Sinko Industries Ltd. (6458) AI Stock Analysis

• Market Cap: ¥92.43B
• Dividend Yield: 5.26%
• Average Volume (3M): 176.91K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.85
• Revenue Growth: 9.75%
• EPS Growth: 21.60%
• Country: JP
• Employees: 1,616
• Sector: Industrials
• Sector Strength: 89
• Industry: Construction
• EPS (TTM): 82.47
• Shares Outstanding: 77,373,700
• 10 Day Avg. Volume: 156,630
• 30 Day Avg. Volume: 176,913
• PEG Ratio: 0.25
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.26
• 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: ¥1,412.00
• Price Target Upside: 16.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 78 Outperform
• Price Target: ¥1,386.00 ▲(13.98%Upside)

Sinko Industries Ltd. is well-positioned due to its strong financial performance, particularly its solid revenue and profit growth, and strong balance sheet. Technical analysis suggests neutral momentum, while valuation is attractive with a low P/E ratio and high dividend yield. These factors collectively indicate a stable investment with potential for growth.

Sinko Industries Ltd. Business Overview & Revenue Model

Company Description

Sinko Industries Ltd. (6458) is a manufacturing company engaged in the production and distribution of industrial components and equipment. The company operates in various sectors including automotive, electronics, and industrial machinery, providing high-quality products that cater to the needs of manufacturers and enterprises globally.

How the Company Makes Money

Sinko Industries Ltd. generates revenue primarily through the sale of its industrial components and equipment. The company manufactures products used in automotive systems, electronic devices, and industrial machinery, serving as a critical supplier to manufacturers in these sectors. Revenue streams include direct sales to manufacturers, distribution through wholesale partners, and customized solutions for specific industry needs. The company's earnings are also bolstered by strategic partnerships with key players in the automotive and electronics industries, enhancing its market reach and ensuring consistent demand for its products.

Sinko Industries Ltd. Financial Statement Overview

Summary

Sinko Industries Ltd. shows strong financial health with impressive revenue growth, profitability, and a robust balance sheet characterized by low leverage and high equity. Despite a drop in free cash flow, the company's overall financial performance is solid, ensuring stability and growth potential.

Income Statement

Sinko Industries Ltd. has demonstrated strong revenue growth of 9.7% in the most recent year, coupled with a solid gross profit margin of 38.2%. The company's net profit margin also improved to 13.7%, showcasing effective cost management. The EBIT and EBITDA margins stand at 17.5% and 23.2%, respectively, reflecting efficient operations. Overall, Sinko Industries' income statement indicates robust growth and profitability.

Balance Sheet

The balance sheet of Sinko Industries is strong with a low debt-to-equity ratio of 0.04, indicating minimal leverage. The return on equity is favorable at 12.8%, suggesting good returns to shareholders. The equity ratio stands at 71.7%, reflecting a solid equity base and financial stability. The company's balance sheet is marked by low debt levels and high equity, enhancing its financial resilience.

Cash Flow

Sinko Industries has experienced a decrease in free cash flow by 61.7%, which could be a potential concern. However, the operating cash flow to net income ratio is 0.73, indicating adequate cash generation relative to net income. The free cash flow to net income ratio is 0.29, suggesting some room for improvement in cash conversion. Despite the decline in free cash flow, the company maintains satisfactory cash flow metrics.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	54.77B	57.01B	51.94B	44.80B	41.96B	39.18B
Gross Profit	21.20B	21.80B	19.10B	15.26B	14.85B	15.20B
EBITDA	12.35B	13.23B	10.90B	7.19B	6.83B	7.61B
Net Income	7.91B	7.83B	6.58B	4.51B	4.10B	5.02B
Balance Sheet
Total Assets	85.58B	85.00B	88.04B	77.53B	72.05B	69.00B
Cash, Cash Equivalents and Short-Term Investments	18.19B	18.67B	22.73B	19.33B	19.13B	18.98B
Total Debt	2.59B	2.41B	2.59B	3.13B	3.59B	4.11B
Total Liabilities	21.57B	20.71B	24.13B	19.84B	18.07B	18.02B
Stockholders Equity	60.95B	60.97B	61.09B	55.16B	51.59B	48.93B
Cash Flow
Free Cash Flow	0.00	2.31B	6.03B	2.23B	2.37B	117.00M
Operating Cash Flow	0.00	5.74B	8.91B	4.09B	3.64B	5.62B
Investing Cash Flow	0.00	261.00M	-2.23B	-1.65B	-1.22B	-9.25B
Financing Cash Flow	0.00	-8.15B	-3.35B	-2.29B	-2.30B	308.00M

Sinko Industries Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1216.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6458, the sentiment is Positive. The current price of 1216 is above the 20-day moving average (MA) of 1208.70, above the 50-day MA of 1215.58, and below the 200-day MA of 1269.97, indicating a neutral trend. The MACD of -2.64 indicates Negative momentum. The RSI at 59.57 is Neutral, neither overbought nor oversold. The STOCH value of 77.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6458.

Sinko Industries Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1969	79 Outperform	¥490.35B	17.20		2.21%	5.03%	40.78%
6458	78 Outperform	¥92.43B	11.29		5.26%	9.75%	21.60%
5273	76 Outperform	¥109.12B	13.59		2.10%	5.59%	11.26%
4216	74 Outperform	¥78.14B	10.17		2.70%	-2.59%	-32.48%
Sector *	71 Outperform	¥254.47B	13.17	8.49%	3.06%	6.31%	13.07%
1979	65 Neutral	¥170.31B	15.19	7.46%	6.53%	-5.91%	-28.26%
5938	62 Neutral	$496.27B	247.85	0.35%	5.21%	1.45%	―

Sinko Industries Ltd. Corporate Events

Sinko Industries Announces Progress in Share Repurchase Program

Sinko Industries Ltd. announced the status of its share repurchase program, revealing that it has repurchased 351,500 shares at a cost of ¥431,574,298 during June 2025. This is part of a larger plan approved by the Board of Directors to buy back up to 7,000,000 shares by March 2026, with a total budget of ¥6.0 billion. The repurchase is expected to impact the company’s stock value and shareholder returns positively.

Sinko Industries Announces Disposal of Treasury Shares for Compensation Plan

Sinko Industries Ltd. announced the disposal of 30,600 treasury shares as part of its restricted share-based compensation plan, aimed at aligning the interests of its directors and shareholders. This move is expected to incentivize directors to enhance corporate value and promote shared value with shareholders, impacting the company’s governance and stakeholder relations positively.

Sinko Industries Reports Progress on Share Repurchase Program

Sinko Industries Ltd. announced the status of its ongoing share repurchase program, reporting the acquisition of 455,000 shares at a cost of ¥552,856,094 during May 2025. This initiative is part of a broader plan approved by the Board of Directors to repurchase up to 7,000,000 shares, aiming to enhance shareholder value and optimize capital structure.

Sinko Industries Ltd. Reports Strong Fiscal Year 2025 Financial Results

Sinko Industries Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a notable increase in net sales and profits compared to the previous year. The company achieved a 9.7% rise in net sales to ¥57,005 million and a 19% increase in profit attributable to owners of the parent, amounting to ¥7,829 million. Despite a decrease in comprehensive income, the company maintained a strong financial position with a capital adequacy ratio of 71.7%. The announcement indicates a stable financial performance and a positive outlook for stakeholders, although a slight decline in profit is expected for the next fiscal year.

Sinko Industries Announces Change in Major Shareholder

Sinko Industries Ltd. has announced a change in its major shareholder, with Goodhart Partners LLP now holding a significant portion of the company’s voting rights. This change follows a three-for-one stock split conducted by the company in December 2024, and it reflects a shift in shareholder composition that may impact the company’s governance and strategic direction.