UT Group Co.,Ltd. (2146) AI Stock Analysis

• Market Cap: ¥114.90B
• Dividend Yield: 7.73%
• Average Volume (3M): 257.81K
• Price to Earnings (P/E): 19.4
• Beta (1Y): 0.86
• Revenue Growth: 8.28%
• EPS Growth: -36.32%
• Country: JP
• Employees: 58,855
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 44.50
• Shares Outstanding: 39,908,184
• 10 Day Avg. Volume: 397,440
• 30 Day Avg. Volume: 257,806
• PEG Ratio: 0.22
• Price to Book (P/B): 2.32
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 14.46
• 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: ¥2,500.00
• Price Target Upside: -12.13% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 79 Outperform
• Price Target: ¥3,153.00 ▲(10.83% Upside)

UT Group Co., Ltd. demonstrates strong financial performance with robust revenue growth and profitability, supported by a stable balance sheet and strong cash flow. The technical analysis indicates a positive trend, and the stock offers a good dividend yield, making it an attractive investment. The absence of earnings call data and corporate events does not impact the overall score significantly.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Cash Generation

Strong cash generation supports reinvestment in business operations and provides a buffer against economic downturns, ensuring sustainability.

Balance Sheet Health

A strong balance sheet with low leverage enhances financial flexibility and reduces risk, supporting long-term growth and stability.

Negative Factors

EBIT Margin Decline

Declining EBIT margins may signal rising operational costs or inefficiencies, potentially impacting profitability if not addressed.

Operational Efficiency

Suboptimal operational efficiency can limit profitability and growth potential, necessitating strategic improvements for long-term success.

Asset Decline

A declining asset base may indicate underinvestment or asset sales, potentially affecting future revenue generation and growth capacity.

UT Group Co.,Ltd. Business Overview & Revenue Model

Company Description

UT Group Co., Ltd. (2146) is a diversified company primarily engaged in the provision of staffing and recruitment services, as well as human resource solutions across various industries. The company focuses on connecting skilled labor with businesses in need of temporary or permanent staffing, offering services that include employee leasing, payroll management, and consultancy. UT Group operates in several sectors, including manufacturing, engineering, and IT, catering to both local and international markets.

How the Company Makes Money

UT Group generates revenue primarily through its staffing and recruitment services, which include fees charged for placing candidates with client companies. The company typically earns a percentage of the candidate's salary or a fixed fee for each successful placement. Additionally, UT Group offers value-added services such as payroll outsourcing and human resource consultancy, which provide additional income streams. Strategic partnerships with various industries allow UT Group to expand its client base and enhance its service offerings, further contributing to its revenue. The company's operational efficiency and ability to meet client needs effectively also play a crucial role in driving profitability.

UT Group Co.,Ltd. Financial Statement Overview

Summary

UT Group Co., Ltd. exhibits strong financial health with robust revenue growth and profitability, supported by a stable balance sheet and strong cash flow generation. While operational efficiency could be improved, the company maintains a low-risk financial profile with good liquidity and low leverage.

Income Statement

The company has demonstrated strong revenue growth with a significant increase from 2024 to 2025. Gross profit and net profit margins are healthy, indicating efficient cost management. However, a slight decline in EBIT margin suggests some operational challenges. Overall, the income statement reflects robust growth and profitability.

Balance Sheet

The balance sheet shows a solid equity base with a favorable debt-to-equity ratio, indicating low leverage. The equity ratio is strong, reflecting financial stability. However, the decrease in total assets over the years could be a concern if it continues. Overall, the balance sheet is stable with low financial risk.

Cash Flow

The company has shown impressive free cash flow growth, indicating strong cash generation capabilities. The operating cash flow to net income ratio is healthy, suggesting good cash conversion. However, fluctuations in investing and financing cash flows could pose potential risks. Overall, cash flow management appears strong with good liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	192.34B	194.75B	167.03B	170.63B	156.77B	115.13B
Gross Profit	32.01B	29.85B	30.44B	33.10B	27.77B	21.60B
EBITDA	10.76B	16.23B	11.39B	10.08B	6.53B	7.88B
Net Income	5.58B	8.96B	6.36B	3.83B	3.14B	4.30B
Balance Sheet
Total Assets	65.28B	66.35B	68.46B	71.63B	64.11B	52.67B
Cash, Cash Equivalents and Short-Term Investments	31.00B	31.71B	29.32B	31.97B	25.83B	25.27B
Total Debt	12.09B	7.91B	12.29B	16.42B	19.91B	11.72B
Total Liabilities	32.58B	30.02B	34.02B	41.70B	42.88B	32.47B
Stockholders Equity	31.35B	34.99B	33.23B	28.91B	20.35B	19.69B
Cash Flow
Free Cash Flow	0.00	5.62B	2.47B	10.49B	781.00M	6.37B
Operating Cash Flow	0.00	5.68B	3.99B	13.00B	2.28B	6.65B
Investing Cash Flow	0.00	5.87B	-210.00M	-2.14B	-6.30B	-2.41B
Financing Cash Flow	0.00	-9.14B	-6.43B	-4.75B	4.55B	2.61B

UT Group Co.,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2845.00
• 50DMA: Positive
• 100DMA: Positive
• 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:2146, the sentiment is Positive. The current price of 2845 is above the 20-day moving average (MA) of 2785.00, above the 50-day MA of 2760.82, and above the 200-day MA of 2438.79, indicating a bullish trend. The MACD of 34.41 indicates Negative momentum. The RSI at 58.82 is Neutral, neither overbought nor oversold. The STOCH value of 69.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2146.

UT Group Co.,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2146	79 Outperform	¥114.90B	19.41	―	7.73%	8.28%	-36.32%
2124	76 Outperform	¥177.37B	22.00	―	2.44%	20.17%	32.32%
4848	72 Outperform	¥58.43B	10.83	―	3.70%	3.47%	-0.05%
7088	70 Outperform	¥89.45B	28.30	―	3.51%	9.97%	22.68%
4641	66 Neutral	¥44.33B	13.23	―	3.39%	8.57%	14.45%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
2168	42 Neutral	¥71.34B	-9.00	-6.02%	0.79%	-9.70%	-108.59%

UT Group Co.,Ltd. Corporate Events

UT Group Announces Share Buyback to Boost Capital Efficiency

UT Group Co., Ltd. has announced a share buyback program as part of its strategy to enhance capital efficiency and support sustainable growth through human capital investments. The company plans to repurchase up to 300,000 common shares, representing 0.8% of its outstanding shares, with a budget of 512 million yen, through transactions on the Tokyo Stock Exchange between November 14, 2025, and February 12, 2026.

UT Group Announces 44.61 Yen Dividend for 2Q FY3/2026

UT Group Co., Ltd. has announced a dividend payment of 44.61 yen per share from surplus to shareholders as of September 30, 2025, with a total dividend amounting to 1,705 million yen. This decision aligns with their policy of a 100% consolidated payout ratio, reflecting their commitment to returning profits to shareholders as a key management issue.

UT Group Revises Medium-term Business Plan with New Targets for 2029

UT Group Co., Ltd. has revised its Fifth Medium-term Business Plan due to recent performance trends, setting new targets for the fiscal year ending March 2029. Despite initial setbacks in achieving planned sales and profit increases for FY3/2026, the company remains committed to maintaining solid sales and profit levels, paying stable dividends, and pursuing innovative growth strategies to enhance corporate value and lead the transformation of the manufacturing dispatch industry.

UT Group Completes Strategic Share Repurchase

UT Group Co., Ltd. has completed the acquisition of its own common shares as resolved by its Board of Directors in August 2025. The company repurchased 90,200 shares in October 2025, totaling 245,997,800 yen, contributing to a cumulative total of 169,400 shares acquired by the end of October. This strategic move is part of a broader plan to acquire up to 300,000 shares, enhancing shareholder value and potentially strengthening its market position.

UT Group Co., Ltd. Reports Progress on Share Repurchase Program

UT Group Co., Ltd. announced the status of its stock repurchase program, which was initiated following a Board of Directors’ resolution in August 2025. During September 2025, the company acquired 50,000 common shares for approximately 137.4 million yen through the Tokyo Stock Exchange. This move is part of a larger plan to acquire up to 300,000 shares by November 2025, reflecting the company’s strategic efforts to manage its capital structure.

UT Group Announces Stock Split and Dividend Revision

UT Group Co., Ltd. has announced a 15-for-1 stock split to improve share liquidity and expand its investor base. This move will significantly increase the number of issued shares, necessitating amendments to the Articles of Incorporation and a revision of the dividend forecast, with no effective change in dividend per share.