Sysmex (6869) AI Stock Analysis

• Market Cap: ¥917.95B
• Dividend Yield: 1.88%
• Average Volume (3M): 2.38M
• Price to Earnings (P/E): 20.5
• Beta (1Y): 0.47
• Revenue Growth: 1.51%
• EPS Growth: -12.59%
• Country: JP
• Employees: 10,042
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 23.55
• Shares Outstanding: 629,480,100
• 10 Day Avg. Volume: 2,693,210
• 30 Day Avg. Volume: 2,377,620
• PEG Ratio: 3.84
• Price to Book (P/B): 3.81
• Price to Sales (P/S): 3.48
• P/FCF Ratio: 29.97
• 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: ¥2,000.00
• Price Target Upside: 26.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 73.39
• Revenue Forecast (FY): ¥503.84B

• Rating: 68 Neutral
• Price Target: ¥1,395.00 ▼(-11.62% Downside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is driven primarily by strong financial quality (healthy margins, solid growth, and low leverage), partially offset by inconsistent cash conversion and recent net margin compression. Technical indicators are the main drag due to a clear downtrend despite oversold readings. Valuation is moderately supportive with a reasonable P/E and a ~2.24% yield.

Positive Factors

Recurring consumables model

Sysmex’s installed base of hematology and lab analyzers creates recurring, annuity-like consumables and service revenue. That structural demand yields predictable cash flows, high customer stickiness and pricing leverage over multi-year cycles, supporting durable revenue visibility.

Strong margins & multi-year growth

Robust gross and operating margins combined with substantial multi-year revenue growth indicate scalable core operations and pricing power. This margin profile supports reinvestment in R&D, stable EBITDA generation, and resilience to incremental cost shocks over the medium term.

Conservative balance sheet

Very low leverage and a growing equity base give Sysmex financial flexibility to fund capex, R&D, or strategic M&A without stressing liquidity. Conservative gearing reduces refinancing risk and supports long-term investment in product platforms and global distribution.

Negative Factors

Net margin compression

A sustained dip in net margin signals rising costs, adverse mix, or FX pressures that erode bottom-line conversion. If structural, this compresses free cash generation and returns, reducing capacity for organic investment or shareholder distributions over coming quarters.

Inconsistent cash conversion

Cash conversion well below net income reflects working-capital sensitivity and lumpy investments. This variability can limit predictable funding for dividends, buybacks, or acquisitions and raises execution risk if cash generation weakens while capex or inventory needs rise.

Earnings volatility / EPS decline

Material negative EPS growth despite revenue gains suggests margin pressure or one-off impacts are weighing on profitability. Continued EPS deterioration would hamper retained-earnings accumulation and could constrain long-term reinvestment or investor confidence in earnings stability.

Sysmex Business Overview & Revenue Model

Company Description

Sysmex Corporation engages in the development, manufacture, and sale of diagnostic instruments, reagents, and related software in Japan. The company offers three-part and five-part white blood cell differentiation instruments for use in hematology; and transport systems for high-volume testing in labs. It also provides urine formed sediment analysis systems; automated immunochemistry systems, which perform assays on minute sample quantities, as well as reagents to test for infectious disease and tumor markers; and flow cytometers to perform analysis in diagnosing leukemia, malignant lymphoma, and HIV/AIDS. In addition, the company offers cancer lymph node metastasis testing systems to detect information to help in diagnosing lymph node metastasis; cancer genome profiling systems; and cytogenic testing and lab assay services. It is also involved in the development and sale of software for diagnostic information systems; provision of facility management, office, and welfare services; development, manufacture, and sale of nucleic acid analogs; development, operation, and maintenance of IT solutions, platforms, and applications related to digital medicine; marketing, development, design, manufacture, sale, and after-sales service related to medical robots; and distribution and after sales support of medical devices and reagents for biotechnology, medical technology, and molecular cell analysis. The company serves national and other public hospitals, private hospitals, universities, research institutes, other medical institutions, etc. It also exports its products to approximately 190 countries. Sysmex Corporation has a strategic alliance with QIAGEN N.V. for the development and commercialization of cancer companion diagnostics using Plasma-Safe-SeqS technology. The company was formerly known as TOA Medical Electronics Co., Ltd. and changed its name to Sysmex Corporation in October 1998. Sysmex Corporation was founded in 1968 and is headquartered in Kobe, Japan.

How the Company Makes Money

Sysmex generates revenue through several key streams, primarily from the sale of diagnostic instruments and related reagents. The company offers a wide array of hematology analyzers and coagulation testing systems, which are essential for laboratories and healthcare facilities. Additionally, Sysmex earns revenue from consumables, such as reagents and control materials, used in conjunction with its diagnostic equipment. Service contracts and maintenance agreements for these instruments also contribute significantly to its revenue. The company has established strategic partnerships with various healthcare providers and research institutions, which enhance its market presence and facilitate the development of innovative diagnostic solutions. Furthermore, Sysmex's focus on expanding its presence in emerging markets and investing in research and development helps drive growth and profitability.

Sysmex Financial Statement Overview

Summary

Strong underlying business quality: solid profitability (TTM gross margin ~52.8%, operating margin ~15.2%) and meaningful multi-year revenue growth. Balance sheet is conservative (low leverage, debt-to-equity ~0.13). Offsetting factors are recent net margin compression (TTM net margin ~9.4% vs ~10–12% previously) and uneven cash conversion (TTM FCF ~56% of net income).

Income Statement

Sysmex shows strong scale and solid profitability, with TTM (Trailing-Twelve-Months) gross margin ~52.8% and operating margin ~15.2%. Revenue has grown meaningfully over the last several years (annual revenue rising from ~¥305bn in 2021 to ~¥509bn in 2025), supporting earnings power. The key weakness is recent margin compression: net margin eased to ~9.4% in TTM (Trailing-Twelve-Months) from ~10–12% in prior annual periods, suggesting higher costs and/or mix/FX headwinds.

Balance Sheet

The balance sheet looks conservatively positioned with low leverage: debt-to-equity is ~0.13 in TTM (Trailing-Twelve-Months), and equity has grown steadily (to ~¥501bn). Returns remain healthy, with return on equity ~10.0% in TTM (Trailing-Twelve-Months) (though below the ~11–13% range seen in earlier years). A watch item is debt stepping up versus 2022–2023 levels, even if still very manageable for the business.

Cash Flow

Cash generation is positive but less consistent than earnings. TTM (Trailing-Twelve-Months) operating cash flow is ~¥79bn and free cash flow ~¥46bn, with a sharp rebound from the weaker 2024 free cash flow year. However, cash conversion remains a limitation: free cash flow is ~56% of TTM (Trailing-Twelve-Months) net income (and operating cash flow is ~71% of net income), indicating working-capital and/or investment demands can meaningfully swing reported cash results.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	502.94B	508.64B	461.51B	410.50B	363.78B	305.07B
Gross Profit	260.80B	271.98B	242.50B	216.08B	190.59B	154.30B
EBITDA	113.79B	123.85B	115.67B	104.95B	96.12B	75.53B
Net Income	44.75B	53.67B	49.64B	45.78B	44.09B	31.90B
Balance Sheet
Total Assets	698.25B	665.27B	618.92B	531.07B	483.71B	427.48B
Cash, Cash Equivalents and Short-Term Investments	75.76B	89.57B	76.61B	70.33B	75.25B	67.57B
Total Debt	100.80B	64.73B	55.34B	22.59B	22.28B	21.96B
Total Liabilities	196.82B	200.73B	186.02B	142.72B	134.65B	118.81B
Stockholders Equity	500.84B	463.78B	432.05B	387.67B	348.30B	305.32B
Cash Flow
Free Cash Flow	45.65B	59.02B	13.71B	26.33B	26.70B	33.02B
Operating Cash Flow	79.37B	88.25B	63.91B	68.83B	58.74B	58.81B
Investing Cash Flow	-55.90B	-52.49B	-54.97B	-51.75B	-35.05B	-31.13B
Financing Cash Flow	-34.51B	-24.32B	-9.01B	-24.23B	-20.54B	-20.25B

Sysmex Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1578.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6869, the sentiment is Neutral. The current price of 1578.5 is above the 20-day moving average (MA) of 1418.88, above the 50-day MA of 1497.27, and below the 200-day MA of 1892.57, indicating a neutral trend. The MACD of -33.39 indicates Negative momentum. The RSI at 54.89 is Neutral, neither overbought nor oversold. The STOCH value of 81.02 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6869.

Sysmex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7741	80 Outperform	¥9.54T	38.55	20.74%	1.01%	8.83%	8.63%
4543	69 Neutral	¥3.12T	24.33	9.31%	1.22%	7.68%	10.08%
6869	68 Neutral	¥917.95B	20.51	9.80%	1.88%	1.51%	-12.59%
8086	62 Neutral	¥259.41B	17.06	4.38%	2.03%	6.04%	733.13%
7733	60 Neutral	¥1.68T	20.24	13.13%	1.01%	0.42%	34.76%
7702	54 Neutral	¥10.90B	-48.70	―	3.85%	0.38%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Sysmex Corporate Events

Sysmex Names Veteran Executive Iwane Matsui as New President to Bolster Management

Sysmex has announced a leadership change aimed at reinforcing its management structure and enhancing corporate value, appointing long-serving executive Iwane Matsui as president and representative director. Matsui, who has extensive experience in international business, corporate planning, and European operations, will assume the role on April 1, 2026, while incumbent president Kaoru Asano steps down to become a senior executive advisor after leaving the board in June 2026.

The move maintains continuity at the top, as Hisashi Ietsugu remains chairperson and group CEO, signaling a controlled transition rather than a wholesale strategic shift. For investors and industry partners, the appointment of a president with deep overseas and divisional leadership experience suggests Sysmex is prioritizing global expansion and operational strengthening within its existing corporate framework.

The most recent analyst rating on (JP:6869) stock is a Buy with a Yen1642.00 price target. To see the full list of analyst forecasts on Sysmex stock, see the JP:6869 Stock Forecast page.

Sysmex Cuts Full-Year Forecast on Weaker China Demand and FX Shift

Sysmex Corporation has lowered its full-year consolidated forecast for the fiscal year ending March 31, 2026, citing weaker-than-expected sales in China and updated foreign exchange assumptions. The company now projects net sales of ¥500 billion, operating profit of ¥62 billion and profit attributable to owners of the parent of ¥41 billion, all below both its previous forecast and the prior year’s results.

The revisions imply a 2 percent decline in sales and a sharper drop in profitability, with operating profit expected to fall 18.4 percent versus the earlier outlook, reflecting demand softness in a key market despite ongoing efforts to improve profitability and control SG&A expenses. Sysmex has also adjusted its assumed full-year average exchange rates, incorporating a weaker yen against the U.S. dollar, euro and Chinese yuan, underscoring the company’s sensitivity to macroeconomic and regional market conditions.

The most recent analyst rating on (JP:6869) stock is a Buy with a Yen1642.00 price target. To see the full list of analyst forecasts on Sysmex stock, see the JP:6869 Stock Forecast page.

Sysmex Cuts Full-Year Forecast as Nine-Month Profit Falls but Confirms Higher Dividend

Sysmex reported a 1.6% decline in net sales to ¥361.2 billion for the nine months ended December 31, 2025, with operating profit down 27.7% and profit attributable to owners of the parent falling 20.9%. Despite weaker earnings and lower basic earnings per share, total assets and equity attributable to owners increased, lifting the equity ratio to 71.7% and underscoring a solid balance sheet.

The company maintained its dividend policy and plans an annual ¥38 per share payout for the year ending March 31, 2026, including commemorative dividends for the 30th anniversary of its listing. Sysmex also cut its full-year forecast, now expecting a 1.7% decline in net sales and a roughly 29% drop in operating profit, signaling a more challenging earnings environment but continued shareholder returns through stable dividends.

The most recent analyst rating on (JP:6869) stock is a Buy with a Yen1642.00 price target. To see the full list of analyst forecasts on Sysmex stock, see the JP:6869 Stock Forecast page.

Sysmex Corporation to Absorb Subsidiary for Enhanced Efficiency

Sysmex Corporation announced its decision to absorb its wholly owned subsidiary, Sysmex Medica Co., Ltd., to streamline its equipment production process and enhance efficiency. The merger, set to be effective from April 1, 2026, will be conducted as an absorption-type merger, with Sysmex Corporation as the surviving entity, and is expected to improve productivity without the issuance of new shares or monetary allotments.

The most recent analyst rating on (JP:6869) stock is a Buy with a Yen2400.00 price target. To see the full list of analyst forecasts on Sysmex stock, see the JP:6869 Stock Forecast page.