tiprankstipranks
Shimizu Corporation (JP:1803)
:1803
Want to see JP:1803 full AI Analyst Report?

Shimizu (1803) AI Stock Analysis

1 Followers

Top Page

JP:1803

Shimizu

(1803)

Select Model
Select Model
Select Model
Neutral 66 (OpenAI - 5.2)
Rating:66Neutral
Price Target:
¥2,753.00
▼(-10.12% Downside)
Action:Reiterated
Date:05/13/26
The score is driven by strong recent profitability and a constructive technical uptrend, but it is held back by weak cash conversion (negative free cash flow and low operating cash flow versus earnings). Valuation is reasonable with a modest dividend, but not compelling enough to fully offset cash-flow volatility risk.
Positive Factors
Strong recent revenue and margin improvement
Material top-line growth and margin expansion in the latest year indicate improved project mix, pricing power and scale. These factors enhance sustainable operating profitability and competitive bidding ability over the next several quarters, strengthening long-term earnings potential.
Negative Factors
Weak cash conversion and negative free cash flow
Significant deterioration in cash conversion and negative free cash flow signal working-capital stress and weaker earnings quality. Persistent cash volatility limits reinvestment, heightens refinancing and liquidity risk, and can constrain capacity to fund projects or dividends.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong recent revenue and margin improvement
Material top-line growth and margin expansion in the latest year indicate improved project mix, pricing power and scale. These factors enhance sustainable operating profitability and competitive bidding ability over the next several quarters, strengthening long-term earnings potential.
Read all positive factors

Shimizu (1803) vs. iShares MSCI Japan ETF (EWJ)

Shimizu Business Overview & Revenue Model

Company Description
Shimizu Corporation, a venerable Japanese company established in 1804 and headquartered in Tokyo, is a diverse enterprise primarily known for its extensive operations in construction and civil engineering across Japan. This includes general buildi...
How the Company Makes Money
Shimizu primarily makes money by contracting and executing construction and engineering projects for customers in the private and public sectors. Its core revenue stream is construction contract revenue recognized as work progresses on building co...

Shimizu Financial Statement Overview

Summary
Income statement is strong (score 72) with sharp revenue growth and materially better margins in 2026, and leverage is manageable (balance sheet score 68). However, cash flow is the key weakness (cash flow score 41): operating cash flow was low versus net income and free cash flow turned negative, indicating weaker earnings quality and higher volatility risk.
Income Statement
72
Positive
Balance Sheet
68
Positive
Cash Flow
41
Neutral
BreakdownMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue2.06T1.94T2.01T1.93T1.48T
Gross Profit258.09B200.56B94.98B166.07B144.87B
EBITDA234.42B147.85B69.45B105.14B87.57B
Net Income126.62B66.02B17.16B49.06B47.76B
Balance Sheet
Total Assets2.65T2.52T2.54T2.45T2.13T
Cash, Cash Equivalents and Short-Term Investments355.99B438.16B339.26B386.78B287.13B
Total Debt567.41B592.54B584.64B578.19B495.72B
Total Liabilities1.65T1.60T1.59T1.54T1.25T
Stockholders Equity977.98B860.08B888.54B852.56B824.50B
Cash Flow
Free Cash Flow-57.02B125.02B-78.95B15.27B-31.99B
Operating Cash Flow41.64B159.09B-21.25B83.84B77.77B
Investing Cash Flow-6.86B7.81B-5.36B-48.43B-89.31B
Financing Cash Flow-120.59B-71.10B-23.97B61.63B19.63B

Shimizu Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3063.00
Price Trends
50DMA
2713.77
Negative
100DMA
2893.81
Negative
200DMA
2622.01
Negative
Market Momentum
MACD
-49.65
Negative
RSI
48.06
Neutral
STOCH
21.42
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1803, the sentiment is Positive. The current price of 3063 is above the 20-day moving average (MA) of 2517.23, above the 50-day MA of 2713.77, and above the 200-day MA of 2622.01, indicating a neutral trend. The MACD of -49.65 indicates Negative momentum. The RSI at 48.06 is Neutral, neither overbought nor oversold. The STOCH value of 21.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1803.

Shimizu Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
¥323.41B9.4616.55%4.26%3.40%12.40%
66
Neutral
¥1.70T13.6511.22%1.48%5.83%96.00%
66
Neutral
¥2.85T15.4513.56%1.96%5.34%42.46%
66
Neutral
¥247.13B12.227.62%3.44%-2.18%114.64%
65
Neutral
¥2.24T13.0214.23%2.47%-1.29%22.72%
64
Neutral
¥2.32T13.9016.64%1.83%-3.02%50.72%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:1803
Shimizu
2,549.50
977.40
62.17%
JP:1719
Hazama Ando
1,794.50
403.79
29.04%
JP:1812
Kajima
5,872.00
2,194.06
59.65%
JP:1861
Kumagai Gumi Co
1,429.00
424.00
42.19%
JP:1802
Obayashi
3,257.00
1,154.40
54.90%
JP:1801
TAISEI
14,250.00
5,959.34
71.88%

Shimizu Corporate Events

Shimizu to Launch Performance-Linked Share-Based Pay for Executives
May 12, 2026
Shimizu Corporation will introduce a performance-linked, share-based compensation plan for internal directors and executive officers, subject to shareholder approval at the June 2026 general meeting. The scheme is structured as a Board Incentive P...
Shimizu Revamps Board and Executive Roles to Sharpen Focus on Sustainability and Governance
May 12, 2026
Shimizu Corporation has announced a partial amendment to its previously disclosed changes in top management, following a board resolution and the earlier resignation of a representative director. The company plans to finalize these director appoin...
Shimizu Posts Strong Profit Surge, Hikes Dividend and Targets Further Growth
May 12, 2026
Shimizu Corporation reported consolidated net sales of ¥2.06 trillion for the year ended March 31, 2026, up 5.8% year on year, with operating income surging 67.1% to ¥118.67 billion and net income attributable to shareholders nearly doub...
Shimizu Executive Vice President and Representative Director Higashi Resigns
May 8, 2026
Shimizu Corporation announced that Representative Director, Executive Vice President and Executive Officer Yoshiki Higashi, who oversaw administrative functions, sustainability and human resources, has resigned from all his positions effective May...
Shimizu Lifts FY2026 Profit Outlook and Dividend on Strong Construction Performance
Apr 24, 2026
Shimizu Corporation has raised its consolidated and non-consolidated forecasts for the fiscal year ending March 31, 2026, citing stronger performance in construction contracts, especially in domestic architectural construction and civil engineerin...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: May 13, 2026