Sangetsu Corporation (8130) AI Stock Analysis

• Market Cap: ¥177.82B
• Dividend Yield: 4.89%
• Average Volume (3M): 129.72K
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.48
• Revenue Growth: 6.13%
• EPS Growth: -0.28%
• Country: JP
• Employees: 2,645
• Sector: Consumer Cyclical
• Sector Strength: 81
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 47.31
• Shares Outstanding: 59,200,000
• 10 Day Avg. Volume: 110,400
• 30 Day Avg. Volume: 129,716
• 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: ¥3,166.00
• Price Target Upside: 3.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: ¥3,166.00 ▲(3.13% Upside)

Sangetsu Corporation has a strong financial foundation with robust cash flows and profitability. However, technical analysis suggests weak momentum, impacting the overall stock score. Valuation is reasonable with a high dividend yield, providing some investment appeal.

Sangetsu Corporation Business Overview & Revenue Model

Company Description

Sangetsu Corporation is a leading Japanese company specializing in the design, manufacture, and distribution of interior furnishings. Established in 1953 and headquartered in Nagoya, Japan, the company operates primarily in the interior decor sector, offering a wide range of products including wallcoverings, flooring materials, fabrics, and other interior-related materials. Sangetsu is renowned for its high-quality, innovative designs and extensive product catalog, serving both residential and commercial markets.

How the Company Makes Money

Sangetsu Corporation generates revenue through the sale of its diverse portfolio of interior products. The company's primary revenue streams include the sale of wallcoverings, flooring, and textiles to construction companies, interior designers, and retailers. Sangetsu maintains a strong distribution network across Japan and is expanding its presence in international markets. The company also collaborates with designers and architects to provide custom solutions, which enhances its service offerings and market appeal. Additionally, strategic partnerships and acquisitions help Sangetsu expand its product lines and market reach, contributing to its financial performance.

Sangetsu Corporation Financial Statement Overview

Summary

Sangetsu Corporation shows strong financial performance with consistent revenue and gross profit growth, robust cash flow generation, and a solid balance sheet with low leverage. However, slight pressure on operating margins and a decrease in ROE are noted.

Income Statement

Sangetsu Corporation has demonstrated consistent revenue growth over the past years, with a notable increase in gross profit margin to 31.1% in 2025. The net profit margin also improved to 6.3%, reflecting strong profitability. However, EBIT margin saw a slight decline, indicating potential cost pressures.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio of 0.11, indicating low leverage. The equity ratio of 61.5% shows a strong equity position. However, a decrease in ROE to 11.1% suggests a slight dip in shareholder value creation compared to previous years.

Cash Flow

Sangetsu Corporation exhibits strong cash flow generation with a significant increase in free cash flow. The free cash flow to net income ratio is healthy, and operating cash flow is well above net income, indicating efficient cash management.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	200.38B	189.86B	176.02B	149.48B	145.32B
Gross Profit	62.37B	58.96B	56.38B	39.96B	47.64B
EBITDA	22.35B	23.79B	24.03B	11.79B	9.71B
Net Income	12.57B	14.29B	14.01B	276.00M	4.78B
Balance Sheet
Total Assets	183.86B	170.75B	164.45B	147.94B	158.83B
Cash, Cash Equivalents and Short-Term Investments	34.03B	25.40B	25.12B	18.65B	26.02B
Total Debt	12.78B	7.48B	10.45B	10.10B	16.14B
Total Liabilities	70.07B	64.04B	68.63B	59.62B	65.17B
Stockholders Equity	113.04B	106.69B	95.81B	87.88B	93.44B
Cash Flow
Free Cash Flow	14.52B	7.80B	14.18B	3.50B	5.04B
Operating Cash Flow	19.26B	12.82B	17.37B	5.72B	9.69B
Investing Cash Flow	-6.87B	-1.85B	-408.00M	-827.00M	-2.60B
Financing Cash Flow	-3.98B	-11.25B	-9.36B	-13.34B	-11.84B

Sangetsu Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3070.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8130, the sentiment is Positive. The current price of 3070 is above the 20-day moving average (MA) of 3053.25, above the 50-day MA of 2989.06, and above the 200-day MA of 2877.64, indicating a bullish trend. The MACD of 23.15 indicates Positive momentum. The RSI at 58.01 is Neutral, neither overbought nor oversold. The STOCH value of 68.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8130.

Sangetsu Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7972	76 Outperform	¥125.96B	12.94		2.33%	5.75%	39.17%
7898	74 Outperform	¥8.33B	4.07		2.72%	0.90%	―
7887	72 Outperform	¥6.70B	12.51		2.17%	7.48%	10.02%
8130	71 Outperform	¥177.82B	14.00		4.89%	6.13%	-0.28%
7840	65 Neutral	¥43.78B	15.74		3.09%	0.19%	-9.79%
Sector *	61 Neutral	$17.75B	12.56	-5.49%	3.02%	1.43%	-14.12%
7822	56 Neutral	¥11.98B	427.71		3.85%	0.89%	-99.30%

Sangetsu Corporation Corporate Events

Sangetsu Corporation Announces Disposal of Treasury Shares for Executive Compensation

Sangetsu Corporation has announced the disposal of 22,000 treasury shares as part of its Restricted Stock Compensation Plan, aimed at aligning the interests of its directors and executive officers with shareholders. This move is expected to enhance corporate value by providing incentives for sustainable growth, with a total value of ¥64,350,000 allocated to eight eligible directors.

Sangetsu Corporation Announces Board of Directors Changes

Sangetsu Corporation has announced changes in its board of directors, with Yutaka Matsuo being newly appointed as Director and Executive Officer, and several reappointments including Yosuke Mine as Director and Audit and Supervisory Committee Member. These appointments, pending approval at the upcoming shareholders’ meeting, reflect the company’s strategic focus on strengthening its leadership team to enhance business operations and oversight.

Sangetsu Corporation Revises Medium-Term Business Plan Targets Amid Challenges

Sangetsu Corporation has revised its performance targets for the fiscal year ending March 2026 due to recent business performance trends and external challenges such as a supplier’s factory fire affecting material supply. While the company has seen revenue growth in the domestic interior segment, the exterior and overseas segments have not met profit expectations, prompting the revision of targets in its Medium-Term Business Plan.

Sangetsu Corporation Achieves Record-High Sales in FY2024

Sangetsu Corporation reported record-high net sales for FY2024, driven by growth in both its Domestic Interior Segment and North American Business. Despite a decrease in operating and subsequent profits year-on-year, the company saw an increase in net sales and profit in the second half of the year. The company successfully maintained its gross profit margin through strategic price revisions and cost control measures, despite challenges such as increased procurement and distribution costs, and a fire accident affecting some flooring products. The financial results exceeded forecasts, highlighting Sangetsu’s effective management strategies.

Sangetsu Corporation Reports Fiscal Year 2025 Financial Results

Sangetsu Corporation reported its consolidated financial results for the fiscal year ended March 31, 2025, showing a 5.5% increase in net sales to 200,378 million yen. However, the company experienced a decline in operating profit by 4.9% and ordinary profit by 5.5%, with profit attributable to owners of the parent down by 12.1%. The company plans to increase its annual dividend per share to 150 yen, reflecting a commitment to returning value to shareholders despite the profit decline. The financial forecast for the next fiscal year anticipates a moderate growth in net sales and profits, indicating a cautious but optimistic outlook.