Seiryo Electric Corporation (4341) AI Stock Analysis

• Market Cap: ¥3.00B
• Dividend Yield: 2.91%
• Average Volume (3M): 1.26K
• Price to Earnings (P/E): 3.8
• Beta (1Y): 0.30
• Revenue Growth: 5.02%
• EPS Growth: 320.32%
• Country: JP
• Employees: 622
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 51.50
• Shares Outstanding: 3,500,000
• 10 Day Avg. Volume: 1,450
• 30 Day Avg. Volume: 1,263
• PEG Ratio: -0.49
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 0.15
• P/FCF Ratio: 20.09
• 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: 67 Neutral
• Price Target: ¥1,115.00 ▲(41.86% Upside)
• Action: Reiterated Date: 10/29/25
• Date: Action: Reiterated 10/29/25

The overall stock score is primarily influenced by a solid valuation, with a low P/E ratio and attractive dividend yield. Financial performance shows positive revenue growth and profitability improvements, though cash flow variability poses a risk. Technical analysis indicates bearish momentum, which tempers the overall score.

Positive Factors

Revenue growth trend

Consistent revenue growth and improving profitability indicate expanding product or service demand and better price or cost management. Over 2-6 months this supports sustained cash generation, capacity to invest in growth initiatives, and resilience versus short-term market swings.

Improving leverage and strong equity base

An improving debt-to-equity ratio and stable equity base reduce financial risk and increase strategic flexibility. This durable strength lowers refinancing pressure, supports investment or dividend policy, and provides a buffer during industry cycles over the medium term.

Margin recovery (gross stable, net improved)

Stable gross margins with a marked net margin turnaround reflect better cost control and operating leverage realization. Sustained margin improvement enhances free cash flow prospects and the ability to fund capex or shareholder returns, strengthening long-term fundamentals.

Negative Factors

Cash flow variability

Significant swings in operating cash flow reduce predictability of resources for capex, debt servicing, and dividends. Even with improving free cash flow, inconsistent operating receipts can force short-term financing or limit strategic investment over the coming months.

Volatile return on equity

Fluctuating ROE signals inconsistent profitability and potential sensitivity to revenue cycles or cost shifts. Persistent ROE volatility can undermine reinvestment planning and investor confidence, complicating long-term capital allocation decisions.

Operational margin challenges

Weakness in EBIT/EBITDA margins points to structural efficiency issues or higher fixed costs. These constraints limit scalable profitability and free cash conversion, making the business more vulnerable to cost inflation or demand softness over the medium term.

Seiryo Electric Corporation Business Overview & Revenue Model

Company Description

Seiryo Electric Corporation operates in the information and communication field in Japan. It offers radio system and tracking management solutions comprising automatic vehicle monitoring, disaster prevention and administrative radio, airport vehicle positioning, cloud-based telemetry, IP radio, and golf irrigation management systems for local government and private sectors. The company also provides security and visual information solutions, such as closed-circuit television, digital signage, and intruder-monitoring security sensor systems; and tsunami alerting, river information, sluice gate control and management, road traffic and weather information, and sediment and weather condition notification systems, as well as road information systems for submergence to serve local government. In addition, it offers queue management systems for retail operations; and radio communication equipment, as well as consulting, designing, and operation of systems. The company was founded in 1966 and is headquartered in Osaka, Japan.

Seiryo Electric Corporation Financial Statement Overview

Summary

Seiryo Electric Corporation exhibits growth in revenue and improvement in profitability metrics, demonstrating a positive trajectory. The balance sheet reflects a stable leverage position and a strong equity base. However, cash flow variability presents a risk, indicating operational challenges that need addressing.

Income Statement

The company has shown a steady increase in total revenue from 2023 to 2025, indicating positive growth. The gross profit margin has remained relatively stable, and the net profit margin has improved significantly in 2025 compared to losses in 2023. However, the EBIT and EBITDA margins suggest the company is facing operational challenges.

Balance Sheet

The debt-to-equity ratio has improved, indicating better leverage management. The equity ratio has been relatively stable, suggesting a strong equity position. However, the return on equity is fluctuating, showing potential volatility in profitability.

Cash Flow

The free cash flow has shown a positive trend from 2023 to 2025, but the cash flow from operations has fluctuated significantly. The operating cash flow to net income ratio indicates variability, reflecting inconsistent cash generation relative to income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	19.64B	19.30B	18.49B	17.02B	17.22B	18.16B
Gross Profit	5.36B	5.18B	4.92B	4.62B	4.91B	5.02B
EBITDA	541.00M	434.00M	403.00M	182.00M	470.00M	484.00M
Net Income	241.00M	81.00M	284.00M	-326.00M	198.00M	232.00M
Balance Sheet
Total Assets	9.05B	12.14B	11.66B	10.68B	10.98B	11.32B
Cash, Cash Equivalents and Short-Term Investments	1.41B	905.00M	1.06B	975.00M	1.28B	929.00M
Total Debt	61.00M	905.00M	1.00B	1.00B	208.00M	612.00M
Total Liabilities	4.04B	6.70B	6.18B	5.51B	5.42B	5.86B
Stockholders Equity	5.00B	5.43B	5.48B	5.16B	5.56B	5.45B
Cash Flow
Free Cash Flow	0.00	140.00M	107.00M	-917.00M	930.00M	788.00M
Operating Cash Flow	0.00	241.00M	130.00M	-805.00M	1.04B	829.00M
Investing Cash Flow	0.00	-153.00M	-43.00M	-205.00M	-168.00M	-73.00M
Financing Cash Flow	0.00	-241.00M	-2.00M	707.00M	-520.00M	-920.00M

Seiryo Electric Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 786.00
• 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:4341, the sentiment is Negative. The current price of 786 is below the 20-day moving average (MA) of 952.35, below the 50-day MA of 877.08, and below the 200-day MA of 823.02, indicating a neutral trend. The MACD of 19.99 indicates Positive momentum. The RSI at 41.17 is Neutral, neither overbought nor oversold. The STOCH value of 67.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4341.

Seiryo Electric Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3834	80 Outperform	¥18.54B	13.52	―	3.53%	5.03%	-9.55%
9445	75 Outperform	¥9.52B	12.83	―	3.85%	1.75%	24.87%
4341	67 Neutral	¥3.00B	3.81	―	2.91%	5.02%	320.32%
9424	66 Neutral	¥21.52B	23.11	―	―	30.15%	31.28%
9450	64 Neutral	¥14.49B	10.17	―	4.02%	5.13%	-13.74%
3776	63 Neutral	¥13.52B	37.44	―	1.01%	17.19%	-43.91%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%