Shoei Co. Ltd. (7839) (7839) AI Stock Analysis

• Market Cap: ¥94.15B
• Dividend Yield: 4.02%
• Average Volume (3M): 207.17K
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.50
• Revenue Growth: -2.75%
• EPS Growth: -7.80%
• Country: JP
• Employees: 635
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Leisure
• EPS (TTM): 23.52
• Shares Outstanding: 53,713,715
• 10 Day Avg. Volume: 232,840
• 30 Day Avg. Volume: 207,173
• PEG Ratio: 1.54
• Price to Book (P/B): 4.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 26.29
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 83 Outperform
• Price Target: ¥1,927.00 ▲(10.62%Upside)

Shoei Co. Ltd. demonstrates robust financial health with strong profitability and a stable balance sheet, significantly contributing to the overall score. The valuation is appealing with a low P/E ratio and high dividend yield. Technical analysis shows mixed signals, with some potential downward pressure. The absence of earnings call and corporate events data did not impact the overall score calculation.

Shoei Co. Ltd. (7839) Business Overview & Revenue Model

Company Description

Shoei Co. Ltd. (7839) is a Japanese company renowned for its design and manufacturing of premium motorcycle helmets. Established in 1958, Shoei has built a global reputation for quality, safety, and innovation in protective headgear. The company primarily operates in the motorcycle and motorsport sectors, offering a wide range of helmets that cater to various riding styles and preferences, from racing to touring.

How the Company Makes Money

Shoei Co. Ltd. generates revenue primarily through the sale of its high-quality motorcycle helmets. The company targets both domestic and international markets, leveraging its strong brand reputation and commitment to safety and innovation to drive sales. Shoei's revenue streams include direct sales to consumers through its own retail channels as well as distribution through authorized dealers and partnerships worldwide. The company also invests in research and development to maintain its competitive edge and meet evolving safety standards, which in turn supports sustained demand for its products.

Shoei Co. Ltd. (7839) Financial Statement Overview

Summary

Shoei Co. Ltd. demonstrates strong financial performance with high profitability and growth. The company has a robust income statement, excellent balance sheet metrics with low leverage, and strong shareholder returns. However, the lack of detailed TTM cash flow data slightly limits the assessment of cash flow efficiency.

Income Statement

Shoei Co. Ltd. has demonstrated strong financial performance in the TTM period, with a gross profit margin of 44.5% and a net profit margin of 20.5%. The company has shown consistent revenue growth, with a 6.7% increase from the previous year. Its EBIT margin is robust at 28.1%, and the EBITDA margin is an impressive 31.6%, indicating efficient cost management and strong operational performance.

Balance Sheet

The company shows excellent financial stability with a very low debt-to-equity ratio of 0.02, indicating minimal leverage. Return on equity (ROE) stands at a healthy 26.8%, reflecting effective use of shareholder funds. The equity ratio is high at 86.7%, suggesting a strong equity base and low financial risk.

Cash Flow

While the company has strong free cash flow figures, data for the TTM period is missing for cash flow metrics. Historically, free cash flow has grown steadily, though the operating cash flow to net income ratio is not available for the TTM period, which could provide more insights into cash generation efficiency.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	35.48B	35.79B	33.62B	28.95B	23.75B	19.48B
Gross Profit	15.80B	16.12B	15.30B	13.18B	10.10B	8.17B
EBITDA	11.22B	12.23B	11.35B	9.52B	7.19B	5.66B
Net Income	7.27B	7.38B	7.07B	6.02B	4.41B	3.35B
Balance Sheet
Total Assets	31.29B	35.09B	32.81B	29.43B	23.78B	20.84B
Cash, Cash Equivalents and Short-Term Investments	12.34B	15.35B	14.77B	13.89B	11.43B	9.38B
Total Debt	485.00M	512.92M	459.16M	416.40M	405.40M	271.62M
Total Liabilities	4.14B	5.54B	5.66B	6.53B	5.25B	5.21B
Stockholders Equity	27.14B	29.53B	27.13B	22.88B	18.51B	15.63B
Cash Flow
Free Cash Flow	0.00	6.49B	4.06B	4.32B	3.98B	3.27B
Operating Cash Flow	0.00	9.72B	6.35B	6.03B	5.22B	4.54B
Investing Cash Flow	0.00	-3.28B	-2.35B	-1.85B	-1.35B	-1.36B
Financing Cash Flow	0.00	-5.65B	-3.46B	-2.27B	-2.11B	-2.80B

Shoei Co. Ltd. (7839) Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1742.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7839, the sentiment is Positive. The current price of 1742 is above the 20-day moving average (MA) of 1666.10, above the 50-day MA of 1639.38, and below the 200-day MA of 1976.94, indicating a neutral trend. The MACD of 35.86 indicates Negative momentum. The RSI at 63.55 is Neutral, neither overbought nor oversold. The STOCH value of 78.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7839.

Shoei Co. Ltd. (7839) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7839	83 Outperform	¥94.15B	13.80		4.02%	-2.75%	-7.80%
7740	77 Outperform	¥145.15B	10.22		9.21%	14.84%	20.61%
7944	76 Outperform	¥79.49B	12.23		5.59%	-1.74%	-11.79%
7867	75 Outperform	¥295.85B	18.11		1.74%	20.12%	69.12%
7990	74 Outperform	¥49.47B	10.35		3.70%	-1.61%	-14.35%
Sector *	56 Neutral	HK$24.59B	3.77	-2.05%	6.59%	-0.32%	-67.68%
7952	51 Neutral	¥22.99B	56.80		3.55%	-9.07%	-85.45%

Shoei Co. Ltd. (7839) Corporate Events

Shoei Co., Ltd. Reports Decline in Q2 Financial Results

Shoei Co., Ltd. reported a decline in its consolidated financial results for the second quarter of the fiscal year ending September 30, 2025, with significant decreases in net sales, operating income, and ordinary income compared to the previous year. The company’s financial position shows a decrease in total assets and net assets, although the shareholders’ equity ratio remains strong at over 80%, indicating a stable financial foundation despite the recent downturn.