NS Solutions (2327) AI Stock Analysis

• Market Cap: $623.82B
• Dividend Yield: 2.03%
• Average Volume (3M): 284.39K
• Price to Earnings (P/E): 23.1
• Beta (1Y): 0.42
• Revenue Growth: 8.91%
• EPS Growth: 11.59%
• Country: JP
• Employees: 7,826
• Sector: Technology
• Sector Strength: 65
• Industry: Information Technology Services
• EPS (TTM): 36.34
• Shares Outstanding: 183,002,000
• 10 Day Avg. Volume: 299,350
• 30 Day Avg. Volume: 284,393
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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: $3,777.71
• Price Target Upside: 4.13% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

NS Solutions' stock has a strong financial base with impressive growth and profitability, which is the most significant factor in its overall score. However, the technical analysis indicates bearish signals, suggesting potential short-term weakness. The valuation is reasonable, with a moderate P/E ratio and a decent dividend yield. The absence of earnings call data and corporate events does not impact the score significantly.

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 comprehensive suite of IT services. The company's key revenue streams include systems integration, where they design and implement customized IT systems for clients, and IT infrastructure management, providing ongoing support and optimization of clients' IT environments. Additionally, NS Solutions offers consulting services to help businesses strategize and implement digital transformation initiatives. The company frequently forms strategic partnerships with technology vendors and leverages cutting-edge technologies to enhance its service offerings, contributing significantly to its earnings.

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. Overall, the company is well-positioned with a solid financial foundation and growth trajectory in the information technology services industry.

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
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
310.63B	291.69B	270.33B	251.99B	274.84B
	Gross Profit
71.60B	65.94B	60.32B	51.95B	56.60B
	EBIT
35.21B	31.74B	29.82B	24.55B	28.39B
	EBITDA
47.68B	45.76B	41.90B	31.16B	34.06B
	Net Income Common Stockholders
24.24B	22.00B	20.52B	16.98B	18.55B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
103.97B	103.79B	7.87B	6.25B	4.46B
	Total Assets
374.64B	319.91B	296.79B	272.22B	240.45B
	Total Debt
34.79B	25.03B	4.95B	2.26B	4.01B
	Net Debt
-68.63B	-76.29B	-913.00M	-2.99B	-444.00M
	Total Liabilities
129.85B	112.11B	93.36B	86.09B	85.06B
	Stockholders Equity
236.83B	200.52B	196.69B	179.82B	149.45B
Cash Flow		Free Cash Flow
23.03B	21.63B	26.98B	13.90B	13.79B
	Operating Cash Flow
26.15B	26.03B	32.31B	17.54B	19.37B
	Investing Cash Flow
-8.57B	-5.63B	-8.54B	10.41B	-2.98B
	Financing Cash Flow
-15.08B	-14.94B	-6.84B	-7.39B	-6.80B

NS Solutions Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3628.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2327, the sentiment is Neutral. The current price of 3628 is above the 20-day moving average (MA) of 3544.35, below the 50-day MA of 3783.38, and below the 200-day MA of 3749.52, indicating a neutral trend. The MACD of -88.12 indicates Negative momentum. The RSI at 51.07 is Neutral, neither overbought nor oversold. The STOCH value of 69.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2327.

NS Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8056	74 Outperform	¥496.73B	19.91		2.03%	9.15%	8.60%
2327	66 Neutral	$623.82B	23.06	10.73%	2.03%	8.91%	11.59%
Sector *	60 Neutral	$10.77B	10.41	-6.71%	2.99%	7.69%	-13.12%

NS Solutions Corporate Events

NS Solutions Confirms Compliance with TSE Prime Market Criteria

NS Solutions Corporation has confirmed that its common shares meet the listing maintenance criteria for the Tokyo Stock Exchange Prime Market as of March 31, 2025. This compliance is due to the classification of shares held by the 3D WH Opportunity Master OFC as Tradable Shares, which ensures that the company’s Tradable Share ratio exceeds 35%, maintaining its status on the Prime Market.

NS Solutions Reports Significant Profit Increase Due to Strategic Share Sale

NS Solutions Corporation reported a significant increase in its non-consolidated financial results for the fiscal year ended March 31, 2025, compared to the previous year. The company’s profit surged by 188.8%, primarily due to extraordinary income from the sale of shares in Recruit Holdings Co., Ltd., which highlights a strategic financial maneuver that positively impacted its fiscal performance.

NS Solutions Reports Strong Financial Growth for Fiscal Year 2025

NS Solutions Corporation reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a notable increase in revenue and profit compared to the previous year. The company’s revenue rose by 8.9%, while operating profit and profit before tax increased by 10.0% and 10.3%, respectively. Despite a slight decrease in total comprehensive income, the company demonstrated strong financial performance with a significant rise in cash flows from operating and investing activities. The results indicate a positive trajectory for NS Solutions, enhancing its market position and potentially benefiting stakeholders.

NS Solutions Increases Year-End Dividend Forecast for FY 2025

NS Solutions Corporation has revised its year-end dividend forecast for the fiscal year ending March 31, 2025, increasing the year-end dividend by 1.0 yen per share to 37.5 yen, resulting in an annual dividend of 74.0 yen per share. This decision aligns with the company’s policy to maintain a 50% consolidated dividend payout ratio, reflecting its commitment to returning profits to shareholders while securing funds for future growth and risk management.

NS Solutions Acquires INFOCOM to Accelerate Growth and Expand IT Services

NS Solutions Corporation has announced its decision to acquire INFOCOM CORPORATION, making it a subsidiary. This strategic move is part of NS Solutions’ efforts to enhance its capabilities in process-based manufacturing and expand its asset-driven business targeting mid-sized companies. By integrating INFOCOM, NS Solutions expects to leverage combined strengths to accelerate growth, particularly in the healthcare sector and other domains, while working towards its ‘NSSOL 2030 Vision.’

NS Solutions Announces Major Shareholder Change

NS Solutions Corporation announced a significant change in its major shareholders, with 3D WH Opportunity Holdings acquiring 10.10% of the company’s shares, making it the second-largest shareholder. This change could impact the company’s market dynamics as these shares may qualify as Tradeable Shares under Tokyo Stock Exchange regulations, pending coordination. The company is working with the TSE to confirm this status and will update stakeholders accordingly.

NS Solutions Unveils Strategic Plan for 2025-2027

NS Solutions has announced its 2025-2027 Medium-term Business Plan, which outlines strategic initiatives to achieve the ‘NSSOL 2030 Vision.’ The plan focuses on transforming the business model for higher profitability, investing in growth through M&As, and enhancing governance to increase shareholder value. The company aims to double its overseas sales and improve its operational efficiency, positioning itself for significant growth in the IT/DX market.

NS Solutions Proposes Amendments to Enhance Corporate Governance

NS Solutions Corporation announced a proposal to amend its Articles of Incorporation, aiming to clarify the roles of supervisory and executive functions to accelerate decision-making and strengthen supervision. This amendment, part of the ‘NSSOL 2030 Vision’, seeks to enhance corporate value through sustainable business growth and will be discussed at the shareholder meeting in June 2025.