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Sanwa Holdings (5929) AI Stock Analysis

JP:5929

Sanwa Holdings

(TSE/TYO:5929)

Select Model
Rating:80Outperform
Price Target:JPY 4,525.00â–²(17.29% Upside)
Action:reiterated
Date:10/31/26

The score is driven primarily by strong profitability, a conservative balance sheet, and solid returns on equity. Positive technical momentum and reasonable valuation support the result, while recent revenue and cash-flow softness and an overbought RSI prevent a higher score.

Positive Factors
Margin ExpansionSustained improvement in gross, EBIT, and net margins indicates stronger operating efficiency and better profitability than in the earlier period. This provides Sanwa with greater resilience against moderate demand pressure and supports reinvestment, dividends, and earnings durability over the next several quarters.
Negative Factors
Revenue NormalizationThe latest revenue decline suggests demand has normalized after several stronger years, weakening the top-line foundation for future earnings growth. If this persists, Sanwa may need continued margin discipline and efficiency gains to offset slower volume expansion across its building-product markets.

Sanwa Holdings (5929) vs. iShares MSCI Japan ETF (EWJ)

-20%-10%0%10%20%30%JP:5929+2.44%EWJ+17.00%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 4.60B
Dividend Yield
3.24%
Average Volume (3M)
654.59K
Price to Earnings (P/E)
14.9
Beta (1Y)
0.82
Revenue Growth
1.68%
EPS Growth
-5.81%
Country
Japan
Employees
13,174
Sector
Industrials
Sector Strength
63
Industry
Construction Materials

Sanwa Holdings Business Overview & Revenue Model

Company Description

Sanwa Holdings Corporation, operating through its various subsidiaries, specializes in the manufacturing and sale of steel construction components for both commercial and residential buildings. Its market reach extends across Japan, North America, Eu...

How the Company Makes Money

Sanwa Holdings makes money primarily by manufacturing and selling building access and enclosure products—most notably various types of doors and shutters—to customers involved in new construction, renovation, and facility upgrades. Revenue is generat...

Sanwa Holdings Financial Statement Overview

Summary

Strong overall financial condition, supported by expanding margins, low leverage, rising return on equity, and positive free cash flow. The recent declines in revenue and cash flow limit the score.

Income Statement

78Positive

Balance Sheet

86Very Positive

Cash Flow

72Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue655.42B662.38B660.71B611.11B588.16B468.96B
Gross Profit218.17B219.14B218.88B197.99B180.47B139.00B
EBITDA96.92B98.79B97.47B79.58B64.47B47.10B
Net Income58.23B57.51B59.78B43.23B33.08B22.84B
Balance Sheet
Total Assets521.47B534.61B547.80B491.70B442.27B386.24B
Cash, Cash Equivalents and Short-Term Investments115.44B134.39B125.08B107.80B72.25B61.90B
Total Debt44.61B56.98B57.07B56.83B59.59B51.50B
Total Liabilities204.17B210.41B196.81B206.20B199.92B182.92B
Stockholders Equity314.95B322.14B348.56B283.81B240.91B201.94B
Cash Flow
Free Cash Flow061.29B47.16B59.06B24.38B11.24B
Operating Cash Flow076.94B61.40B72.43B34.42B20.53B
Investing Cash Flow0-30.17B-17.92B-24.82B-15.94B-21.35B
Financing Cash Flow0-42.89B-52.70B-26.24B-9.89B-27.36B

Sanwa Holdings Technical Analysis

Technical Analysis SentimentPositive
Last Price3858.00

Price Trends

50DMA3506.83Positive
100DMA3568.52Positive
200DMA3598.74Positive

Market Momentum

MACD55.90Negative
RSI76.50Negative
STOCH25.32Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5929, the sentiment is Positive. The current price of 3858.00 is above the 20-day moving average (MA) of 3561.70, above the 50-day MA of 3506.83, and above the 200-day MA of 3598.74, indicating a bullish trend. The MACD of 55.90 indicates Negative momentum. The RSI at 76.50 is Negative, neither overbought nor oversold. The STOCH value of 25.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5929.

Sanwa Holdings Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:5929 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:5930JP:593080OutperformJPY 127.09B10.7310.85%3.91%3.01%2.30%
JP:5929JP:592980OutperformJPY 822.17B14.9216.38%3.24%1.68%-5.81%
JP:5943JP:594372OutperformJPY 101.08B14.785.17%3.72%-0.79%21.74%
JP:1969JP:196968NeutralJPY 553.94B14.96―3.33%2.27%2.33%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:5332JP:533249NeutralJPY 913.02B17.919.99%2.09%4.83%1223.36%
JP:5938JP:593846NeutralJPY 478.16B2409.420.03%5.41%2.42%-97.84%

* Industrials Sector Average

Performance Comparison

0%50%100%JP:5929JP:5938JP:5943JP:5332JP:5930JP:1969Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:5929 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:5929Sanwa Holdings Corporation3935.006.320.16%
JP:5938LIXIL Group Corp1662.5025.131.53%
JP:5943Noritz Corporation2310.00377.3919.53%
JP:5332TOTO 5746.001903.2349.53%
JP:5930Bunka Shutter Co., Ltd.1892.00-37.22-1.93%
JP:1969Takasago Thermal Engineering Co., Ltd.3992.00-449.63-10.12%

Sanwa Holdings Corporate Events

Sanwa Holdings Cuts Profit Target and Boosts Shareholder Returns in Updated 2027 Plan

Oct 30, 2026

Sanwa Holdings has approved a supplementary version of its Medium-term Management Plan 2027, resetting performance targets for the 2025–2027 period under its Sanwa Global Vision 2030 framework. The company has lowered its consolidated operating...

Sanwa Holdings to Cancel 3 Million Treasury Shares in Capital Optimization Move

Oct 30, 2026

Sanwa Holdings Corporation has approved the cancellation of 3 million shares of its treasury stock, representing 1.4 percent of its outstanding shares, with the effective date set for December 11, 2026. Following the cancellation, the company will ha...

Sanwa Holdings Launches Up to ¥10 Billion Share Buyback

Oct 30, 2026

Sanwa Holdings Corporation has announced that its Board of Directors approved a share buyback program aimed at enhancing shareholder returns and improving capital efficiency. The plan reflects a more flexible capital policy and underscores management...

Sanwa Holdings Lifts DOE Target and Boosts Year-end Dividend Forecast

Oct 30, 2026

Sanwa Holdings Corporation has strengthened its shareholder return framework by raising its dividend on equity (DOE) target from 10% to 15%, a change that will apply from the year-end dividend for the fiscal year ending March 31, 2027. The move is in...

Sanwa Holdings Aligns FY2026 Results With Updated 2027 Plan and 2030 Vision

Oct 30, 2026

Sanwa Holdings has released its FY2026 first-half business results alongside an updated consolidated forecast for the full year, signaling ongoing efforts to manage performance against a backdrop of defined strategic objectives. The materials highlig...

Sanwa Holdings Cuts FY 2027 Profit Outlook on Overseas Weakness, Keeps Sales Forecast Intact

Oct 30, 2026

Sanwa Holdings has announced a downward revision to its consolidated earnings forecast for the fiscal year ending March 31, 2027, while leaving its net sales projection unchanged at ¥677 billion. The company now expects operating profit of &#165...

Sanwa Holdings Lifts Dividend Outlook as Profits Come Under Pressure

Oct 30, 2026

Sanwa Holdings reported consolidated net sales of ¥317.4 billion for the six months ended September 30, 2026, up 2.6% year on year, but operating profit fell 12.9% to ¥29.3 billion and profit attributable to owners dropped 16.3% to ¥22...

Sanwa Holdings Nears Completion of ¥10 Billion Share Buyback Program

Sep 11, 2026

Sanwa Holdings Corporation has completed a share buyback program authorized by its Board of Directors, repurchasing common stock on the Tokyo Stock Exchange. The latest tranche, executed between Sept. 1 and Sept. 10, 2026, saw the company acquire 325...

Sanwa Holdings Advances Share Buyback, Nears Program Limits

Sep 1, 2026

Sanwa Holdings Corporation reported progress on its ongoing share buyback program authorized by its board in mid May, conducted under provisions of the Companies Act. The company is repurchasing its own common stock via market purchases on the Tokyo...

Sanwa Holdings Keeps Dividend Outlook Intact Despite Sharp Profit Drop in First Quarter

Aug 10, 2026

Sanwa Holdings reported consolidated net sales of ¥140.4 billion for the three months ended June 30, 2026, essentially flat year on year, while operating profit fell 40.8% to ¥5.88 billion and profit attributable to owners of the parent dec...

Sanwa Holdings Advances Share Buyback, Repurchases 1.69 Million Shares

Aug 3, 2026

Sanwa Holdings has disclosed progress on a share buyback program authorized in mid-May, reporting the repurchase of 705,000 common shares on the Tokyo Stock Exchange between July 1 and July 31, 2026, at a total cost of about ¥2.65 billion. This...

Sanwa Holdings Q1 Profit Slides but Full-Year Outlook and Dividend Raised

Jul 31, 2026

Sanwa Holdings reported consolidated net sales of ¥140.4 billion for the three months ended June 30, 2026, essentially flat year on year but with a sharp decline in profitability, as operating profit fell 40.8% to ¥5.9 billion and profit at...

Sanwa Holdings Q1 FY2026 Sales Flat as Global Volumes Weaken

Jul 31, 2026

Sanwa Holdings reported virtually flat consolidated net sales for the first quarter of FY2026, with revenue slipping to 140.4 billion yen as lower sales volumes across regions offset steady price pass-through. Japan saw modest growth, and climate cha...

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: Oct 31, 2026