ZIGExN Co., Ltd. (3679) AI Stock Analysis

• Market Cap: ¥50.44B
• Dividend Yield: 1.58%
• Average Volume (3M): 296.61K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.64
• Revenue Growth: 10.84%
• EPS Growth: 5.13%
• Country: JP
• Employees: 927
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): 10.13
• Shares Outstanding: 110,000,000
• 10 Day Avg. Volume: 353,310
• 30 Day Avg. Volume: 296,613
• PEG Ratio: 2.62
• Price to Book (P/B): 2.21
• Price to Sales (P/S): 1.73
• P/FCF Ratio: 6.15
• 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): 38.9
• Revenue Forecast (FY): ¥27.80B

• Rating: 67 Neutral
• Price Target: ¥500.00 ▼(-4.76% Downside)

ZIGExN Co., Ltd. demonstrates strong financial performance with solid profitability and cash flow metrics, contributing significantly to its overall score. However, the technical analysis indicates bearish momentum, which negatively impacts the stock's attractiveness. The valuation is reasonable, providing some support to the score. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates the company's ability to expand its market presence and enhance its service offerings, supporting long-term business sustainability.

Cash Flow Generation

Strong cash flow generation provides the company with the flexibility to invest in growth opportunities and weather economic downturns, ensuring financial stability.

Profitability Margins

High profitability margins reflect efficient operations and pricing power, allowing the company to sustain competitive advantages and reinvest in its business.

Negative Factors

Cost Pressures

Rising costs can erode profitability and constrain future growth, necessitating careful management to maintain financial health and competitive positioning.

Debt Reliance

Moderate debt reliance can pose risks if market conditions change, potentially impacting the company's ability to finance operations and growth initiatives.

Market Sentiment

Negative market sentiment, while not directly impacting fundamentals, can affect investor confidence and the company's ability to raise capital or pursue strategic initiatives.

ZIGExN Co., Ltd. Business Overview & Revenue Model

Company Description

ZIGExN Co., Ltd. operates the life media platform in Japan. It operates Job change EX, a job change and job information site; Dispatch EX, a Website covering job information and dispatch company information of staffing sites and dispatching companies; Part-timer EX, a part time job search service site; d job, a job recruitment information and smartphone work recruitment service; Nurse Job EX, a nurse recruitment/career change site; and Pharmacist Job EX, a pharmacist recruitment information search site. The company also offers Rental Smocca, a search site for real estate rental housing listings; Maisumi EX, a site specialized in real estate sale, land utilization, and rental management; and Moving estimate EX, a site that offers moving estimates. In addition, it provides SmaRE, a marketing support tool for the purchase and sale of real estate properties; Minorino, a used condominium sales portal site specializing in renovation; and Provider EX, a comparison site that helps in selecting high-speed mobile communication. Further, the company offers used car EX, an used car information site; Car purchase EX, a comparison site for car purchase; Car-tana, a used car export portal site; Apple world, a portal for hotel booking; Hotelista, a hotel reservation Website; Travery, a comparison site for hotel reservations; and tradecarview, a used car export site. In addition it offers Puronuri, a service that allows to collect information and compare estimates for exterior wall painting; Exterior wall painting concierge is a free matching service; Enepi a price comparison service; Guriene, a service that supports the smart and profitable introduction of solar power generation; Hotelista, a hotel reservation site; Traveler, a comparison / reservation site for low-cost flights and LCCs; Nursery rhyme, a baby sitter service; and franchise, marriage, tutor, and study abroad comparison sites. ZIGExN Co., Ltd. was founded in 2006 and is headquartered in Tokyo, Japan.

How the Company Makes Money

ZIGExN generates revenue through multiple streams, predominantly by charging businesses for job postings and recruitment solutions on its platforms. The company offers subscription-based services that provide employers with access to a larger talent pool and enhanced visibility for their job listings. Additionally, ZIGExN earns money through premium services that include advanced analytics and targeted advertising options for employers seeking to attract specific candidates. Strategic partnerships with educational institutions and training centers also contribute to its revenue, allowing for bundled services and expanded market reach. The company's focus on digital transformation and data-driven solutions positions it favorably in the competitive HR tech landscape, enhancing its earning potential.

ZIGExN Co., Ltd. Financial Statement Overview

Summary

ZIGExN Co., Ltd. exhibits strong profitability with a consistent gross profit margin above 80% and a healthy net profit margin around 15%. The balance sheet is solid with a low debt-to-equity ratio of 0.23 and strong return on equity at 20.1%. However, the decline in free cash flow growth and slight increase in debt levels highlight areas for improvement.

Income Statement

ZIGExN Co., Ltd. demonstrates strong profitability with a consistent gross profit margin above 80% and a healthy net profit margin around 15%. The company has shown steady revenue growth, with a TTM revenue growth rate of 2.3%. EBIT and EBITDA margins are robust, indicating efficient operations. However, the slight decline in EBIT margin from the previous period suggests a need for monitoring operational efficiency.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.23, indicating prudent leverage. The return on equity is strong at 20.1%, showcasing effective use of equity capital. The equity ratio is healthy, suggesting a stable capital structure. However, the slight increase in total debt over recent periods warrants attention to maintain financial flexibility.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth, down by 33.4% in the TTM period, which could impact future investments. The operating cash flow to net income ratio is below 1, indicating potential cash flow constraints. Despite this, the free cash flow to net income ratio remains strong at 0.95, suggesting efficient cash generation relative to net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	26.95B	25.45B	23.25B	18.71B	15.27B	12.56B
Gross Profit	21.93B	20.91B	18.63B	15.55B	12.78B	10.48B
EBITDA	7.30B	7.08B	6.72B	5.24B	4.25B	-157.00M
Net Income	3.97B	3.87B	3.80B	2.93B	2.26B	-1.96B
Balance Sheet
Total Assets	39.40B	37.57B	34.53B	30.39B	21.60B	20.10B
Cash, Cash Equivalents and Short-Term Investments	12.43B	14.29B	13.26B	10.00B	8.60B	7.42B
Total Debt	6.19B	5.20B	4.52B	6.59B	2.90B	3.68B
Total Liabilities	18.79B	17.62B	15.09B	14.32B	6.67B	7.10B
Stockholders Equity	20.63B	19.98B	19.45B	16.07B	14.93B	12.99B
Cash Flow
Free Cash Flow	4.87B	7.17B	5.97B	4.68B	2.99B	1.96B
Operating Cash Flow	5.00B	7.33B	6.84B	5.71B	3.85B	2.57B
Investing Cash Flow	-4.11B	-2.45B	-961.00M	-4.60B	-1.28B	-1.75B
Financing Cash Flow	-1.57B	-3.84B	-2.59B	267.00M	-1.39B	-29.00M

ZIGExN Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 525.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3679, the sentiment is Neutral. The current price of 525 is above the 20-day moving average (MA) of 473.40, above the 50-day MA of 497.20, and above the 200-day MA of 479.17, indicating a neutral trend. The MACD of -9.79 indicates Negative momentum. The RSI at 47.25 is Neutral, neither overbought nor oversold. The STOCH value of 48.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3679.

ZIGExN Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3922	77 Outperform	¥37.38B	21.23	―	0.37%	18.02%	46.43%
3661	76 Outperform	¥65.55B	25.51	―	0.91%	30.25%	67.87%
2477	73 Outperform	¥20.48B	18.86	―	1.20%	8.09%	8.53%
3679	67 Neutral	¥50.44B	11.97	―	1.58%	10.84%	5.13%
3491	67 Neutral	¥79.50B	19.81	―	―	31.11%	96.33%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

ZIGExN Co., Ltd. Corporate Events

ZIGExN Co., Ltd. Updates on Share Repurchase Progress

ZIGExN Co., Ltd. announced the progress of its share repurchase program, initially resolved in May 2025. Despite the authorization to repurchase up to 1,500,000 shares, no shares were repurchased in November 2025. The cumulative total of shares repurchased by the end of November 2025 was 883,300 shares, amounting to approximately JPY 402.5 million. This activity reflects the company’s strategic financial management and potential impact on shareholder value.

ZIGExN Co., Ltd. Updates on Share Repurchase Progress

ZIGExN Co., Ltd. announced the progress of its share repurchase program, initially resolved in May 2025. Despite the authorization to repurchase up to 1.49% of its outstanding shares, no shares were repurchased in October 2025. The company has cumulatively repurchased 883,300 shares by the end of October 2025, spending JPY 402,496,200. This move reflects the company’s strategic financial management and could impact shareholder value.

ZIGExN Launches Shareholder Benefit Point Exchange

ZIGExN Co., Ltd. has announced the commencement of its shareholder benefit point exchange on the ‘ZIGExN Premium Yutai Club’ site, effective October 29, 2025. Shareholders can exchange their benefit points for ‘Travelist Points,’ usable on the Travelist app. This initiative underscores ZIGExN’s commitment to enhancing shareholder value and leveraging its digital platforms to provide tangible benefits, potentially strengthening its market position and stakeholder relations.

ZIGExN Co., Ltd. Updates on Share Repurchase Progress

ZIGExN Co., Ltd. announced the progress of its share repurchase program, initially resolved in May 2025. Despite the authorization to repurchase up to 1.5 million shares, no shares were repurchased in September 2025. Cumulatively, the company has repurchased 883,300 shares for approximately JPY 402 million, indicating a strategic move to manage its capital structure.

ZIGExN Expands into Resort Sector with Acquisition of Alpha Staff

ZIGExN Co., Ltd. has acquired Alpha Staff Co., Ltd., making it a wholly owned subsidiary to enter the growing resort sector and temporary staffing market. This strategic move aims to capitalize on the increasing number of inbound tourists and labor shortages, enhancing profitability and creating synergies between Alpha Staff and ZIGExN’s existing businesses.