Very Low Leverage / Strong Capital StructureExtremely low leverage and a high equity ratio provide durable financial resilience. This capital structure reduces insolvency risk, supports investment in R&D or capex for vacuum systems, and gives flexibility to weather cyclicality in industrial machinery demand over the next several months.

Healthy And Improving Operating MarginsSolid gross and operating margins with improved EBIT/EBITDA reflect structural cost discipline and pricing power in specialized equipment. Sustained margin levels support cash generation and profitability even if top-line growth moderates, underpinning durable earnings quality.

Focused, Specialized Business ModelA concentrated product set in vacuum deposition and related services creates niche expertise and higher barriers to entry. Specialization supports long-term customer relationships, aftermarket service opportunities, and defensible market positioning in industrial coatings and thin-film segments.

Bears Say

Weak Free Cash Flow ConversionNegative free cash flow conversion despite positive operating cash flow indicates difficulty converting accounting profits into discretionary cash. That constrains the company's ability to fund capex, sustain dividends, or pursue M&A without relying on balance sheet flexibility.

Recent Revenue Decline NotedA recent drop in revenue in a capital-equipment business can signal weaker order momentum or end-market softness. In an industry with long sales cycles, revenue erosion threatens utilization, margins and the timing of cash inflows, making near-term recovery uncertain.

Modest Return On EquityROE below mid-single digits suggests limited efficiency in converting the strong equity base into higher profits. With large equity capital deployed, sustained low ROE would pressure long-term shareholder returns unless management improves asset turnover or achieves stronger revenue growth.

6384 FAQ

What was SHOWA SHINKU CO., LTD.’s price range in the past 12 months?

SHOWA SHINKU CO., LTD. lowest stock price was ¥1101.00 and its highest was ¥1875.00 in the past 12 months.

What is SHOWA SHINKU CO., LTD.’s market cap?

SHOWA SHINKU CO., LTD.’s market cap is ¥11.35B.

When is SHOWA SHINKU CO., LTD.’s upcoming earnings report date?

SHOWA SHINKU CO., LTD.’s upcoming earnings report date is May 08, 2026 which is in 60 days.

How were SHOWA SHINKU CO., LTD.’s earnings last quarter?

SHOWA SHINKU CO., LTD. released its earnings results on Feb 10, 2026. The company reported ¥13.87 earnings per share for the quarter, beating the consensus estimate of N/A by ¥13.87.

Is SHOWA SHINKU CO., LTD. overvalued?

According to Wall Street analysts SHOWA SHINKU CO., LTD.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does SHOWA SHINKU CO., LTD. pay dividends?

SHOWA SHINKU CO., LTD. pays a Annually dividend of ¥70 which represents an annual dividend yield of 4.76%. See more information on SHOWA SHINKU CO., LTD. dividends here

What is SHOWA SHINKU CO., LTD.’s EPS estimate?

SHOWA SHINKU CO., LTD.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does SHOWA SHINKU CO., LTD. have?

SHOWA SHINKU CO., LTD. has 6,499,000 shares outstanding.

What happened to SHOWA SHINKU CO., LTD.’s price movement after its last earnings report?

SHOWA SHINKU CO., LTD. reported an EPS of ¥13.87 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.779%.

Which hedge fund is a major shareholder of SHOWA SHINKU CO., LTD.?

Currently, no hedge funds are holding shares in JP:6384

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

SHOWA SHINKU CO., LTD.

Showa Shinku Co., Ltd. produces and sells vacuum equipment and components for quartz devices, optical thin films, electronic devices, etc. in Japan. The company provides vacuum evaporation equipment; sputtering equipment; ion plating equipment; dry etching and ashing equipment; vacuum metallurgic equipment for dissolution, heat processing, sintering, and degassing; multi-color and monochrome optical monitors for thin films; IAD cold cathode ion source; and liquid crystal injection equipment. It offers its products to various electronic component makers, universities, and government research institutes. The company was formerly known as Showa Shinku Kikai (Showa Vacuum Machinery) Co., Ltd. and changed its name to Showa Shinku Co., Ltd. in 1978. The company was founded in 1953 and is headquartered in Sagamihara, Japan.