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Santec Corporation (JP:6777)
:6777
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Santec Corporation (6777) AI Stock Analysis

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JP:6777

Santec Corporation

(6777)

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Outperform 84 (OpenAI - 5.2)
Rating:84Outperform
Price Target:
¥34,808.00
▲(281.25% Upside)
Action:Reiterated
Date:05/17/26
The score is led by strong financial performance—rapid growth, expanding margins, and a conservatively financed balance sheet—tempered by some variability in cash-flow conversion. Technicals are supportive with a strong uptrend and healthy momentum, while valuation looks reasonable on P/E but offers a low dividend yield.
Positive Factors
Multi-year Revenue Growth
Sustained multi-year revenue growth (latest year +31.8%) indicates expanding market share and strong demand for Santec's optical instruments and components. Durable top-line expansion supports scale economics, funds R&D, and strengthens customer relationships across R&D and manufacturing segments.
Negative Factors
Variable Cash Conversion
Inconsistent cash conversion driven by working-capital and timing swings creates volatility in free cash flow despite strong earnings. That variability can constrain steady reinvestment, dividends or buybacks and raises execution risk if cash needs spike during rapid growth or a downturn.
Read all positive and negative factors
Positive Factors
Negative Factors
Multi-year Revenue Growth
Sustained multi-year revenue growth (latest year +31.8%) indicates expanding market share and strong demand for Santec's optical instruments and components. Durable top-line expansion supports scale economics, funds R&D, and strengthens customer relationships across R&D and manufacturing segments.
Read all positive factors

Santec Corporation (6777) vs. iShares MSCI Japan ETF (EWJ)

Santec Corporation Business Overview & Revenue Model

Company Description
santec Holdings Corporation develops, manufactures, and sells components for fiber optic telecommunication systems. The company offers optical instruments, including tunable lasers, tunable filters, component testing products, IL/RL meters, polari...
How the Company Makes Money
Santec makes money primarily by selling photonics hardware—especially optical test and measurement instruments (e.g., optical spectrum analyzers, tunable laser sources and other evaluation tools) used by customers in optical communications and pho...

Santec Corporation Financial Statement Overview

Summary
Strong overall fundamentals driven by sharp multi-year revenue growth and expanding profitability (gross margin ~57%, net margin ~24%), supported by low leverage (debt-to-equity ~0.10). Main risk is periodic cash-flow conversion variability versus earnings, indicating potential working-capital/timing swings.
Income Statement
92
Very Positive
Balance Sheet
88
Very Positive
Cash Flow
84
Very Positive
BreakdownTTMMar 2025Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue23.91B31.51B24.03B18.87B15.25B8.89B
Gross Profit14.06B18.05B13.78B10.20B8.03B4.30B
EBITDA8.14B11.10B8.10B6.20B4.62B2.00B
Net Income4.85B7.67B5.07B3.85B3.00B1.65B
Balance Sheet
Total Assets29.35B39.12B29.53B25.83B19.61B16.35B
Cash, Cash Equivalents and Short-Term Investments13.49B16.32B12.65B9.45B6.64B4.72B
Total Debt3.29B2.82B2.91B2.13B1.16B1.28B
Total Liabilities8.24B11.28B8.10B8.09B5.27B4.48B
Stockholders Equity21.11B27.84B21.43B17.74B14.33B11.87B
Cash Flow
Free Cash Flow0.006.56B4.27B2.90B2.62B1.01B
Operating Cash Flow0.008.10B6.00B3.28B3.11B1.41B
Investing Cash Flow0.00-3.94B-1.88B-194.81M-788.10M-2.10B
Financing Cash Flow0.00-2.48B-700.47M-213.34M-773.99M832.59M

Santec Corporation Technical Analysis

Technical Analysis Sentiment
Positive
Last Price9130.00
Price Trends
50DMA
20148.92
Positive
100DMA
14796.34
Positive
200DMA
11041.86
Positive
Market Momentum
MACD
1531.79
Negative
RSI
71.29
Negative
STOCH
79.46
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6777, the sentiment is Positive. The current price of 9130 is below the 20-day moving average (MA) of 20471.21, below the 50-day MA of 20148.92, and below the 200-day MA of 11041.86, indicating a bullish trend. The MACD of 1531.79 indicates Negative momentum. The RSI at 71.29 is Negative, neither overbought nor oversold. The STOCH value of 79.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6777.

Santec Corporation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
84
Outperform
¥349.88B25.2225.32%2.30%31.13%51.29%
79
Outperform
¥1.07T21.6711.99%0.65%8.38%8.43%
75
Outperform
¥354.62B13.222.04%-8.82%18.33%
74
Outperform
¥821.13B20.144.03%2.25%5.36%-24.06%
70
Outperform
¥564.17B16.377.44%1.76%3.97%29.53%
70
Outperform
¥1.03T17.6211.14%1.46%4.02%13.81%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6777
Santec Corporation
32,300.00
28,049.17
659.85%
JP:6754
Anritsu
4,205.00
2,733.70
185.80%
JP:6965
Hamamatsu Photonics KK
2,867.00
1,447.28
101.94%
JP:6856
Horiba
25,790.00
16,029.30
164.22%
JP:7701
Shimadzu
3,586.00
237.76
7.10%
JP:6951
JEOL Ltd.
6,465.00
2,464.37
61.60%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: May 17, 2026