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

• Market Cap: ¥69.52B
• Dividend Yield: 3.17%
• Average Volume (3M): 48.18K
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.97
• Revenue Growth: 7.56%
• EPS Growth: 12.07%
• Country: JP
• Employees: 825
• Sector: Technology
• Sector Strength: 91
• Industry: Technology Distributors
• EPS (TTM): 83.98
• Shares Outstanding: 18,000,000
• 10 Day Avg. Volume: 32,510
• 30 Day Avg. Volume: 48,176
• PEG Ratio: 74.37
• Price to Book (P/B): 1.30
• 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: ¥5,045.00
• Price Target Upside: 18.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥4,827.00 ▲(13.31%Upside)

Senshu Electric Co., Ltd. benefits from strong financial performance and attractive valuation, which are the primary drivers of the overall score. The technical analysis presents mixed signals, slightly dampening the overall score.

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

Company Description

Senshu Electric Co., Ltd. is a Japanese company specializing in the distribution and sale of electrical components, equipment, and related products. The company operates in sectors including industrial automation, electrical components, and systems integration, providing a broad range of products such as wires, cables, connectors, and other electrical devices to various industries.

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. exhibits strong financial performance with impressive revenue and profitability growth. The company maintains a solid balance sheet with minimal leverage and effective cash management, positioning it well for future expansion and stability.

Income Statement

Senshu Electric Co., Ltd. demonstrates strong revenue growth with a 9% increase from 2023 to 2024. The gross profit margin improved to 15.5%, while the net profit margin also increased to 5.6%. EBIT and EBITDA margins stand at 7.6% and 8.6% respectively, indicating efficient operations and strong profitability. The consistent upward trend in revenue and profitability showcases a robust financial performance.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.01, reflecting minimal leverage. The return on equity (ROE) improved to 13.7%, indicating effective utilization of equity. An equity ratio of 49.1% suggests a healthy balance between equity and total assets, contributing to financial stability. The strong equity position and low debt levels highlight sound financial management.

Cash Flow

Free cash flow increased significantly by 63.6% from 2023 to 2024, showcasing strong cash generation capabilities. The operating cash flow to net income ratio is 1.09, indicating healthy cash conversion. The free cash flow to net income ratio of 0.84 underscores efficient capital allocation. Although cash flow generation is robust, the company may further enhance liquidity to strengthen its financial position.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	136.15B	124.97B	113.63B	92.46B	74.29B
Gross Profit	21.15B	18.68B	17.09B	13.92B	12.08B
EBITDA	11.77B	9.40B	7.98B	5.26B	3.66B
Net Income	7.58B	5.92B	5.31B	3.58B	2.35B
Balance Sheet
Total Assets	112.46B	101.37B	95.38B	83.99B	67.40B
Cash, Cash Equivalents and Short-Term Investments	30.53B	28.54B	27.19B	26.34B	18.47B
Total Debt	599.00M	927.00M	985.00M	141.00M	178.00M
Total Liabilities	56.86B	50.65B	48.98B	41.11B	26.99B
Stockholders Equity	55.23B	50.39B	46.16B	42.72B	40.27B
Cash Flow
Free Cash Flow	6.36B	3.88B	5.92B	9.03B	4.30B
Operating Cash Flow	8.24B	6.94B	6.33B	9.40B	4.45B
Investing Cash Flow	-2.54B	-3.12B	-3.73B	63.00M	-395.00M
Financing Cash Flow	-3.88B	-2.40B	-2.09B	-1.74B	-1.77B

Senshu Electric Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4260.00
• 50DMA: Negative
• 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:9824, the sentiment is Positive. The current price of 4260 is above the 20-day moving average (MA) of 4192.50, below the 50-day MA of 4293.60, and below the 200-day MA of 4628.50, indicating a neutral trend. The MACD of -1.66 indicates Negative momentum. The RSI at 54.16 is Neutral, neither overbought nor oversold. The STOCH value of 79.05 is Neutral, 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
8137	78 Outperform	¥39.64B	15.57		2.39%	-15.98%	-51.13%
9824	74 Outperform	¥69.52B	10.17		3.17%	7.56%	12.07%
6638	74 Outperform	¥63.83B	10.14		1.96%	11.02%	65.67%
8154	74 Outperform	€157.85B	8.84	10.70%	5.74%	0.94%	-16.06%
7537	72 Outperform	¥28.59B	6.70		6.03%	-10.85%	25.59%
8093	71 Outperform	¥18.74B	5.12		4.53%	21.35%	221.66%
Sector *	63 Neutral	$34.72B	5.19	-11.20%	1.67%	5.59%	-16.73%

Senshu Electric Co., Ltd. Corporate Events

Senshu Electric Co., Ltd. Increases Dividend Forecasts for 2025

Senshu Electric Co., Ltd. announced an increase in its interim and year-end dividend forecasts, raising the dividend per share by ¥5 to ¥75. This decision aligns with the company’s policy of stable dividends and its medium-term management plan targets, aiming for a dividend payout ratio of at least 35% and a total shareholder return ratio of at least 50%. The revised annual dividend forecast for the fiscal year ending October 31, 2025, is now ¥150 per share, reflecting the company’s strong financial performance and commitment to shareholder value.

Senshu Electric Reports Mixed Financial Results for H1 2025

Senshu Electric Co., Ltd. reported its consolidated financial results for the six months ending April 30, 2025, showing a 4.3% increase in net sales to ¥68,982 million. However, operating profit, ordinary profit, and profit attributable to owners of the parent decreased by 6.0%, 5.7%, and 7.3%, respectively. The company also announced a revision in its dividend forecast, increasing the annual dividend per share to ¥150.00. Despite the decline in profits, Senshu Electric’s equity-to-asset ratio improved to 51.8%, indicating a stronger financial position.

Senshu Electric Co., Ltd. Announces Treasury Share Acquisition

Senshu Electric Co., Ltd. has announced the acquisition of 30,600 treasury shares, amounting to 137,928,500 yen, as part of its ongoing strategy to optimize capital structure. This move, executed through market purchases on the Tokyo Stock Exchange, is part of a broader plan approved by the Board to acquire up to 200,000 shares by October 31, 2025, reflecting the company’s proactive approach to managing shareholder equity.

Senshu Electric Announces Major Shareholder Change

Senshu Electric Co., Ltd. has announced a significant change in its shareholder structure, with The Master Trust Bank of Japan, Ltd. becoming the largest major shareholder. This change reflects a shift in the company’s ownership dynamics, potentially impacting its strategic direction and stakeholder relationships.