Sakura Rubber Co., Ltd. (5189) AI Stock Analysis

• Market Cap: ¥4.41B
• Dividend Yield: 2.69%
• Average Volume (3M): 2.99K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.66
• Revenue Growth: -2.63%
• EPS Growth: -27.45%
• Country: JP
• Employees: 334
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): -47.90
• Shares Outstanding: 2,024,000
• 10 Day Avg. Volume: 1,400
• 30 Day Avg. Volume: 2,993
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 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: ¥2,096.00
• Price Target Upside: -5.88% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: ¥2,096.00 ▼(-5.88% Downside)

Sakura Rubber Co., Ltd. shows a solid overall performance, led by strong valuation metrics and a stable technical outlook. Financial performance is balanced with some pressure on profitability and cash flow variability. The absence of earnings call insights and corporate events does not impact the score significantly.

Sakura Rubber Co., Ltd. Business Overview & Revenue Model

Company Description

Sakura Rubber Co., Ltd. (5189) is a Japanese company engaged in the manufacturing and distribution of rubber products. The company specializes in producing a wide range of rubber solutions, including industrial rubber products, automotive components, and consumer goods. Sakura Rubber Co., Ltd. operates primarily in the rubber and plastics sector, serving various industries with high-quality, durable rubber products designed to meet specific client needs.

How the Company Makes Money

Sakura Rubber Co., Ltd. generates revenue through the sale of its diverse array of rubber products. The company's primary revenue streams include industrial rubber solutions for machinery and equipment, automotive rubber components such as seals and gaskets, and consumer rubber goods like footwear and accessories. By leveraging its expertise in rubber technology and manufacturing, Sakura Rubber Co., Ltd. maintains a strong market presence and establishes long-term partnerships with key players in the automotive and industrial sectors. Additionally, the company may engage in research and development to innovate new rubber products, further bolstering its market competitiveness and revenue potential.

Sakura Rubber Co., Ltd. Financial Statement Overview

Summary

Sakura Rubber Co., Ltd. demonstrates a balanced financial profile with strong cost management and a stable balance sheet. However, the company faces profitability pressures and variability in cash flow generation.

Income Statement

Sakura Rubber Co., Ltd. has shown a mixed performance in its income statement. The company achieved a gross profit margin of 21.7% in the latest annual report, reflecting strong cost management. However, the net profit margin has decreased over the years to 3.5%, indicating pressure on bottom-line profitability. Revenue growth has been inconsistent, with a decline in the latest year, signaling potential challenges in market conditions or operational execution. Despite these challenges, the company maintains a reasonable EBIT margin of 5.3% and an EBITDA margin of 8.0%, which are indicative of operational efficiency.

Balance Sheet

The balance sheet of Sakura Rubber Co., Ltd. presents a stable financial position. The debt-to-equity ratio stands at a manageable 0.33, highlighting a conservative approach to leverage. The return on equity is positive at 4.7%, though this figure has been declining, suggesting potential inefficiencies in generating returns for shareholders. The equity ratio is healthy at 54.6%, indicating a strong asset base supported by shareholder equity. The overall financial health appears sound, though there is room for improving asset utilization.

Cash Flow

Cash flow analysis reveals both strengths and weaknesses for Sakura Rubber Co., Ltd. The operating cash flow to net income ratio is 0.99, indicating that operating cash flows are nearly equivalent to net income, which is a positive sign of cash earnings quality. However, free cash flow has shown variability, with a growth rate of 4.97% year-over-year, reflecting potential volatility in cash generation capability. While the free cash flow to net income ratio is 0.60, suggesting some level of cash efficiency, the company should focus on enhancing its free cash flow generation to support future growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.19B	12.19B	13.35B	10.69B	8.87B	10.02B
Gross Profit	2.65B	2.65B	3.04B	2.16B	1.45B	1.97B
EBITDA	977.52M	977.52M	1.40B	865.92M	220.58M	571.92M
Net Income	426.54M	425.92M	733.50M	314.19M	-94.50M	235.78M
Balance Sheet
Total Assets	16.59B	16.59B	17.57B	16.32B	14.38B	14.78B
Cash, Cash Equivalents and Short-Term Investments	3.14B	3.14B	3.02B	3.02B	3.36B	3.34B
Total Debt	3.02B	3.02B	2.94B	3.11B	3.49B	3.42B
Total Liabilities	7.53B	7.53B	8.85B	8.56B	6.93B	7.21B
Stockholders Equity	9.06B	9.06B	8.72B	7.76B	7.44B	7.56B
Cash Flow
Free Cash Flow	0.00	257.43M	245.24M	-381.41M	-111.28M	735.41M
Operating Cash Flow	0.00	423.08M	367.00M	-254.51M	71.59M	1.21B
Investing Cash Flow	0.00	-197.15M	-146.90M	292.04M	-90.22M	-504.60M
Financing Cash Flow	0.00	-101.63M	-223.37M	-370.75M	29.93M	140.49M

Sakura Rubber Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2227.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5189, the sentiment is Positive. The current price of 2227 is below the 20-day moving average (MA) of 2259.00, above the 50-day MA of 2113.44, and above the 200-day MA of 1904.57, indicating a neutral trend. The MACD of 8.69 indicates Positive momentum. The RSI at 54.39 is Neutral, neither overbought nor oversold. The STOCH value of 35.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5189.

Sakura Rubber Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5161	78 Outperform	¥122.73B	33.47	4.50%	5.84%	-1.11%	-33.77%
5185	78 Outperform	¥32.23B	11.65	6.78%	4.12%	0.65%	-21.13%
5189	77 Outperform	¥4.41B	9.49	―	2.69%	-2.63%	-27.45%
7284	66 Neutral	¥4.22B	7.34	3.77%	4.15%	4.93%	―
5162	53 Neutral	¥2.90B	-13.96	-4.84%	3.13%	5.04%	-258.52%
7256	39 Underperform	¥3.33B	-0.62	―	―	13.02%	15.34%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%