Debt-free Balance SheetNo reported debt eliminates refinancing and leverage risk, preserving financial flexibility. This durable strength supports investment in services, steady dividends and withstands cyclical IT spending downturns, improving long-term resilience and credit optionality.

Improving ProfitabilityRising EBIT and stable net margins indicate operational leverage and better pricing or cost control within systems-integration services. Sustained margin expansion supports higher internal cash generation and competitive reinvestment capacity over the medium term.

Generally Healthy Cash GenerationFCF that roughly matches net income in most years shows earnings quality and capacity to fund operations, maintenance contracts and dividends without relying on external financing, providing durable support for shareholder returns and capital allocation.

Bears Say

2025 Revenue DeclineA year-over-year revenue contraction signals demand softness or lost project volume. For a project-driven services firm, even a small decline can compress growth runway and reflect client budget variability, challenging multi-period revenue predictability and expansion plans.

Uneven Cash ConversionInconsistent OCF versus earnings and volatile FCF timing create uncertainty in actual cash available for reinvestment or distributions. This irregularity raises execution risk for hiring, bidding on large projects, and smoothing dividends despite solid reported margins.

Project Timing / Scale RiskDependence on project-based systems-integration work exposes revenue to contract timing and client procurement cycles. Combined with a small employee base (133), limited scale can amplify revenue swings and restrict ability to absorb delayed or canceled projects.

3940 FAQ

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

Nomura System Corporation Co., Ltd. lowest stock price was ¥97.00 and its highest was ¥155.00 in the past 12 months.

What is Nomura System Corporation Co., Ltd.’s market cap?

Nomura System Corporation Co., Ltd.’s market cap is ¥6.21B.

When is Nomura System Corporation Co., Ltd.’s upcoming earnings report date?

Nomura System Corporation Co., Ltd.’s upcoming earnings report date is May 20, 2026 which is in 91 days.

How were Nomura System Corporation Co., Ltd.’s earnings last quarter?

Nomura System Corporation Co., Ltd. released its earnings results on Feb 13, 2026. The company reported ¥2.26 earnings per share for the quarter, beating the consensus estimate of N/A by ¥2.26.

Is Nomura System Corporation Co., Ltd. overvalued?

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

Does Nomura System Corporation Co., Ltd. pay dividends?

Nomura System Corporation Co., Ltd. pays a Annually dividend of ¥3.25 which represents an annual dividend yield of 2.43%. See more information on Nomura System Corporation Co., Ltd. dividends here

What is Nomura System Corporation Co., Ltd.’s EPS estimate?

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

How many shares outstanding does Nomura System Corporation Co., Ltd. have?

Nomura System Corporation Co., Ltd. has 46,692,000 shares outstanding.

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

Nomura System Corporation Co., Ltd. reported an EPS of ¥2.26 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.481%.

Which hedge fund is a major shareholder of Nomura System Corporation Co., Ltd.?

Currently, no hedge funds are holding shares in JP:3940

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

Nomura System Corporation Co., Ltd.

Nomura System Corporation Co, Ltd. provides IT consulting services for large companies in Japan. The company provides SAP consulting, maintenance, and support solutions; RPA/AI consulting; and Web system development consulting services. It also offers network consulting, big data consulting, SAP ERP personnel, talent management, Web attendance management, and SAP business analysis services. The company was founded in 1986 and is headquartered in Tokyo, Japan.