Sigma Koki Co., Ltd. (7713) AI Stock Analysis

• Market Cap: ¥9.32B
• Dividend Yield: 3.19%
• Average Volume (3M): 4.85K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.57
• Revenue Growth: 2.54%
• EPS Growth: -40.43%
• Country: JP
• Employees: 526
• Sector: Technology
• Sector Strength: 91
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 47.70
• Shares Outstanding: 7,552,628
• 10 Day Avg. Volume: 6,780
• 30 Day Avg. Volume: 4,853
• PEG Ratio: -11.88
• Price to Book (P/B): 0.53
• 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: ¥1,471.00
• Price Target Upside: 11.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 70 Neutral
• Price Target: ¥1,465.00 ▲(11.32%Upside)

Sigma Koki Co., Ltd. exhibits a stable financial foundation with strong balance sheet metrics but faces challenges in growth and profitability, reflected in its income statement. The technical analysis suggests a neutral to slightly bearish trend, which may indicate limited short-term upside. However, the valuation appears attractive, particularly due to the high dividend yield, which could appeal to income-focused investors.

Sigma Koki Co., Ltd. Business Overview & Revenue Model

Company Description

Sigma Koki Co., Ltd. (7713) is a Japanese company that specializes in the manufacturing and distribution of optical equipment and components. The company operates in the optics sector, providing a wide range of products including optical elements, opto-mechanical components, laser equipment, and related peripherals. Sigma Koki serves industries such as semiconductor manufacturing, scientific research, and medical technologies, offering high-precision solutions that cater to diverse customer needs.

How the Company Makes Money

Sigma Koki Co., Ltd. generates revenue primarily through the sale of its optical products and components. The company's key revenue streams include the manufacturing and distribution of custom optical systems and components, which are sold to businesses and research institutions across various industries. Additionally, Sigma Koki may engage in partnerships or collaborations with other companies to develop advanced optical technologies, further enhancing its market presence and revenue potential. The company's earnings are influenced by its ability to maintain high-quality standards, innovative product development, and effective distribution networks both domestically and internationally.

Sigma Koki Co., Ltd. Financial Statement Overview

Summary

Sigma Koki Co., Ltd. presents a stable financial position with a strong balance sheet and efficient cash management. The income statement indicates some challenges in maintaining growth and profitability, but the company benefits from low leverage and solid equity foundations. Continuous focus on improving profitability and cash flow generation will be crucial for future performance.

Income Statement

The company shows a mixed performance in its income statement metrics. The gross profit margin has been stable, demonstrating good cost control. However, the net profit margin has declined from the previous year, reflecting challenges in maintaining profitability. Revenue growth was negative this year, which could indicate market challenges or operational inefficiencies. EBIT and EBITDA margins are healthy but have slightly decreased, suggesting a need to optimize operational efficiency.

Balance Sheet

The balance sheet reflects a strong equity position with a high equity ratio, indicating financial stability. The debt-to-equity ratio is low, which is a positive sign for leverage management. However, return on equity has decreased, pointing to potential inefficiencies in generating profits from shareholders' equity. Overall, the balance sheet is robust with low leverage risk.

Cash Flow

The cash flow statement shows a solid operating cash flow, but the free cash flow growth has been negative. The company maintains good conversion of operating cash flow to net income, signaling efficient cash management. The free cash flow to net income ratio has decreased, which requires attention to sustain cash flow health.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	11.21B	11.37B	10.35B	8.77B	8.49B
Gross Profit	4.28B	4.44B	4.08B	3.36B	3.23B
EBITDA	1.38B	2.55B	1.96B	1.55B	1.23B
Net Income	687.22M	1.49B	1.17B	822.65M	595.63M
Balance Sheet
Total Assets	20.95B	20.63B	18.51B	17.24B	16.15B
Cash, Cash Equivalents and Short-Term Investments	6.50B	6.92B	5.73B	5.34B	4.04B
Total Debt	508.19M	818.25M	410.55M	659.73M	737.25M
Total Liabilities	3.80B	4.30B	3.54B	3.37B	3.14B
Stockholders Equity	17.05B	16.24B	14.88B	13.80B	12.95B
Cash Flow
Free Cash Flow	129.14M	521.35M	786.58M	1.39B	358.75M
Operating Cash Flow	1.41B	983.00M	942.75M	1.58B	1.14B
Investing Cash Flow	-1.46B	182.91M	-708.19M	-1.49B	-297.68M
Financing Cash Flow	-618.50M	-112.92M	-532.34M	-370.02M	142.83M

Sigma Koki Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1316.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7713, the sentiment is Negative. The current price of 1316 is below the 20-day moving average (MA) of 1338.05, below the 50-day MA of 1345.47, and below the 200-day MA of 1362.12, indicating a bearish trend. The MACD of -2.66 indicates Positive momentum. The RSI at 37.56 is Neutral, neither overbought nor oversold. The STOCH value of 40.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7713.

Sigma Koki Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6859	80 Outperform	¥69.35B	11.27		3.87%	8.31%	21.11%
6863	78 Outperform	¥13.40B	9.37		7.18%	9.08%	53.81%
6853	76 Outperform	¥14.41B	13.34		3.79%	0.16%	5.68%
7713	70 Neutral	¥9.32B	9.45		3.19%	2.54%	-40.43%
Sector *	63 Neutral	$33.80B	5.84	-11.67%	1.84%	5.28%	-18.34%
6864	60 Neutral	¥8.89B	19.73		2.52%	-3.36%	39.15%
6867	56 Neutral	¥2.39B	―		2.83%	-9.40%	-269.39%