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S E Corporation (3423) AI Stock Analysis

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JP:3423

S E Corporation

(TSE/TYO:3423)

Select Model
Rating:53Neutral
Price Target:JPY 246.00â–¼(-2.38% Downside)
Action:reiterated
Date:08/17/26

Overall score of 53 suggests a cautious view. The company faces profitability challenges, as evidenced by its weak income statement and negative P/E. However, a strong balance sheet with moderate debt, positive cash flow, and a high dividend yield provide some support. Technical indicators are neutral. The primary risk is the sustainability of dividends if earnings do not recover; nonetheless, the company's financial stability mitigates downside risk.

Positive Factors
Manageable LeverageDebt-to-equity around 0.48–0.64 and sizable equity versus assets indicate manageable leverage. This gives the company some capacity to absorb operating pressure and preserve funding flexibility, even though debt remains elevated.
Negative Factors
Profitability DeteriorationOperating profit and margins declined from 2022 through 2025, followed by a 2026 net loss despite similar revenue. The deterioration signals weaker earnings quality and makes future profitability less dependable unless below-gross-profit pressures reverse.

S E Corporation (3423) vs. iShares MSCI Japan ETF (EWJ)

-10%-5%0%5%10%15%20%25%30%JP:3423+0.94%EWJ+13.61%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 7.61B
Dividend Yield
5.16%
Average Volume (3M)
19.55K
Price to Earnings (P/E)
-23.5
Beta (1Y)
0.35
Revenue Growth
5.64%
EPS Growth
-207.00%
Country
Japan
Employees
559
Sector
Industrials
Sector Strength
63
Industry
Engineering & Construction

S E Corporation Business Overview & Revenue Model

Company Description

Headquartered in Tokyo, Japan, SE Corporation, founded in 1967, is a prominent player in the construction materials, equipment, and services sector, operating both domestically and internationally. The company offers a diverse portfolio encompassing...

S E Corporation Financial Statement Overview

Summary

Score of 44 reflects mixed financial health. The income statement shows declining margins and a recent net loss (score 32), but the balance sheet remains solid with moderate leverage (58) and cash flow, though declining, is positive (42). Overall, profitability is a concern but the company maintains a stable financial base.

Income Statement

32Negative

Balance Sheet

58Neutral

Cash Flow

42Neutral
Financial statement breakdown
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue25.40B25.89B25.40B26.47B25.45B24.15B
Gross Profit6.86B6.92B6.80B7.18B6.68B7.12B
EBITDA1.53B1.60B1.38B2.07B1.95B2.52B
Net Income505.02M543.83M-434.95M969.86M870.02M1.61B
Balance Sheet
Total Assets23.80B25.55B24.56B26.52B25.56B23.73B
Cash, Cash Equivalents and Short-Term Investments4.08B5.12B5.11B5.35B4.63B5.17B
Total Debt4.86B5.59B5.59B6.16B5.92B4.61B
Total Liabilities13.04B14.33B14.07B15.49B15.13B13.77B
Stockholders Equity10.73B11.20B10.46B10.98B10.39B9.91B
Cash Flow
Free Cash Flow0951.15M405.72M1.01B-1.55B1.70B
Operating Cash Flow01.71B1.15B2.11B-637.94M2.31B
Investing Cash Flow0-897.87M-793.47M-1.15B-656.17M-367.19M
Financing Cash Flow0-1.04B-367.38M-254.05M749.14M-1.25B

S E Corporation Technical Analysis

Technical Analysis SentimentNegative
Last Price252.00

Price Trends

50DMA265.54Negative
100DMA267.77Negative
200DMA271.57Negative

Market Momentum

MACD-5.12Positive
RSI40.05Neutral
STOCH45.49Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3423, the sentiment is Negative. The current price of 252.00 is below the 20-day moving average (MA) of 258.45, below the 50-day MA of 265.54, and below the 200-day MA of 271.57, indicating a bearish trend. The MACD of -5.12 indicates Positive momentum. The RSI at 40.05 is Neutral, neither overbought nor oversold. The STOCH value of 45.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3423.

S E Corporation Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:3423 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:2311JP:231173OutperformJPY 7.06B17.62―4.60%8.46%-32.59%
JP:1997JP:199772OutperformJPY 8.04B7.65―3.83%10.88%34.41%
JP:4642JP:464267NeutralJPY 7.40B12.91―2.57%24.04%13.29%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:5915JP:591559NeutralJPY 9.67B16.64―3.33%-2.66%-52.75%
JP:5923JP:592357NeutralJPY 7.05B-7.78―4.77%-26.49%-509.27%
JP:3423JP:342353NeutralJPY 7.53B-23.48―5.16%5.64%-207.00%

* Industrials Sector Average

Performance Comparison

0%20%40%JP:3423JP:1997JP:2311JP:4642JP:5915JP:5923Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:3423 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:3423S E Corporation252.001.390.56%
JP:1997Akatsuki Eazima Co., Ltd.4050.00597.3217.30%
JP:2311EPCO Co.,Ltd.782.0031.084.14%
JP:4642Original Engineering Consultants Co., Ltd.1353.00-142.47-9.53%
JP:5915Komaihaltec Inc.2100.00276.0315.13%
JP:5923Takadakiko Co., Ltd.1048.0010.811.04%
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: Aug 17, 2026