TipRanks
Go Ultimate55% OFF

Sun-Wa Technos Corporation (8137) AI Stock Analysis

JP:8137

Sun-Wa Technos Corporation

(TSE/TYO:8137)

Select Model
Rating:76Outperform
Price Target:JPY 5,096.00â–²(21.91% Upside)
Action:reiterated
Date:08/17/26

The overall score of 76 reflects Sun-Wa Technos's solid financial health, with a strong balance sheet and improving profitability, combined with a bullish technical trend and reasonable valuation. The company's low debt and positive cash flow provide stability, while the stock's recent momentum suggests investor confidence. The main risks include cyclical revenue patterns and overbought technical conditions that could lead to near-term volatility.

Positive Factors
Deleveraging Balance SheetSubstantial debt reduction alongside rising equity strengthens financial resilience and preserves flexibility. Lower leverage can reduce financing pressure, support customer and supplier confidence, and leave more capacity for investment or downturn protection over the next several quarters.
Negative Factors
Margin CompressionThe decline from prior net-margin levels shows that revenue growth does not automatically translate into stable earnings for the distribution model. Persistently thinner margins could limit profit conversion, reduce resilience to operating fluctuations, and constrain internally funded growth.

Sun-Wa Technos Corporation (8137) vs. iShares MSCI Japan ETF (EWJ)

-20%0%20%40%60%80%JP:8137+50.63%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 65.02B
Dividend Yield
3.16%
Average Volume (3M)
54.06K
Price to Earnings (P/E)
16.4
Beta (1Y)
0.99
Revenue Growth
12.94%
EPS Growth
85.20%
Country
Japan
Employees
1,149
Sector
General
Sector Strength
55
Industry
Technology Distributors

Sun-Wa Technos Corporation Business Overview & Revenue Model

Company Description

Sun-Wa Technos Corporation, established in Tokyo, Japan in 1949 and formerly known as Yamada Kogyo Corporation until 1993, operates as a global distributor of a diverse range of electrical, electronic, and general industrial equipment. Serving market...

How the Company Makes Money

Sun-Wa Technos primarily makes money by acting as an intermediary between manufacturers (suppliers) and corporate customers, earning revenue from the sale and distribution of industrial products and related services. Key revenue streams typically inc...

Sun-Wa Technos Corporation Financial Statement Overview

Summary

Income statement shows cyclical revenue but improving margins and net income growth; balance sheet is strong with low debt; cash flow generation is healthy. Overall, solid financial health with some cyclicality.

Income Statement

68Positive

Balance Sheet

85Very Positive

Cash Flow

75Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue157.04B148.33B139.58B166.14B181.01B154.41B
Gross Profit21.91B20.88B18.68B21.36B22.64B18.47B
EBITDA6.10B5.47B4.44B7.95B8.24B5.57B
Net Income3.93B3.27B2.44B5.01B5.49B3.58B
Balance Sheet
Total Assets108.17B101.39B93.08B98.71B106.58B93.08B
Cash, Cash Equivalents and Short-Term Investments23.32B24.59B23.37B19.08B14.14B14.05B
Total Debt9.38B8.06B8.78B12.31B9.91B8.05B
Total Liabilities51.57B48.26B43.96B50.74B62.09B55.05B
Stockholders Equity56.34B52.86B49.11B47.97B44.48B38.02B
Cash Flow
Free Cash Flow03.63B9.04B4.11B-619.00M609.00M
Operating Cash Flow03.76B9.10B4.23B-545.00M792.00M
Investing Cash Flow0-463.00M-389.00M883.00M-731.00M244.00M
Financing Cash Flow0-2.88B-5.22B-608.00M906.00M-580.00M

Sun-Wa Technos Corporation Technical Analysis

Technical Analysis SentimentNegative
Last Price4180.00

Price Trends

50DMA4413.27Negative
100DMA4078.64Positive
200DMA3647.75Positive

Market Momentum

MACD-38.09Positive
RSI35.92Neutral
STOCH28.71Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8137, the sentiment is Negative. The current price of 4180.00 is below the 20-day moving average (MA) of 4613.25, below the 50-day MA of 4413.27, and above the 200-day MA of 3647.75, indicating a neutral trend. The MACD of -38.09 indicates Positive momentum. The RSI at 35.92 is Neutral, neither overbought nor oversold. The STOCH value of 28.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8137.

Sun-Wa Technos Corporation Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:8137 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:8154JP:815483OutperformJPY 263.13B7.6218.73%3.04%24.06%105.61%
JP:8023JP:802379OutperformJPY 14.29B8.73―3.53%1.45%13.08%
JP:8137JP:813776OutperformJPY 66.07B16.42―3.16%12.94%85.20%
JP:8093JP:809369NeutralJPY 20.39B11.35―4.40%9.27%-55.70%
JP:8141JP:814164NeutralJPY 46.41B41.152.09%1.56%-0.53%121.05%
JP:7537JP:753756NeutralJPY 46.52B14.67―3.54%2.80%-33.11%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%

* General Sector Average

Performance Comparison

0%25%50%75%JP:8137JP:8141JP:8154JP:7537JP:8023JP:8093Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:8137 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:8137Sun-Wa Technos Corporation4180.001585.9461.14%
JP:8141Shinko Shoji Co 1571.00557.4154.99%
JP:8154Kaga Electronics Co., Ltd.5260.001808.1852.38%
JP:7537Marubun Corporation1780.00640.8956.26%
JP:8023Daiko Denshi Tsushin,Ltd.1047.000.540.05%
JP:8093Kyokuto Boeki Kaisha, Ltd.1727.0013.640.80%

Sun-Wa Technos Corporation Corporate Events

Sun-Wa Technos Delivers Strong Q1 Rebound and Confirms Full-Year Outlook

Jul 29, 2026

Sun-Wa Technos reported a sharp rebound in performance for the three months ended June 30, 2026, with net sales rising 27.8% year on year to ¥40,035 million and operating profit jumping 393.6% to ¥1,331 million. Profit attributable to owner...

Sun-Wa Technos Rides AI and Renewable Energy Demand to Strong Q1 and Higher Full-Year Outlook

Jul 29, 2026

Sun-Wa Technos reported a sharp rebound in its first quarter for FY03/27, with net sales rising 27.8% year on year to 40.03 billion yen and operating profit surging nearly fourfold to 1.33 billion yen. The recovery was driven by robust AI-related inv...

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 17, 2026