Balance Sheet StrengthVery low leverage (debt-to-equity 0.13) and a high equity ratio (66.2%) give Toso durable financial flexibility. That capital structure supports capital expenditure, weathering housing cycles, and opportunistic investments or partnerships without immediate refinancing risk, aiding multi‑month stability.

Improving ProfitabilityMargin expansion (gross ~39.6%, EBIT 3.3%, net 2.2%) and rising EBITDA margin (6.3%) indicate better operational efficiency and pricing within its niche. Sustained margin improvement enhances cash generation potential and resilience to input cost swings over coming months.

Consistent Revenue GrowthSteady top-line growth (5.5% YoY) tied to recurring product sales into construction and renovation channels supports scale and incremental margin leverage. Given Toso's distribution to wholesalers, retailers and contractors, continued modest revenue growth underpins near‑term earnings stability.

Bears Say

Negative Free Cash FlowNegative free cash flow despite positive operating cash flow (operating CF ~0.91x net income) signals rising capex or working capital needs. That can constrain internal funding for growth, force external financing, or pressure dividend/capex plans over the next several months if not reversed.

Modest Return MetricsLow ROE (3.4%) and modest net margins limit the firm's ability to self‑fund expansion and deliver strong shareholder returns. Structurally modest profitability reduces buffer against cost inflation and may slow capital accretion unless margins continue to improve.

Cyclicality Of End MarketsRevenue is tied to housing starts, remodeling and commercial fit‑outs, exposing Toso to macro and construction cycles. This structural demand sensitivity can produce revenue and margin volatility if residential or commercial activity weakens over a multi‑month horizon.

5956 FAQ

What was Toso Company, Limited’s price range in the past 12 months?

Toso Company, Limited lowest stock price was ¥500.00 and its highest was ¥842.00 in the past 12 months.

What is Toso Company, Limited’s market cap?

Toso Company, Limited’s market cap is ¥6.15B.

When is Toso Company, Limited’s upcoming earnings report date?

Toso Company, Limited’s upcoming earnings report date is May 07, 2026 which is in 71 days.

How were Toso Company, Limited’s earnings last quarter?

Toso Company, Limited released its earnings results on Feb 10, 2026. The company reported ¥29.81 earnings per share for the quarter, beating the consensus estimate of N/A by ¥29.81.

Is Toso Company, Limited overvalued?

According to Wall Street analysts Toso Company, Limited’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Toso Company, Limited pay dividends?

Toso Company, Limited pays a Semiannually dividend of ¥5 which represents an annual dividend yield of 1.76%. See more information on Toso Company, Limited dividends here

What is Toso Company, Limited’s EPS estimate?

Toso Company, Limited’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Toso Company, Limited have?

Toso Company, Limited has 10,000,000 shares outstanding.

What happened to Toso Company, Limited’s price movement after its last earnings report?

Toso Company, Limited reported an EPS of ¥29.81 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 3.762%.

Which hedge fund is a major shareholder of Toso Company, Limited?

Currently, no hedge funds are holding shares in JP:5956

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

Toso Company, Limited

Toso Company, Limited engages in the development, manufacturing, and marketing of interior products worldwide. It offers decorative and functional curtain tracks, motorized curtain tracks, venetian and roller blinds, roman shades, vertical and pleated blinds, and panel tracks, as well as peripheral parts for motorized products. Toso Company, Limited was incorporated in 1949 and is headquartered in Tokyo, Japan.