Gross Margin StrengthA sustained gross margin of 21.7% indicates durable cost control or pricing power in core products. This level of gross profitability gives the company room to absorb raw-material or volume shocks and supports mid-term operating margins (EBIT 5.3%, EBITDA 8.0%) even if revenue growth fluctuates.

Conservative LeverageA low debt-to-equity ratio (0.33) and a healthy equity ratio (~54.6%) signal a conservative capital structure. This provides balance-sheet resilience through industry cycles, preserves financial flexibility for capex or opportunistic investments, and reduces refinancing risk over the next several quarters.

Cash Earnings QualityOperating cash flow nearly equals reported net income (OCF/net income ~0.99), implying strong cash conversion of earnings. That steadier cash generation underpins dividend capacity and funding for working capital or maintenance capex, reducing reliance on external financing in the medium term.

Bears Say

Compressed Net MarginA decline in net margin to 3.5% materially limits retained earnings and free cash available for reinvestment or shareholder returns. Persistent margin compression suggests structural cost or pricing pressures and constrains the firm's ability to improve ROE or fund growth without improving operational leverage.

Top-line WeaknessA recent revenue decline and inconsistent growth reduce the firm’s ability to fully leverage fixed costs and erode scale benefits. Over a 2–6 month horizon this limits margin expansion potential and raises execution risk for restoring sustainable growth in a cyclical auto-parts market.

Variable Free Cash FlowModerate and volatile free cash flow (FCF/net income ~0.60; FCF growth ~4.97% y/y) signals uneven cash available for discretionary investment or dividends. This variability makes capital planning harder and could force trade-offs between capex, debt reduction, or shareholder distributions during adverse quarters.

5189 FAQ

What was Sakura Rubber Co., Ltd.’s price range in the past 12 months?

Sakura Rubber Co., Ltd. lowest stock price was ¥1612.00 and its highest was ¥3395.00 in the past 12 months.

What is Sakura Rubber Co., Ltd.’s market cap?

Sakura Rubber Co., Ltd.’s market cap is ¥6.30B.

When is Sakura Rubber Co., Ltd.’s upcoming earnings report date?

Sakura Rubber Co., Ltd.’s upcoming earnings report date is May 08, 2026 which is in 60 days.

How were Sakura Rubber Co., Ltd.’s earnings last quarter?

Sakura Rubber Co., Ltd. released its earnings results on Feb 10, 2026. The company reported ¥95.98 earnings per share for the quarter, beating the consensus estimate of N/A by ¥95.98.

Is Sakura Rubber Co., Ltd. overvalued?

According to Wall Street analysts Sakura Rubber Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Sakura Rubber Co., Ltd. pay dividends?

Sakura Rubber Co., Ltd. pays a Annually dividend of ¥50 which represents an annual dividend yield of 2.64%. See more information on Sakura Rubber Co., Ltd. dividends here

What is Sakura Rubber Co., Ltd.’s EPS estimate?

Sakura Rubber Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Sakura Rubber Co., Ltd. have?

Sakura Rubber Co., Ltd. has 2,024,000 shares outstanding.

What happened to Sakura Rubber Co., Ltd.’s price movement after its last earnings report?

Sakura Rubber Co., Ltd. reported an EPS of ¥95.98 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 5.78%.

Which hedge fund is a major shareholder of Sakura Rubber Co., Ltd.?

Currently, no hedge funds are holding shares in JP:5189

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Sakura Rubber Co., Ltd.

Sakura Rubber Co., Ltd. manufactures and sells specialty rubber products. The company offers firefighting products, including fire hoses, firefighting suction hoses, toxic substances measuring instruments, firefighting training and rescue apparatus, air respirators, emergency life saving tools, powered impact tools, air lifting bags, community disaster prevention apparatus, couplings for large diameter hoses, MVU fans and blowers, and rescue support systems, as well as mountain, hydraulic, and water rescue tools. It also provides aerospace products, such as various fittings; PTFE, rubber, lightweight rubber and PTFE, oxygen suction, and duct hoses; extruded, sheet, and molded goods; and inflatable seals, insulation products, bending tubes, and quick disconnectors. In addition, the company offers industrial rubber products comprising tank vapor seals; oil-resistant hoses for petrochemical plants; suction delivery hoses; tank lorry hoses; gate seals; joints; rubber sheets; pressed products; molded rubber; and insulation and hydraulic hoses, as well as couplings for the general industry. Further, it engages in the real estate business comprising operation of shopping mall. Sakura Rubber Co., Ltd. was incorporated in 1918 and is headquartered in Tokyo, Japan.