NS Solutions (2327) AI Stock Analysis

• Market Cap: $633.34B
• Dividend Yield: 2.02%
• Average Volume (3M): 337.20K
• Price to Earnings (P/E): 23.4
• Beta (1Y): 0.38
• Revenue Growth: 11.66%
• EPS Growth: -0.21%
• Country: JP
• Employees: 7,826
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 37.69
• Shares Outstanding: 183,002,000
• 10 Day Avg. Volume: 306,130
• 30 Day Avg. Volume: 337,196
• PEG Ratio: 2.24
• Price to Book (P/B): 2.69
• Price to Sales (P/S): 2.07
• P/FCF Ratio: 20.82
• Enterprise Value/Market Cap: 0.98
• Enterprise Value/Revenue: 1.80
• Enterprise Value/Gross Profit: 7.39
• Enterprise Value/Ebitda: 12.35
• 1Y Price Target: $3,478.66
• Price Target Upside: -10.57% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

• Rating: 64 Neutral
• Price Target: ¥3,803.00 ▼(-2.24% Downside)

The overall stock score reflects strong financial performance, tempered by technical indicators suggesting limited short-term momentum and moderate valuation metrics. Addressing cash flow challenges could enhance future prospects.

NS Solutions Business Overview & Revenue Model

Company Description

NS Solutions Corporation provides information technology solutions in Japan and internationally. The company offers business and information system consultation services; and plans, designs, develops, implements, operates, and maintains information systems. It also develops, manufactures, and sells software and hardware; and provides outsourcing services using information technology. In addition, the company offers data center and cloud computing services; and ERP, management visualization, system integration and workflow, and production and sales management solutions, as well as IT infrastructure and global expansion support services. It serves manufacturing, retail, distribution, transportation, finance, and telecommunication sectors, as well as government. The company was formerly known as Nippon Steel Information and Communication Systems Inc. and changed its name to NS Solutions Corporation in 2001. NS Solutions Corporation was incorporated in 1980 and is headquartered in Tokyo, Japan. NS Solutions Corporation is a subsidiary of Nippon Steel & Sumitomo Metal Corporation.

How the Company Makes Money

NS Solutions generates revenue primarily through its IT service offerings, which include system integration projects, managed services, and software development. The company earns a significant portion of its income from long-term contracts with corporate clients, providing them with ongoing support and maintenance for their IT systems. Additionally, the company benefits from consulting services that help organizations optimize their IT strategies. Key revenue streams include project-based contracts, recurring subscription fees for managed services, and consulting fees. Partnerships with technology providers and software vendors also enhance its service capabilities, allowing NS Solutions to offer a broader range of integrated solutions, thereby driving additional revenue growth.

NS Solutions Financial Statement Overview

Summary

NS Solutions presents a strong financial position with impressive growth and profitability metrics. The income statement shows robust revenue and profit growth, while the balance sheet is characterized by low leverage and high equity. Cash flows are strong, with efficient cash generation and conversion.

Income Statement

NS Solutions has shown a consistent revenue growth with a strong increase of 8.9% from 2024 to 2025. The gross profit margin stands at 24.2%, indicating efficient cost management. The net profit margin is solid at 8.0%, reflecting good profitability. The EBIT and EBITDA margins are 12.0% and 15.3% respectively, underscoring robust operating performance. Overall, the company exhibits healthy revenue growth and profitability metrics.

Balance Sheet

The company's balance sheet is strong, with a debt-to-equity ratio of 0.11, indicating low leverage. The return on equity is commendable at 10.4%, showcasing effective utilization of equity. The equity ratio is 62.0%, reflecting a solid capital structure with significant equity backing. Overall, the balance sheet stability is marked by low risk and high financial health.

Cash Flow

NS Solutions demonstrates a healthy free cash flow growth rate of 46.3%, and the operating cash flow to net income ratio is 1.38, indicating efficient cash generation. The free cash flow to net income ratio is 1.25, highlighting strong cash conversion. The cash flow statement reflects good cash generation capabilities and effective capital management.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	344.16B	338.30B	291.69B	310.63B	270.33B	251.99B
Gross Profit	83.97B	81.71B	65.94B	71.60B	60.32B	51.95B
EBITDA	50.24B	51.68B	44.94B	47.68B	41.90B	31.93B
Net Income	26.78B	27.05B	22.00B	24.24B	20.52B	16.98B
Balance Sheet
Total Assets	381.39B	421.30B	319.91B	374.64B	325.76B	272.22B
Cash, Cash Equivalents and Short-Term Investments	168.62B	192.93B	101.32B	103.97B	7.87B	6.25B
Total Debt	27.90B	29.22B	25.03B	34.79B	4.95B	2.26B
Total Liabilities	113.72B	151.49B	112.11B	129.85B	121.19B	86.09B
Stockholders Equity	259.15B	261.17B	200.52B	236.83B	197.83B	179.82B
Cash Flow
Free Cash Flow	-3.02B	33.69B	21.63B	23.03B	26.98B	13.90B
Operating Cash Flow	545.00M	37.21B	26.03B	26.15B	32.31B	17.54B
Investing Cash Flow	66.02B	70.25B	-5.63B	-8.57B	-8.54B	10.41B
Financing Cash Flow	-21.25B	-18.80B	-14.94B	-15.08B	-6.84B	-7.39B

NS Solutions Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3890.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2327, the sentiment is Positive. The current price of 3890 is above the 20-day moving average (MA) of 3612.70, above the 50-day MA of 3573.52, and above the 200-day MA of 3754.98, indicating a bullish trend. The MACD of 62.92 indicates Negative momentum. The RSI at 68.67 is Neutral, neither overbought nor oversold. The STOCH value of 89.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2327.

NS Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3626	―	¥1.12T	21.62	―	1.32%	4.95%	9.54%
8056	―	¥541.49B	20.61	―	1.92%	8.94%	10.67%
9749	―	―	―	―	―	6.92%	25.38%
3923	―	¥451.37B	46.70	―	0.36%	25.22%	70.77%
9719	―	¥1.31T	26.48	―	1.48%	42.98%	48.88%
2327	―	$633.34B	23.37	10.07%	2.02%	11.66%	-0.21%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

NS Solutions Corporate Events

NS Solutions Expands Stake in Delivery Consulting Inc.

NS Solutions Corporation has announced its decision to acquire a significant portion of shares in Delivery Consulting Inc., marking a strategic move to strengthen its market position. This acquisition, involving over 11% of voting rights, is considered a substantial act of buying up and is expected to impact the company’s influence in the consulting sector.

The most recent analyst rating on (JP:2327) stock is a Buy with a Yen4043.00 price target. To see the full list of analyst forecasts on NS Solutions stock, see the JP:2327 Stock Forecast page.

NS Solutions Reports Q1 2025 Financial Results with Revenue Growth Amid Profit Decline

NS Solutions Corporation reported its consolidated financial results for the three months ending June 30, 2025, showing a 7.6% increase in revenue compared to the same period last year. However, the company experienced a decline in operating profit and profit before tax, with decreases of 3.7% and 2.3% respectively. Despite these challenges, the company forecasts a positive outlook for the fiscal year ending March 31, 2026, with expected revenue growth of 5.5% and an increase in operating profit by 11.7%. This announcement highlights the company’s resilience and strategic focus on long-term growth, despite short-term financial fluctuations.

The most recent analyst rating on (JP:2327) stock is a Hold with a Yen3800.00 price target. To see the full list of analyst forecasts on NS Solutions stock, see the JP:2327 Stock Forecast page.