Conservative Balance SheetPersistently low leverage and sizable equity provide structural financial flexibility. Over a 2–6 month horizon this supports capital allocation for R&D, dividend coverage, or opportunistic M&A without forcing dilutive financing, and improves resilience to demand shocks.

Historically Healthy MarginsSustained mid-single-digit to ~10% net margins in software indicate underlying operating discipline and pricing power. This margin base gives the company structural ability to generate surplus cash to fund product development and sustain operations during cyclical revenue dips.

Strong Free Cash Flow ConversionHigh historical FCF conversion shows earnings largely translate to cash, supporting durable internal funding for capex, dividends, or strategic initiatives. Even with some volatility, consistent conversion near parity reduces reliance on external financing.

Bears Say

Sharp 2025 Revenue DeclineA double-digit revenue drop signals weakening end-market demand or loss of sales momentum. Over the medium term this can erode operating leverage, pressure margins and returns, and force tougher cost or strategic choices to restore top-line growth.

Material Earnings DeteriorationA steep earnings decline reduces retained earnings and ROE, limiting the firm's ability to self-fund growth and dividends. If earnings remain depressed, management may need to reallocate resources or cut investments, impairing longer-term competitiveness.

Volatile Cash Flow HistoryMulti-year variability in operating and free cash flow undermines predictability of capital deployment. For investors and managers this increases planning risk, may constrain consistent dividends or buybacks, and requires larger buffers despite low leverage.

2169 FAQ

What was CDS Co., Ltd.’s price range in the past 12 months?

CDS Co., Ltd. lowest stock price was ¥1740.00 and its highest was ¥1880.00 in the past 12 months.

What is CDS Co., Ltd.’s market cap?

CDS Co., Ltd.’s market cap is ¥12.50B.

When is CDS Co., Ltd.’s upcoming earnings report date?

CDS Co., Ltd.’s upcoming earnings report date is May 19, 2026 which is in 88 days.

How were CDS Co., Ltd.’s earnings last quarter?

CDS Co., Ltd. released its earnings results on Feb 13, 2026. The company reported ¥10.44 earnings per share for the quarter, beating the consensus estimate of N/A by ¥10.44.

Is CDS Co., Ltd. overvalued?

According to Wall Street analysts CDS Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does CDS Co., Ltd. pay dividends?

CDS Co., Ltd. pays a Semiannually dividend of ¥37 which represents an annual dividend yield of 3.91%. See more information on CDS Co., Ltd. dividends here

What is CDS Co., Ltd.’s EPS estimate?

CDS Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does CDS Co., Ltd. have?

CDS Co., Ltd. has 6,924,400 shares outstanding.

What happened to CDS Co., Ltd.’s price movement after its last earnings report?

CDS Co., Ltd. reported an EPS of ¥10.44 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 0.218%.

Which hedge fund is a major shareholder of CDS Co., Ltd.?

Currently, no hedge funds are holding shares in JP:2169

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

CDS Co., Ltd.

CDS Co., Ltd. (2169) is a prominent player in the technology and data services sector, specializing in providing comprehensive solutions for data management, analytics, and cloud services. The company caters to a diverse range of industries, including finance, healthcare, and telecommunications, offering products and services that enhance data utilization and operational efficiency. CDS Co., Ltd. is committed to innovation and quality, positioning itself as a trusted partner for businesses seeking to leverage data for strategic decision-making.