SUNWELS Co.,Ltd. (9229) AI Stock Analysis

• Market Cap: ¥27.40B
• Dividend Yield: 2.67%
• Average Volume (3M): 247.63K
• Price to Earnings (P/E): 159.7
• Beta (1Y): 1.03
• Revenue Growth: 29.51%
• EPS Growth: -175.29%
• Country: JP
• Employees: 2,435
• Sector: Healthcare
• Sector Strength: 39
• Industry: Medical - Care Facilities
• EPS (TTM): -25.23
• Shares Outstanding: 35,220,000
• 10 Day Avg. Volume: 405,140
• 30 Day Avg. Volume: 247,630
• 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: ¥636.00
• Price Target Upside: -18.25% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 58 Neutral
• Price Target: ¥826.00 ▲(6.17%Upside)

The overall score reflects strong technical momentum, which is the most significant positive factor. However, financial performance concerns, particularly profitability and high leverage, weigh heavily on the score. The negative P/E ratio and lack of dividend yield further impact the valuation negatively.

SUNWELS Co.,Ltd. Business Overview & Revenue Model

Company Description

SUNWELS Co., Ltd. (9229) is a leading provider in the renewable energy sector, specializing in the development and manufacturing of advanced solar energy solutions. The company focuses on innovative technologies that enhance solar panel efficiency and energy storage systems. SUNWELS operates primarily in the clean energy market, offering a range of products including solar panels, inverters, and energy management systems designed for residential, commercial, and industrial applications.

How the Company Makes Money

SUNWELS Co., Ltd. generates revenue primarily through the sale of its solar energy products, including solar panels and inverters, which are sourced from various suppliers and manufactured in-house. The company also earns income from energy storage solutions and related services, such as installation and maintenance. Key revenue streams include direct sales to consumers, partnerships with renewable energy developers, and government contracts for solar energy projects. Additionally, SUNWELS benefits from strategic collaborations with technology firms to enhance product offerings and expand market reach, contributing significantly to its earnings.

SUNWELS Co.,Ltd. Financial Statement Overview

Summary

SUNWELS Co.,Ltd. demonstrates strong revenue growth, but profitability and cash flow management are areas of concern. The high leverage on the balance sheet poses a risk, despite growing equity. To enhance financial health, the company should focus on improving profit margins and cash flow sustainability while managing debt levels.

Income Statement

SUNWELS Co.,Ltd. has shown substantial revenue growth over the years, particularly from 2020 to 2025. However, profitability metrics like the net profit margin have been concerning, especially in 2025, when the company reported a net loss. The decline in gross profit margin and EBIT margin over the latest annual period indicates challenges in managing costs effectively.

Balance Sheet

The company's balance sheet highlights a high debt-to-equity ratio, which increased over the years, posing a potential risk. The equity ratio is relatively low, suggesting high leverage. Despite these concerns, there has been a consistent increase in stockholders' equity over the years, which is a positive sign of growth.

Cash Flow

Cash flow analysis reveals negative free cash flows consistently, which could be a concern for sustainability. The operating cash flow to net income ratio indicates operating cash flow generation strength in previous years, but the trend is weakening. The company needs to focus on improving cash flow management to support its operations and debt obligations.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	26.50B	21.36B	13.72B	8.42B	5.40B
Gross Profit	4.92B	6.42B	3.75B	2.11B	1.38B
EBITDA	1.88B	4.35B	1.93B	819.00M	562.83M
Net Income	-925.00M	779.00M	784.00M	255.71M	241.42M
Balance Sheet
Total Assets	38.99B	31.52B	19.21B	9.02B	4.79B
Cash, Cash Equivalents and Short-Term Investments	5.64B	3.31B	2.61B	814.76M	496.36M
Total Debt	22.49B	20.11B	11.20B	6.60B	3.03B
Total Liabilities	30.37B	24.38B	13.84B	8.15B	4.09B
Stockholders Equity	8.62B	7.14B	4.61B	864.74M	693.47M
Cash Flow
Free Cash Flow	-2.32B	-2.94B	-741.00M	-78.18M	-392.99M
Operating Cash Flow	1.88B	2.56B	1.14B	378.19M	201.03M
Investing Cash Flow	-4.40B	-5.66B	-2.04B	-633.05M	-648.06M
Financing Cash Flow	4.84B	3.80B	2.70B	573.26M	489.42M

SUNWELS Co.,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 778.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9229, the sentiment is Positive. The current price of 778 is above the 20-day moving average (MA) of 697.75, above the 50-day MA of 633.32, and above the 200-day MA of 759.34, indicating a bullish trend. The MACD of 51.12 indicates Negative momentum. The RSI at 68.81 is Neutral, neither overbought nor oversold. The STOCH value of 65.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9229.

SUNWELS Co.,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2374	78 Outperform	¥19.48B	12.91		3.85%	4.15%	-25.67%
7133	72 Outperform	¥11.26B	15.30		1.29%	20.50%	62.39%
6557	67 Neutral	¥9.04B	25.50		―	11.69%	-38.92%
7061	63 Neutral	¥8.87B	16.02		1.43%	21.97%	-20.94%
6059	61 Neutral	¥5.97B	2.92		3.24%	0.91%	856.87%
9229	58 Neutral	¥27.40B	159.73		2.67%	29.51%	-175.29%
Sector *	47 Neutral	C$180.09M	-3.37	-22.03%	3.24%	16.92%	2.16%

SUNWELS Co.,Ltd. Corporate Events

Sunwels Co., Ltd. Announces FY March 2025 Financial Highlights and Healthcare Initiatives

Sunwels Co., Ltd. is focusing on addressing societal challenges in healthcare and caregiving by establishing specialized facilities like the ‘PD House’ for Parkinson’s disease, aiming for a sustainable society. The company announced its financial highlights for the fiscal year ending March 2025, emphasizing its commitment to healthcare innovation and sustainability, which may enhance its industry positioning and stakeholder value.

SUNWELS Co.,Ltd. Reports Increased Sales but Declining Profits for FY 2025

SUNWELS Co.,Ltd. reported its non-consolidated financial results for the year ending March 31, 2025, showing a significant increase in net sales by 31.8% to 26,496 million yen. However, the company faced a substantial decline in profitability, with operating profit falling by 51.0% and ordinary profit decreasing by 77.4%, resulting in a net loss of 925 million yen. The financial results indicate challenges in maintaining profitability despite increased sales, and the company has decided not to issue dividends for the year. This financial performance could impact its market positioning and stakeholder confidence.