S-Pool, Inc. (2471) AI Stock Analysis

• Market Cap: ¥25.99B
• Dividend Yield: 3.04%
• Average Volume (3M): 326.27K
• Price to Earnings (P/E): 14.3
• Beta (1Y): 0.69
• Revenue Growth: 6.74%
• EPS Growth: 7.56%
• Country: JP
• Employees: 1,055
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 4.42
• Shares Outstanding: 79,007,510
• 10 Day Avg. Volume: 413,760
• 30 Day Avg. Volume: 326,273
• 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: ¥360.00
• Price Target Upside: 9.42% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: ¥360.00 ▲(9.42% Upside)

S-Pool, Inc.'s overall stock score is driven primarily by its solid financial performance and reasonable valuation. The company's stable revenue growth and profitability are offset by significant leverage risks. Technical indicators suggest a neutral to slightly bearish trend, which tempers the overall score.

S-Pool, Inc. Business Overview & Revenue Model

Company Description

S-Pool, Inc. provides human resources and outsourcing business solutions in Japan. It offers temporary staffing and recruitment services primarily focuses on operations that require communication skills. The company also provides outsourcing services, such as share-based outsourcing services, employment services, logistics outsourcing services, and part-time job application reception outsourcing services. S-Pool, Inc. was founded in 1999 and is headquartered in Tokyo, Japan.

How the Company Makes Money

S-Pool, Inc. generates revenue through its comprehensive human resource services, primarily by offering staffing and workforce management solutions. The company earns money by providing temporary staffing, permanent placement, and outsourcing services to businesses across different sectors. Revenue is driven by fees charged for these staffing services, which can be based on hourly rates for temporary staffing or a percentage of the employee's salary for permanent placements. Additionally, S-Pool may engage in partnerships with companies requiring large-scale workforce solutions, further contributing to its revenue streams.

S-Pool, Inc. Financial Statement Overview

Summary

S-Pool, Inc. demonstrates solid financial health with stable income and cash flow statements. The company maintains steady revenue growth and profitability, supported by efficient operations. However, the high debt-to-equity ratio indicates significant leverage, posing potential financial risks.

Income Statement

S-Pool, Inc. shows a healthy gross profit margin of 38.06% and a stable EBIT margin of 11.34% TTM. However, the net profit margin decreased slightly to 7.44% from 8.21% in the previous year. The revenue growth rate is modest at 1.85% TTM, indicating steady but not rapid growth. Stability in EBITDA margin at 25.06% TTM highlights operational efficiency.

Balance Sheet

The debt-to-equity ratio is relatively high at 2.72, indicating significant leverage, which could pose financial risk. However, the equity ratio is 23.22%, which shows a moderate equity buffer. ROE stands at 21.83% TTM, demonstrating effective use of equity to generate profits, although it has decreased from previous levels.

Cash Flow

The free cash flow growth rate is minimal at 0.87% TTM, reflecting consistent cash generation. Operating cash flow to net income ratio is strong at 2.37, indicating robust cash earnings. However, the free cash flow to net income ratio is lower at 0.90, suggesting some constraints in free cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.96B	25.55B	25.78B	26.65B	24.86B	21.01B
Gross Profit	9.86B	9.45B	8.91B	8.74B	7.53B	6.38B
EBITDA	6.45B	6.18B	5.39B	3.96B	3.34B	2.73B
Net Income	1.83B	2.10B	1.73B	1.96B	1.88B	1.58B
Balance Sheet
Total Assets	40.64B	39.71B	33.38B	17.03B	15.32B	11.30B
Cash, Cash Equivalents and Short-Term Investments	5.18B	3.81B	3.38B	3.21B	3.94B	2.51B
Total Debt	25.45B	24.00B	19.82B	4.64B	4.87B	2.86B
Total Liabilities	31.46B	29.89B	24.88B	9.60B	9.21B	6.84B
Stockholders Equity	9.18B	9.84B	8.51B	7.44B	6.08B	4.46B
Cash Flow
Free Cash Flow	3.96B	1.74B	-74.00M	87.00M	27.00M	102.00M
Operating Cash Flow	6.32B	5.07B	4.10B	2.86B	2.19B	2.23B
Investing Cash Flow	-2.40B	-3.39B	-4.57B	-2.85B	-2.51B	-2.05B
Financing Cash Flow	-2.27B	-1.24B	640.00M	-737.00M	1.74B	215.00M

S-Pool, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 329.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2471, the sentiment is Negative. The current price of 329 is below the 20-day moving average (MA) of 340.45, below the 50-day MA of 335.26, and above the 200-day MA of 319.45, indicating a bearish trend. The MACD of -2.73 indicates Positive momentum. The RSI at 37.35 is Neutral, neither overbought nor oversold. The STOCH value of 26.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2471.

S-Pool, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2475	74 Outperform	¥32.69B	9.68	―	3.71%	3.00%	-3.28%
9332	71 Outperform	¥21.13B	12.93	―	3.43%	3.05%	-22.47%
2471	69 Neutral	¥25.99B	14.32	―	3.04%	6.74%	7.56%
6070	68 Neutral	¥28.25B	14.82	―	5.03%	-4.87%	-14.53%
6089	68 Neutral	¥23.20B	16.97	―	4.33%	0.73%	-35.91%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4433	58 Neutral	¥18.32B	21.48	―	3.60%	8.62%	―

S-Pool, Inc. Corporate Events

S-Pool, Inc. Reports Modest Revenue Growth Amid Profit Decline

S-Pool, Inc. reported its consolidated financial results for the six months ended May 31, 2025, showing a modest increase in revenue by 3.4% compared to the previous year. Despite the revenue growth, the company experienced a significant decline in profit attributable to owners of the parent by 40.1%, indicating challenges in maintaining profitability.