Shizuki Electric Company Inc. (6994) AI Stock Analysis

• Market Cap: ¥20.09B
• Dividend Yield: 2.46%
• Average Volume (3M): 92.33K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.72
• Revenue Growth: 5.15%
• EPS Growth: 480.70%
• Country: JP
• Employees: 1,280
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 23.23
• Shares Outstanding: 33,061,005
• 10 Day Avg. Volume: 76,830
• 30 Day Avg. Volume: 92,330
• PEG Ratio: 0.01
• Price to Book (P/B): 0.45
• Price to Sales (P/S): 0.38
• P/FCF Ratio: 8.41
• 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: 79 Outperform
• Price Target: ¥956.00 ▲(14.49% Upside)

Shizuki Electric Company Inc. receives a strong overall score driven by robust financial performance and bullish technical indicators. The stock's attractive valuation further supports its investment appeal. However, investors should be cautious of potential short-term volatility due to overbought technical signals.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Balance Sheet Health

Low leverage enhances financial stability and flexibility, allowing the company to invest in growth opportunities without excessive risk.

Cash Generation Ability

Strong cash generation supports ongoing operations and strategic investments, ensuring the company can sustain growth and weather economic fluctuations.

Negative Factors

Cash Flow Volatility

Cash flow volatility can hinder the company's ability to plan and invest effectively, posing risks to long-term financial health and operational stability.

Margin Improvement Needed

Improving margins is crucial for enhancing profitability and competitiveness, allowing the company to better withstand cost pressures and market challenges.

Cash Flow Management

Effective cash flow management is essential for sustaining operations and funding growth, preventing potential liquidity issues in the future.

Shizuki Electric Company Inc. Business Overview & Revenue Model

Company Description

Shizuki Electric Company Inc. (6994) is a leading provider of electronic components and systems, primarily focused on the development and manufacturing of advanced electrical equipment and automotive parts. Operating in sectors such as consumer electronics, automotive, and industrial applications, the company specializes in products such as circuit breakers, transformers, and electric power systems. With a commitment to innovation and sustainability, Shizuki Electric aims to enhance the efficiency and reliability of electrical systems across various industries.

How the Company Makes Money

Shizuki Electric Company generates revenue through the sale of its core products, which include electrical components for industrial use, automotive parts, and consumer electronics. The company has established key revenue streams from both domestic and international markets, leveraging partnerships with major automotive manufacturers and electronics firms. Additionally, Shizuki Electric invests in research and development to create cutting-edge technologies, enabling them to command premium pricing on innovative products. Government contracts and collaborations in energy efficiency initiatives further contribute to their earnings, as the company aligns with global sustainability trends.

Shizuki Electric Company Inc. Financial Statement Overview

Summary

Shizuki Electric Company Inc. demonstrates strong financial health with consistent revenue growth and improved profitability. The company benefits from a robust balance sheet with low leverage and strong equity. While cash flow has improved considerably, past fluctuations highlight the need for continued focus on cash management.

Income Statement

Shizuki Electric Company Inc. has shown consistent revenue growth with a 3.95% increase in the latest annual period, supported by an improving gross profit margin of 24.66%. The net profit margin has increased significantly to 4.37%, reflecting enhanced profitability. However, there is room for improvement in EBIT and EBITDA margins, which currently stand at 7.15% and 11.78%, respectively.

Balance Sheet

The company maintains a solid balance sheet with a Debt-to-Equity Ratio of 0.38, indicating low leverage. The Return on Equity is healthy at 5.11%, showing efficient use of equity capital. The Equity Ratio of 60.98% suggests a strong equity base relative to total assets, providing financial stability.

Cash Flow

Operating cash flow has improved significantly, leading to a positive Free Cash Flow of 1.24 billion yen. The Free Cash Flow to Net Income Ratio is 1.04, indicating strong cash generation relative to net income. However, historical volatility in operating cash flow and past negative free cash flows suggest potential cash flow management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.27B	27.35B	26.31B	26.13B	23.87B	21.83B
Gross Profit	7.27B	7.03B	5.92B	5.32B	5.22B	5.11B
EBITDA	3.13B	3.22B	2.44B	2.56B	2.68B	2.43B
Net Income	1.36B	1.19B	182.15M	760.68M	946.79M	1.16B
Balance Sheet
Total Assets	38.34B	38.34B	36.48B	38.12B	32.14B	31.36B
Cash, Cash Equivalents and Short-Term Investments	7.02B	5.93B	4.53B	9.35B	4.05B	5.68B
Total Debt	8.80B	8.80B	8.10B	6.80B	2.30B	1.80B
Total Liabilities	14.71B	14.60B	13.71B	12.38B	7.18B	7.02B
Stockholders Equity	23.26B	23.38B	22.29B	25.32B	24.58B	23.98B
Cash Flow
Free Cash Flow	0.00	1.24B	-1.87B	1.61B	-1.67B	1.14B
Operating Cash Flow	0.00	3.56B	-271.66M	2.47B	196.10M	2.52B
Investing Cash Flow	0.00	-2.57B	-2.09B	-1.42B	-2.04B	-1.41B
Financing Cash Flow	0.00	305.30M	-2.55B	4.18B	163.73M	-210.30M

Shizuki Electric Company Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 835.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6994, the sentiment is Positive. The current price of 835 is above the 20-day moving average (MA) of 758.25, above the 50-day MA of 623.40, and above the 200-day MA of 464.22, indicating a bullish trend. The MACD of 62.55 indicates Negative momentum. The RSI at 74.10 is Negative, neither overbought nor oversold. The STOCH value of 81.14 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6994.

Shizuki Electric Company Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6994	79 Outperform	¥20.09B	11.36	―	2.46%	5.15%	480.70%
6643	78 Outperform	¥18.67B	8.16	―	3.07%	6.60%	0.27%
7711	72 Outperform	¥45.00B	53.87	―	0.53%	10.13%	24.53%
6668	69 Neutral	¥10.52B	5.23	―	2.15%	12.23%	65.42%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6882	61 Neutral	¥12.29B	33.54	―	4.56%	-11.74%	-84.61%