Showa Holdings Co., Ltd. (5103) AI Stock Analysis

• Market Cap: ¥3.41B
• Dividend Yield: N/A
• Average Volume (3M): 883.12K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.66
• Revenue Growth: -0.94%
• EPS Growth: 71.30%
• Country: JP
• Employees: 323
• Sector: Basic Materials
• Sector Strength: 59
• Industry: Chemicals - Specialty
• EPS (TTM): -2.79
• Shares Outstanding: 76,293,430
• 10 Day Avg. Volume: 2,474,520
• 30 Day Avg. Volume: 883,123
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: N/A
• 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

Showa Holdings Co., Ltd. is currently struggling with financial challenges, including declining revenues, negative profitability, and cash flow volatility, which heavily impact its stock score. The bearish technical indicators, along with a negative P/E ratio and lack of dividend yield, present additional risks, resulting in an overall low stock score.

Showa Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Showa Holdings Co., Ltd. (5103) is a Japan-based company primarily engaged in the rubber and plastic products industry. The company manufactures and sells a variety of rubber products, focusing on automotive parts and industrial materials. Its core products include automotive hoses, industrial hoses, and rubber components used in various machinery and equipment. Showa Holdings operates in both domestic and international markets, serving a wide range of industries with its high-quality and durable products.

How the Company Makes Money

Showa Holdings Co., Ltd. generates revenue through the production and sale of its rubber and plastic products. The company's key revenue streams include the sale of automotive hoses, which are essential components in the automotive industry, and industrial hoses used in various sectors such as construction, agriculture, and manufacturing. By maintaining strategic partnerships with automotive manufacturers and industrial equipment producers, Showa Holdings ensures a steady demand for its products. Additionally, the company invests in research and development to innovate and improve its product offerings, which helps in maintaining competitive pricing and meeting the evolving needs of its clients. Export sales also contribute significantly to the company's earnings, as it supplies products to international markets, leveraging its established reputation for quality and reliability.

Showa Holdings Co., Ltd. Financial Statement Overview

Summary

Showa Holdings Co., Ltd. faces significant financial challenges, characterized by declining revenues, negative profitability, and volatile cash flows. Despite a moderate debt-to-equity position, the company's weakening equity and liquidity raise concerns. Improvement in revenue generation and cost management is crucial for future stability.

Income Statement

The company has experienced declining revenues over recent years, with a notable drop in revenue growth from previous periods. The TTM figures show a negative EBIT and net income, indicating ongoing profitability challenges. Gross profit margins have also decreased, highlighting pressure on cost management and pricing power.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, suggesting manageable leverage. However, declining equity and negative net income have weakened the return on equity. The equity ratio indicates a reasonable portion of assets financed by equity, but declining asset levels suggest potential liquidity issues.

Cash Flow

The cash flow statement shows significant volatility, with operating cash flow turning negative and no free cash flow in the TTM period. Previous periods showed some free cash flow, but negative net income continues to pressure cash generation capabilities.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
8.61B	8.87B	7.58B	9.79B	13.66B	15.48B
	Gross Profit
2.39B	2.40B	2.03B	3.98B	7.48B	8.76B
	EBIT
-60.56M	4.16M	-8.20M	-98.00M	606.85M	-140.00M
	EBITDA
104.25M	-714.33M	-134.89M	-1.49B	-2.11B	213.93M
	Net Income Common Stockholders
-210.93M	-531.55M	-338.83M	-917.33M	-1.23B	-602.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
934.00M	1.05B	508.86M	351.04M	11.64B	11.22B
	Total Assets
6.84B	6.83B	6.76B	6.18B	39.84B	45.99B
	Total Debt
897.00M	922.33M	843.11M	895.35M	15.91B	23.13B
	Net Debt
-37.00M	-127.94M	334.25M	544.30M	4.27B	11.91B
	Total Liabilities
3.71B	3.92B	3.84B	3.36B	25.76B	29.61B
	Stockholders Equity
1.74B	1.65B	2.01B	2.13B	4.02B	5.10B
Cash Flow		Free Cash Flow
0.00	-200.84M	-25.23M	708.21M	7.22B	2.13B
	Operating Cash Flow
0.00	-75.08M	9.28M	826.86M	7.41B	2.21B
	Investing Cash Flow
0.00	-180.00M	30.65M	432.94M	-357.17M	448.00M
	Financing Cash Flow
0.00	784.60M	-111.24M	-1.31B	-6.76B	-5.43B

Showa Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 45.00
• 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:5103, the sentiment is Positive. The current price of 45 is above the 20-day moving average (MA) of 42.70, above the 50-day MA of 42.88, and above the 200-day MA of 44.09, indicating a bullish trend. The MACD of 0.84 indicates Negative momentum. The RSI at 54.23 is Neutral, neither overbought nor oversold. The STOCH value of 31.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5103.

Showa Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5191	74 Outperform	¥166.74B	5.85		3.88%	4.41%	21.41%
5108	74 Outperform	¥4.13T	14.25	7.90%	3.26%	2.70%	-13.42%
5105	74 Outperform	$400.24B	5.31	17.00%	4.51%	2.27%	3.51%
5101	68 Neutral	$499.84B	6.54	9.02%	2.96%	11.10%	11.55%
Sector *	49 Neutral	$1.95B	-1.50	-22.00%	3.79%	0.66%	-27.40%
5103	40 Underperform	¥3.41B	―		―	-0.94%	71.30%