Nihon M&A Center (2127) AI Stock Analysis

• Market Cap: $241.84B
• Dividend Yield: 4.02%
• Average Volume (3M): 1.53M
• Price to Earnings (P/E): 18.4
• Beta (1Y): 1.18
• Revenue Growth: 10.37%
• EPS Growth: 18.68%
• Country: JP
• Employees: 1,043
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 12.27
• Shares Outstanding: 336,934,800
• 10 Day Avg. Volume: 1,425,290
• 30 Day Avg. Volume: 1,525,976
• PEG Ratio: 3.69
• Price to Book (P/B): 3.89
• Price to Sales (P/S): 4.16
• P/FCF Ratio: 14.06
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 4.55
• Enterprise Value/Gross Profit: 7.85
• Enterprise Value/Ebitda: 11.65
• 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: 76 Outperform
• Price Target: ¥822.00 ▲(13.82% Upside)

Nihon M&A Center's strong financial performance is the most significant factor driving its stock score, supported by consistent revenue and profit growth, a robust balance sheet, and solid cash flow generation. The technical analysis indicates a neutral trend, with potential for upward momentum. The valuation is reasonable, with an attractive dividend yield. The absence of earnings call data and notable corporate events does not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for the company's services and effective business strategies, supporting long-term expansion.

Balance Sheet Strength

A strong balance sheet with low leverage enhances financial stability, providing resilience against economic fluctuations and enabling strategic investments.

Cash Flow Generation

Strong cash flow generation supports reinvestment and dividend distribution, ensuring the company can sustain growth and reward shareholders.

Negative Factors

Capital Investment Variability

Variability in capital investments may indicate challenges in strategic planning, potentially affecting long-term growth and operational efficiency.

Earnings Call Data Absence

Lack of earnings call data limits transparency and investor insight into management's strategic direction and operational performance.

Corporate Events Absence

The absence of notable corporate events may suggest a lack of strategic initiatives or partnerships, potentially impacting competitive positioning.

Nihon M&A Center Business Overview & Revenue Model

Company Description

Nihon M&A Center Holdings Inc. provides mergers and acquisition (M&A) related services in Japan and internationally. The company offers M&A support services, such as reorganization, capital policies, and MBO for small and medium-sized enterprises. It is also involved in marketing research and consulting activities. Nihon M&A Center Holdings Inc. was incorporated in 1991 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Nihon M&A Center generates revenue through multiple streams, primarily by charging fees for its advisory services during the M&A process. These fees can include retainers, success fees, and fixed project costs. The company typically earns a success fee, which is a percentage of the transaction value, upon the successful completion of a deal. Additionally, Nihon M&A Center may offer consulting services related to business valuation and strategic planning, which contribute to its income. Strategic partnerships with financial institutions and industry associations enhance its service offerings and client reach, further supporting its revenue model.

Nihon M&A Center Financial Statement Overview

Summary

Nihon M&A Center exhibits strong financial health with consistent revenue and profit growth. The company maintains a robust balance sheet with low leverage and strong equity backing. Cash flow generation is solid, although some variability in capital investments and financing activities is observed. Overall, the company is well-positioned for sustainable growth in the financial sector.

Income Statement

Nihon M&A Center has demonstrated consistent revenue growth over the years, with a notable increase from 2020 to 2025. The gross profit margin remains strong, indicative of effective cost management. The net profit margin is healthy, reflecting a strong bottom-line performance. Despite slight fluctuations in EBIT and EBITDA margins, the company maintains solid profitability.

Balance Sheet

The company's balance sheet reveals a very strong equity position with a low debt-to-equity ratio, indicating financial stability and low leverage risk. The equity ratio remains robust, underscoring the company's reliance on equity financing. Return on equity is commendable, showcasing effective utilization of shareholder funds.

Cash Flow

Cash flow analysis shows a positive trend in free cash flow generation, supporting potential reinvestment and dividend distribution. The operating cash flow to net income ratio is favorable, highlighting efficient cash conversion from operations. However, fluctuations in investing and financing cash flows suggest variability in capital allocation strategies.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	45.46B	44.08B	44.14B	41.32B	40.40B	34.80B
Gross Profit	26.39B	24.78B	24.64B	23.51B	24.14B	21.22B
EBITDA	17.78B	17.12B	16.71B	15.70B	16.83B	15.76B
Net Income	11.60B	10.96B	10.73B	9.84B	11.44B	10.68B
Balance Sheet
Total Assets	53.48B	61.79B	58.64B	65.95B	59.16B	54.18B
Cash, Cash Equivalents and Short-Term Investments	30.08B	39.21B	37.44B	45.58B	47.30B	42.86B
Total Debt	4.70B	5.40B	6.30B	0.00	0.00	500.00M
Total Liabilities	9.30B	14.20B	14.67B	11.23B	8.13B	9.49B
Stockholders Equity	43.77B	47.17B	43.91B	54.45B	50.76B	44.48B
Cash Flow
Free Cash Flow	0.00	13.05B	10.42B	7.99B	10.85B	11.32B
Operating Cash Flow	0.00	13.12B	10.55B	8.30B	11.10B	11.46B
Investing Cash Flow	0.00	11.98B	-18.22B	-4.15B	270.48M	22.49B
Financing Cash Flow	0.00	-8.75B	-15.23B	-6.09B	-5.94B	-3.27B

Nihon M&A Center Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 722.20
• 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:2127, the sentiment is Negative. The current price of 722.2 is below the 20-day moving average (MA) of 723.34, below the 50-day MA of 729.66, and above the 200-day MA of 682.46, indicating a neutral trend. The MACD of -2.65 indicates Negative momentum. The RSI at 47.83 is Neutral, neither overbought nor oversold. The STOCH value of 62.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2127.

Nihon M&A Center Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6196	81 Outperform	¥75.99B	16.29	―	4.40%	11.99%	-4.74%
2127	76 Outperform	$241.84B	18.36	26.65%	4.02%	10.37%	18.68%
6080	76 Outperform	¥103.69B	18.80	―	1.58%	17.13%	23.53%
9552	68 Neutral	¥72.66B	26.57	―	0.45%	0.32%	-48.88%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Nihon M&A Center Corporate Events

Nihon M&A Center Announces Key Corporate Officer Appointment

Nihon M&A Center Holdings Inc. announced a change in the corporate officer lineup of its subsidiary, Nihon M&A Center Inc., with Yusuke Higashi being appointed as the new Corporate Officer and Head of Digital Marketing. This appointment is part of a broader strategy to strengthen the company’s marketing capabilities and enhance its digital presence, which could impact its market positioning and stakeholder engagement.

Nihon M&A Center Reports Strong Financial Growth for H1 2025

Nihon M&A Center Holdings Inc. reported significant growth in its consolidated financial results for the six months ended September 30, 2025, with a notable increase in net sales, operating profit, and profit attributable to owners of the parent compared to the previous year. The company also announced its dividend plans, including a special dividend, and maintained its financial forecasts for the fiscal year ending March 31, 2026, indicating stable future expectations.

Nihon M&A Center Ups Financial Forecasts Amid Strong M&A Activity

Nihon M&A Center Holdings Inc. has revised its financial forecasts upward for the first half of the fiscal year ending March 31, 2026, citing significant increases in sales and profits. The company attributes this success to an increase in the number of M&A transactions and higher average sales per transaction, driven by effective project management and sales strategies.