Senshu Electric Co., Ltd. (9824) AI Stock Analysis

• Market Cap: ¥92.37B
• Dividend Yield: 2.72%
• Average Volume (3M): 78.49K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 1.10
• Revenue Growth: -0.41%
• EPS Growth: -10.32%
• Country: JP
• Employees: 825
• Sector: Technology
• Sector Strength: 88
• Industry: Technology Distributors
• EPS (TTM): 102.42
• Shares Outstanding: 18,000,000
• 10 Day Avg. Volume: 115,970
• 30 Day Avg. Volume: 78,486
• PEG Ratio: -1.14
• Price to Book (P/B): 1.34
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 9.54
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ¥6,064.00 ▲(12.09% Upside)

Senshu Electric Co., Ltd. scores well due to its strong financial stability and positive technical indicators. The stock's valuation is reasonable, with a solid dividend yield. However, challenges in revenue growth and net profit margin slightly temper the overall score. The absence of earnings call and corporate events data limits additional insights.

Positive Factors

Financial Stability

Senshu Electric's low leverage indicates strong financial stability, reducing risk and enhancing its ability to invest in growth opportunities.

Cash Generation

Strong cash generation supports operational needs and strategic investments, ensuring the company can sustain its operations and pursue growth.

Profitability Margins

Consistent profitability margins reflect the company's ability to maintain cost control and pricing power, supporting long-term financial health.

Negative Factors

Revenue Growth Decline

Negative revenue growth indicates challenges in market expansion or competitive pressures, potentially impacting future earnings and market position.

Net Profit Margin Pressure

Decreasing net profit margins suggest rising costs or pricing pressures, which could affect profitability and shareholder returns over time.

Free Cash Flow Volatility

Volatile free cash flow growth can limit the company's ability to fund new projects or return capital to shareholders, impacting strategic flexibility.

Senshu Electric Co., Ltd. Business Overview & Revenue Model

Company Description

Senshu Electric Co.,Ltd. engages in the trading of various cables, wires, and materials related to electrical construction work in Japan and internationally. The company develops, sells, and consults data processing and communication systems; manufactures and sells electronic control appliances and equipment; and installs and sells air conditioning equipment, household electrical appliances, and office equipment. It is also involved in the operation and management of power generation business; and sale and purchase of electric power. In addition, the company engages in the real estate leasing business. Senshu Electric Co.,Ltd. was founded in 1947 and is headquartered in Suita, Japan.

How the Company Makes Money

Senshu Electric Co., Ltd. generates revenue primarily through the sale of electrical components and equipment. The company's key revenue streams include direct sales to industrial clients and collaborations with manufacturers for the supply of specialized electrical products. Significant partnerships with leading component manufacturers enhance its product offerings, enabling it to meet diverse customer needs. The company also leverages its expertise in systems integration to provide value-added services, which contribute to its earnings.

Senshu Electric Co., Ltd. Financial Statement Overview

Summary

Senshu Electric Co., Ltd. demonstrates financial stability with low leverage and strong equity financing. While profitability margins are stable, the recent decline in revenue growth and net profit margin indicates potential challenges in maintaining growth momentum. Cash flow generation is strong, but the volatility in free cash flow growth suggests potential fluctuations in cash reserves.

Income Statement

Senshu Electric Co., Ltd. shows a stable gross profit margin around 14.5% to 15.5% over the years, indicating consistent profitability. However, the net profit margin has slightly decreased to 4.95% in the latest year from 5.57% previously, reflecting some pressure on net earnings. The revenue growth rate has turned negative at -2.03% after a period of growth, which is a concern. EBIT and EBITDA margins have also slightly declined, suggesting reduced operational efficiency.

Balance Sheet

The company maintains a very low debt-to-equity ratio of 0.0117, indicating strong financial stability and low leverage risk. Return on equity is healthy at 11.48%, though it has decreased from previous years, reflecting a slight decline in profitability. The equity ratio remains robust, suggesting a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

Operating cash flow is strong, with a positive operating cash flow to net income ratio, indicating good cash generation relative to net income. However, free cash flow growth has been volatile, with a significant decline in the latest year. The free cash flow to net income ratio remains high at 87.10%, showing efficient conversion of earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	138.40B	135.59B	136.15B	124.97B	113.63B	92.46B
Gross Profit	20.26B	19.73B	21.15B	18.68B	17.09B	13.92B
EBITDA	11.18B	10.63B	11.77B	9.40B	8.44B	5.68B
Net Income	7.15B	6.72B	7.58B	5.92B	5.31B	3.58B
Balance Sheet
Total Assets	105.92B	111.00B	112.46B	101.37B	95.38B	83.99B
Cash, Cash Equivalents and Short-Term Investments	31.49B	34.97B	30.53B	28.54B	27.19B	26.34B
Total Debt	704.00M	686.00M	599.00M	927.00M	985.00M	141.00M
Total Liabilities	48.47B	52.08B	56.86B	50.65B	48.98B	41.11B
Stockholders Equity	57.05B	58.50B	55.23B	50.39B	46.16B	42.72B
Cash Flow
Free Cash Flow	0.00	8.22B	6.36B	3.88B	5.92B	9.03B
Operating Cash Flow	0.00	9.44B	8.24B	6.94B	6.33B	9.40B
Investing Cash Flow	0.00	-3.86B	-2.54B	-3.12B	-3.73B	63.00M
Financing Cash Flow	0.00	-3.75B	-3.88B	-2.40B	-2.09B	-1.74B

Senshu Electric Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5410.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9824, the sentiment is Positive. The current price of 5410 is below the 20-day moving average (MA) of 5480.00, above the 50-day MA of 5120.00, and above the 200-day MA of 4469.23, indicating a bullish trend. The MACD of 120.57 indicates Positive momentum. The RSI at 72.11 is Negative, neither overbought nor oversold. The STOCH value of 90.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9824.

Senshu Electric Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8154	81 Outperform	¥199.60B	8.53	14.97%	2.94%	9.67%	45.58%
8093	76 Outperform	¥23.56B	6.29	―	3.83%	41.87%	167.99%
9824	75 Outperform	¥92.37B	14.60	―	2.72%	-0.41%	-10.32%
7537	75 Outperform	¥36.22B	11.65	―	5.16%	1.71%	-29.37%
8137	74 Outperform	¥49.32B	19.92	―	4.12%	-4.88%	-26.05%
6638	66 Neutral	¥49.82B	8.63	―	3.07%	1.56%	1.72%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Senshu Electric Co., Ltd. Corporate Events

Senshu Electric Reports Progress on Ongoing Share Buyback Program

Senshu Electric Co., Ltd. has disclosed the latest progress of its share buyback program authorized under Japan’s Companies Act, reporting that it repurchased 19,900 common shares for a total of ¥105,070,500 on the Tokyo Stock Exchange between December 1 and December 31, 2025. Under a board resolution dated October 31, 2025, the company is permitted to buy back up to 100,000 shares or ¥500 million by April 30, 2026, and as of December 31, 2025, it has cumulatively acquired 35,700 shares at a total cost of ¥177,203,500, signaling an ongoing capital policy focused on enhancing shareholder value and optimizing its capital structure.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen6064.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Updates Management Strategy to Enhance Shareholder Value

Senshu Electric Co., Ltd. has updated its management strategy to better align with capital costs and stock prices, setting ambitious targets for ROE, dividend payout, and shareholder return ratios. Despite not meeting all targets, the company has made significant progress, particularly in shareholder returns. Future initiatives include improving profitability through business expansion and digital transformation, enhancing shareholder returns, and strengthening investor relations.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Introduces Restricted Stock Incentive Plan

Senshu Electric Co., Ltd. has announced the introduction of a restricted stock incentive plan for its employees through the Senshu Electric Employee Shareholding Association. This plan aims to enhance employee asset building, align employee interests with shareholder value, and boost motivation to improve corporate performance. By offering restricted stock, the company seeks to foster a shared sense of value with shareholders and increase awareness of its performance and share price.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Reports 2025 Financial Results with Optimistic 2026 Outlook

Senshu Electric Co., Ltd. reported a slight decrease in net sales and profits for the fiscal year ended October 31, 2025, with net sales at ¥135,591 million, a 0.4% decline from the previous year. Despite the downturn, the company has increased its annual dividend per share from ¥130.00 to ¥150.00, reflecting confidence in future performance. The company forecasts a positive outlook for the fiscal year ending October 31, 2026, with expected growth in net sales and profits, indicating a strategic focus on improving financial health and shareholder value.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Announces Treasury Share Acquisition

Senshu Electric Co., Ltd. has announced the acquisition of 15,800 treasury shares, amounting to 72,133,000 yen, as part of a broader plan approved by its Board of Directors to acquire up to 100,000 shares by April 2026. This move is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Announces Change in Major Shareholder

Senshu Electric Co., Ltd. announced a significant change in its major shareholders, with The Master Trust Bank of Japan, Ltd. no longer being the largest shareholder. This change reflects a decrease in the voting rights held by The Master Trust Bank from 10.02% to 7.28%, altering the company’s shareholder dynamics but not impacting its future outlook.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Announces Share Buyback to Enhance Shareholder Value

Senshu Electric Co., Ltd. announced a decision by its Board of Directors to purchase up to 100,000 of its own shares, representing 0.58% of the total issued shares, excluding treasury shares. This move, with a budget of up to 500 million yen, aims to enhance shareholder returns, improve capital efficiency, and allow for a flexible capital policy in response to market changes, potentially impacting the company’s financial structure and shareholder value.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.

Senshu Electric Completes Treasury Share Acquisition

Senshu Electric Co., Ltd. has completed the acquisition of 24,000 treasury shares, amounting to 106,845,000 yen, as part of a strategic initiative to optimize its capital structure. This acquisition, finalized between October 1 and October 15, 2025, marks the completion of a broader plan authorized by the Board of Directors to purchase up to 200,000 shares, enhancing the company’s financial flexibility and potentially increasing shareholder value.

The most recent analyst rating on (JP:9824) stock is a Buy with a Yen5039.00 price target. To see the full list of analyst forecasts on Senshu Electric Co., Ltd. stock, see the JP:9824 Stock Forecast page.