Tenryu Saw Manufacturing Co., Ltd. (5945) AI Stock Analysis

0 Followers

Tenryu Saw Manufacturing Co., Ltd.

(TSE/TYO:5945)

Select Model

Rating:77Outperform

Price Target:JPY 2,764.00▲(20.17% Upside)

Action:reiterated

Date:08/17/26

The overall score reflects a financially robust but moderately growing manufacturer with a very strong, low-risk balance sheet and consistent profitability as the primary strength, offset by modest revenue growth and some margin compression that limit growth-driven upside. Technicals currently show a gentle downtrend and weak momentum without signs of extreme stress, suggesting near-term caution rather than severe pressure. Valuation is supportive, with a moderate P/E and a roughly 3.5% dividend yield that together offer reasonable total-return potential for a low-beta, conservative profile.

Positive Factors

Near-zero debtAn exceptionally conservative balance sheet reduces interest and refinancing risk, preserving flexibility to fund operations, withstand industrial downturns, and invest selectively without relying heavily on external financing.

Negative Factors

Uneven revenue trendThe multi-year revenue pattern shows sensitivity to industrial activity and customer demand cycles. Recent improvement is encouraging, but prior declines indicate that growth may not be consistently sustained across changing manufacturing conditions.

Tenryu Saw Manufacturing Co., Ltd. (5945) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 20.53B
Dividend Yield: 3.70%
Average Volume (3M): 2,359
Price to Earnings (P/E): 27.1
Beta (1Y): 0.25
Revenue Growth: 7.38%
EPS Growth: -53.61%
Country: Japan
Employees: 953
Sector: General
Sector Strength: 55
Industry: Manufacturing - Tools & Accessories

Tenryu Saw Manufacturing Co., Ltd. Business Overview & Revenue Model

Company Description

Tenryu Saw Mfg. Co., Ltd. is a global producer and distributor of various saw blades and associated industrial tools. Its extensive product portfolio encompasses a wide array of cutting instruments, including carbide tools engineered for both metalli...

How the Company Makes Money

Tenryu Saw Manufacturing Co., Ltd. primarily makes money by selling manufactured cutting-tool products, with saw blades as the core revenue driver. Its revenue model is based on: (1) Product sales to industrial and professional customers: The company...

Tenryu Saw Manufacturing Co., Ltd. Financial Statement Overview

Summary

Financial performance is strong overall: profitability is healthy with consistent net margins around 10–12% and operating margins in the low- to mid-teens, though both have eased from 2022 peaks; revenue growth is modest at roughly 2–3% recently, limiting upside; the balance sheet is a major strength with virtually no debt, steadily rising equity, and very low financial risk; cash flow is consistently positive and supports earnings, but free cash flow is somewhat volatile and not uniformly strong relative to net income.

Income Statement

74Positive

Balance Sheet

88Very Positive

Cash Flow

70Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	13.72B	13.48B	13.13B	11.94B	13.53B	14.39B
Gross Profit	4.56B	4.50B	4.61B	3.78B	4.56B	5.47B
EBITDA	2.78B	2.67B	2.74B	2.23B	2.67B	3.62B
Net Income	1.55B	1.52B	1.51B	1.23B	1.66B	2.13B
Balance Sheet
Total Assets	44.13B	42.90B	40.01B	37.63B	34.74B	33.62B
Cash, Cash Equivalents and Short-Term Investments	11.98B	12.23B	12.15B	10.99B	10.49B	10.29B
Total Debt	27.74M	26.62M	22.55M	0	0	0
Total Liabilities	4.55B	3.80B	3.24B	3.38B	2.94B	3.53B
Stockholders Equity	39.58B	39.09B	36.77B	34.25B	31.80B	30.09B
Cash Flow
Free Cash Flow	0	2.03B	2.22B	739.71M	614.40M	1.31B
Operating Cash Flow	0	2.48B	2.80B	1.37B	2.09B	2.55B
Investing Cash Flow	0	-3.31B	-1.58B	-1.35B	-1.99B	-1.64B
Financing Cash Flow	0	-1.06B	-831.31M	-597.83M	-646.02M	-369.38M

Tenryu Saw Manufacturing Co., Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price2300.00

Price Trends

50DMA2265.68Positive

100DMA2356.58Negative

200DMA2399.04Negative

Market Momentum

MACD5.68Negative

RSI58.12Neutral

STOCH76.53Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5945, the sentiment is Positive. The current price of 2300.00 is above the 20-day moving average (MA) of 2248.40, above the 50-day MA of 2265.68, and below the 200-day MA of 2399.04, indicating a neutral trend. The MACD of 5.68 indicates Negative momentum. The RSI at 58.12 is Neutral, neither overbought nor oversold. The STOCH value of 76.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5945.

Tenryu Saw Manufacturing Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:5945 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:6586	78Outperform	JPY 1.51T	16.38	―	3.75%	9.23%	13.88%
JP:6136	77Outperform	JPY 323.81B	11.07	13.79%	2.83%	20.29%	99.83%
JP:5945	77Outperform	JPY 23.46B	27.07	―	3.70%	7.38%	-53.61%
JP:6278	68Neutral	JPY 223.47B	17.58	―	1.26%	46.79%	74.98%
JP:5851	64Neutral	JPY 81.48B	7.77	5.80%	3.95%	6.03%	49.47%
JP:6474	58Neutral	JPY 124.87B	13.95	4.67%	1.90%	8.26%	102.64%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

JP:5945 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:5945	Tenryu Saw Manufacturing Co., Ltd.	2300.00	252.33	12.32%
JP:6136	OSG Corp	3497.00	1359.35	63.59%
JP:5851	Ryobi	2584.00	26.94	1.05%
JP:6474	Nachi-Fujikoshi Corp.	5250.00	1412.40	36.80%
JP:6278	Union Tool Co.	11470.00	3945.34	52.43%
JP:6586	Makita Corporation	5570.00	1374.91	32.77%

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

Tenryu Saw Manufacturing Co., Ltd. AI Stock Analysis