JAC Recruitment Co., Ltd. (2124) AI Stock Analysis

• Market Cap: ¥168.32B
• Dividend Yield: 2.52%
• Average Volume (3M): 234.20K
• Price to Earnings (P/E): 23.2
• Beta (1Y): 0.53
• Revenue Growth: 19.22%
• EPS Growth: 20.94%
• Country: JP
• Employees: 2,063
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 12.17
• Shares Outstanding: 165,557,200
• 10 Day Avg. Volume: 210,170
• 30 Day Avg. Volume: 234,196
• PEG Ratio: -3.42
• Price to Book (P/B): 6.21
• Price to Sales (P/S): 2.87
• P/FCF Ratio: 14.16
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: ¥1,121.00 ▲(8.52% Upside)

JAC Recruitment Co., Ltd. demonstrates strong financial performance with robust revenue growth and a debt-free balance sheet, which are the most significant factors contributing to its score. However, technical indicators suggest bearish momentum, which impacts the overall score negatively. The valuation is moderate, with a fair P/E ratio and a reasonable dividend yield, providing some support to the stock's attractiveness.

JAC Recruitment Co., Ltd. Business Overview & Revenue Model

Company Description

JAC Recruitment Co., Ltd. (2124) is a leading recruitment and staffing agency based in Japan, specializing in providing human resource solutions across various sectors, including IT, finance, engineering, and healthcare. The company focuses on connecting skilled professionals with employers, offering services such as permanent placement, temporary staffing, and executive search. With a strong presence in both domestic and international markets, JAC Recruitment aims to bridge the talent gap in Japan and beyond, leveraging its expertise in recruitment to cater to a diverse clientele.

How the Company Makes Money

JAC Recruitment generates revenue primarily through recruitment services, which include fees charged to employers for successfully placing candidates in permanent and temporary positions. The company typically earns a percentage of the candidate's first-year salary as a placement fee, which constitutes a significant portion of its income. Additionally, JAC Recruitment may offer consulting services related to HR strategy, talent acquisition, and workforce management, contributing to its revenue streams. The company also benefits from partnerships with various businesses and organizations, enhancing its market reach and client base. Factors such as the demand for skilled labor in specific sectors and the overall employment market trends play a crucial role in influencing JAC Recruitment's earnings.

JAC Recruitment Co., Ltd. Financial Statement Overview

Summary

JAC Recruitment Co., Ltd. showcases strong financial health with robust revenue growth and high margins, supported by a debt-free balance sheet and strong cash flow generation. Despite a slight decrease in net income, overall financial performance is solid.

Income Statement

The company demonstrates strong and consistent revenue growth with a notable increase from 2023 to 2024. Gross profit margins are high, indicating effective cost management, while EBIT and EBITDA margins reflect solid operational efficiency. However, a slight decrease in net income from 2023 to 2024 suggests some pressure on profitability, but overall, the income statement shows robust performance.

Balance Sheet

The balance sheet is strong with zero total debt, resulting in a favorable debt-to-equity ratio. The company's equity ratio is healthy, indicating a stable financial structure. High stockholders' equity relative to total assets underscores financial stability, although the return on equity shows room for improvement, reflecting moderate profitability.

Cash Flow

The company has a strong cash flow position with impressive free cash flow growth. Operating cash flow to net income ratio is robust, indicating efficient cash generation relative to earnings. The free cash flow to net income ratio is also favorable, highlighting effective capital expenditure management. Overall, cash flow metrics suggest solid liquidity and financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.31B	39.16B	34.48B	30.43B	24.85B	21.61B
Gross Profit	39.94B	36.25B	31.82B	28.04B	23.00B	20.09B
EBITDA	11.62B	10.23B	8.88B	7.62B	6.33B	4.22B
Net Income	7.01B	5.61B	5.98B	5.03B	3.88B	1.83B
Balance Sheet
Total Assets	26.29B	26.01B	23.52B	22.08B	18.93B	18.62B
Cash, Cash Equivalents and Short-Term Investments	18.09B	19.05B	16.77B	14.88B	12.93B	13.58B
Total Debt	0.00	307.00M	353.00M	1.00M	2.00M	3.00M
Total Liabilities	7.82B	7.92B	6.30B	6.50B	5.57B	4.30B
Stockholders Equity	18.47B	18.09B	17.22B	15.58B	13.37B	14.32B
Cash Flow
Free Cash Flow	0.00	7.93B	6.62B	5.19B	4.77B	4.22B
Operating Cash Flow	0.00	8.12B	7.09B	5.91B	5.09B	4.53B
Investing Cash Flow	0.00	-607.00M	-461.00M	-944.00M	-436.00M	1.31B
Financing Cash Flow	0.00	-5.31B	-4.84B	-3.17B	-5.40B	-3.62B

JAC Recruitment Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1033.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2124, the sentiment is Positive. The current price of 1033 is above the 20-day moving average (MA) of 1025.55, below the 50-day MA of 1065.34, and above the 200-day MA of 928.85, indicating a neutral trend. The MACD of -11.07 indicates Negative momentum. The RSI at 48.32 is Neutral, neither overbought nor oversold. The STOCH value of 56.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2124.

JAC Recruitment Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2146	79 Outperform	¥109.07B	19.38	―	7.79%	13.16%	-40.17%
7088	73 Outperform	¥65.81B	22.57	―	4.71%	10.29%	22.04%
4848	72 Outperform	¥59.20B	12.39	―	3.66%	0.16%	-21.98%
2154	71 Outperform	¥154.95B	11.84	―	4.32%	6.86%	6.50%
2124	67 Neutral	¥168.32B	23.17	―	2.52%	19.22%	20.94%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
2168	43 Neutral	€72.51B	-9.29	-6.02%	0.78%	-9.70%	-108.59%

JAC Recruitment Co., Ltd. Corporate Events

JAC Recruitment Co., Ltd. Reports Record-High Financial Results and Upward Revision of Forecasts

JAC Recruitment Co., Ltd. has reported record-high financial results for the first half of fiscal year 2025, with consolidated revenue, operating profit, and profit after tax all surpassing initial forecasts. The company has revised its full-year growth expectations upwards, anticipating an 18.2% increase in revenue. Additionally, the dividend per share is set to rise, reflecting the company’s stable profit expansion. JAC’s core recruitment business is performing well, and its management strategies are progressing smoothly, with the medium-term plan being achieved ahead of schedule. The company continues to focus on sustainable growth through climate change measures and DE&I management.

The most recent analyst rating on (JP:2124) stock is a Buy with a Yen1116.00 price target. To see the full list of analyst forecasts on JAC Recruitment Co., Ltd. stock, see the JP:2124 Stock Forecast page.

JAC Recruitment Releases Six-Month Sales Data for 2025

JAC Recruitment Co., Ltd. has released its monthly consolidated net sales and related results for the domestic recruitment business for the six months ending June 30, 2025. This disclosure aims to maintain transparency with shareholders and investors, highlighting the company’s commitment to providing accurate corporate information.

JAC Recruitment Reports Strong Financial Growth in H1 2025

JAC Recruitment Co., Ltd. reported significant growth in its financial results for the first half of 2025, with a 21.7% increase in net sales and a 43.1% rise in operating income compared to the previous year. The company’s strong performance is reflected in its increased profit attributable to owners of the parent, which rose by 48.6%, and a revised forecast for dividends and financial results, indicating a positive outlook for the remainder of the fiscal year.

JAC Recruitment Revises Earnings and Dividend Forecasts Following Strong H1 2025 Performance

JAC Recruitment Co., Ltd. has reported a notable difference between its earnings forecast and actual results for the first half of 2025, leading to a revision of its earnings and dividends forecast for the fiscal year ending December 31, 2025. The company’s domestic recruitment business showed growth despite minimal impact from US trading policies and no slowdown in job seeker mobility. This resulted in a substantial increase in operating income and profit, prompting an upward revision of the earnings forecast and a revised dividend forecast, reflecting the company’s commitment to shareholder returns and future business development.