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Sanyo Denki Co., Ltd. (JP:6516)
:6516
Japanese Market
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Sanyo Denki Co., Ltd. (6516) AI Stock Analysis

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JP:6516

Sanyo Denki Co., Ltd.

(6516)

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Neutral 69 (OpenAI - Gpt-5.6Sol)
Rating:69Neutral
Price Target:
¥5,574.00
▲(32.87% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by strong financial fundamentals—especially the very low leverage and solid margins with renewed revenue growth—partly offset by weaker and more volatile cash-flow conversion. Technicals are mixed with negative MACD and price below the 50DMA, while valuation (P/E ~18.4; ~1.87% yield) is broadly neutral.
Positive Factors
Very Low Leverage
The very low debt burden gives Sanyo Denki substantial financial resilience and flexibility. Limited leverage reduces interest and refinancing pressure, allowing the company to support product investment, absorb cyclical demand changes, and preserve strategic options through the next several quarters.
Negative Factors
Weak Cash-Flow Conversion
Cash generation is materially less consistent than reported earnings, which can reduce the funds available for reinvestment, shareholder returns, or balance-sheet strengthening. Continued working-capital or investment timing effects would make financial performance more volatile even if accounting profits remain healthy.
Read all positive and negative factors
Positive Factors
Negative Factors
Very Low Leverage
The very low debt burden gives Sanyo Denki substantial financial resilience and flexibility. Limited leverage reduces interest and refinancing pressure, allowing the company to support product investment, absorb cyclical demand changes, and preserve strategic options through the next several quarters.
Read all positive factors

Sanyo Denki Co., Ltd. (6516) vs. iShares MSCI Japan ETF (EWJ)

Sanyo Denki Co., Ltd. Business Overview & Revenue Model

Company Description
Sanyo Denki Co., Ltd., headquartered in Tokyo, Japan, is a global company with operations across Japan, North America, Europe, East Asia, and Southeast Asia. The firm specializes in manufacturing and supplying a diverse array of products and servi...
How the Company Makes Money
Sanyo Denki primarily makes money by designing, manufacturing, and selling three main product families: (1) cooling systems, (2) motion control systems, and (3) power systems. 1) Product sales to OEMs and industrial customers (core revenue drive...

Sanyo Denki Co., Ltd. Financial Statement Overview

Summary
Strong overall financial quality led by a very conservatively levered balance sheet (debt-to-equity ~0.05) and solid profitability (TTM gross margin ~27.9%, EBIT margin ~11.4%, net margin ~8.1%) with a return to revenue growth (+7.5% TTM). The main constraint is weaker cash-flow conversion and volatility (TTM FCF down ~32% YoY; operating cash flow relatively light vs profitability).
Income Statement
78
Positive
Balance Sheet
92
Very Positive
Cash Flow
55
Neutral
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue115.43B107.35B97.85B112.90B120.80B101.12B
Gross Profit33.05B29.95B24.81B28.74B31.09B25.93B
EBITDA19.75B17.17B14.26B19.37B20.43B17.54B
Net Income10.60B8.66B5.64B10.48B11.41B9.02B
Balance Sheet
Total Assets175.90B166.37B145.63B150.69B143.87B128.67B
Cash, Cash Equivalents and Short-Term Investments25.28B28.72B28.90B26.69B20.55B18.78B
Total Debt5.31B5.99B7.28B14.53B20.15B20.25B
Total Liabilities42.45B38.51B32.28B40.31B50.65B48.01B
Stockholders Equity133.45B127.86B113.35B110.36B93.21B80.65B
Cash Flow
Free Cash Flow6.33B9.36B13.12B15.72B5.08B4.96B
Operating Cash Flow8.17B10.83B15.79B21.45B8.26B8.23B
Investing Cash Flow-8.86B-7.66B-3.73B-6.47B-4.42B-4.83B
Financing Cash Flow-5.69B-4.92B-9.69B-10.67B-2.67B-622.00M

Sanyo Denki Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price4195.00
Price Trends
50DMA
5405.48
Negative
100DMA
5787.82
Negative
200DMA
5379.63
Negative
Market Momentum
MACD
-62.56
Positive
RSI
33.18
Neutral
STOCH
6.40
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6516, the sentiment is Negative. The current price of 4195 is below the 20-day moving average (MA) of 5457.34, below the 50-day MA of 5405.48, and below the 200-day MA of 5379.63, indicating a bearish trend. The MACD of -62.56 indicates Positive momentum. The RSI at 33.18 is Neutral, neither overbought nor oversold. The STOCH value of 6.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6516.

Sanyo Denki Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥52.77B8.14―1.51%15.89%2.08%
73
Outperform
¥1.92T18.7514.09%1.58%10.40%15.01%
69
Neutral
¥192.76B17.14―2.93%16.79%100.39%
68
Neutral
¥10.39T23.889.88%1.21%9.57%18.11%
63
Neutral
¥1.10T30.377.43%1.67%5.82%-37.13%
61
Neutral
¥55.12B-20.67―4.10%17.15%-463.16%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6516
Sanyo Denki Co., Ltd.
4,985.00
1,453.84
41.17%
JP:6503
Mitsubishi Electric
4,881.00
971.86
24.86%
JP:6504
Fuji Electric Co
13,295.00
2,848.66
27.27%
JP:6506
Yaskawa Electric
4,033.00
-365.27
-8.30%
JP:6637
Terasaki Electric Co., Ltd.
3,860.00
-111.23
-2.80%
JP:6905
Cosel Co., Ltd.
1,303.00
118.13
9.97%

Sanyo Denki Co., Ltd. Corporate Events

Sanyo Denki Posts Surge in Q1 Earnings and Holds Confident FY2027 Outlook
Sep 1, 2026
Sanyo Denki reported strong first-quarter results for fiscal 2027, with revenue rising 33.5% year on year to ¥32.24 billion and operating profit surging 138.1% to ¥4.21 billion. Profit attributable to owners of the parent climbed 184.6% ...
Sanyo Denki Completes Treasury Share Disposal for Restricted Stock Compensation
Aug 6, 2026
Sanyo Denki Co., Ltd. has completed the payment procedures for the disposal of 15,221 treasury shares used as stock compensation with transfer restrictions. The shares, all common stock, were disposed of on August 6, 2026, at a price of 5,840 yen ...
Sanyo Denki Delivers Surge in Q1 Earnings and Raises FY2027 Dividend Outlook
Jul 30, 2026
Sanyo Denki reported a strong start to FY2027, with first-quarter revenue rising 33.5% year on year to ¥32.2 billion and operating profit surging 138.1% to ¥4.2 billion. Profit attributable to owners of the parent jumped 184.6% to ¥...
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 06, 2026