Chuo Spring Co., Ltd. (5992) AI Stock Analysis

• Market Cap: ¥82.61B
• Dividend Yield: 1.01%
• Average Volume (3M): 94.09K
• Price to Earnings (P/E): 56.2
• Beta (1Y): 0.96
• Revenue Growth: 8.25%
• EPS Growth: -31.16%
• Country: JP
• Employees: 3,017
• Sector: Consumer Cyclical
• Sector Strength: 81
• Industry: Auto - Parts
• EPS (TTM): 24.26
• Shares Outstanding: 25,542,397
• 10 Day Avg. Volume: 42,290
• 30 Day Avg. Volume: 94,090
• 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: ¥3,136.00
• Price Target Upside: -5.40% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 57 Neutral
• Price Target: ¥3,136.00 ▼(-5.40% Downside)

The overall stock score is influenced most significantly by strong financial performance, despite some concerns over profitability consistency and debt reliance. Technical analysis indicates strong momentum but warns of potential overbought conditions, while valuation metrics suggest the stock may be overvalued, limiting upside potential.

Chuo Spring Co., Ltd. Business Overview & Revenue Model

Company Description

Chuo Spring Co., Ltd. is a Japanese company primarily engaged in the manufacture and sale of springs and related products. The company operates in various sectors, including automotive, industrial machinery, and consumer products, supplying high-quality springs that are essential components in numerous applications. Its core products include suspension springs, stabilizer bars, and precision springs, which are integral to the performance and safety of vehicles and machinery.

How the Company Makes Money

Chuo Spring Co., Ltd. generates revenue through the production and sale of its wide range of spring products. The company's key revenue streams are derived from its automotive sector, where it supplies springs to major automobile manufacturers. This includes suspension springs and stabilizer bars that are critical for vehicle performance and safety. Additionally, the company serves the industrial machinery sector, providing precision springs for various applications. Strategic partnerships with automotive companies and a strong focus on product quality and innovation contribute significantly to its earnings. The company's ability to adapt to technological advancements and meet the evolving needs of its clients also plays a crucial role in its revenue generation.

Chuo Spring Co., Ltd. Financial Statement Overview

Summary

Chuo Spring Co., Ltd. exhibits strong revenue growth and improved operating margins, indicating enhanced operational efficiency. However, profitability consistency and return on equity remain areas of concern. The balance sheet is stable with moderate leverage, but there is an increased reliance on debt financing.

Income Statement

The company showed a steady revenue growth over the years, with a notable increase of 9.1% from 2023 to 2024, and a 9.1% increase from 2024 to 2025. Gross profit margin improved from 10.98% in 2023 to 12.78% in 2025, indicating better cost management. However, net profit margin has been somewhat volatile, decreasing from 1.97% in 2023 to 1.68% in 2025. EBIT and EBITDA margins have shown improvement, which is a positive sign of operational efficiency.

Balance Sheet

The company maintains a stable balance sheet with a debt-to-equity ratio of 0.31 in 2025, showing moderate leverage. The equity ratio decreased from 57.4% in 2024 to 53.7% in 2025, indicating a higher reliance on debt financing. Return on equity decreased from 2.26% in 2024 to 2.42% in 2025, reflecting challenges in generating higher returns for equity holders.

Cash Flow

Operating cash flow improved significantly from 2024 to 2025, indicating better cash generation from core operations. Free cash flow turned positive in 2025 after being negative in 2024, highlighting better capital expenditure management. However, the free cash flow growth rate remains volatile, posing potential cash flow stability risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	110.16B	110.16B	100.98B	92.77B	82.14B	74.66B
Gross Profit	14.07B	14.08B	10.19B	9.02B	10.22B	9.52B
EBITDA	7.13B	7.13B	7.11B	5.28B	6.96B	5.93B
Net Income	1.85B	1.86B	1.99B	481.96M	1.80B	1.25B
Balance Sheet
Total Assets	142.91B	142.91B	153.57B	107.12B	104.55B	94.05B
Cash, Cash Equivalents and Short-Term Investments	21.65B	21.65B	21.13B	10.01B	7.87B	11.75B
Total Debt	24.12B	24.12B	24.06B	11.56B	6.98B	6.46B
Total Liabilities	61.86B	61.86B	61.18B	38.55B	33.13B	29.53B
Stockholders Equity	76.75B	76.75B	87.91B	64.24B	67.10B	60.55B
Cash Flow
Free Cash Flow	0.00	1.45B	-1.08B	-1.40B	-3.46B	-714.03M
Operating Cash Flow	0.00	9.59B	5.74B	2.34B	208.30M	2.62B
Investing Cash Flow	0.00	-8.07B	-6.68B	-3.62B	-3.80B	-2.26B
Financing Cash Flow	0.00	-901.01M	11.72B	3.38B	-635.87M	1.67B

Chuo Spring Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3315.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5992, the sentiment is Positive. The current price of 3315 is above the 20-day moving average (MA) of 3244.25, above the 50-day MA of 2710.66, and above the 200-day MA of 1824.33, indicating a bullish trend. The MACD of 158.42 indicates Positive momentum. The RSI at 71.30 is Negative, neither overbought nor oversold. The STOCH value of 63.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5992.

Chuo Spring Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7250	81 Outperform	¥139.94B	10.67		2.13%	-1.29%	-26.66%
7231	77 Outperform	¥70.49B	10.26		3.40%	-8.56%	83.61%
5991	77 Outperform	¥402.11B	9.78		3.16%	3.38%	-3.92%
5989	72 Outperform	¥42.82B	4.41		3.30%	-7.52%	―
7229	72 Outperform	¥45.05B	11.47		2.37%	-18.46%	-48.08%
Sector *	61 Neutral	$17.92B	12.81	-0.76%	2.98%	1.30%	-14.28%
5992	57 Neutral	¥82.61B	56.17		1.01%	8.25%	-31.16%