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Shindengen Electric Mfg Co Ltd (6844) AI Stock Analysis

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JP:6844

Shindengen Electric Mfg Co Ltd

(TSE/TYO:6844)

Select Model
Rating:63Neutral
Price Target:JPY 2,800.00â–²(6.50% Upside)
Action:downgraded
Date:09/26/26

The score is driven primarily by improving—but still uneven—financial performance, with cash flow conversion and consistency the key constraint. Valuation is a major positive due to the low P/E and healthy dividend yield. Technicals remain a headwind as the stock is still below key longer-term moving averages with a negative MACD despite neutral RSI.

Positive Factors
Revenue and Profit RecoveryThe return to profitability alongside FY2026 revenue growth indicates that demand and operating performance have improved from the prior loss-making period. If this recovery persists, it can rebuild earnings capacity and provide a stronger base for investment and shareholder returns over the next several quarters.
Negative Factors
Weak Cash ConversionWeak and inconsistent cash conversion reduces confidence that reported earnings will translate into durable internally generated funds. Persistently low free cash flow can constrain reinvestment, dividends or debt reduction, while increasing the company’s exposure to working-capital and investment execution demands.

Shindengen Electric Mfg Co Ltd (6844) vs. iShares MSCI Japan ETF (EWJ)

-20%-10%0%10%20%30%40%50%JP:6844-11.02%EWJ+15.75%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 26.86B
Dividend Yield
3.80%
Average Volume (3M)
96.03K
Price to Earnings (P/E)
7.0
Beta (1Y)
1.68
Revenue Growth
9.76%
EPS Growth
257.70%
Country
Japan
Employees
5,091
Sector
Technology
Sector Strength
61
Industry
Hardware, Equipment & Parts

Shindengen Electric Mfg Co Ltd Business Overview & Revenue Model

Company Description

Established in 1949 and headquartered in Tokyo, Japan, Shindengen Electric Manufacturing Co., Ltd. is a global producer and seller of semiconductors, electrical equipment, and power supply products. The company's reach extends across Japan, Indonesia...

Shindengen Electric Mfg Co Ltd Financial Statement Overview

Summary

Fundamentals are improving with FY2026 returning to solid profitability and revenue up ~5.3%, and leverage appears manageable (debt-to-equity ~0.55–0.70). The main weakness is cash flow quality: operating cash flow has been volatile and free cash flow has been negative in most years, only modestly positive in FY2026, which lowers confidence in the durability of the earnings rebound.

Income Statement

64Positive

Balance Sheet

67Positive

Cash Flow

44Neutral
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue115.94B113.84B105.83B102.26B101.01B92.17B
Gross Profit17.63B17.67B14.35B15.05B17.79B18.64B
EBITDA12.63B12.86B4.00B7.32B10.04B12.62B
Net Income5.03B5.66B-2.44B-712.00M1.64B5.90B
Balance Sheet
Total Assets151.43B144.65B136.50B144.67B138.09B135.04B
Cash, Cash Equivalents and Short-Term Investments33.47B26.92B20.40B26.34B25.15B29.61B
Total Debt49.68B44.35B40.28B38.90B37.53B39.88B
Total Liabilities77.95B72.09B70.35B73.75B75.55B77.81B
Stockholders Equity73.48B72.56B66.14B70.92B62.54B57.23B
Cash Flow
Free Cash Flow0958.00M-6.80B-2.24B-2.18B-796.00M
Operating Cash Flow06.32B-2.18B2.21B2.74B8.29B
Investing Cash Flow0-2.12B-4.53B-1.78B-4.09B-7.91B
Financing Cash Flow01.90B-186.00M-252.00M-3.55B1.27B

Shindengen Electric Mfg Co Ltd Technical Analysis

Technical Analysis SentimentNegative
Last Price2629.00

Price Trends

50DMA2927.38Negative
100DMA3234.19Negative
200DMA3317.69Negative

Market Momentum

MACD-112.47Positive
RSI38.18Neutral
STOCH38.17Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6844, the sentiment is Negative. The current price of 2629.00 is below the 20-day moving average (MA) of 2766.90, below the 50-day MA of 2927.38, and below the 200-day MA of 3317.69, indicating a bearish trend. The MACD of -112.47 indicates Positive momentum. The RSI at 38.18 is Neutral, neither overbought nor oversold. The STOCH value of 38.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6844.

Shindengen Electric Mfg Co Ltd Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:6844 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6762JP:676268NeutralJPY 4.28T17.42―1.69%25.38%50.76%
JP:6981JP:698164NeutralJPY 9.73T34.2710.61%1.28%14.53%24.27%
JP:6844JP:684463NeutralJPY 26.22B6.99―3.80%9.76%257.70%
Sector *61Neutral$37.18B12.37-10.20%1.83%8.50%-7.62%
JP:6996JP:699660NeutralJPY 135.50B17.62―1.86%8.34%187.11%
JP:6817JP:681755NeutralJPY 34.15B15.97―5.03%14.18%9.84%
JP:6997JP:699755NeutralJPY 41.38B17.343.56%1.26%18.67%752.67%

* Technology Sector Average

Performance Comparison

0%100%200%300%JP:6844JP:6981JP:6997JP:6762JP:6817JP:6996Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:6844 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6844Shindengen Electric Mfg Co Ltd2629.00-437.09-14.26%
JP:6981Murata Manufacturing Co 5457.002331.3474.59%
JP:6997Nippon Chemi-Con Corporation1584.00328.5126.17%
JP:6762TDK Corporation2365.50-146.19-5.82%
JP:6817Sumida Corporation1053.00-94.19-8.21%
JP:6996Nichicon Corporation2041.00769.6560.54%

Shindengen Electric Mfg Co Ltd Corporate Events

Shindengen Sales Rise as Costs and Charges Cut First-Half Profit

Nov 9, 2026

Shindengen Electric Mfg. Co. Ltd., an electronics manufacturer focused on power units and motorcycle-related applications, reported first-half FY2026 net sales of ¥60.613 billion, up 11.7% year on year. Growth was supported by steady motorcycle deman...

Shindengen Revises Earnings Outlook After Interim Profit Shortfall

Nov 9, 2026

Shindengen Electric Manufacturing Co., Ltd. reported that first-half net sales and operating profit were broadly in line with its earlier expectations, but ordinary profit and net income fell short. Foreign-exchange losses on revalued foreign-currenc...

Shindengen Sales Rise as Six-Month Profitability Weakens

Nov 9, 2026

Shindengen Electric Manufacturing reported consolidated sales of ¥60.613 billion for the six months ended September 30, 2026, up 11.7% from a year earlier. Despite the revenue growth, operating profit fell 46.3% to ¥1.243 billion, ordinary profit dro...

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: Sep 26, 2026