Kyoritsu Computer & Communication Co., Ltd. (3670) AI Stock Analysis

• Market Cap: ¥2.34B
• Dividend Yield: 2.75%
• Average Volume (3M): 20.83K
• Price to Earnings (P/E): 13.6
• Beta (1Y): 0.49
• Revenue Growth: -18.16%
• EPS Growth: -33.45%
• Country: JP
• Employees: 196
• Sector: Technology
• Sector Strength: 90
• Industry: Information Technology Services
• EPS (TTM): 62.34
• Shares Outstanding: 1,205,600
• 10 Day Avg. Volume: 1,760
• 30 Day Avg. Volume: 20,830
• PEG Ratio: 1.84
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 78.88
• 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: ¥1,914.00
• Price Target Upside: -2.60% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥2,412.00 ▲(22.75%Upside)

Kyoritsu Computer & Communication Co., Ltd. benefits from strong technical momentum and a stable financial position, although recent revenue and profitability declines need addressing. The fair valuation and reasonable dividend yield add to its investment appeal.

Kyoritsu Computer & Communication Co., Ltd. Business Overview & Revenue Model

Company Description

Kyoritsu Computer & Communication Co., Ltd. is a Japanese company that specializes in providing comprehensive IT solutions and services. The company operates in sectors including information technology, communication, and software development. It offers a range of products and services such as IT system integration, software development, network solutions, and maintenance services, catering to various industries and businesses.

How the Company Makes Money

Kyoritsu Computer & Communication Co., Ltd. generates revenue through several key streams, including IT system integration services, where they design and implement technology solutions for businesses. They also earn revenue from software development services, creating custom software solutions tailored to client needs. Additionally, the company provides network solutions and ongoing maintenance services, which include infrastructure setup, optimization, and support contracts. Partnerships with hardware and software vendors may also contribute to their earnings, enabling them to offer bundled solutions to clients. Furthermore, consulting services and training programs may serve as ancillary revenue streams, enhancing their overall service portfolio.

Kyoritsu Computer & Communication Co., Ltd. Financial Statement Overview

Summary

Kyoritsu Computer & Communication Co., Ltd. demonstrates stable financial health with robust equity levels and efficient cost management. However, recent declines in revenue and profitability highlight areas for improvement. The company maintains a low leverage risk, enhancing its resilience in the Information Technology Services industry.

Income Statement

The company has shown a mixed performance in revenue growth, with a recent decline in total revenue from 5.47 billion in 2024 to 4.48 billion in 2025. The gross profit margin has remained stable around 40%, indicating efficient cost management. However, the net profit margin has decreased to approximately 3.8% due to lower net income, reflecting potential challenges in maintaining profitability.

Balance Sheet

The balance sheet reflects a strong equity position with an increasing stockholders' equity over the years, which accounts for a significant portion of total assets. The debt-to-equity ratio is low, indicating financial stability and lower risk of over-leverage. The equity ratio is also healthy, suggesting a solid capital structure.

Cash Flow

The company has experienced volatility in operating cash flow, with a significant decline in 2025. Despite this, the free cash flow is positive, suggesting the company can manage its capital investments efficiently. The operating cash flow to net income ratio indicates potential challenges in converting income to cash.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.48B	5.47B	4.98B	4.93B	4.51B
Gross Profit	1.80B	1.88B	1.81B	1.76B	1.75B
EBITDA	304.75M	416.29M	239.97M	239.07M	259.15M
Net Income	171.82M	258.17M	115.42M	106.51M	132.15M
Balance Sheet
Total Assets	3.20B	3.28B	2.93B	2.93B	2.81B
Cash, Cash Equivalents and Short-Term Investments	1.33B	1.22B	693.55M	946.92M	948.84M
Total Debt	5.63M	19.49M	33.97M	48.88M	69.98M
Total Liabilities	1.08B	1.26B	1.04B	1.12B	1.04B
Stockholders Equity	2.12B	2.01B	1.89B	1.82B	1.77B
Cash Flow
Free Cash Flow	191.27M	610.50M	-213.05M	90.70M	153.31M
Operating Cash Flow	220.97M	644.78M	-192.07M	141.83M	236.04M
Investing Cash Flow	-30.38M	-46.74M	17.24M	-56.14M	-84.96M
Financing Cash Flow	-79.79M	-80.12M	-78.87M	-80.27M	-37.30M

Kyoritsu Computer & Communication Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1965.00
• 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:3670, the sentiment is Neutral. The current price of 1965 is below the 20-day moving average (MA) of 2078.00, above the 50-day MA of 1782.28, and above the 200-day MA of 1650.05, indicating a neutral trend. The MACD of 51.74 indicates Positive momentum. The RSI at 50.84 is Neutral, neither overbought nor oversold. The STOCH value of 8.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3670.

Kyoritsu Computer & Communication Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4016	75 Outperform	¥1.76B	11.50		2.32%	5.61%	32.84%
4444	75 Outperform	¥2.33B	23.89		―	13.74%	-3.38%
3670	74 Outperform	¥2.34B	13.61		2.75%	-18.16%	-33.45%
3974	73 Outperform	¥2.11B	18.32		2.74%	-8.67%	-51.24%
9250	64 Neutral	¥1.77B	69.94		―	7.94%	―
Sector *	63 Neutral	$34.70B	5.15	-11.38%	1.67%	5.54%	-17.15%
6555	54 Neutral	¥1.83B	11.74		1.14%	7.71%	-328.34%