Shinpo Co., Ltd. (5903) AI Stock Analysis

• Market Cap: ¥6.83B
• Dividend Yield: 3.48%
• Average Volume (3M): 2.07K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.36
• Revenue Growth: 2.19%
• EPS Growth: -9.93%
• Country: JP
• Employees: 125
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 19.38
• Shares Outstanding: 6,140,850
• 10 Day Avg. Volume: 1,940
• 30 Day Avg. Volume: 2,073
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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

• Rating: 66 Neutral
• Price Target: ¥1,295.00 ▲(8.55% Upside)

Shinpo Co., Ltd. has a strong balance sheet and attractive valuation, but technical indicators suggest bearish momentum. The company's financial performance is solid, though challenges in cash flow management and revenue growth need addressing.

Shinpo Co., Ltd. Business Overview & Revenue Model

Company Description

Shinpo Co., Ltd. manufactures and sells smokeless roasters in Japan and internationally. The company offers electric, hot plate, pull-out hood, charcoal-fired, and duct and non-duct type smokeless roasters; compact gas stove/gas grills; cooking wagons; deodorization/smoke removal system, and energy-saving air conditioning systems. It also provides accessories, such as supernet/flatnets, Yakiniku tongs, rostle, grill cleaning machines, roasters, grills, ceramic charcoal parts, gas parts, and safety devices. In addition, the company provides interior construction; system design and installation of smokeless roaster; and duct cleaning services. Shinpo Co., Ltd. was incorporated in 1971 and is headquartered in Nagoya, Japan.

How the Company Makes Money

Shinpo Co., Ltd. generates revenue through the sale of its kitchen equipment products. The company's key revenue streams include the sale of commercial grills and other kitchen appliances, which are distributed to restaurants, hotels, and catering businesses. Shinpo Co., Ltd. leverages its reputation for quality and innovation to maintain strong relationships with clients in the food service industry, ensuring repeat business and customer loyalty. Additionally, the company may engage in partnerships with distributors and retailers to expand its market reach and increase sales. The company's earnings are also influenced by its ability to adapt to market trends and technological advancements in the kitchen equipment sector.

Shinpo Co., Ltd. Financial Statement Overview

Summary

Shinpo Co., Ltd. demonstrates strong financial health with a solid balance sheet and efficient operations. However, challenges in revenue growth and free cash flow management could pose risks. The company is well-positioned but should focus on improving cash flow generation.

Income Statement

Shinpo Co., Ltd. shows a stable gross profit margin and a slight decline in net profit margin over the years. The revenue growth rate has been inconsistent, with a recent decline. EBIT and EBITDA margins are healthy, indicating efficient operations despite revenue fluctuations.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio, indicating low financial leverage. Return on equity is stable, reflecting effective use of equity capital. The equity ratio is robust, showcasing financial stability.

Cash Flow

Operating cash flow remains positive, but free cash flow has been negative recently, indicating potential cash management issues. The operating cash flow to net income ratio is healthy, but the free cash flow to net income ratio suggests challenges in converting income into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.31B	7.37B	7.21B	6.39B	6.21B	5.50B
Gross Profit	2.60B	2.58B	2.62B	2.43B	2.34B	2.07B
EBITDA	1.04B	1.02B	1.12B	1.14B	814.17M	811.09M
Net Income	601.81M	586.47M	661.29M	682.89M	532.43M	512.93M
Balance Sheet
Total Assets	8.99B	8.70B	8.29B	7.72B	7.12B	6.77B
Cash, Cash Equivalents and Short-Term Investments	2.65B	2.28B	3.33B	2.87B	2.22B	2.99B
Total Debt	525.00M	579.43M	112.17M	188.43M	248.80M	309.76M
Total Liabilities	2.19B	1.73B	1.51B	1.43B	1.45B	1.49B
Stockholders Equity	6.80B	6.92B	6.79B	6.29B	5.67B	5.28B
Cash Flow
Free Cash Flow	0.00	-980.07M	724.66M	859.44M	-574.39M	481.07M
Operating Cash Flow	0.00	672.76M	787.57M	1.05B	378.04M	532.14M
Investing Cash Flow	0.00	-1.88B	472.46M	-250.00M	-937.08M	-5.13M
Financing Cash Flow	0.00	-31.07M	-267.12M	-224.02M	-226.06M	-227.56M

Shinpo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1193.00
• 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:5903, the sentiment is Neutral. The current price of 1193 is below the 20-day moving average (MA) of 1220.40, below the 50-day MA of 1220.94, and below the 200-day MA of 1194.40, indicating a neutral trend. The MACD of -6.01 indicates Positive momentum. The RSI at 44.73 is Neutral, neither overbought nor oversold. The STOCH value of 32.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5903.

Shinpo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6346	80 Outperform	¥7.60B	9.00	―	2.32%	11.24%	28.61%
6286	80 Outperform	¥6.53B	6.17	―	2.04%	11.90%	10.46%
6546	76 Outperform	¥6.43B	16.10	―	2.68%	1.94%	6.32%
6402	74 Outperform	¥8.39B	9.72	―	2.28%	4.67%	16.03%
6158	68 Neutral	¥5.70B	15.12	―	3.85%	-4.13%	-39.40%
5903	66 Neutral	¥6.83B	11.44	―	3.48%	2.19%	-9.93%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%