SOLIZE Corporation (5871) AI Stock Analysis

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SOLIZE Corporation

(TSE/TYO:5871)

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Rating:48Neutral

Price Target:JPY 1,257.00▼(-5.13% Downside)

Action:reiterated

Date:11/07/26

The overall score is 48, reflecting significant operational and market headwinds. The primary concern is the company's weak financial performance, marked by a net loss and negative cash flows, which overshadows a strong balance sheet. This is compounded by a bearish technical trend, with the stock trading below all major moving averages and showing weak momentum. A high dividend yield provides some valuation support but is a secondary factor given the underlying cash flow issues.

Positive Factors

Revenue GrowthSustained revenue expansion indicates continuing demand for SOLIZE’s engineering, prototyping, and manufacturing-support services. Growth at this scale can broaden customer activity and provide a foundation for improved earnings if operating efficiency and project economics recover.

Negative Factors

Operating Margin CollapseThe sharp operating-margin contraction shows that additional revenue is currently generating very little operating profit. Unless SOLIZE improves utilization, project execution, or cost control, continued growth may not translate into durable earnings and could leave profitability highly fragile.

SOLIZE Corporation (5871) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 6.54B
Dividend Yield: 4.20%
Average Volume (3M): 12.68K
Price to Earnings (P/E): 28.4
Beta (1Y): 0.06
Revenue Growth: 15.03%
EPS Growth: ―
Country: Japan
Employees: 2,526
Sector: General
Sector Strength: 55
Industry: Computer Hardware

SOLIZE Corporation Business Overview & Revenue Model

Company Description

SOLIZE Corporation operates globally, offering specialized engineering and design services that include 3D CAD, CAE, MBD, 3D printing, and innovation engineering to clients located in Japan, North America, China, India, and Europe. The company serves...

How the Company Makes Money

SOLIZE primarily makes money by providing fee-based engineering services to corporate customers and charging for project work and ongoing support engagements. Key revenue streams generally include: (1) engineering and development support services—bil...

SOLIZE Corporation Financial Statement Overview

Summary

Financial performance is mixed. A strong, debt-free balance sheet (Score 85) provides stability, but this is offset by deteriorating profitability and negative cash flows. The income statement (Score 42) shows revenue growth but a net loss, while the cash flow statement (Score 28) indicates a significant strain on cash generation. The overall financial health is weighed down by weak operational efficiency.

Income Statement

42Neutral

Balance Sheet

85Very Positive

Cash Flow

28Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	27.83B	25.78B	22.71B	20.08B	17.83B	15.85B
Gross Profit	7.88B	7.27B	6.45B	5.51B	4.81B	4.01B
EBITDA	1.07B	408.00M	564.00M	1.02B	911.00M	515.00M
Net Income	246.00M	-36.00M	254.00M	580.00M	566.00M	292.00M
Balance Sheet
Total Assets	15.80B	15.70B	15.47B	13.06B	13.68B	12.54B
Cash, Cash Equivalents and Short-Term Investments	4.10B	4.69B	7.24B	6.21B	7.29B	6.90B
Total Debt	90.00M	0	54.00M	101.00M	118.00M	128.00M
Total Liabilities	4.67B	4.37B	3.99B	3.39B	3.36B	2.87B
Stockholders Equity	11.13B	11.33B	11.48B	9.67B	10.32B	9.67B
Cash Flow
Free Cash Flow	0	-489.00M	7.00M	381.00M	706.00M	-271.00M
Operating Cash Flow	0	-208.00M	297.00M	488.00M	863.00M	270.00M
Investing Cash Flow	0	-2.21B	-718.00M	-275.00M	-408.00M	-528.00M
Financing Cash Flow	0	-181.00M	1.38B	-1.34B	-129.00M	-34.00M

SOLIZE Corporation Technical Analysis

Technical Analysis SentimentNeutral

Last Price1325.00

Price Trends

50DMA1346.20Negative

100DMA1345.13Negative

200DMA1367.37Negative

Market Momentum

MACD-10.09Negative

RSI52.55Neutral

STOCH73.46Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5871, the sentiment is Neutral. The current price of 1325.00 is above the 20-day moving average (MA) of 1307.50, below the 50-day MA of 1346.20, and below the 200-day MA of 1367.37, indicating a neutral trend. The MACD of -10.09 indicates Negative momentum. The RSI at 52.55 is Neutral, neither overbought nor oversold. The STOCH value of 73.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5871.

SOLIZE Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:5871 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:6737	80Outperform	JPY 118.99B	10.37	―	3.81%	3.16%	170.14%
JP:6727	73Outperform	JPY 94.73B	9.70	26.51%	3.79%	-2.51%	70.40%
JP:6724	58Neutral	JPY 914.91B	20.59	5.12%	2.71%	9.65%	-11.65%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:5871	48Neutral	JPY 6.81B	28.41	―	4.20%	15.03%	―

* General Sector Average

Performance Comparison

JP:5871 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:5871	SOLIZE Corporation	1325.00	-103.28	-7.23%
JP:6724	Seiko Epson Corp	2842.50	974.97	52.21%
JP:6727	Wacom Co	713.00	-69.32	-8.86%
JP:6737	EIZO Corp.	2949.00	877.18	42.34%

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: Nov 07, 2026

SOLIZE Corporation AI Stock Analysis