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Sincere Co. LTD. (7782) AI Stock Analysis

JP:7782

Sincere Co. LTD.

(TSE/TYO:7782)

Select Model
Rating:69Neutral
Price Target:JPY 512.00â–²(1.99% Upside)
Action:reiterated
Date:08/06/26

The overall score of 69 reflects a moderately positive outlook. The company's solid revenue growth and strong balance sheet are key strengths, though profitability remains a concern. Technical indicators show short-term upward momentum but face resistance at the 200-day moving average. Valuation appears attractive with a low P/E and above-average dividend yield, providing a margin of safety.

Positive Factors
Steady Revenue GrowthRepeated revenue growth indicates a healthy underlying demand backdrop and expanding sales base. If sustained, this provides operating scale and supports future earnings recovery, even though current profitability remains modest.
Negative Factors
Modest Profit MarginsLow net margins leave limited protection against cost increases, pricing pressure, or execution issues. The modest profitability profile may constrain internal reinvestment and make earnings more sensitive to small changes in operating performance.

Sincere Co. LTD. (7782) vs. iShares MSCI Japan ETF (EWJ)

-20%-10%0%10%20%30%JP:7782-3.91%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 3.28B
Dividend Yield
3.39%
Average Volume (3M)
3,548
Price to Earnings (P/E)
13.9
Beta (1Y)
-0.39
Revenue Growth
10.51%
EPS Growth
-38.15%
Country
Japan
Employees
60
Sector
General
Sector Strength
55
Industry
Medical - Instruments & Supplies

Sincere Co. LTD. Business Overview & Revenue Model

Company Description

Sincere Co., LTD. manufacture and sells contact lenses in Japan. It operates through three segments: Contact Lens, Consulting, and System business. The company also engages in consulting on medical hair removal clinic management, as well as the desig...

Sincere Co. LTD. Financial Statement Overview

Summary

Revenue growth is steady (6.5% increase, 5-year CAGR >12%), but net income declined 12% due to higher non-operating costs, resulting in thin net margin of 3.6%. Balance sheet is strong with reduced debt (debt-to-equity 0.65) and growing equity. Cash flow positive but slightly decreased. Overall financial health is stable, but profitability needs improvement.

Income Statement

58Neutral

Balance Sheet

75Positive

Cash Flow

70Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue7.74B7.46B6.54B5.96B5.59B4.56B
Gross Profit2.42B2.38B2.10B1.84B1.40B1.38B
EBITDA578.02M619.39M565.19M470.13M129.00M134.31M
Net Income237.44M264.35M301.75M295.00M66.07M83.93M
Balance Sheet
Total Assets5.59B5.38B5.50B5.48B3.58B3.29B
Cash, Cash Equivalents and Short-Term Investments1.88B1.81B1.89B2.19B1.13B1.16B
Total Debt1.72B1.83B2.05B2.30B1.10B735.00M
Total Liabilities2.75B2.56B2.80B3.00B1.59B1.25B
Stockholders Equity2.84B2.82B2.70B2.41B1.99B2.04B
Cash Flow
Free Cash Flow0364.75M403.80M215.00M-313.83M-456.71M
Operating Cash Flow0366.84M435.07M246.00M-307.99M-423.60M
Investing Cash Flow0-250.32M-421.47M-376.00M-28.57M75.70M
Financing Cash Flow0-338.53M-332.69M1.18B330.52M258.50M

Sincere Co. LTD. Technical Analysis

Technical Analysis SentimentNeutral
Last Price502.00

Price Trends

50DMA492.56Positive
100DMA478.29Positive
200DMA471.50Positive

Market Momentum

MACD2.91Positive
RSI50.81Neutral
STOCH36.83Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7782, the sentiment is Neutral. The current price of 502.00 is below the 20-day moving average (MA) of 506.00, above the 50-day MA of 492.56, and above the 200-day MA of 471.50, indicating a neutral trend. The MACD of 2.91 indicates Positive momentum. The RSI at 50.81 is Neutral, neither overbought nor oversold. The STOCH value of 36.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7782.

Sincere Co. LTD. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:7782 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:7741JP:774182OutperformJPY 8.76T31.2027.70%1.14%13.02%38.15%
JP:5889JP:588973OutperformJPY 50.91B11.81―4.06%15.36%5.16%
JP:3046JP:304669NeutralJPY 141.21B18.1122.48%1.72%14.41%-6.42%
JP:7782JP:778269NeutralJPY 3.15B13.86―3.39%10.51%-38.15%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
JP:7743JP:774354NeutralJPY 23.76B21.80―1.91%2.22%-2.17%
JP:7780JP:778052NeutralJPY 140.23B19.137.70%1.52%5.05%50.43%

* General Sector Average

Performance Comparison

-25%0%25%50%75%JP:7782JP:7741JP:3046JP:7780JP:5889JP:7743Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:7782 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:7782Sincere Co. LTD.502.00-20.45-3.91%
JP:7741HOYA CORPORATION26210.001418.705.72%
JP:3046JINS HOLDINGS 6050.00-1575.39-20.66%
JP:7780Menicon Co 1843.00659.8955.78%
JP:5889Japan Eyewear Holdings Co.,Ltd.2093.00158.558.20%
JP:7743Seed Co., Ltd.785.00230.6341.60%
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