Fine Sinter Co., Ltd. (5994) AI Stock Analysis

• Market Cap: ¥5.49B
• Dividend Yield: 1.6%
• Average Volume (3M): 36.00K
• Price to Earnings (P/E): 31.4
• Beta (1Y): 0.51
• Revenue Growth: 1.07%
• EPS Growth: N/A
• Country: JP
• Employees: 2,098
• Sector: Industrials
• Sector Strength: 73
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 55.01
• Shares Outstanding: 4,420,000
• 10 Day Avg. Volume: 99,250
• 30 Day Avg. Volume: 36,000
• 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: ¥1,126.00
• Price Target Upside: -9.70% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 63 Neutral
• Price Target: ¥1,126.00 ▼(-9.70% Downside)

The overall stock score of 63 reflects a mixed financial performance with ongoing profitability challenges, strong technical indicators suggesting bullish momentum, and a valuation that may be on the high side. The lack of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for products and effective market strategies, supporting long-term business expansion.

Operational Improvements

Improved margins reflect enhanced operational efficiency, suggesting better cost management and potential for increased profitability.

Stable Balance Sheet

A stable balance sheet with moderate leverage provides financial resilience, enabling the company to navigate economic fluctuations.

Negative Factors

Persistent Net Losses

Ongoing net losses indicate challenges in achieving profitability, which could hinder long-term financial sustainability and growth.

Negative Free Cash Flow

Negative free cash flow suggests difficulties in generating cash post-capital expenditures, potentially limiting investment and growth opportunities.

Negative Return on Equity

A negative return on equity reflects inefficient use of shareholder capital, raising concerns about long-term value creation for investors.

Fine Sinter Co., Ltd. Business Overview & Revenue Model

Company Description

Fine Sinter Co., Ltd. is a Japanese company specializing in the manufacture and sale of sintered metal components. The company operates primarily in the automotive and industrial machinery sectors, offering a wide range of products such as engine parts, transmission parts, and other precision components. Utilizing advanced powder metallurgy technology, Fine Sinter Co., Ltd. provides high-quality and cost-effective solutions to meet the needs of its global clientele.

How the Company Makes Money

Fine Sinter Co., Ltd. generates revenue through the production and sale of sintered metal components, primarily catering to the automotive and industrial machinery sectors. The company's key revenue streams include the sale of engine parts, transmission parts, and other precision components to automotive manufacturers and industrial machinery producers. Additionally, Fine Sinter Co., Ltd. benefits from long-term partnerships with major automotive companies, which secure a steady demand for its products. The company's focus on research and development allows it to innovate and maintain competitiveness in the market, further contributing to its earnings.

Fine Sinter Co., Ltd. Financial Statement Overview

Summary

Fine Sinter Co., Ltd. shows strengths in revenue growth and operational improvements. However, persistent net losses and negative free cash flow highlight ongoing challenges. The balance sheet is relatively stable, but the negative return on equity points to profitability concerns.

Income Statement

The gross profit margin has remained relatively stable, showing a slight increase from the previous year. However, the company has been experiencing net losses over the past few years, despite a consistent revenue growth rate. The EBIT and EBITDA margins have improved, indicating better operational efficiency, but the negative net profit margin remains a concern.

Balance Sheet

The company has a moderate debt-to-equity ratio, which suggests a balanced approach to leveraging debt. However, the return on equity is negative due to ongoing losses. The equity ratio is healthy, indicating that a substantial portion of the company's assets are financed by equity.

Cash Flow

The free cash flow has been negative in recent years, reflecting challenges in generating cash after capital expenditures. However, the operating cash flow has improved, and the operating cash flow to net income ratio is positive, indicating some capacity to cover net losses with cash generated from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.72B	42.72B	42.39B	39.67B	38.96B	34.64B
Gross Profit	5.68B	5.39B	5.37B	3.44B	4.59B	3.87B
EBITDA	4.25B	4.25B	3.38B	919.29M	4.76B	4.21B
Net Income	-206.48M	-206.54M	-593.46M	-2.66B	208.22M	-225.05M
Balance Sheet
Total Assets	47.84B	47.84B	50.20B	49.20B	51.05B	49.75B
Cash, Cash Equivalents and Short-Term Investments	4.42B	4.42B	4.15B	4.52B	5.97B	6.15B
Total Debt	18.26B	18.26B	18.06B	17.44B	16.32B	17.10B
Total Liabilities	30.84B	30.84B	31.69B	30.93B	30.16B	30.16B
Stockholders Equity	14.10B	14.10B	15.64B	14.56B	17.20B	17.14B
Cash Flow
Free Cash Flow	0.00	-1.69B	-738.23M	-1.92B	922.16M	-843.13M
Operating Cash Flow	0.00	814.56M	4.74B	1.83B	4.19B	3.25B
Investing Cash Flow	0.00	-544.50M	-5.16B	-3.69B	-3.35B	-4.08B
Financing Cash Flow	0.00	8.82M	-155.21M	305.18M	-1.36B	2.27B

Fine Sinter Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1247.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5994, the sentiment is Positive. The current price of 1247 is above the 20-day moving average (MA) of 996.65, above the 50-day MA of 915.90, and above the 200-day MA of 825.27, indicating a bullish trend. The MACD of 87.01 indicates Negative momentum. The RSI at 82.78 is Negative, neither overbought nor oversold. The STOCH value of 80.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5994.

Fine Sinter Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5858	80 Outperform	¥3.60B	7.57		0.87%	23.97%	120.19%
5603	80 Outperform	¥4.18B	4.34		4.51%	0.34%	131.10%
5922	76 Outperform	¥17.32B	9.56		3.03%	2.75%	-9.49%
6138	72 Outperform	¥3.28B	8.82		2.27%	8.06%	―
5852	64 Neutral	¥23.20B	―		3.05%	5.53%	68.16%
Sector *	64 Neutral	$10.84B	15.28	7.40%	1.99%	2.87%	-14.59%
5994	63 Neutral	¥5.49B	31.36		1.60%	1.07%	―