Sanwa Holdings (5929) AI Stock Analysis

• Market Cap: ¥738.28B
• Dividend Yield: 2.94%
• Average Volume (3M): 578.58K
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.85
• Revenue Growth: 2.90%
• EPS Growth: 36.64%
• Country: JP
• Employees: 12,930
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): 54.51
• Shares Outstanding: 221,000,000
• 10 Day Avg. Volume: 524,110
• 30 Day Avg. Volume: 578,576
• PEG Ratio: 0.52
• Price to Book (P/B): 3.22
• Price to Sales (P/S): 1.56
• P/FCF Ratio: 16.91
• 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: ¥3,885.00 ▼(-1.12% Downside)

The score is driven primarily by strong financial performance (growth, margins, and improving free cash flow) and supportive valuation (moderate P/E and solid dividend yield). These positives are meaningfully offset by weak technicals, with the stock trading below key moving averages and showing bearish momentum despite oversold indicators.

Sanwa Holdings Business Overview & Revenue Model

Company Description

Sanwa Holdings Corporation, through its subsidiaries, manufactures and sells steel construction materials for commercial and residential construction in Japan, North America, Europe, and the rest of Asia. The company offers door openers; automatic, industrial sectional, garage, steel, condominium, and lightweight sliding doors; partitions and toilet booths; waterproofing products; rolling, high-speed sheet, lightweight, heavy-duty, and window shutters; aluminum and stainless-steel facades; curtain walls; and mail and delivery boxes. It also provides shutter-related, storefront, window, residential door, exterior, and residential garage door products; and openers for garage and other doors, as well as engages in the maintenance and service business. The company was founded in 1956 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sanwa Holdings makes money primarily through the sale of its diverse range of building materials and entrance systems. The company's revenue model is based on manufacturing and distributing high-quality products such as garage doors, industrial doors, and automatic doors, which are sold to both individual consumers and businesses. Key revenue streams include new construction projects, where demand for their products is integrated into the building plans, and renovation projects, where upgrades and replacements drive sales. Additionally, Sanwa Holdings benefits from strategic partnerships with construction companies and distributors, which help expand its market reach. The company also invests in research and development to innovate and improve its product offerings, ensuring sustained demand and market competitiveness.

Sanwa Holdings Financial Statement Overview

Summary

Strong fundamentals supported by consistent revenue growth (¥427,061m in 2021 to ¥662,380m in 2025), solid gross margins (~30%), improving net margin (8.68% in 2025), and rising free cash flow (¥24,384m in 2023 to ¥61,286m in 2025). Balance sheet is solid with improving equity ratio (60.26% in 2025), though total debt remains a noted risk.

Income Statement

Sanwa Holdings has demonstrated consistent revenue growth, with a notable increase in Total Revenue from ¥427,061 million in 2021 to ¥662,380 million in 2025. The Gross Profit Margin has remained strong, averaging around 30% over the years, indicating efficient cost management. Net Profit Margin also improved, reaching 8.68% in 2025. The company has maintained healthy EBIT and EBITDA margins, showcasing robust operational performance.

Balance Sheet

The balance sheet of Sanwa Holdings reflects a solid financial foundation with a Debt-to-Equity ratio decreasing over the years, indicating improved leverage management. Stockholders' Equity has grown consistently, enhancing the Equity Ratio to 60.26% in 2025. However, Total Debt remains significant, which could pose potential risks if not managed carefully.

Cash Flow

Sanwa Holdings displays strong cash flow generation, with Free Cash Flow growing steadily from ¥24,384 million in 2023 to ¥61,286 million in 2025. The Operating Cash Flow to Net Income Ratio is impressive, highlighting efficient conversion of profits into cash. The company has managed capital expenditures effectively, supporting ongoing investments while maintaining a positive cash flow trajectory.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	660.78B	662.38B	611.11B	588.16B	468.96B	427.06B
Gross Profit	218.94B	218.26B	197.11B	179.70B	138.31B	127.22B
EBITDA	98.02B	98.79B	79.58B	64.48B	47.11B	43.60B
Net Income	57.41B	57.51B	43.23B	33.08B	22.84B	21.25B
Balance Sheet
Total Assets	487.98B	534.61B	491.70B	442.27B	386.24B	375.16B
Cash, Cash Equivalents and Short-Term Investments	113.57B	134.39B	107.80B	72.25B	61.90B	89.81B
Total Debt	44.88B	60.23B	56.83B	59.59B	51.50B	69.55B
Total Liabilities	191.46B	210.41B	206.20B	199.93B	182.93B	193.77B
Stockholders Equity	294.44B	322.14B	283.81B	240.91B	201.93B	180.10B
Cash Flow
Free Cash Flow	0.00	61.29B	59.06B	24.38B	11.24B	41.37B
Operating Cash Flow	0.00	76.94B	72.43B	34.42B	20.53B	50.14B
Investing Cash Flow	0.00	-30.17B	-24.82B	-15.94B	-21.35B	-11.18B
Financing Cash Flow	0.00	-42.89B	-26.24B	-9.89B	-27.36B	-6.10B

Sanwa Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3929.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5929, the sentiment is Negative. The current price of 3929 is below the 20-day moving average (MA) of 4088.20, below the 50-day MA of 4061.88, and below the 200-day MA of 4440.72, indicating a bearish trend. The MACD of -76.70 indicates Positive momentum. The RSI at 20.96 is Positive, neither overbought nor oversold. The STOCH value of 5.51 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5929.

Sanwa Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5940	74 Outperform	¥11.67B	4.23	―	2.89%	2.56%	17.52%
5929	72 Outperform	¥738.28B	12.85	18.61%	2.94%	2.90%	36.64%
5930	66 Neutral	¥135.76B	10.49	12.89%	3.40%	2.98%	41.11%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
5936	63 Neutral	¥6.09B	7.97	―	4.13%	2.76%	-10.23%
5938	62 Neutral	$509.53B	53.50	1.44%	4.80%	0.68%	―
5932	52 Neutral	¥20.16B	-4.49	―	4.03%	1.03%	-92.80%

Sanwa Holdings Corporate Events

Sanwa Holdings Posts Slight Sales Decline as Weak Volumes and FX Offset Price Gains

Sanwa Holdings reported a 1.5% year-on-year decline in consolidated net sales for the first nine months of FY2025, to ¥468.2 billion, as lower sales volumes across all regions and adverse foreign exchange effects outweighed steady price pass-through. Japan sales were essentially flat, while local-currency growth in North America and Europe was offset by weaker door product demand amid delayed market recovery tied to persistently high interest rates and a sluggish rebound in eastern China. Management expects full-year FY2025 net sales to remain broadly in line with the prior year in real terms, supported by stronger operator and automatic door sales but constrained by ongoing macroeconomic headwinds and currency movements, signaling a cautious operating environment for the near term.

The most recent analyst rating on (JP:5929) stock is a Buy with a Yen4634.00 price target. To see the full list of analyst forecasts on Sanwa Holdings stock, see the JP:5929 Stock Forecast page.

Sanwa Holdings Delivers Stable Earnings Amid Slight Sales Decline and Lifts Dividend Forecast

Sanwa Holdings reported marginally softer results for the nine months to December 31, 2025, with net sales slipping 1.5% year-on-year to ¥468.2 billion and operating profit down 2.5% to ¥49.7 billion, while ordinary profit fell 4.8%. Despite this top-line and profit compression, profit attributable to owners of the parent edged up 1.9% to ¥38.0 billion, supported by a lower share count that also lifted basic earnings per share to ¥178.56 from ¥171.10. The company’s financial position remained solid, with total assets of ¥521.5 billion and an equity ratio of 60.4%, and it maintained an aggressive shareholder-return stance by forecasting a higher full-year dividend of ¥124 per share for the year ending March 31, 2026, compared with ¥106 previously. For the full fiscal year, Sanwa is guiding to slightly lower net sales of ¥654.0 billion but essentially flat operating profit of ¥81.0 billion and modest growth in profit attributable to owners of the parent to ¥58.0 billion, signaling stable profitability despite a softer demand environment and the integration of newly consolidated subsidiary Gold Arc, inc., which together suggest steady, if unspectacular, earnings for stakeholders.

The most recent analyst rating on (JP:5929) stock is a Buy with a Yen4634.00 price target. To see the full list of analyst forecasts on Sanwa Holdings stock, see the JP:5929 Stock Forecast page.

Sanwa Holdings Reports Progress on Ongoing Share Buyback Program

Sanwa Holdings Corporation reported progress on its ongoing share buyback program authorized by its board in October 2025, conducted via market purchases on the Tokyo Stock Exchange. Between December 1 and December 31, 2025, the company repurchased 481,000 shares of its common stock for a total of approximately 1.95 billion yen, bringing cumulative repurchases under the current authorization to 998,000 shares at a cost of about 4.01 billion yen as of December 31, 2025, out of a maximum planned 3.1 million shares and 10 billion yen, signaling continued capital return to shareholders and active balance sheet management.

The most recent analyst rating on (JP:5929) stock is a Hold with a Yen4571.00 price target. To see the full list of analyst forecasts on Sanwa Holdings stock, see the JP:5929 Stock Forecast page.

Sanwa Holdings Announces Strategic Share Buyback

Sanwa Holdings Corporation has announced a decision to repurchase up to 3.10 million of its own shares, equivalent to 1.5% of its total issued shares, with a maximum expenditure of 10 billion yen. This strategic move aims to enhance shareholder returns, improve capital efficiency, and implement a flexible capital policy, reflecting the company’s commitment to its stakeholders.

The most recent analyst rating on (JP:5929) stock is a Hold with a Yen4571.00 price target. To see the full list of analyst forecasts on Sanwa Holdings stock, see the JP:5929 Stock Forecast page.

Sanwa Holdings Achieves Record Profits Amidst Global Challenges

Sanwa Holdings announced a new share repurchase program worth 10 billion yen, which was completed in the first half of FY2025. Despite challenges in North America and Europe, the company maintained its initial forecasts, achieving record-high profits driven by strong performance in Japan and favorable foreign exchange effects.

The most recent analyst rating on (JP:5929) stock is a Hold with a Yen4571.00 price target. To see the full list of analyst forecasts on Sanwa Holdings stock, see the JP:5929 Stock Forecast page.

Sanwa Holdings Reports Mixed Financial Results for H1 2025

Sanwa Holdings Corporation reported its consolidated financial results for the six months ending September 30, 2025, showing a slight decline in net sales by 1.5% compared to the previous year. Despite this, the company saw an increase in operating profit by 4.3% and profit attributable to owners of the parent by 11.3%, indicating improved operational efficiency. The company also announced a new inclusion in its consolidation scope, Gold Arc, Inc., reflecting its strategic expansion efforts.

The most recent analyst rating on (JP:5929) stock is a Hold with a Yen4571.00 price target. To see the full list of analyst forecasts on Sanwa Holdings stock, see the JP:5929 Stock Forecast page.