Career Design Center Co., Ltd. (2410) AI Stock Analysis

• Market Cap: ¥12.39B
• Dividend Yield: 4.14%
• Average Volume (3M): 49.98K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.50
• Revenue Growth: 5.14%
• EPS Growth: 17.11%
• Country: JP
• Employees: 588
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 49.53
• Shares Outstanding: 5,497,921
• 10 Day Avg. Volume: 73,150
• 30 Day Avg. Volume: 49,980
• PEG Ratio: -0.65
• Price to Book (P/B): 2.41
• Price to Sales (P/S): 0.54
• P/FCF Ratio: 95.60
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: ―

Career Design Center Co., Ltd. demonstrates strong financial performance with a robust balance sheet and solid profitability. The valuation is appealing due to a low P/E ratio and high dividend yield. However, technical analysis reveals a bearish trend, which tempers the stock's overall attractiveness. The stability and growth potential in financials are offset by current market trends, resulting in a moderate overall score.

Positive Factors

Balance Sheet Health

A debt-free balance sheet provides financial flexibility and reduces risk, supporting long-term stability and potential for growth.

Revenue Growth

Projected revenue growth indicates expanding market presence and demand for services, enhancing the company's competitive position.

Profitability

Strong gross profit margins reflect effective cost management and pricing power, supporting sustained profitability.

Negative Factors

Operating Profit Decline

Declining operating profits suggest challenges in cost control or revenue generation, potentially impacting future earnings.

Cash Flow Conversion

Low cash flow conversion from net income may limit reinvestment capacity and shareholder returns, affecting long-term growth.

Net Profit Margin Decline

A declining net profit margin can signal increasing costs or pricing pressures, potentially impacting future profitability.

Career Design Center Co., Ltd. Business Overview & Revenue Model

Company Description

Career Design Center Co., Ltd. provides human resource services in Japan. It operates job change sites; and provides job fair, recruitment, IT dispatch, new graduate recruitment support, and career change services, as well as information magazines and events for job hunting. The company was incorporated in 1993 and is based in Tokyo, Japan.

How the Company Makes Money

Career Design Center Co., Ltd. generates revenue through several key streams associated with its human resource services. The primary source of income is derived from recruitment and staffing services, where the company charges fees to businesses for providing qualified candidates to fill their job vacancies. Another revenue stream is career consulting services, where individuals pay for guidance and support in their career development and job search strategies. Additionally, the company may enter into partnerships with educational institutions or businesses to provide training and development programs, which can also contribute to its revenue. These partnerships can include customized training solutions or workshops designed to enhance workforce skills, thereby increasing the company's service offerings and market reach.

Career Design Center Co., Ltd. Financial Statement Overview

Summary

Career Design Center Co., Ltd. displays strong financial health with robust income statement performance, a solid balance sheet free of debt, and stable cash flow generation. The company achieves healthy profitability and maintains a strong equity position, though there is room to enhance cash flow to earnings conversion. Overall, the financial statements suggest sustained growth potential and financial stability.

Income Statement

Career Design Center Co., Ltd. has demonstrated strong revenue and profit growth over the years. The gross profit margin remains robust at approximately 54.89% in 2024, indicating effective cost management. Although the net profit margin slightly decreased to 5.55% in 2024 from 6.69% in 2023, it remains healthy. The EBIT margin is stable at 8.08%, supported by efficient operations. The EBITDA margin at 10.74% is also commendable. Overall, the company shows strong profitability with consistent growth.

Balance Sheet

The balance sheet of Career Design Center Co., Ltd. is very strong with zero total debt in 2024, resulting in a debt-to-equity ratio of 0. The equity ratio is sound at 60.54%, indicating financial stability and strong capitalization. The return on equity (ROE) is modest at 24.99%, showing the company is effectively generating returns for shareholders.

Cash Flow

The company exhibits a positive free cash flow, although it decreased from previous years. The operating cash flow to net income ratio is favorable at 0.87, suggesting good cash generation relative to net income. The free cash flow to net income ratio stands at 0.10, indicating room for improvement in cash generation relative to profits. Overall, the cash flow situation is stable but has potential for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.65B	17.73B	17.39B	15.51B	9.44B	6.49B
Gross Profit	7.27B	9.74B	9.47B	8.27B	5.78B	5.07B
EBITDA	1.42B	1.90B	1.99B	1.48B	1.30B	-240.53M
Net Income	720.63M	984.35M	1.16B	793.59M	927.69M	-350.63M
Balance Sheet
Total Assets	6.69B	6.51B	8.00B	6.72B	5.86B	5.64B
Cash, Cash Equivalents and Short-Term Investments	2.83B	2.71B	4.53B	3.42B	2.62B	1.70B
Total Debt	0.00	0.00	808.34M	908.34M	58.00M	45.03M
Total Liabilities	2.73B	2.57B	4.07B	3.76B	1.91B	1.80B
Stockholders Equity	3.96B	3.94B	3.93B	2.96B	3.95B	3.16B
Cash Flow
Free Cash Flow	0.00	99.28M	1.42B	1.71B	205.34M	-272.96M
Operating Cash Flow	0.00	859.19M	1.94B	2.05B	633.91M	187.63M
Investing Cash Flow	0.00	-839.00M	-478.06M	-347.15M	-431.88M	-517.33M
Financing Cash Flow	0.00	-1.84B	-348.33M	-904.36M	-122.12M	-323.92M

Career Design Center Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2464.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2410, the sentiment is Positive. The current price of 2464 is above the 20-day moving average (MA) of 2311.05, above the 50-day MA of 2245.69, and above the 200-day MA of 1916.23, indicating a bullish trend. The MACD of 54.65 indicates Negative momentum. The RSI at 72.28 is Negative, neither overbought nor oversold. The STOCH value of 97.14 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2410.

Career Design Center Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6539	73 Outperform	¥25.00B	24.07	―	5.57%	21.90%	0.46%
3991	72 Outperform	¥11.12B	10.26	―	1.73%	3.95%	4.50%
4848	72 Outperform	¥59.20B	12.39	―	3.67%	3.47%	-0.05%
2410	67 Neutral	¥12.39B	11.38	―	4.14%	5.14%	17.11%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4433	58 Neutral	¥17.75B	20.81	―	3.55%	8.62%	―
6198	56 Neutral	¥2.19B	―	―	2.43%	-10.61%	-160.10%

Career Design Center Co., Ltd. Corporate Events

Career Design Center Co., Ltd. Reports Mixed Financial Results for H1 2025

Career Design Center Co., Ltd. reported its non-consolidated financial results for the six months ended March 31, 2025, showing a slight increase in net sales by 3.5% compared to the previous year. However, the company faced a decline in operating and ordinary profits by 8.2% and 7.0%, respectively. Despite these challenges, the company maintains a strong capital adequacy ratio of 59.3%, signaling a stable financial position. The forecast for the fiscal year ending September 30, 2025, anticipates a 7.1% increase in net sales and a significant rise in operating profit by 23.0%, indicating a positive outlook for future growth.