Sinfonia Technology Co., Ltd. (6507) AI Stock Analysis

• Market Cap: ¥297.39B
• Dividend Yield: 0.95%
• Average Volume (3M): 288.85K
• Price to Earnings (P/E): 24.9
• Beta (1Y): 1.50
• Revenue Growth: 14.47%
• EPS Growth: 30.85%
• Country: JP
• Employees: 3,683
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 102.66
• Shares Outstanding: 29,789,122
• 10 Day Avg. Volume: 343,490
• 30 Day Avg. Volume: 288,846
• PEG Ratio: 0.23
• Price to Book (P/B): 2.11
• Price to Sales (P/S): 1.42
• P/FCF Ratio: 20.09
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ¥10,212.00 ▲(19.44% Upside)

Sinfonia Technology Co., Ltd. demonstrates strong financial performance, which is the most significant factor in its overall score. However, technical indicators suggest bearish momentum, and the valuation indicates the stock is fairly priced. The absence of recent earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, enhancing long-term business sustainability.

Cash Flow Generation

Robust cash flow generation provides financial flexibility for reinvestment and debt reduction, supporting long-term growth.

Balance Sheet Health

A strong balance sheet with low leverage enhances financial stability and reduces risk, supporting sustainable business operations.

Negative Factors

Market Volatility

Higher market volatility can lead to unpredictable stock performance, potentially impacting investor confidence and long-term investment.

Dividend Yield

A low dividend yield may limit income attractiveness for investors, potentially affecting stock appeal in income-focused portfolios.

Technical Indicators

Bearish technical indicators suggest potential short-term challenges in stock price recovery, affecting market perception.

Sinfonia Technology Co., Ltd. Business Overview & Revenue Model

Company Description

Sinfonia Technology Co.,Ltd. manufactures and sells various equipment worldwide. The company offers aerospace products, including servo-actuators, lift trucks, electrical components, and ground power vehicles; clutches and brakes; and servo actuators, such as DD motors, HD motors, HD linear motors, compact DC motors, AC servo-motors, and alignment stages. It also provides transportation and power control systems comprising vending machines for contactless IC cards, IC card replenishment devices, meal ticket vending machines, ticket vending machines, barrier-free ticket vending machines, balance display machines for IC cards, flapper gates for use with contactless IC cards, and bicycle parking lot management systems. In addition, the company offers printer systems; and automotive testing systems that include high speed dynamometers, engine benches, powertrain and vehicle collision testing systems, inverter load simulators for electric vehicles, and ultra-low inertia dynamos. Further, it provides vibrating equipment, feeders, conveyors, and screens, as well as dryers and cooler systems; parts feeders; and lifting magnets, refrigerator motors, generators, cryogenic motors, cogeneration systems, and biomass power generators. Additionally, the company offers central monitoring systems for waterworks systems, underground manhole pump control boxes, sludge incinerators for final processing, electrical equipment for sewer systems, hybrid power generation systems, landslide sensing/early-warning systems, road management systems, electrical equipment for road management, continuous air monitoring systems, and tunnel maintenance and management systems for civil infrastructure. The company was formerly known as Shinko Electric Co., Ltd. and changed its name to Sinfonia Technology Co.,Ltd. in April 2009. Sinfonia Technology Co.,Ltd. was founded in 1917 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sinfonia Technology Co., Ltd. generates revenue through the sale of its electronic components and systems to various industries, with key revenue streams coming from long-term contracts with major manufacturers in the telecommunications and automotive sectors. The company benefits from economies of scale due to its production capabilities and strategic partnerships with leading technology firms that enhance its market reach. Additionally, Sinfonia invests in research and development to create advanced products that meet the evolving needs of its customers, thus driving sales and maintaining competitive pricing. The company's focus on high-quality manufacturing and customer service further solidifies its revenue base by fostering repeat business.

Sinfonia Technology Co., Ltd. Financial Statement Overview

Summary

Sinfonia Technology Co., Ltd. exhibits strong financial health with robust revenue growth, healthy profitability margins, and solid cash flow generation. The balance sheet is stable with low leverage, positioning the company well for future opportunities.

Income Statement

Sinfonia Technology Co., Ltd. demonstrates strong revenue growth, with a notable increase from ¥102.657 billion to ¥119.15 billion year-over-year, reflecting a 16.1% growth rate. The company maintains healthy profitability with a gross profit margin of approximately 26.7% and a net profit margin of 10.1% in the most recent year. EBITDA and EBIT margins are robust at 16.7% and 13.2%, respectively, indicating effective cost management and operational efficiency.

Balance Sheet

The balance sheet of Sinfonia Technology shows a strong equity base with an equity ratio of 58.7%, ensuring financial stability. The debt-to-equity ratio is a conservative 0.19, indicating low leverage. The return on equity is commendable at 15.1%, reflecting efficient use of shareholders' equity to generate earnings.

Cash Flow

Sinfonia Technology's cash flow position is solid, with a significant increase in free cash flow by 222.4% to ¥8.398 billion, suggesting improved cash generation capabilities. The operating cash flow to net income ratio is 0.94, highlighting strong cash conversion efficiency. The free cash flow to net income ratio is an impressive 0.69, indicating effective capital expenditure management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	120.71B	119.15B	102.66B	108.81B	94.58B	87.31B
Gross Profit	32.62B	31.86B	25.34B	26.73B	21.44B	18.06B
EBITDA	19.26B	19.93B	13.93B	14.18B	11.25B	8.06B
Net Income	11.95B	12.10B	7.51B	8.10B	5.59B	3.68B
Balance Sheet
Total Assets	133.36B	136.47B	137.06B	127.32B	116.80B	109.35B
Cash, Cash Equivalents and Short-Term Investments	8.99B	10.22B	9.57B	9.49B	8.73B	12.36B
Total Debt	15.06B	14.94B	21.78B	21.96B	21.78B	23.79B
Total Liabilities	54.33B	56.33B	62.61B	64.71B	62.71B	58.00B
Stockholders Equity	79.03B	80.13B	74.45B	62.61B	54.09B	51.35B
Cash Flow
Free Cash Flow	0.00	8.40B	2.60B	1.95B	1.34B	3.66B
Operating Cash Flow	0.00	11.37B	9.84B	6.03B	2.95B	6.81B
Investing Cash Flow	0.00	-1.92B	-7.50B	-4.06B	-1.85B	-2.91B
Financing Cash Flow	0.00	-8.96B	-2.36B	-1.28B	-4.76B	843.00M

Sinfonia Technology Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8550.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6507, the sentiment is Negative. The current price of 8550 is below the 20-day moving average (MA) of 9274.50, below the 50-day MA of 9658.20, and above the 200-day MA of 8021.79, indicating a neutral trend. The MACD of -405.52 indicates Positive momentum. The RSI at 35.50 is Neutral, neither overbought nor oversold. The STOCH value of 20.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6507.

Sinfonia Technology Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6134	77 Outperform	$282.39B	18.83	6.46%	2.76%	12.95%	46.98%
6508	76 Outperform	€295.81B	16.06	14.28%	2.33%	8.03%	23.50%
6371	74 Outperform	€217.98B	9.57	8.83%	3.93%	1.48%	8.86%
6457	72 Outperform	€203.45B	18.66	5.40%	3.04%	-15.49%	-59.00%
6507	69 Neutral	¥297.39B	24.90	―	0.95%	14.47%	30.85%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6925	59 Neutral	$212.54B	44.31	2.20%	2.88%	-3.70%	-36.38%

Sinfonia Technology Co., Ltd. Corporate Events

Sinfonia Technology Reports Positive Financial Growth and Expansion

Sinfonia Technology Co., Ltd. reported a 7.8% increase in net sales for the six months ending September 30, 2025, compared to the same period last year. The company also saw a rise in operating profit and ordinary profit, indicating a positive financial performance. The inclusion of Sinfonia Technology (America) Inc. into its consolidated financial results suggests an expansion of its operational scope, potentially strengthening its market position. The company forecasts a moderate increase in net sales and operating profit for the fiscal year ending March 2026, despite a projected decrease in profit attributable to owners of the parent.

The most recent analyst rating on (JP:6507) stock is a Buy with a Yen11591.00 price target. To see the full list of analyst forecasts on Sinfonia Technology Co., Ltd. stock, see the JP:6507 Stock Forecast page.