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Sanso Electric Co., Ltd. (JP:6518)
:6518
Japanese Market
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Sanso Electric Co., Ltd. (6518) AI Stock Analysis

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JP:6518

Sanso Electric Co., Ltd.

(6518)

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Neutral 66 (OpenAI - Gpt-5.6Sol)
Rating:66Neutral
Price Target:
¥1,875.00
▲(84.73% Upside)
Action:Reiterated
Date:08/20/26
The score is primarily supported by improving profitability and a strong, low-leverage balance sheet, plus a reasonable P/E. Offsetting these positives are uneven cash-flow consistency and weak technical momentum (below key moving averages with negative MACD).
Positive Factors
FY2026 profitability rebound
The recovery in revenue and margins shows restored operating momentum after FY2025 weakness. If sustained, improved profitability can strengthen internal funding, support investment and provide a more durable earnings base.
Negative Factors
Cyclical earnings profile
The large variation in margins across fiscal years indicates earnings remain sensitive to industrial demand, mix or execution. Such cyclicality can make future profitability less predictable and limit the durability of the recent rebound.
Read all positive and negative factors
Positive Factors
Negative Factors
FY2026 profitability rebound
The recovery in revenue and margins shows restored operating momentum after FY2025 weakness. If sustained, improved profitability can strengthen internal funding, support investment and provide a more durable earnings base.
Read all positive factors

Sanso Electric Co., Ltd. (6518) vs. iShares MSCI Japan ETF (EWJ)

Sanso Electric Co., Ltd. Business Overview & Revenue Model

Company Description
Established in 1957 and headquartered in Himeji, Japan, Sanso Electric Co.,Ltd. focuses on the production and distribution of motors, pumps, and integrated system solutions throughout Japan. Their extensive product offerings encompass a variety of...
How the Company Makes Money
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Sanso Electric Co., Ltd. Financial Statement Overview

Summary
Profitability rebounded in FY2026 (revenue +11.6% YoY; net margin ~3.1% vs. ~0.7% in FY2025) and leverage is conservatively low (debt-to-equity ~0.17). However, results have been cyclical with a sharp FY2025 dip, and cash flow is inconsistent (FCF swung from ~-¥1.70B in FY2025 to ~+¥0.73B in FY2026), which tempers the score.
Income Statement
72
Positive
Balance Sheet
78
Positive
Cash Flow
60
Neutral
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue19.25B18.29B16.03B17.67B18.62B17.10B
Gross Profit3.58B3.36B2.59B3.24B3.49B3.18B
EBITDA1.95B1.67B1.16B1.63B1.88B1.85B
Net Income679.03M568.45M118.44M493.07M815.65M884.32M
Balance Sheet
Total Assets20.11B19.98B18.71B19.74B20.59B17.85B
Cash, Cash Equivalents and Short-Term Investments3.37B3.35B2.71B4.96B4.25B2.53B
Total Debt1.88B2.13B2.01B2.49B3.23B1.71B
Total Liabilities7.21B7.37B6.81B8.02B9.46B7.48B
Stockholders Equity12.89B12.61B11.90B11.72B11.12B10.37B
Cash Flow
Free Cash Flow0.00733.42M-1.70B1.37B562.23M-23.27M
Operating Cash Flow0.001.71B302.10M2.04B1.16B570.26M
Investing Cash Flow0.00-690.68M-1.87B-339.08M-715.85M-619.11M
Financing Cash Flow0.00-225.28M-939.59M-1.06B1.26B-409.67M

Sanso Electric Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1015.00
Price Trends
50DMA
1885.92
Negative
100DMA
1843.40
Negative
200DMA
1469.11
Positive
Market Momentum
MACD
-46.46
Positive
RSI
42.29
Neutral
STOCH
29.09
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6518, the sentiment is Negative. The current price of 1015 is below the 20-day moving average (MA) of 1818.20, below the 50-day MA of 1885.92, and below the 200-day MA of 1469.11, indicating a neutral trend. The MACD of -46.46 indicates Positive momentum. The RSI at 42.29 is Neutral, neither overbought nor oversold. The STOCH value of 29.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6518.

Sanso Electric 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
84
Outperform
¥79.19B14.004.56%6.49%36.18%
81
Outperform
¥12.64B8.333.48%3.76%59.72%
78
Outperform
¥34.05B9.353.26%1.97%6.87%
76
Outperform
¥79.57B11.933.58%9.99%41.83%
66
Neutral
¥8.01B11.781.47%17.45%103.34%
63
Neutral
¥163.55B13.6010.16%3.24%7.97%-1.68%
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:6518
Sanso Electric Co., Ltd.
1,749.00
799.99
84.30%
JP:6498
Kitz
1,944.00
342.57
21.39%
JP:6137
Koike Sanso Kogyo Co., Ltd.
1,550.00
260.30
20.18%
JP:6381
ANEST IWATA Corp.
1,992.00
466.01
30.54%
JP:6488
Yoshitake Inc.
1,040.00
170.94
19.67%
JP:6517
Denyo Co., Ltd.
3,995.00
1,228.34
44.40%
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 20, 2026