Tachi-S Co (7239) AI Stock Analysis

• Market Cap: ¥62.87B
• Dividend Yield: 5.65%
• Average Volume (3M): 125.37K
• Price to Earnings (P/E): 6.3
• Beta (1Y): 0.88
• Revenue Growth: -2.58%
• EPS Growth: 108.59%
• Country: JP
• Employees: 10,474
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Auto - Parts
• EPS (TTM): 0.58
• Shares Outstanding: 35,242,847
• 10 Day Avg. Volume: 155,480
• 30 Day Avg. Volume: 125,366
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥1,989.98
• Price Target Upside: 9.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 81 Outperform
• Price Target: ¥1,990.00 ▲(9.94% Upside)

The overall stock score of 80.5 reflects Tachi-S Co's robust valuation, strong technical analysis indicators, and solid financial performance. The stock's attractive P/E ratio and dividend yield, coupled with bullish technical indicators, are key strengths. Financial performance highlights include improved profitability and reduced leverage, despite some inconsistency in revenue growth.

Tachi-S Co Business Overview & Revenue Model

Company Description

Tachi-S Co., Ltd. is a Japanese company primarily engaged in the manufacture and sale of automobile seats and interior components. The company operates in the automotive sector, providing a range of seating solutions designed to meet the diverse needs of automotive manufacturers globally. Tachi-S is recognized for its commitment to quality and innovation, working closely with automakers to deliver ergonomic and safe seating systems.

How the Company Makes Money

Tachi-S Co. makes money through the design, production, and sale of automobile seats and related components to automotive manufacturers around the world. The company's revenue primarily comes from supplying original equipment manufacturers (OEMs) with seating systems tailored to specific vehicle models, which involves long-term contracts and collaborations with major carmakers. Additionally, Tachi-S may engage in research and development partnerships, contributing to its revenue by enhancing product offerings and maintaining competitive advantages in the automotive seating industry.

Tachi-S Co Financial Statement Overview

Summary

Tachi-S Co's financial health has strengthened over the years, demonstrating improved profitability and a solid balance sheet. While revenue growth has been inconsistent, the company's enhanced operational efficiency and reduced leverage are positive signs. The cash flow position is more stable, although there are opportunities to bolster free cash flow growth further.

Income Statement

Tachi-S Co has shown a strong recovery in profitability over the years. The gross profit margin improved from 4.82% in 2021 to 10.08% in 2025, and the net profit margin increased significantly from a negative value to 3.96% in 2025. Revenue growth has been volatile, with a notable dip in 2025, but overall, the EBIT and EBITDA margins exhibit a positive trend, indicating enhanced operational efficiency.

Balance Sheet

The balance sheet portrays a stable financial position with a decreasing debt-to-equity ratio from 0.25 in 2020 to 0.15 in 2025, suggesting reduced leverage. The equity ratio is strong, improving to 55.98% in 2025, showing that a substantial portion of the company’s assets are financed by equity. ROE climbed to 11.74% in 2025, reflecting effective use of equity to generate profits.

Cash Flow

The company's cash flow situation has improved markedly since 2021, with operating cash flow consistently positive and free cash flow turning positive in 2025 after previous years of deficits. However, the free cash flow growth rate has been inconsistent, showing room for improvement.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	285.39B	292.95B	243.44B	206.44B	198.50B
Gross Profit	28.77B	28.41B	20.17B	12.87B	9.56B
EBITDA	21.59B	14.23B	14.19B	5.16B	-6.12B
Net Income	11.31B	5.42B	5.82B	-2.06B	-13.70B
Balance Sheet
Total Assets	171.96B	180.81B	170.00B	159.00B	150.99B
Cash, Cash Equivalents and Short-Term Investments	43.68B	39.19B	34.11B	32.41B	29.76B
Total Debt	14.52B	14.84B	22.82B	25.03B	18.32B
Total Liabilities	73.77B	84.51B	83.53B	79.82B	72.33B
Stockholders Equity	96.28B	89.78B	80.37B	72.86B	72.54B
Cash Flow
Free Cash Flow	5.30B	14.80B	239.00M	-4.35B	-6.87B
Operating Cash Flow	9.76B	18.45B	3.74B	-354.00M	-1.95B
Investing Cash Flow	112.00M	-2.08B	6.67B	2.01B	-6.33B
Financing Cash Flow	-5.44B	-13.37B	-10.01B	-812.00M	5.13B

Tachi-S Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1810.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7239, the sentiment is Positive. The current price of 1810 is above the 20-day moving average (MA) of 1771.80, above the 50-day MA of 1741.52, and above the 200-day MA of 1697.48, indicating a bullish trend. The MACD of 24.57 indicates Negative momentum. The RSI at 67.59 is Neutral, neither overbought nor oversold. The STOCH value of 86.30 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7239.

Tachi-S Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7280	81 Outperform	¥38.80B	3.25		1.15%	1.51%	-9.69%
7239	81 Outperform	¥62.87B	6.34	10.83%	5.65%	-2.58%	108.59%
7292	77 Outperform	¥75.17B	12.85		3.15%	4.40%	3.95%
7241	70 Outperform	¥77.11B	11.94		2.41%	-11.96%	-46.82%
7229	66 Neutral	¥40.45B	10.30		2.62%	-17.14%	-13.01%
Sector *	61 Neutral	$16.54B	10.12	-9.02%	3.34%	1.44%	-22.51%
7294	55 Neutral	¥23.13B	―		3.23%	-1.68%	-240.66%

Tachi-S Co Corporate Events

TACHI-S CO., LTD. Unveils New Medium-term Management Plan

TACHI-S CO., LTD. has announced a new Medium-term Management Plan named ‘TVE Wave2 2027’ for fiscal years 2025 to 2027. This plan is expected to guide the company’s strategic direction and operational focus over the next three years, potentially impacting its market positioning and stakeholder interests.

TACHI-S CO., LTD. Announces Year-End Dividend for Fiscal Year 2025

TACHI-S CO., LTD. announced a year-end dividend of 51.9 yen per share for the fiscal year ending March 2025, resulting in an annual dividend of 103.8 yen per share. This decision aligns with the company’s mid-term management plan, which targets a 4% consolidated return on equity to ensure proactive shareholder returns.

TACHI-S Co., Ltd. Reports FY2024 Financial Results with Increased Net Income

TACHI-S Co., Ltd. reported its consolidated financial results for FY2024, showing a decline in net sales by 2.6% compared to the previous year. However, the company experienced significant growth in net income attributable to owners of the parent, which increased by 108.6%. The company also announced a rise in annual cash dividends per share, reflecting a positive outlook for stakeholders. Despite a decrease in total assets, the shareholder’s equity ratio improved, indicating a stronger financial position. The company is undergoing changes in its scope of consolidation and accounting policies, which may impact future financial results.

TACHI-S CO., LTD. Reports Dividend Income from Subsidiaries

TACHI-S CO., LTD. announced the receipt of dividends totaling 4,364 million yen from its consolidated subsidiaries, which will be recorded as non-operating income in its non-consolidated financial statements for the fiscal year ended March 31, 2025. This dividend income does not affect the consolidated financial results, indicating a stable financial position and continued profitability from its global subsidiaries.

TACHI-S Co., Ltd. Exceeds Financial Forecasts for FY2024

TACHI-S Co., Ltd. reported a notable difference between its forecasted and actual consolidated financial results for the fiscal year ending March 31, 2025, with actual net sales and income figures surpassing expectations due to improved earnings in Japan and North America and favorable currency conditions in Latin America. Additionally, despite a decrease in net sales, the company achieved higher non-consolidated ordinary and net income compared to the previous fiscal year, attributed to structural reforms and gains from asset sales.