Sansei Co., Ltd. (6307) AI Stock Analysis

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Sansei Co., Ltd.

(TSE/TYO:6307)

Select Model

Rating:70Outperform

Price Target:JPY 414.00▲(9.81% Upside)

Action:reiterated

Date:11/07/26

The score is driven primarily by strong financial performance (surging profitability and a low-leverage balance sheet) and very attractive valuation (P/E 3.97 with a ~3.26% dividend). These positives are tempered by weak technical conditions (price below all major moving averages with negative MACD) and uneven cash-flow conversion, including recently negative free cash flow.

Positive Factors

Strong revenue and profit growthThe sharp improvement in revenue, operating profit, and net income indicates stronger recent execution and demand for the company’s products. If maintained, this higher earnings base can support reinvestment, strengthen competitive positioning, and provide greater resilience across upcoming equipment cycles.

Negative Factors

Volatile cash generationReported earnings have not translated consistently into cash, with repeated periods of negative operating or free cash flow. Continued volatility can create funding pressure, reduce flexibility for investment or shareholder distributions, and make the durability of recent profit improvements more dependent on working-capital and investment patterns.

Sansei Co., Ltd. (6307) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 2.95B
Dividend Yield: 3.99%
Average Volume (3M): 13.51K
Price to Earnings (P/E): 3.6
Beta (1Y): 0.74
Revenue Growth: 9.78%
EPS Growth: 4.90%
Country: Japan
Employees: 228
Sector: Industrials
Sector Strength: 63
Industry: Industrial - Machinery

Sansei Co., Ltd. Business Overview & Revenue Model

Company Description

Sansei Co.,Ltd. specializes in the comprehensive design, manufacturing, installation, rental, maintenance, and sale of sophisticated window-cleaning gondolas for mid and high-rise buildings throughout Japan. Beyond this core offering, the company's d...

How the Company Makes Money

Sansei Co., Ltd. primarily makes money by selling amusement-machine-related products to customers in the pachinko/pachislot industry. Key revenue streams are expected to include (1) sales of equipment and components used in pachinko and pachislot mac...

Sansei Co., Ltd. Financial Statement Overview

Summary

Earnings strength and balance-sheet conservatism are positives: revenue grew to 7.05B (~+20% YoY) and net income more than doubled to 769M, while leverage remains low (debt-to-equity ~0.08–0.12) and equity has steadily increased. The main offset is cash-flow inconsistency, with negative operating cash flow in 2025 (-466M) and still slightly negative free cash flow in 2026 (-55M), raising questions about earnings-to-cash conversion.

Income Statement

78Positive

Balance Sheet

86Very Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	7.12B	7.05B	5.78B	5.64B	5.35B	4.49B
Gross Profit	2.16B	2.05B	1.35B	1.30B	1.32B	1.15B
EBITDA	1.22B	1.14B	595.79M	497.57M	545.09M	431.02M
Net Income	820.83M	769.07M	346.00M	326.40M	350.49M	215.34M
Balance Sheet
Total Assets	6.86B	7.43B	6.40B	6.85B	6.51B	5.94B
Cash, Cash Equivalents and Short-Term Investments	2.00B	991.27M	1.08B	1.67B	1.76B	1.13B
Total Debt	544.32M	462.42M	377.03M	373.83M	398.31M	477.26M
Total Liabilities	1.73B	2.10B	1.72B	2.38B	2.27B	1.95B
Stockholders Equity	5.12B	5.33B	4.68B	4.47B	4.24B	3.99B
Cash Flow
Free Cash Flow	0	-54.87M	-618.02M	38.37M	724.39M	-212.05M
Operating Cash Flow	0	531.41M	-465.98M	121.19M	771.79M	-177.15M
Investing Cash Flow	0	-594.38M	16.14M	-82.79M	52.87M	-27.70M
Financing Cash Flow	0	-31.41M	-135.41M	-133.28M	-187.02M	-55.28M

Sansei Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price377.00

Price Trends

50DMA459.72Negative

100DMA454.04Negative

200DMA508.49Negative

Market Momentum

MACD-16.60Positive

RSI25.68Positive

STOCH16.54Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6307, the sentiment is Negative. The current price of 377.00 is below the 20-day moving average (MA) of 441.00, below the 50-day MA of 459.72, and below the 200-day MA of 508.49, indicating a bearish trend. The MACD of -16.60 indicates Positive momentum. The RSI at 25.68 is Positive, neither overbought nor oversold. The STOCH value of 16.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6307.

Sansei Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

JP:6307 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:7914	76Outperform	JPY 41.57B	8.38	―	4.89%	-0.61%	48.02%
JP:6307	70Outperform	JPY 2.92B	3.61	―	3.99%	9.78%	4.90%
JP:7912	66Neutral	JPY 1.16T	14.51	7.01%	1.50%	3.56%	-7.20%
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
JP:7916	57Neutral	JPY 5.51B	31.31	―	2.72%	-3.93%	11.47%
JP:7919	55Neutral	JPY 3.49B	5.32	―	3.79%	-1.46%	43.56%
JP:7911	46Neutral	JPY 1.15T	15.21	5.81%	2.15%	8.97%	-9.58%

* Industrials Sector Average

Performance Comparison

JP:6307 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:6307	Sansei Co., Ltd.	377.00	-165.67	-30.53%
JP:7912	Dai Nippon Printing Co	2726.00	115.79	4.44%
JP:7911	Toppan Printing Co	2051.00	212.84	11.58%
JP:7914	Kyodo Printing Co., Ltd.	1637.00	249.45	17.98%
JP:7916	Mitsumura Printing Co., Ltd.	1835.00	245.40	15.44%
JP:7919	Nozaki Insatsu Shigyo Co., Ltd.	203.00	17.76	9.59%

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

Sansei Co., Ltd. AI Stock Analysis