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

• Market Cap: ¥67.81B
• Dividend Yield: 3.37%
• Average Volume (3M): 67.04K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.98
• Revenue Growth: 7.56%
• EPS Growth: 12.07%
• Country: JP
• Employees: 825
• Sector: Technology
• Sector Strength: 84
• Industry: Technology Distributors
• EPS (TTM): 83.98
• Shares Outstanding: 18,000,000
• 10 Day Avg. Volume: 106,070
• 30 Day Avg. Volume: 67,043
• PEG Ratio: 0.60
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.44
• 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: 76 Outperform
• Price Target: ¥5,045.00 ▲(21.42%Upside)

Senshu Electric Co., Ltd. demonstrates strong financial performance with robust revenue and profitability growth, supported by a solid balance sheet and efficient cash flow management. The stock's attractive valuation with a low P/E ratio and reasonable dividend yield further enhances its appeal. Technical indicators present mixed signals, with neutral momentum and potential overbought conditions. These combined factors result in a solid overall stock score.

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

Company Description

Senshu Electric Co., Ltd. (9824) is a Japan-based company primarily engaged in the sale of electrical equipment and materials. The company operates in various sectors including electrical components, wiring devices, and related systems, providing a comprehensive range of products that cater to industrial and commercial needs. Senshu Electric Co., Ltd. is known for its commitment to quality and innovation, ensuring the delivery of reliable products and solutions that enhance electrical infrastructure and efficiency.

How the Company Makes Money

Senshu Electric Co., Ltd. generates revenue primarily through the sale of electrical equipment and materials. The company's key revenue streams include direct sales to industrial and commercial clients, partnerships with manufacturers for distribution, and providing value-added services such as consulting and technical support. Senshu Electric Co., Ltd. leverages its extensive distribution network and industry expertise to maintain a strong market presence. Additionally, strategic partnerships and collaborations with leading manufacturers and suppliers play a crucial role in expanding their product offerings and reaching a broader customer base, contributing significantly to their earnings.

Senshu Electric Co., Ltd. Financial Statement Overview

Summary

Senshu Electric Co., Ltd. is in a strong financial position with impressive growth in revenue and profitability. The company maintains a solid balance sheet with minimal leverage and efficient equity utilization. Cash flows are robust, reflecting effective cash management and operational strength. The overall financial health is sound, positioning the company 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
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
131.26B	136.15B	124.97B	113.63B	92.46B	74.29B
	Gross Profit
19.93B	21.15B	18.68B	17.09B	13.92B	12.08B
	EBIT
9.51B	10.35B	8.37B	7.46B	4.74B	3.12B
	EBITDA
10.34B	11.77B	9.40B	7.98B	5.26B	3.66B
	Net Income Common Stockholders
6.84B	7.58B	5.92B	5.31B	3.58B	2.35B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
26.35B	30.53B	28.54B	27.19B	26.34B	18.47B
	Total Assets
104.94B	112.46B	101.37B	95.38B	83.99B	67.40B
	Total Debt
637.00M	599.00M	927.00M	985.00M	141.00M	178.00M
	Net Debt
-25.70B	-29.91B	-27.61B	-26.18B	-26.19B	-18.28B
	Total Liabilities
51.36B	56.86B	50.65B	48.98B	41.11B	26.99B
	Stockholders Equity
53.22B	55.23B	50.39B	46.16B	42.72B	40.27B
Cash Flow		Free Cash Flow
344.00M	6.36B	3.88B	5.92B	9.03B	4.30B
	Operating Cash Flow
344.00M	8.24B	6.94B	6.33B	9.40B	4.45B
	Investing Cash Flow
0.00	-2.54B	-3.12B	-3.73B	63.00M	-395.00M
	Financing Cash Flow
0.00	-3.88B	-2.40B	-2.09B	-1.74B	-1.77B

Senshu Electric Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4155.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9824, the sentiment is Negative. The current price of 4155 is below the 20-day moving average (MA) of 4489.00, below the 50-day MA of 4274.89, and below the 200-day MA of 4727.33, indicating a bearish trend. The MACD of -42.69 indicates Positive momentum. The RSI at 35.24 is Neutral, neither overbought nor oversold. The STOCH value of 2.81 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	€152.47B	8.54	10.70%	3.96%	0.94%	-16.06%
6638	80 Outperform	¥53.83B	8.55		2.74%	11.02%	65.66%
8137	78 Outperform	¥36.37B	14.28		0.87%	-15.98%	-51.13%
9824	76 Outperform	¥67.81B	9.92		3.37%	7.56%	12.07%
7537	73 Outperform	¥26.34B	6.17		8.13%	-10.85%	25.59%
8093	68 Neutral	¥18.17B	4.97		4.67%	21.35%	221.64%
Sector *	62 Neutral	$11.93B	10.60	-7.51%	3.00%	7.40%	-8.09%

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.

Senshu Electric Announces Treasury Share Purchase and Cancellation

Senshu Electric Co., Ltd. has announced a strategic decision to purchase and cancel a portion of its treasury shares. This move is aimed at enhancing shareholder returns, improving capital efficiency, and maintaining a flexible capital policy. The company plans to buy up to 200,000 shares and cancel 500,000 shares, reflecting its proactive approach to managing its capital structure in response to market conditions.

Senshu Electric Announces Treasury Share Acquisition Progress

Senshu Electric Co., Ltd. announced the acquisition of 32,200 treasury shares, costing 142,779,000 yen, as part of a broader plan to acquire up to 100,000 shares by April 30, 2025. This move is part of the company’s strategy to optimize its capital structure and potentially increase shareholder value.