OEM + Aftermarket Revenue StreamsSawafuji sells both to OEMs and the aftermarket, providing diversified demand sources tied to new-vehicle production and vehicle servicing cycles. This dual channel model smooths revenue volatility and preserves long-term replacement demand as vehicle parc ages.

Solid Equity Cushion & Moderate LeverageA 50% equity share and modest debt-to-equity (~0.38) give Sawafuji financial flexibility to absorb shocks, fund working capital or targeted capex, and maintain supplier relationships. This balance sheet strength supports survival through industry cycles.

Improving Gross Profit MarginA rising gross margin suggests progress on cost control or pricing within core components manufacturing. Sustained improvement at the gross level can enable recovery in operating profits if supported by stable volumes or productivity gains over the medium term.

Bears Say

Declining Revenue TrendNegative revenue growth indicates shrinking scale or market share in a competitive auto-parts market. Continued top-line contraction undermines fixed-cost absorption, limits R&D or capex investment, and constrains long-term margin and earnings recovery prospects.

Weak Operating Cash Flow & Negative FCFSustained negative operating cash flow and large negative FCF reduce the firm's ability to self-fund working capital, capex, or pay dividends. Over months, this can force external financing, restrict strategic investments, or pressure supplier and customer terms.

Very Low Net ProfitabilityA net margin near 1% and weak operating margins leave little buffer for cost inflation or demand shocks. Low profitability hampers reinvestment in product development and competitiveness, increasing vulnerability to pricing pressure from larger suppliers.

6901 FAQ

What was Sawafuji Electric Co., Ltd.’s price range in the past 12 months?

Sawafuji Electric Co., Ltd. lowest stock price was ¥682.00 and its highest was ¥1314.00 in the past 12 months.

What is Sawafuji Electric Co., Ltd.’s market cap?

Sawafuji Electric Co., Ltd.’s market cap is ¥5.57B.

When is Sawafuji Electric Co., Ltd.’s upcoming earnings report date?

Sawafuji Electric Co., Ltd.’s upcoming earnings report date is May 08, 2026 which is in 65 days.

How were Sawafuji Electric Co., Ltd.’s earnings last quarter?

Sawafuji Electric Co., Ltd. released its earnings results on Feb 13, 2026. The company reported ¥37.2 earnings per share for the quarter, beating the consensus estimate of N/A by ¥37.2.

Is Sawafuji Electric Co., Ltd. overvalued?

According to Wall Street analysts Sawafuji Electric Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Sawafuji Electric Co., Ltd. pay dividends?

Sawafuji Electric Co., Ltd. pays a Semiannually dividend of ¥16 which represents an annual dividend yield of 2.46%. See more information on Sawafuji Electric Co., Ltd. dividends here

What is Sawafuji Electric Co., Ltd.’s EPS estimate?

Sawafuji Electric Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Sawafuji Electric Co., Ltd. have?

Sawafuji Electric Co., Ltd. has 4,322,000 shares outstanding.

What happened to Sawafuji Electric Co., Ltd.’s price movement after its last earnings report?

Sawafuji Electric Co., Ltd. reported an EPS of ¥37.2 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went same 0%.

Which hedge fund is a major shareholder of Sawafuji Electric Co., Ltd.?

Currently, no hedge funds are holding shares in JP:6901

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Sawafuji Electric Co., Ltd.

Sawafuji Electric Co., Ltd. manufactures and sells electronic components for trucks and buses, portable electronic equipment, and portable refrigerators in Japan. The company offers automotive electrical equipment, such as starters, alternators, hybrid (HV) motors, control devices, battery packs, relays, and DC motors. It also provides refrigerators under the ENGEL brand; and gasoline and diesel engine generators and welders under the Elemax brand, as well as generators for use in ships, power plants, and industrial applications. In addition, the company engages in the transportation and freightage businesses. It exports its products to approximately 100 countries worldwide. The company was formerly known as Sawafuji Electric Manufactory and changed its name to Sawafuji Electric Co., Ltd. in 1934. Sawafuji Electric Co., Ltd. was founded in 1908 and is headquartered in Ota, Japan.