ASJ Inc. (2351) AI Stock Analysis

• Market Cap: ¥2.97B
• Dividend Yield: 0.8%
• Average Volume (3M): 49.18K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.81
• Revenue Growth: -8.23%
• EPS Growth: 60.52%
• Country: JP
• Employees: 154
• Sector: Technology
• Sector Strength: 81
• Industry: Software - Infrastructure
• EPS (TTM): -0.89
• Shares Outstanding: 7,951,100
• 10 Day Avg. Volume: 60,910
• 30 Day Avg. Volume: 49,180
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥452.00
• Price Target Upside: 21.18% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: ¥452.00 ▲(21.18% Upside)

ASJ Inc.'s overall stock score is driven by strong technical analysis indicators and solid financial performance. The stock shows bullish momentum with prices above key moving averages, supported by a robust financial structure. Valuation metrics are favorable, with a reasonable P/E ratio and a modest dividend yield. The absence of earnings call and corporate events data did not impact the score.

ASJ Inc. Business Overview & Revenue Model

Company Description

ASJ Inc. (2351) is a company operating within the technology sector, specializing in the development and manufacturing of electronic components. The company is known for producing high-quality printed circuit boards (PCBs) and other related electronic parts that are essential for various applications in consumer electronics, automotive, and industrial equipment.

How the Company Makes Money

ASJ Inc. generates revenue primarily through the sale of its electronic components, including printed circuit boards, to a diverse client base across multiple industries. The company's key revenue streams include direct sales to manufacturers in the consumer electronics and automotive sectors, as well as supplying industrial equipment producers. ASJ Inc. benefits from long-term contracts and partnerships with major electronics manufacturers, which provide a stable and recurring income source. Additionally, the company may engage in research and development collaborations, leveraging its expertise to innovate and expand its product offerings, further contributing to its earnings.

ASJ Inc. Financial Statement Overview

Summary

ASJ Inc. demonstrates strong financial performance with consistent revenue growth and improved profitability margins. The balance sheet is solid with low leverage, enhancing financial stability. However, cash flow generation has been inconsistent, which slightly tempers the overall financial performance score.

Income Statement

ASJ Inc. has demonstrated strong revenue growth over the years, with a notable increase in net income and gross profit margins. The EBIT and EBITDA margins have improved significantly, indicating enhanced operational efficiency. However, the company experienced a negative EBIT in 2022, which suggests past operational challenges.

Balance Sheet

The company maintains a healthy balance sheet with a strong equity base and a low debt-to-equity ratio, indicating financial stability. The equity ratio is robust, reflecting a solid financial structure. The consistent increase in stockholders' equity over the years is a positive sign of financial health.

Cash Flow

ASJ Inc. has shown variability in free cash flow, with a recent decline. However, the operating cash flow remains strong, supporting the company's ability to generate cash from operations. The free cash flow to net income ratio indicates some challenges in converting earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.74B	2.74B	2.85B	2.75B	2.49B	2.51B
Gross Profit	1.12B	1.12B	1.11B	1.03B	886.49M	907.83M
EBITDA	432.65M	432.65M	384.69M	368.37M	-159.62M	354.37M
Net Income	246.02M	246.77M	112.28M	62.83M	-484.60M	43.47M
Balance Sheet
Total Assets	4.87B	4.87B	4.24B	4.06B	3.96B	4.40B
Cash, Cash Equivalents and Short-Term Investments	989.51M	989.51M	862.00M	928.71M	838.88M	845.31M
Total Debt	693.78M	693.78M	213.88M	226.47M	257.48M	270.48M
Total Liabilities	1.98B	1.98B	1.58B	1.52B	1.48B	1.51B
Stockholders Equity	2.89B	2.89B	2.66B	2.54B	2.49B	2.89B
Cash Flow
Free Cash Flow	0.00	-58.94M	7.62M	161.84M	-63.95M	89.07M
Operating Cash Flow	0.00	415.82M	282.31M	453.18M	249.71M	438.30M
Investing Cash Flow	0.00	-721.93M	-287.48M	-291.34M	-284.17M	-366.73M
Financing Cash Flow	0.00	432.96M	-63.19M	-73.50M	26.20M	53.32M

ASJ Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 373.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2351, the sentiment is Positive. The current price of 373 is above the 20-day moving average (MA) of 367.80, above the 50-day MA of 347.10, and above the 200-day MA of 349.59, indicating a bullish trend. The MACD of 6.88 indicates Positive momentum. The RSI at 54.01 is Neutral, neither overbought nor oversold. The STOCH value of 22.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2351.

ASJ Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2351	80 Outperform	¥2.97B	12.12		0.80%	-8.23%	60.52%
4178	67 Neutral	¥3.00B	44.55		―	-3.54%	-41.26%
4378	61 Neutral	¥1.66B	86.11		―	4.33%	-248.75%
3042	58 Neutral	¥2.51B	24.01		0.61%	13.74%	-55.69%
Sector *	54 Neutral	$297.28M	3.24	-13.34%	2.74%	5.71%	-76.50%
3987	―	¥2.65B	―		―	―	―
4288	54 Neutral	¥2.11B	―		―	30.27%	29.21%

ASJ Inc. Corporate Events

ASJ Inc. Reports Decline in Q2 2025 Financial Results

ASJ Inc. reported a decline in sales and profits for the three months ending June 30, 2025, with sales dropping by 11.4% compared to the previous year. Despite the financial setback, the company maintains a strong equity position with a 59.4% equity-to-assets ratio, and it has not revised its earnings forecasts for the fiscal year ending March 31, 2026.