Mitsubishi Research Institute (3636) AI Stock Analysis

• Market Cap: ¥76.39B
• Dividend Yield: 3.28%
• Average Volume (3M): 24.01K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.85
• Revenue Growth: 5.28%
• EPS Growth: 28.90%
• Country: JP
• Employees: 4,573
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 167.27
• Shares Outstanding: 16,044,000
• 10 Day Avg. Volume: 20,130
• 30 Day Avg. Volume: 24,010
• PEG Ratio: 0.45
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.67
• P/FCF Ratio: 29.06
• 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: 75 Outperform
• Price Target: ¥5,462.00 ▲(12.39% Upside)

Mitsubishi Research Institute's strong financial performance and reasonable valuation are the primary drivers of its stock score. While the technical analysis indicates a bearish trend, the company's solid financial foundation and attractive dividend yield provide a buffer against market volatility.

Positive Factors

Revenue Growth

Consistent revenue growth indicates the company's ability to expand its market reach and maintain demand for its services, supporting long-term business stability.

Balance Sheet Health

A low debt-to-equity ratio highlights financial stability and provides the company with flexibility to invest in growth opportunities without excessive leverage.

Profitability

Improved gross profit margins reflect effective cost control, enhancing the company's ability to generate profits and invest in future growth.

Negative Factors

Declining Free Cash Flow

A decline in free cash flow growth could limit the company's ability to fund new projects or return capital to shareholders, potentially impacting long-term growth.

Return on Equity

Decreasing return on equity indicates challenges in generating returns from shareholders' equity, which could affect investor confidence and capital efficiency.

Free Cash Flow to Net Income Ratio

A declining free cash flow to net income ratio suggests potential difficulties in converting profits into cash, which may hinder the company's ability to finance future operations and investments.

Mitsubishi Research Institute Business Overview & Revenue Model

Company Description

Mitsubishi Research Institute, Inc. provides think tank, consulting, and IT services to government agencies, financial institutions, and private companies in Japan. Its service solutions include management consulting, digital innovation, financial innovation, environment/energy, healthcare/wellness, regional revitalization, next-generation infrastructure, science/safety, nuclear safety, economy/society/R&D, project case, and public sector orders. Mitsubishi Research Institute, Inc. has a partnership with ForePaaS SAS to deliver cloud-native data intensive solutions in Japan. The company was founded in 1970 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Mitsubishi Research Institute generates revenue through various streams, primarily by offering consulting services, research and analysis, and strategic planning to government agencies and corporations. The company charges fees for its expert consulting services, which are tailored to meet the specific needs of clients in diverse sectors such as energy, transportation, and urban development. Additionally, MRI conducts commissioned research projects funded by public institutions and private enterprises, providing valuable insights and data that drive decision-making processes. Key partnerships with governmental bodies, academic institutions, and industry leaders further enhance its service offerings and contribute to its earnings. The firm's ability to leverage its expertise in emerging technologies and sustainable practices also plays a crucial role in attracting clients and generating revenue.

Mitsubishi Research Institute Financial Statement Overview

Summary

Mitsubishi Research Institute demonstrates strong financial health with consistent revenue growth and profitability. The balance sheet is solid with low leverage, though there is room for improvement in return on equity. Cash flow generation is stable, but declining free cash flow growth warrants attention.

Income Statement

Mitsubishi Research Institute has demonstrated consistent revenue growth with a 4.05% increase in the latest year, following a recovery from a slight dip the previous year. The gross profit margin has improved to 24.91%, indicating efficient cost management. Net profit margin stands at 5.26%, reflecting solid profitability. The EBIT and EBITDA margins have also shown positive trends, enhancing operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.014, indicating minimal leverage and financial stability. The equity ratio is robust, highlighting a strong equity base. However, the return on equity has slightly decreased, suggesting room for improvement in generating returns from shareholders' equity.

Cash Flow

Operating cash flow remains healthy, but there has been a significant decline in free cash flow growth, which could impact future investments. The operating cash flow to net income ratio is stable, indicating good cash generation relative to net income. However, the free cash flow to net income ratio has decreased, suggesting potential challenges in converting profits into free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	116.73B	121.46B	115.36B	122.13B	116.62B	103.03B
Gross Profit	26.73B	30.26B	25.42B	25.98B	26.58B	23.45B
EBITDA	10.82B	13.72B	11.75B	13.40B	15.80B	11.48B
Net Income	5.14B	6.39B	5.00B	6.29B	7.71B	5.01B
Balance Sheet
Total Assets	122.96B	128.11B	119.73B	118.01B	114.65B	99.70B
Cash, Cash Equivalents and Short-Term Investments	34.59B	30.31B	30.93B	25.23B	33.16B	29.40B
Total Debt	879.00M	1.04B	1.11B	2.09B	3.53B	4.93B
Total Liabilities	43.68B	46.77B	43.36B	43.63B	43.50B	35.87B
Stockholders Equity	70.34B	71.92B	67.63B	65.80B	63.05B	56.28B
Cash Flow
Free Cash Flow	0.00	2.81B	9.41B	219.00M	6.07B	636.00M
Operating Cash Flow	0.00	6.42B	13.54B	5.70B	9.26B	3.25B
Investing Cash Flow	0.00	-4.00B	-2.91B	-2.41B	-6.65B	-1.97B
Financing Cash Flow	0.00	-3.01B	-4.94B	-6.20B	-3.85B	-4.62B

Mitsubishi Research Institute Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4860.00
• 50DMA: Negative
• 100DMA: Negative
• 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:3636, the sentiment is Negative. The current price of 4860 is below the 20-day moving average (MA) of 4956.25, below the 50-day MA of 4932.80, and above the 200-day MA of 4783.85, indicating a neutral trend. The MACD of -32.57 indicates Positive momentum. The RSI at 38.19 is Neutral, neither overbought nor oversold. The STOCH value of 21.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3636.

Mitsubishi Research Institute Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9889	77 Outperform	¥99.31B	17.64	―	2.32%	5.09%	26.12%
2317	76 Outperform	¥168.51B	14.89	―	2.30%	13.82%	37.07%
4722	76 Outperform	¥159.61B	13.65	―	2.22%	9.29%	1.18%
3636	75 Outperform	¥76.39B	9.46	―	3.28%	5.28%	28.90%
9715	75 Outperform	¥149.70B	10.56	11.52%	2.76%	4.00%	38.72%
9682	66 Neutral	¥191.86B	16.90	18.89%	2.78%	11.90%	60.66%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Mitsubishi Research Institute Corporate Events

Mitsubishi Research Institute Reports Strong Fiscal Year 2025 Financial Results

Mitsubishi Research Institute reported a strong financial performance for the fiscal year ended September 30, 2025, with significant increases in net sales, operating profit, and profit attributable to owners of the parent. The company experienced a notable improvement in comprehensive income, reflecting a robust recovery from the previous fiscal year. This financial growth positions Mitsubishi Research Institute favorably within its industry, potentially enhancing its market competitiveness and stakeholder confidence.

The most recent analyst rating on (JP:3636) stock is a Buy with a Yen5491.00 price target. To see the full list of analyst forecasts on Mitsubishi Research Institute stock, see the JP:3636 Stock Forecast page.