SANDEN HOLDINGS (6444) AI Stock Analysis

• Market Cap: $16.16B
• Dividend Yield: N/A
• Average Volume (3M): 148.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.55
• Revenue Growth: -1.40%
• EPS Growth: -78.93%
• Country: JP
• Employees: 5,344
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): -20.06
• Shares Outstanding: 111,693,310
• 10 Day Avg. Volume: 171,410
• 30 Day Avg. Volume: 148,033
• PEG Ratio: 0.28
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.09
• P/FCF Ratio: -1.14
• Enterprise Value/Market Cap: 4.75
• Enterprise Value/Revenue: 0.42
• Enterprise Value/Gross Profit: 2.87
• Enterprise Value/Ebitda: 16.94
• 1Y Price Target: $137.59
• Price Target Upside: -5.11% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 41 Neutral
• Price Target: ¥138.00 ▼(-4.83% Downside)

SANDEN HOLDINGS' overall stock score is primarily impacted by its weak financial performance, characterized by operational inefficiencies and liquidity issues. The technical analysis presents a mixed picture with bearish short-term trends but some longer-term support. Valuation concerns further weigh on the score due to ongoing losses and lack of dividends.

SANDEN HOLDINGS Business Overview & Revenue Model

Company Description

Sanden Corporation, together with its subsidiaries, manufactures and sells automotive equipment systems in Japan and internationally. It offers automotive air-conditioning systems, including system products, condensers, evaporators, heater cores, electric coolant heaters, pipes for air conditioning, and intercoolers, as well as heating, ventilating and air-conditioning units. The company also provides compressor products for automotive air conditioning, such as electric, swash plate and wobble plate type variable displacement, wobble and scroll plate type fixed displacement, and CO2 compressors. In addition, it provides living and environment systems. The company was formerly known as Sanden Holdings Corporation and changed its name to Sanden Corporation in January 2022. The company was founded in 1943 and is headquartered in Isesaki, Japan. Sanden Corporation is a subsidiary of Hisense Japan Automotive Air-Conditioning Systems Corporation.

How the Company Makes Money

SANDEN HOLDINGS generates revenue primarily through the sale of automotive air conditioning systems to major automotive manufacturers, along with commercial refrigeration units for food service and retail applications. The company benefits from long-term contracts and partnerships with leading automotive brands, ensuring a steady stream of income as they supply components for new vehicle models. Additionally, SANDEN’s focus on energy-efficient technologies allows it to capitalize on growing demand for eco-friendly solutions. The firm also earns revenue from aftermarket sales and servicing of its products, which include replacement parts and maintenance services. Strategic partnerships and collaborations with other technology firms further enhance its product offerings, contributing to additional revenue streams.

SANDEN HOLDINGS Financial Statement Overview

Summary

SANDEN HOLDINGS faces significant financial challenges. The income statement highlights persistent losses and operational inefficiencies. The balance sheet reveals high leverage and limited equity, while cash flow issues indicate potential liquidity constraints. The company needs strategic adjustments to enhance financial stability and profitability.

Income Statement

SANDEN HOLDINGS has shown a declining trend in revenue with a moderate growth rate of 2.55% in the latest year. However, the company struggles with profitability, reflected in negative EBIT and net income margins, indicating a challenging operating environment. The gross profit margin has seen slight improvement, but overall, the income statement indicates operational inefficiencies.

Balance Sheet

The balance sheet presents a high debt-to-equity ratio, signaling significant leverage risk. Although the equity ratio is improving, it remains relatively low, indicating potential balance sheet instability. The negative return on equity further emphasizes profitability issues.

Cash Flow

The cash flow situation is concerning, with negative free cash flow and a deteriorating operating cash flow to net income ratio. This indicates cash management challenges and potential liquidity issues, affecting the company's ability to reinvest or pay down debt.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	183.85B	179.28B	175.68B	159.45B	137.48B
Gross Profit	26.71B	20.44B	21.65B	13.06B	7.67B
EBITDA	7.81B	-6.08B	1.95B	-11.78B	-12.91B
Net Income	-777.00M	-3.36B	-1.67B	21.18B	-45.25B
Balance Sheet
Total Assets	175.46B	162.54B	157.43B	151.19B	155.08B
Cash, Cash Equivalents and Short-Term Investments	17.89B	22.75B	18.62B	27.54B	19.90B
Total Debt	73.37B	62.13B	55.33B	48.59B	110.15B
Total Liabilities	151.88B	141.70B	134.06B	127.35B	172.04B
Stockholders Equity	22.63B	20.19B	22.48B	22.90B	-18.45B
Cash Flow
Free Cash Flow	-14.48B	-2.54B	-16.11B	-12.94B	-4.71B
Operating Cash Flow	-4.46B	9.37B	-10.13B	-7.41B	3.23B
Investing Cash Flow	-12.79B	-11.60B	-4.49B	-5.21B	-5.66B
Financing Cash Flow	9.48B	5.79B	5.08B	19.73B	-3.63B

SANDEN HOLDINGS Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 145.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6444, the sentiment is Negative. The current price of 145 is below the 20-day moving average (MA) of 148.50, below the 50-day MA of 155.44, and above the 200-day MA of 134.91, indicating a neutral trend. The MACD of -1.56 indicates Negative momentum. The RSI at 45.60 is Neutral, neither overbought nor oversold. The STOCH value of 68.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6444.

SANDEN HOLDINGS Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7283	80 Outperform	¥125.37B	10.60	―	3.63%	1.71%	-11.98%
6995	77 Outperform	¥223.16B	8.63	―	3.58%	-1.35%	21.33%
5991	77 Outperform	¥516.97B	12.57	―	2.59%	3.38%	-3.92%
7220	72 Outperform	¥221.59B	34.02	―	1.48%	-4.23%	-28.48%
7313	65 Neutral	¥216.22B	32.54	―	4.79%	-2.24%	-43.32%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
6444	41 Neutral	$16.16B	―	-22.47%	―	-1.40%	-78.93%

SANDEN HOLDINGS Corporate Events

Sanden Corporation Announces Leadership Changes Amid Strategic Shift

Sanden Corporation announced a leadership change as Mr. Zhu Dan resigned from his roles as Representative Director and President, effective immediately, with Mr. Xu Zhan nominated to succeed him. This change is part of the company’s strategy to accelerate management and strengthen its board functions, aligning with its mid-term plan ‘SHIFT 2028’ to enhance its position in the automotive industry.

Sanden Corporation Sets Record Date for Extraordinary Shareholders Meeting

Sanden Corporation has announced the record date for its upcoming Extraordinary General Meeting of Shareholders, which is set for August 26, 2025. This meeting, scheduled for October 10, 2025, will include a proposal for the election of directors, impacting the company’s governance and potentially its strategic direction.

Sanden Corporation Announces Executive Leadership Changes

Sanden Corporation announced changes in its executive leadership, with Xu Wenwen appointed as the new Executive Vice President, taking over responsibilities for corporate management, accounting, finance, and internal controls from Zhang Ning, who has resigned. This leadership change may impact Sanden’s strategic direction and operational efficiency, potentially influencing its market position and stakeholder confidence.

Sanden Corporation Records Special Loss Following Early Retirement Program

Sanden Corporation has concluded its voluntary early retirement program, initially announced in May 2025, with 330 employees opting for retirement against the expected 300. This initiative will result in a special loss of approximately 1.9 billion yen, impacting the company’s financial performance for the second quarter of the fiscal year ending December 31, 2025. The company plans to assess the full-year impact, considering external factors like U.S. trade policy developments, and will provide further updates with the interim financial results.

Sanden Corporation Announces Early Retirement Program and Executive Pay Cuts

Sanden Corporation has announced a voluntary early retirement program and executive compensation reductions as part of its structural reform measures to enhance business competitiveness amidst changing market conditions. The company anticipates a special loss due to retirement allowances but will provide outplacement support to affected employees, with further financial details to be confirmed.