SWCC Showa Holdings Co., Ltd. (5805) AI Stock Analysis

• Market Cap: ¥239.01B
• Dividend Yield: 1.63%
• Average Volume (3M): 289.12K
• Price to Earnings (P/E): 20.6
• Beta (1Y): 1.29
• Revenue Growth: 7.08%
• EPS Growth: 65.71%
• Country: JP
• Employees: 4,054
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 144.56
• Shares Outstanding: 30,826,860
• 10 Day Avg. Volume: 349,460
• 30 Day Avg. Volume: 289,116
• PEG Ratio: 0.54
• Price to Book (P/B): 2.19
• Price to Sales (P/S): 0.77
• P/FCF Ratio: 29.72
• 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: 72 Outperform
• Price Target: ¥12,127.00 ▲(68.66% Upside)

SWCC Showa Holdings Co., Ltd. demonstrates strong financial performance with robust revenue and profit growth, which is the most significant factor in the overall score. The technical analysis suggests a strong upward trend, but caution is advised due to overbought signals. The valuation is fair, providing a balanced view of the stock's potential.

SWCC Showa Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

SWCC Showa Holdings Co., Ltd. (5805) is a Japanese company primarily engaged in the manufacturing and sales of materials and products related to the electronics and telecommunications industries. The company operates in several sectors, including copper and aluminum products, optical fibers, and specialized electronic components. SWCC Showa Holdings is known for its advanced technology and innovation in producing high-performance materials that cater to a broad range of applications, including telecommunications infrastructure, automotive, and industrial sectors.

How the Company Makes Money

SWCC Showa Holdings generates revenue through the production and sale of various metal products, particularly copper and aluminum materials, which are essential in the electronics and telecommunications sectors. Key revenue streams include the sale of optical fibers and related components that are critical for high-speed internet and telecommunications networks. Additionally, the company benefits from long-term contracts with major corporations in the electronics industry, ensuring a steady demand for their products. Strategic partnerships with technology firms and investments in research and development further enhance their product offerings and market competitiveness, contributing significantly to their earnings.

SWCC Showa Holdings Co., Ltd. Financial Statement Overview

Summary

SWCC Showa Holdings Co., Ltd. exhibits strong financial health with impressive revenue and profit growth. The company maintains a stable balance sheet with moderate leverage and good return on equity. However, recent challenges in cash flow management, primarily due to increased capital expenditures, need attention.

Income Statement

SWCC Showa Holdings Co., Ltd. has shown strong revenue growth, with a 11.2% increase in the latest year. The Gross Profit Margin is at 16.2%, and the Net Profit Margin is healthy at 4.8%. The EBIT and EBITDA margins are robust at 8.3% and 10.6%, respectively, indicating strong operational efficiency. Overall, the company demonstrates solid profitability and growth.

Balance Sheet

The company's balance sheet reflects a Debt-to-Equity Ratio of 0.65, indicating moderate leverage. The Return on Equity (ROE) is 13.6%, showcasing good profitability relative to shareholders' equity. The Equity Ratio stands at 42.3%, suggesting a stable financial structure with a significant proportion of assets financed by equity. The balance sheet is strong but with room for improvement in reducing debt.

Cash Flow

SWCC Showa Holdings Co., Ltd. has a Free Cash Flow Growth Rate of -55%, indicating a significant decline due to increased capital expenditures. The Operating Cash Flow to Net Income Ratio is 1.15, showing good cash generation relative to net income. The Free Cash Flow to Net Income Ratio is 0.54, implying reasonable cash flow conversion. Despite the recent dip in free cash flow, the company maintains healthy cash flow from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	243.08B	237.86B	213.90B	209.11B	199.19B	161.70B
Gross Profit	40.25B	38.64B	28.97B	25.80B	25.36B	21.76B
EBITDA	26.20B	25.16B	17.32B	16.77B	15.02B	10.31B
Net Income	11.50B	11.40B	8.84B	9.41B	9.35B	4.97B
Balance Sheet
Total Assets	186.55B	197.71B	161.58B	156.65B	147.36B	129.46B
Cash, Cash Equivalents and Short-Term Investments	12.33B	19.45B	7.34B	4.04B	3.36B	4.17B
Total Debt	51.18B	54.16B	29.78B	40.52B	38.35B	36.76B
Total Liabilities	101.58B	112.08B	84.46B	88.26B	88.43B	81.29B
Stockholders Equity	83.31B	83.66B	75.91B	67.50B	58.27B	47.57B
Cash Flow
Free Cash Flow	0.00	6.16B	13.69B	-767.00M	-4.44B	5.37B
Operating Cash Flow	0.00	13.11B	17.74B	4.16B	428.00M	8.88B
Investing Cash Flow	0.00	71.00M	1.02B	-3.55B	-1.52B	-3.36B
Financing Cash Flow	0.00	-1.45B	-15.63B	-85.00M	64.00M	-5.66B

SWCC Showa Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7190.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5805, the sentiment is Positive. The current price of 7190 is below the 20-day moving average (MA) of 8589.50, below the 50-day MA of 8084.23, and below the 200-day MA of 7297.01, indicating a bullish trend. The MACD of 811.78 indicates Negative momentum. The RSI at 71.00 is Negative, neither overbought nor oversold. The STOCH value of 72.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5805.

SWCC Showa Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6504	76 Outperform	$1.55T	18.89	12.05%	1.62%	5.44%	-5.19%
5801	73 Outperform	$774.93B	22.92	10.06%	1.17%	10.52%	60.75%
6503	72 Outperform	€9.10T	22.71	10.23%	1.27%	4.62%	40.65%
5805	72 Outperform	¥239.01B	20.60	18.26%	1.63%	7.08%	65.71%
5803	63 Neutral	€5.71T	55.30	32.32%	0.69%	27.53%	137.34%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6506	63 Neutral	$1.14T	19.82	13.26%	1.80%	-2.18%	30.16%

SWCC Showa Holdings Co., Ltd. Corporate Events

SWCC Showa Holdings Reports Strong Financial Growth in H1 2025

SWCC Showa Holdings Co., Ltd. reported a significant increase in its financial performance for the six months ending September 30, 2025, with a 9.8% rise in net sales and a 104.1% increase in profit attributable to owners of the parent compared to the previous year. The company also announced a revised forecast for the fiscal year ending March 31, 2026, projecting a 13.5% increase in net sales and a 40.3% rise in profit attributable to owners of the parent, reflecting strong operational growth and strategic positioning in its market.

The most recent analyst rating on (JP:5805) stock is a Hold with a Yen8192.00 price target. To see the full list of analyst forecasts on SWCC Showa Holdings Co., Ltd. stock, see the JP:5805 Stock Forecast page.

SWCC Corporation Revises Financial and Dividend Forecasts Upward

SWCC Corporation has announced an upward revision to its financial forecasts for the fiscal year ending March 31, 2026, citing strong performance in its Energy and Infrastructure Business and growth in its Communication and Components Business. The company has also increased its dividend forecast, reflecting its commitment to returning profits to shareholders amid steady performance trends.

The most recent analyst rating on (JP:5805) stock is a Hold with a Yen8192.00 price target. To see the full list of analyst forecasts on SWCC Showa Holdings Co., Ltd. stock, see the JP:5805 Stock Forecast page.