Kajima (1812) AI Stock Analysis

• Market Cap: $1.79T
• Dividend Yield: 3.21%
• Average Volume (3M): 1.71M
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.79
• Revenue Growth: 9.25%
• EPS Growth: 11.64%
• Country: JP
• Employees: 19,813
• Sector: Industrials
• Sector Strength: 88
• Industry: Engineering & Construction
• EPS (TTM): 108.83
• Shares Outstanding: 528,656,000
• 10 Day Avg. Volume: 1,977,870
• 30 Day Avg. Volume: 1,713,626
• PEG Ratio: 0.73
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.39
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $4,059.62
• Price Target Upside: 10.95% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 77 Outperform
• Price Target: ¥4,111.00 ▲(12.35%Upside)

Kajima's strong financial performance, characterized by robust profit margins and a stable balance sheet, drives the positive stock score. While technical indicators show bullish momentum, caution is warranted due to potential overbought conditions. The stock's reasonable valuation and attractive dividend yield further support its investment appeal.

Kajima Business Overview & Revenue Model

Company Description

Kajima Corporation engages in civil engineering, building construction, and real estate development and other businesses worldwide. It provides procurement and construction services comprising sale and lease of construction equipment and materials, and subcontracting for various construction projects; ground improvement, foundation construction, and soil remediation; paving of roads, bridges, airports, etc., as well as manufacture and sale of paving materials; ocean port and coastal protection work, and geological surveying; calculation and preparation of construction plans; environmental and consulting work focused on water and waste; construction machinery manufacturing; repair and reinforcement work for civil engineering structures, and sale of repair materials; and integrated facility construction, and renovation services. The company also offers building management services; leasing and operational management services of real estate, and hotel management; and brokerage and appraisal services of real estate. In addition, it provides travel agency, product sales, and business services; temporary staffing and human resources placement, and events planning services; planning of construction projects, and building and equipment leasing; design, operation, and management of information communication technology infrastructure and various computer systems; collection, transportation, and processing of waste; public relations and advertising planning and production, as well as video production services; and real estate asset management and consulting, as well as buying, selling, and brokerage of beneficial interests of a trust. Further, the company offers book publishing; hotel, golf course, and ski resort services; and architectural and civil engineering design, engineering, greening landscaping, mountain forest management, and agency handling services of property, casualty, and life insurance. The company was founded in 1840 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Kajima Corporation generates revenue primarily through its construction and engineering services, which include large-scale infrastructure projects, commercial and residential building construction, and civil engineering works. The company also engages in real estate development, where it earns money from the sale and leasing of properties. Additionally, Kajima offers architectural and design services, contributing to its revenue streams. Significant partnerships and joint ventures, both domestically and internationally, further enhance Kajima's business operations and profitability. The company's ability to execute complex projects and its reputation for quality and innovation are significant factors contributing to its earnings.

Kajima Financial Statement Overview

Summary

Kajima showcases strong financial health with consistent revenue growth and robust profit margins. The balance sheet indicates moderate leverage with a solid equity base, and the return on equity is strong. However, the negative free cash flow and cash conversion issues suggest areas for improvement.

Income Statement

Kajima's income statement reflects strong performance with consistent revenue growth, highlighted by a significant revenue growth rate of 9.26% in the latest year. The gross profit margin is robust at 11.10%, supported by an EBIT margin of 5.19% and a net profit margin of 4.32%, indicating efficient cost management and profitability. This strong performance is also seen in the EBITDA margin of 7.86%, suggesting solid operational efficiency.

Balance Sheet

The balance sheet of Kajima exhibits a healthy equity base with a debt-to-equity ratio of 0.63, indicating moderate leverage. The equity ratio stands at 36.42%, reflecting a stable financial structure. Return on equity is strong at 10.00%, showcasing effective use of shareholder funds to generate profits. While the increase in total debt warrants attention, the overall financial stability remains solid.

Cash Flow

Kajima's cash flow statement reveals a challenging free cash flow position with a negative free cash flow in the latest year. However, the operating cash flow to net income ratio of 0.24 indicates some ability to convert profits into cash. The company has experienced fluctuations in free cash flow, highlighting potential areas for improvement in cash management.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
2.70T	2.91T	2.67T	2.39T	2.08T	1.91T
	Gross Profit
288.84B	323.20B	291.50B	267.10B	255.72B	241.42B
	EBIT
128.72B	151.11B	136.23B	123.53B	123.38B	127.30B
	EBITDA
191.81B	228.97B	211.00B	197.42B	175.89B	167.63B
	Net Income Common Stockholders
112.93B	125.82B	115.03B	111.79B	103.87B	98.52B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
342.17B	366.07B	366.20B	297.79B	285.39B	320.28B
	Total Assets
3.40T	3.45T	3.14T	2.77T	2.34T	2.16T
	Total Debt
931.38B	792.01B	612.66B	537.78B	359.90B	317.03B
	Net Debt
589.21B	437.53B	257.94B	252.00B	86.60B	9.40B
	Total Liabilities
2.20T	2.18T	1.91T	1.71T	1.38T	1.28T
	Stockholders Equity
1.18T	1.26T	1.21T	1.05T	945.70B	874.84B
Cash Flow		Free Cash Flow
0.00	-35.90B	79.60B	-106.07B	-22.87B	103.75B
	Operating Cash Flow
0.00	30.72B	123.73B	-29.12B	30.21B	153.10B
	Investing Cash Flow
0.00	-101.67B	-58.64B	-81.74B	-51.17B	-65.43B
	Financing Cash Flow
0.00	58.44B	-9.57B	111.89B	-20.93B	-39.11B

Kajima Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3659.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1812, the sentiment is Positive. The current price of 3659 is above the 20-day moving average (MA) of 3600.30, above the 50-day MA of 3372.85, and above the 200-day MA of 2882.12, indicating a bullish trend. The MACD of 73.33 indicates Positive momentum. The RSI at 60.25 is Neutral, neither overbought nor oversold. The STOCH value of 58.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1812.

Kajima Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1812	77 Outperform	$1.79T	13.79	10.06%	3.21%	9.25%	11.64%
Sector *	66 Neutral	$4.51B	12.29	5.40%	3.67%	4.15%	-12.21%
CMSYF		$2.65B	13.63	8.05%	3.37%	―	―
OBYCF		$11.05B	12.08	12.49%	0.02%	―	―
SHMUF		$7.50B	18.10	7.47%	2.43%	―	―
TISCF		$10.24B	12.37	13.61%	3.49%	―	―
5EY		€3.72B	14.21	12.02%	2.82%	―	―

Kajima Corporate Events

Kajima Corporation Announces Share Buyback Initiative

Kajima Corporation has announced the acquisition of its own shares, purchasing 1,953,200 shares for approximately 6.98 billion yen between May 15 and May 31, 2025, through market purchases on the Tokyo Stock Exchange. This move is part of a broader strategy approved by the Board of Directors to acquire up to 9 million shares by September 30, 2025, potentially impacting the company’s market positioning and shareholder value.

The most recent analyst rating on (JP:1812) stock is a Buy with a Yen3300.00 price target. To see the full list of analyst forecasts on Kajima stock, see the JP:1812 Stock Forecast page.

Kajima Corporation Files Final Appeal in Antimonopoly Case

Kajima Corporation has filed a final appeal with the Supreme Court after the Tokyo High Court dismissed its appeal regarding a violation of the Antimonopoly Act related to the Linear Chuo Shinkansen project. Despite the legal setback, Kajima asserts that the issue will have a minor impact on its financial performance, maintaining its forecast for the fiscal year ending March 31, 2026, and continues to seek support from stakeholders.

The most recent analyst rating on (JP:1812) stock is a Buy with a Yen3350.00 price target. To see the full list of analyst forecasts on Kajima stock, see the JP:1812 Stock Forecast page.

Kajima’s Appeal Dismissed in Antimonopoly Act Case

Kajima Corporation announced that the Tokyo High Court dismissed its appeal regarding a cease and desist order from the Japan Fair Trade Commission related to an alleged violation of the Antimonopoly Act. Despite the court’s decision, Kajima maintains that there was no competition violation and is considering its next steps. The company reassured stakeholders that this legal issue will have a minor impact on its financial performance and will not affect its financial forecast for the fiscal year ending March 31, 2026.

The most recent analyst rating on (JP:1812) stock is a Buy with a Yen3300.00 price target. To see the full list of analyst forecasts on Kajima stock, see the JP:1812 Stock Forecast page.

Kajima Corporation Announces Share Buyback Plan to Enhance Capital Efficiency

Kajima Corporation announced its decision to acquire up to 9 million of its own shares, representing 1.9% of its issued shares, to improve capital efficiency and expand shareholder returns. This strategic move, with an acquisition budget of 20 billion yen, is set to take place between May 15 and September 30, 2025, through market purchases on the Tokyo Stock Exchange.

The most recent analyst rating on (JP:1812) stock is a Buy with a Yen3350.00 price target. To see the full list of analyst forecasts on Kajima stock, see the JP:1812 Stock Forecast page.

Kajima Corporation Reports Strong Financial Performance and Strategic Expansion

Kajima Corporation’s recent financial release highlights a robust performance for the fiscal year ending March 31, 2025, with notable increases in revenues and net income. The company has also expanded its consolidation scope by including 11 new companies, indicating strategic growth and strengthening its market position.

The most recent analyst rating on (JP:1812) stock is a Buy with a Yen3350.00 price target. To see the full list of analyst forecasts on Kajima stock, see the JP:1812 Stock Forecast page.