Conservative Leverage And Strong Equity BaseA high equity ratio and low D/E indicate durable financial stability, lowering bankruptcy risk and providing flexibility to fund long-term product development or strategic partnerships without heavy reliance on costly debt, supporting sustained operations and resilience.

Recurring Subscription Revenue ModelSubscription pricing and channel partnerships create predictable, recurring revenue and scalable distribution. Over 2–6 months this supports revenue visibility, higher lifetime value per customer, and more efficient upsell and integration with cloud partners for steady growth.

Reported Year-over-year Revenue GrowthDouble-digit annual revenue growth signals sustained market demand and product-market fit for synchronization software. Continued top-line expansion enhances scale economics, supports future R&D investment, and improves bargaining power with cloud and systems integrator partners.

Bears Say

Large Negative Free Cash FlowMaterial negative free cash flow is a persistent structural concern: it limits capacity to self-fund R&D, customer onboarding, and partnerships, may necessitate external financing, and increases vulnerability to downturns or higher borrowing costs over the medium term.

Weak Cash Conversion From Reported EarningsNegative conversion of net income into operating cash suggests earnings are not translating into liquid resources. This reduces the firm's ability to sustain subscriptions, support service delivery, and invest operationally without resorting to balance sheet financing.

Modest Profitability MetricsA low net margin indicates limited ability to retain revenue as profit after costs and investment, constraining retained earnings for growth. Coupled with an ROE (~8.9%), this points to only moderate returns on capital, which may limit reinvestment and shareholder appeal.

1724 FAQ

What was Synclayer Inc.’s price range in the past 12 months?

Synclayer Inc. lowest stock price was ¥543.00 and its highest was ¥752.00 in the past 12 months.

What is Synclayer Inc.’s market cap?

Synclayer Inc.’s market cap is ¥3.24B.

When is Synclayer Inc.’s upcoming earnings report date?

Synclayer Inc.’s upcoming earnings report date is May 20, 2026 which is in 92 days.

How were Synclayer Inc.’s earnings last quarter?

Synclayer Inc. released its earnings results on Feb 13, 2026. The company reported ¥22.36 earnings per share for the quarter, beating the consensus estimate of N/A by ¥22.36.

Is Synclayer Inc. overvalued?

According to Wall Street analysts Synclayer Inc.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Synclayer Inc. pay dividends?

Synclayer Inc. pays a Semiannually dividend of ¥18 which represents an annual dividend yield of 3.94%. See more information on Synclayer Inc. dividends here

What is Synclayer Inc.’s EPS estimate?

Synclayer Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Synclayer Inc. have?

Synclayer Inc. has 4,943,780 shares outstanding.

What happened to Synclayer Inc.’s price movement after its last earnings report?

Synclayer Inc. reported an EPS of ¥22.36 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -4.093%.

Which hedge fund is a major shareholder of Synclayer Inc.?

Currently, no hedge funds are holding shares in JP:1724

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

Synclayer Inc.

Synclayer Inc. provides system integration services for CATV network in Japan. Its services include system design, engineering, equipment procurement, network management, etc. The company also offers turn-key project construction for cable plant from headend to customer premise; and cable TV Internet solutions, including sales and support for CMTS and cable modems. In addition, it provides cable-networking for convention hall, office, MDU, and campus LAN applications. Further, the company offers ultra-high-speed data transfer and voice over Internet protocol services, as well as digital video transmission capacity for approximately 300 channels. Additionally, it provides fiber-to-the-home solution that offers gigabit data transfer, full streaming video, and RF multi-channel video broadcasting; and fiber-to-the-office solutions. The company was formerly known as Aichi Electronics Co., Ltd. and changed its name to Synclayer Inc. in July 2002. Synclayer Inc. was incorporated in 1962 and is headquartered in Nagoya, Japan.