Revenue GrowthSustained 22.6% revenue growth indicates expanding market penetration and stronger demand for STG's electronic components. Over a multi‑month horizon, rising top‑line supports reinvestment in R&D, capacity expansion and strengthens customer partnerships central to its B2B business model.

Robust Profitability MarginsHealthy gross and operating margins reflect efficient manufacturing and pricing power in high‑precision components. Durable margin structure supports profitability through cycles, funds R&D and differentiates STG vs lower‑margin competitors, reinforcing long‑term competitive advantage.

Strong Cash GenerationImproved operating cash flow and meaningful free cash flow indicate solid internal funding for capex, R&D and debt servicing. Reliable cash generation enhances financial flexibility, reduces reliance on external financing and supports strategic partnerships and product development.

Bears Say

Moderate LeverageA debt/equity ratio around 1.18 signals meaningful leverage that can constrain financial flexibility and increase interest expense sensitivity. In a cyclical manufacturing industry, sustained leverage elevates refinancing and downturn risks, warranting close monitoring of cash flow coverage.

Negative EPS GrowthNegative EPS growth points to earnings volatility despite revenue gains, possibly from dilution, one‑offs, or cost items. Over the medium term, falling EPS can undermine shareholder returns and raises questions about operating leverage and capital allocation effectiveness.

Limited Public DisclosureAbsence of earnings calls or regular management commentary reduces transparency and makes it harder to assess forward guidance, execution risk and strategic priorities. For investors, limited disclosure increases information asymmetry and heightens governance and monitoring concerns.

5858 FAQ

What was STG CO.LTD.’s price range in the past 12 months?

STG CO.LTD. lowest stock price was ¥982.00 and its highest was ¥2491.00 in the past 12 months.

What is STG CO.LTD.’s market cap?

STG CO.LTD.’s market cap is ¥3.47B.

When is STG CO.LTD.’s upcoming earnings report date?

STG CO.LTD.’s upcoming earnings report date is May 19, 2026 which is in 80 days.

How were STG CO.LTD.’s earnings last quarter?

STG CO.LTD. released its earnings results on Feb 13, 2026. The company reported ¥55.434 earnings per share for the quarter, beating the consensus estimate of N/A by ¥55.434.

Is STG CO.LTD. overvalued?

According to Wall Street analysts STG CO.LTD.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does STG CO.LTD. pay dividends?

STG CO.LTD. pays a Annually dividend of ¥20 which represents an annual dividend yield of 0.93%. See more information on STG CO.LTD. dividends here

What is STG CO.LTD.’s EPS estimate?

STG CO.LTD.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does STG CO.LTD. have?

STG CO.LTD. has 2,117,000 shares outstanding.

What happened to STG CO.LTD.’s price movement after its last earnings report?

STG CO.LTD. reported an EPS of ¥55.434 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.466%.

Which hedge fund is a major shareholder of STG CO.LTD.?

Currently, no hedge funds are holding shares in JP:5858

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

STG CO.LTD.

STG CO.LTD. (5858) is a dynamic company operating primarily in the technology and manufacturing sectors. The company specializes in the development and production of advanced electronic components, focusing on high-precision instruments and innovative solutions for various industries, including telecommunications, automotive, and consumer electronics. STG CO.LTD. is committed to leveraging cutting-edge technology to enhance product performance and reliability, positioning itself as a leader in the electronics market.