (net margin now ~5.5%, ROE ~3.9%), and cash conversion is uneven with TTM free cash flow covering less than half of net income.

Income Statement

TTM (Trailing-Twelve-Months) revenue is up strongly versus the prior annual period, but profitability has compressed versus 2021–2023 levels. Gross margin is holding around ~30%, while net margin is now mid-single digits (TTM ~5.5%) versus low-double digits in 2021–2023, indicating weaker operating leverage and/or higher costs. EBIT margin has also stepped down versus prior years, though still positive and stable in absolute terms.

Balance Sheet

The balance sheet remains conservatively positioned with low leverage (TTM debt-to-equity ~0.17) and a large equity base. However, returns have moderated (TTM return on equity ~3.9%), down from materially higher levels in 2021–2023, suggesting the company is not currently converting its balance sheet strength into strong shareholder profitability. Debt has risen versus earlier years, but overall leverage is still manageable.

Cash Flow

Cash generation is positive in TTM (operating cash flow and free cash flow both positive), and free cash flow has rebounded sharply versus the prior annual period. That said, cash conversion looks uneven across years (including negative free cash flow in 2024), and in TTM free cash flow covers less than half of net income, implying working-capital swings and/or higher ongoing investment needs are weighing on how much accounting profit turns into cash.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	77.10B	74.23B	62.79B	65.90B	65.90B	64.73B
Gross Profit	23.40B	22.31B	19.13B	20.05B	21.54B	21.63B
EBITDA	10.27B	9.16B	8.43B	10.21B	12.00B	12.38B
Net Income	4.21B	3.54B	4.67B	6.65B	7.66B	7.55B
Balance Sheet
Total Assets	141.08B	139.34B	133.27B	139.37B	135.61B	138.56B
Cash, Cash Equivalents and Short-Term Investments	15.27B	15.84B	15.17B	45.60B	47.03B	47.69B
Total Debt	16.41B	14.24B	10.10B	900.00M	1.00B	1.00B
Total Liabilities	43.68B	41.90B	34.44B	27.78B	27.22B	29.85B
Stockholders Equity	95.62B	95.67B	97.17B	110.01B	106.82B	107.25B
Cash Flow
Free Cash Flow	3.55B	3.62B	-774.00M	3.72B	7.71B	8.54B
Operating Cash Flow	8.29B	6.21B	1.10B	4.95B	8.79B	9.29B
Investing Cash Flow	-4.07B	-3.40B	-6.93B	-3.17B	-2.32B	-538.00M
Financing Cash Flow	-1.03B	-2.38B	-24.41B	-4.23B	-6.87B	-3.38B

Sekisui Jushi Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2131.00
• 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:4212, the sentiment is Positive. The current price of 2131 is below the 20-day moving average (MA) of 2293.10, below the 50-day MA of 2200.02, and above the 200-day MA of 2092.44, indicating a bullish trend. The MACD of 78.20 indicates Negative momentum. The RSI at 81.10 is Negative, neither overbought nor oversold. The STOCH value of 89.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4212.

Sekisui Jushi Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7949	77 Outperform	¥52.96B	18.24	―	3.74%	3.70%	12.26%
5929	72 Outperform	¥861.68B	15.17	18.61%	2.94%	2.90%	36.64%
7943	66 Neutral	¥123.62B	35.48	―	3.53%	-0.58%	-46.15%
5930	66 Neutral	¥141.07B	11.40	12.89%	3.40%	2.98%	41.11%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4212	60 Neutral	¥79.02B	18.16	―	3.27%	12.09%	5.46%
5938	50 Neutral	¥519.74B	55.39	1.44%	4.80%	0.68%	―

Sekisui Jushi Corporation Corporate Events

Sekisui Jushi to Grant Restricted Stock to Employees via Treasury Share Disposal

Sekisui Jushi Corporation’s board has approved the disposal of 1,500 treasury shares, worth a total of 3,132,000 yen, to grant restricted stock to 15 employees as part of a medium- to long-term incentive plan. Under this scheme, employees will contribute monetary claims in kind to receive the allotted shares, which will be subject to transfer restrictions for approximately five years and three months, with conditions tied to continued service and residency in Japan; the structure is designed to strengthen alignment between employees and shareholders and support sustained corporate value creation.

The most recent analyst rating on (JP:4212) stock is a Hold with a Yen2331.00 price target. To see the full list of analyst forecasts on Sekisui Jushi Corporation stock, see the JP:4212 Stock Forecast page.

Sekisui Jushi Lifts Nine-Month Profit Nearly 50%, Affirms Outlook and Higher Payout

Sekisui Jushi Corporation reported improved results for the nine months ended December 31, 2025, with net sales rising 5.5% year on year to ¥54.6 billion and operating profit up 19.7% to ¥3.25 billion, driving a 49.0% surge in profit attributable to owners of parent to ¥2.39 billion and a sharp increase in earnings per share. EBITDA and profit before amortization of goodwill also grew double digits, while the company kept its full-year forecast unchanged, targeting ¥79.0 billion in net sales and a 21.3% rise in full-year profit, and confirmed a slight dividend increase to a planned annual ¥72 per share for the fiscal year ending March 31, 2026, alongside an ongoing share buyback that has materially lifted treasury shares and is factored into its EPS outlook.

The most recent analyst rating on (JP:4212) stock is a Hold with a Yen2331.00 price target. To see the full list of analyst forecasts on Sekisui Jushi Corporation stock, see the JP:4212 Stock Forecast page.

Sekisui Jushi Completes ¥2.09 Billion Share Buyback Program

Sekisui Jushi Corporation has completed a share buyback program authorized by its board in May 2025 under Article 459 of the Companies Act of Japan and the company’s articles of incorporation, aimed at repurchasing up to 1,000,000 common shares or 3.22% of outstanding stock for a maximum of ¥2.5 billion. In the final tranche conducted between January 1 and 9, 2026, the company bought 41,700 shares on the market for approximately ¥90 million, bringing the total repurchased to 1,000,000 shares at a cumulative cost of about ¥2.09 billion, a move that tightens the share float and may enhance shareholder value through improved capital efficiency and potential earnings-per-share accretion.

The most recent analyst rating on (JP:4212) stock is a Buy with a Yen2394.00 price target. To see the full list of analyst forecasts on Sekisui Jushi Corporation stock, see the JP:4212 Stock Forecast page.

Sekisui Jushi Nears Completion of ¥2.5 Billion Share Buyback Program

Sekisui Jushi Corporation has disclosed the status of its ongoing share buyback program authorized by its board in May 2025 under Article 459 of the Companies Act of Japan and its Articles of Incorporation. In December 2025, the company repurchased 213,200 shares of common stock through market purchases for a total of ¥454.7 million, bringing cumulative repurchases under the current authorization to 958,300 shares at a total cost of about ¥2.0 billion as of December 31, 2025, versus a maximum approved limit of 1,000,000 shares or ¥2.5 billion through March 31, 2026. The scale and near-completion of the buyback framework underscore an active capital allocation policy aimed at enhancing shareholder returns and optimizing capital structure, which may support earnings per share and signal management’s confidence in the company’s valuation to investors.

The most recent analyst rating on (JP:4212) stock is a Buy with a Yen2394.00 price target. To see the full list of analyst forecasts on Sekisui Jushi Corporation stock, see the JP:4212 Stock Forecast page.