CELSYS, Inc. (3663) AI Stock Analysis

• Market Cap: ¥53.59B
• Dividend Yield: 2.96%
• Average Volume (3M): 169.79K
• Price to Earnings (P/E): 30.2
• Beta (1Y): 0.91
• Revenue Growth: 1.41%
• EPS Growth: 131.82%
• Country: JP
• Employees: 253
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Application
• EPS (TTM): 22.26
• Shares Outstanding: 36,271,180
• 10 Day Avg. Volume: 211,450
• 30 Day Avg. Volume: 169,793
• PEG Ratio: -1.10
• Price to Book (P/B): 2.86
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 46.93
• 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

• Rating: 70 Outperform
• Price Target: ―

CELSYS, Inc.'s overall score reflects its strong financial performance with high profitability and cash flow generation. However, the technical analysis indicates weak momentum, and the high P/E ratio suggests a premium valuation that may not be sustainable if growth expectations are not met. The absence of recent earnings call data and corporate events limits further insights into upcoming strategic directions or risks.

CELSYS, Inc. Business Overview & Revenue Model

Company Description

CELSYS, Inc. (3663) is a Japanese company that specializes in providing software and services for creative professionals. The company is best known for its flagship product, Clip Studio Paint, which is a popular digital painting and illustration software used by artists, illustrators, and animators worldwide. CELSYS focuses on enhancing the creative process through innovative technology, offering tools that cater to various creative needs including digital art, manga, and animation.

How the Company Makes Money

CELSYS, Inc. primarily generates revenue through the sale of its software products, particularly Clip Studio Paint, which is available as both a one-time purchase and a subscription-based service. The company also earns from service offerings and partnerships with hardware manufacturers, where its software is bundled with creative devices like tablets and styluses. Additionally, CELSYS capitalizes on its online platform by providing cloud services and selling additional content or features to enhance the user experience. Strategic collaborations and licensing agreements with educational institutions and businesses further contribute to its revenue streams.

CELSYS, Inc. Financial Statement Overview

Summary

CELSYS, Inc. presents a strong financial position characterized by consistent revenue growth, high profitability margins, no leverage, and robust cash flow generation. The company's strategic focus on operational efficiency and prudent financial management supports its competitive standing in the software application industry.

Income Statement

CELSYS, Inc. demonstrates a strong financial performance with consistent revenue growth over the years, achieving a 1.41% increase from 2023 to 2024. The gross profit margin remains robust at 55.34% for 2024, while the net profit margin improved significantly to 17.06%. The EBIT margin also shows strength at 26.15%. Despite some fluctuations, the company's margins indicate healthy profitability and operational efficiency.

Balance Sheet

The company's balance sheet is exceptionally strong, with no debt and a high equity ratio of 64.27% as of 2024. The return on equity (ROE) is impressive at 25.82%, highlighting efficient use of equity capital. The increasing stockholders' equity and strong asset base ensure financial stability and resilience against potential risks.

Cash Flow

CELSYS, Inc. exhibits a solid cash flow generation capability, with a significant free cash flow growth of 145.22% from 2023 to 2024. The operating cash flow to net income ratio of 2.67 indicates strong cash conversion capabilities. However, the free cash flow to net income ratio of 2.64 suggests that a substantial portion of earnings is being effectively converted into cash, supporting strategic investments and shareholder returns.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.20B	8.09B	7.54B	6.89B	6.37B
Gross Profit	4.54B	3.91B	4.16B	3.63B	3.13B
EBITDA	2.80B	2.13B	2.39B	2.33B	719.49M
Net Income	1.40B	626.43M	1.05B	1.22B	-475.41M
Balance Sheet
Total Assets	8.43B	8.55B	10.16B	8.34B	5.64B
Cash, Cash Equivalents and Short-Term Investments	5.39B	5.60B	6.78B	5.73B	2.92B
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	3.01B	1.89B	1.93B	1.77B	1.62B
Stockholders Equity	5.42B	6.59B	8.22B	6.58B	4.02B
Cash Flow
Free Cash Flow	3.70B	1.51B	501.49M	1.21B	1.04B
Operating Cash Flow	3.73B	2.34B	1.55B	1.97B	1.82B
Investing Cash Flow	-1.65B	-1.47B	-1.03B	-473.51M	-778.85M
Financing Cash Flow	-2.30B	-2.12B	490.54M	1.28B	-46.28M

CELSYS, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1509.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3663, the sentiment is Positive. The current price of 1509 is above the 20-day moving average (MA) of 1495.35, above the 50-day MA of 1413.79, and above the 200-day MA of 1279.18, indicating a bullish trend. The MACD of 29.24 indicates Positive momentum. The RSI at 55.06 is Neutral, neither overbought nor oversold. The STOCH value of 17.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3663.

CELSYS, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6752	75 Outperform	$3.61T	9.85	7.85%	2.59%	-0.45%	-17.53%
6758	71 Outperform	$22.24T	19.29	14.32%	0.55%	-0.49%	19.71%
9684	70 Outperform	$1.28T	52.71	7.32%	0.80%	0.58%	-56.67%
3663	70 Outperform	¥53.59B	30.18		2.96%	1.41%	131.82%
7974	69 Neutral	$15.64T	56.08	10.29%	1.17%	-27.51%	-35.35%
Sector *	69 Neutral	¥229.55B	14.48	7.64%	2.71%	9.13%	8.50%
4755	58 Neutral	¥1.70T	―	-22.97%	―	10.38%	38.09%

CELSYS, Inc. Corporate Events

CELSYS, Inc. Reports Steady Growth Amid Software Upgrade Impact

CELSYS, Inc. reported its business progress for March 2025, highlighting a steady increase in the annual recurring revenue (ARR) of its Clip Studio Paint subscriptions, reaching 4,631 million yen. Despite a temporary rise in churn rate due to the launch of a major version upgrade, the company anticipates a return to normal levels, underscoring its resilience and adaptability in maintaining customer engagement and revenue growth.

CELSYS, Inc. Announces Disposal of Treasury Shares for Compensation Plan

CELSYS, Inc. announced the disposal of 18,000 treasury shares as part of a Restricted Stock Compensation Plan aimed at enhancing corporate value and aligning the interests of directors and employees with shareholders. The plan involves a long-term transfer restriction period, emphasizing the company’s commitment to sustained value sharing and motivation enhancement among its directors and employees.

CELSYS Completes Treasury Share Acquisition

CELSYS, Inc. has announced the completion of its acquisition of treasury shares, following a resolution made by its Board of Directors. The company acquired 218,100 common shares at a total cost of ¥270,288,597 through the Tokyo Stock Exchange. This acquisition is part of a larger plan to purchase up to 600,000 shares, with the total acquisition cost not exceeding ¥500,000,000. As of March 13, 2025, CELSYS has acquired a total of 401,300 shares at a cost of ¥499,947,395, reflecting a strategic move to manage its capital structure effectively.

CELSYS, Inc. Completes Treasury Share Acquisition

CELSYS, Inc. has announced the acquisition of 183,200 treasury shares at a total cost of ¥229,658,798 during February 2025, as part of a broader plan approved by the Board of Directors in December 2024. This move is part of a strategic initiative to manage the company’s capital structure, potentially enhancing shareholder value and stabilizing stock prices.