Sumida Corporation (6817) AI Stock Analysis

• Market Cap: ¥40.68B
• Dividend Yield: 4.53%
• Average Volume (3M): 226.21K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.97
• Revenue Growth: -2.57%
• EPS Growth: 3.43%
• Country: JP
• Employees: 14,662
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 28.47
• Shares Outstanding: 33,109,720
• 10 Day Avg. Volume: 223,820
• 30 Day Avg. Volume: 226,213
• PEG Ratio: 0.02
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.26
• P/FCF Ratio: 3.70
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: ¥1,350.00 ▲(18.01% Upside)
• Action: Reiterated Date: 02/09/26
• Date: Action: Reiterated 02/09/26

The score is driven primarily by improving financial performance (2025 profitability rebound and better cash flow) but tempered by earnings volatility and meaningful leverage. Technicals add support with a clear uptrend and positive momentum, while valuation is favorable with a low P/E and strong dividend yield.

Positive Factors

Consistent free cash flow

Consistent positive free cash flow from 2022–2025 demonstrates durable internal funding ability. Reliable FCF supports capex, dividends and capacity expansion, reducing reliance on external financing and enabling the company to sustain investments across industry cycles.

Profitability rebound in 2025

A strong profitability rebound in 2025 after 2024 weakness shows the company can restore margins when market conditions improve. This reflects operational leverage and cost control that can support renewed returns and reinvestment as demand recovers.

Engineering / design-in activity

Design-in engineering work that embeds components into OEM platforms creates recurring production volumes and higher switching costs. This structural sales pipeline supports stable long-term demand across automotive and industrial customers and strengthens customer relationships.

Negative Factors

Meaningful leverage

Debt around 1.0x–1.25x equity represents material leverage for a components manufacturer. Higher leverage reduces financial flexibility, raises interest exposure, and increases vulnerability to margin shocks or demand downturns, constraining strategic options in stress periods.

Revenue and earnings volatility

Revenue and earnings swings across recent years, with declines in 2020 and 2024 and a modest recovery in 2025, signal cyclical end markets and sensitivity to input costs. This makes forecasting and consistent return generation difficult and complicates medium-term capital allocation.

Weak cash conversion vs. earnings

Although FCF is positive, it has frequently lagged net income, indicating cash conversion weakness from working-capital swings or investment needs. This can strain liquidity, force dependence on debt, or limit the pace of returns to shareholders despite reported profits.

Sumida Corporation Business Overview & Revenue Model

Company Description

Sumida Corporation designs, manufactures, and sells electronic components and modules for consumer electronics, automotive, and industrial application in Japan, rest of Asia, Europe, and North and South America. It offers power and IF inductors, including surface mount, through hole, and LPF coils for digital amplifiers, as well as RF chip inductors; and power transformers, such as surface mount, through hole, and PoE transformers, as well as switching mode power supplies, reactors, and wireless power transfer coils. The company also provides signal magnetics comprising RF/communication, radio frequency identification tags, antennas, and other products; EMC coils consisting of AC and DC power line, normal mode chokes, and common mode chokes; and sensors and actuators, including rotor position sensors, ABS coils, and solenoid coils. In addition, it offers automotive modules comprising xenon ignitors, choke modules for inverters, module components, component carriers, power conversion modules, and components and modules; ceramic based passive components, electronic manufacturing services, and flexible flat cables; and components for medical equipment, such as network isolation and isolation transformers. The company was formerly known as Sumida Electric Co., Ltd and changed its name to Sumida Corporation in June 2000. Sumida Corporation was founded in 1956 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sumida Corporation generates revenue primarily through the sale of electronic components, particularly inductors and transformers, which are essential in modern electronic devices. The company's revenue model is based on direct sales to original equipment manufacturers (OEMs) and electronic manufacturers. Key revenue streams include contracts with major clients in the automotive and consumer electronics sectors, where demand for high-performance components continues to grow. Additionally, Sumida has established significant partnerships with industry leaders, enabling it to secure long-term contracts and expand its market reach. Factors contributing to its earnings include the increasing adoption of electric vehicles, the demand for energy-efficient products, and the rise of IoT applications that require advanced electronic components.

Sumida Corporation Financial Statement Overview

Summary

Profitability rebounded strongly in 2025 after a weak 2024 and cash generation has improved with free cash flow consistently positive (2022–2025). Offsetting this, earnings and returns have been volatile and leverage is meaningful (debt roughly ~1.0x–1.25x equity), which raises risk if margins soften.

Income Statement

Revenue has been volatile (down in 2020 and 2024, then modestly up in 2025), but profitability rebounded strongly in 2025 after a weak 2024. Gross margin has stayed fairly steady (~12.5%–14.7%), while operating profitability improved meaningfully in 2025 versus 2024. The key weakness is earnings consistency: net margin swung from ~3.4% (2023) to ~0.4% (2024) and back to ~2.5% (2025), indicating a business that can generate solid profits but is sensitive to cost/market cycles.

Balance Sheet

Leverage is meaningful, with debt running around 1.0x–1.25x equity in recent years (and higher earlier), which adds risk if profitability softens again. Equity has grown over time, supporting a larger asset base, but returns on equity have been volatile—strong in 2022–2023, collapsing in 2024, and only partially recovering in 2025. Overall, the balance sheet is serviceable but not conservative, and performance variability makes leverage a watch item.

Cash Flow

Cash generation is a relative strength: operating cash flow has been solid in most years and improved again in 2025, and free cash flow turned from very weak in 2021 to consistently positive in 2022–2025 with strong growth in 2025. A notable concern is that free cash flow has not consistently matched reported earnings (e.g., free cash flow was meaningfully below net income in 2022–2025), suggesting working-capital swings or investment demands can weigh on cash conversion.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	147.19B	143.98B	147.67B	138.60B	104.92B
Gross Profit	20.92B	18.01B	21.11B	19.30B	15.36B
EBITDA	19.34B	15.54B	17.97B	16.44B	11.76B
Net Income	3.62B	590.00M	5.06B	5.10B	2.63B
Balance Sheet
Total Assets	163.66B	147.77B	142.79B	134.85B	117.72B
Cash, Cash Equivalents and Short-Term Investments	6.13B	4.29B	3.11B	2.94B	4.24B
Total Debt	70.19B	57.98B	57.20B	58.55B	54.76B
Total Liabilities	98.30B	86.85B	85.47B	85.97B	77.63B
Stockholders Equity	62.01B	58.65B	55.06B	46.83B	38.34B
Cash Flow
Free Cash Flow	10.22B	7.07B	7.43B	1.39B	-6.14B
Operating Cash Flow	16.46B	14.93B	18.34B	10.57B	600.00M
Investing Cash Flow	-12.89B	-8.83B	-10.70B	-8.17B	-6.71B
Financing Cash Flow	-1.96B	-5.27B	-7.78B	-4.13B	4.75B

Sumida Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1144.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6817, the sentiment is Positive. The current price of 1144 is below the 20-day moving average (MA) of 1218.30, below the 50-day MA of 1184.82, and above the 200-day MA of 1065.51, indicating a bullish trend. The MACD of 14.39 indicates Negative momentum. The RSI at 56.68 is Neutral, neither overbought nor oversold. The STOCH value of 78.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6817.

Sumida Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6951	78 Outperform	¥346.82B	21.69	―	2.04%	-0.69%	-29.88%
6814	76 Outperform	¥241.29B	15.44	―	1.88%	6.56%	106.55%
6817	70 Outperform	¥40.68B	11.44	―	4.53%	-2.57%	3.43%
6787	69 Neutral	¥656.42B	32.87	―	0.76%	15.02%	46.62%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6996	60 Neutral	¥145.46B	52.89	―	2.18%	-0.93%	-45.03%
6976	56 Neutral	¥611.23B	88.44	―	2.57%	4.81%	-49.43%

Sumida Corporation Corporate Events

Sumida Unveils FY2025 Results and New 2026–2028 Mid-Term Plan

Sumida Corporation has outlined its consolidated results for the fourth quarter and full fiscal year ended December 31, 2025, alongside its performance and dividend outlook for FY2026. The company also introduced a new mid-term business plan for 2026–2028, including a review of the current plan and a long-term vision to 2035, signaling ongoing strategic refinement and longer-range planning for stakeholders.

The newly presented mid-term business plan for 2026–2028 is positioned as a roadmap to support Sumida’s evolution toward its 2035 vision. By pairing earnings disclosures with forward-looking operational and dividend forecasts, the company aims to reinforce transparency and provide investors and partners with clearer insight into its strategic priorities and expected trajectory.

The most recent analyst rating on (JP:6817) stock is a Buy with a Yen1343.00 price target. To see the full list of analyst forecasts on Sumida Corporation stock, see the JP:6817 Stock Forecast page.

Sumida Delivers Strong Profit Rebound in FY2025 and Signals Further Growth for 2026

Sumida Corporation reported a modest 2.2% increase in revenue to ¥147.2 billion for fiscal 2025, but delivered a sharp recovery in profitability, with operating profit jumping 64.8% and profit attributable to owners of the parent surging more than fivefold, lifting basic earnings per share to ¥109.47. The company maintained its annual dividend at ¥53 per share while improving its dividend payout ratio to 48.4%, strengthened its cash position despite higher investment outflows, and guided for further revenue and profit growth in fiscal 2026, aided by the planned consolidation of German transformer maker Schmidbauer Transformatoren-und Gerätebau GmbH, which signals continued strategic expansion in its core components business.

The most recent analyst rating on (JP:6817) stock is a Buy with a Yen1343.00 price target. To see the full list of analyst forecasts on Sumida Corporation stock, see the JP:6817 Stock Forecast page.