Keyware Solutions Inc. (3799) AI Stock Analysis

• Market Cap: ¥8.04B
• Dividend Yield: 3.21%
• Average Volume (3M): 17.48K
• Price to Earnings (P/E): 7.3
• Beta (1Y): 0.76
• Revenue Growth: 5.12%
• EPS Growth: 66.08%
• Country: JP
• Employees: 1,272
• Sector: Technology
• Sector Strength: 92
• Industry: Information Technology Services
• EPS (TTM): 76.79
• Shares Outstanding: 9,110,000
• 10 Day Avg. Volume: 29,850
• 30 Day Avg. Volume: 17,483
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 73 Outperform
• Price Target: ―

Keyware Solutions Inc. shows strong financial fundamentals with stable growth and a healthy balance sheet. However, caution is advised due to cash flow challenges and potential stock overvaluation indicated by technical analysis. The valuation appears reasonable with a solid dividend yield.

Keyware Solutions Inc. Business Overview & Revenue Model

Company Description

Keyware Solutions Inc. creates and sells information systems for the support of social infrastructure in Japan. It offers medical service systems to various medical services divisions, such as examination, nutrition, medical professions, and clinic management analysis systems; transportation operations, includes fare collection, train station revenue administration, settlement with other train lines, and IC cards; social infrastructure solutions; public traffic systems, such as new traffic management and train operation information network systems; passengers-related information systems, including train approaching status displays and destination guide displays, as well as train seat reservation system; and mass media related solutions. The company also provides communication data for fixed phones and mobile phones, packet communication data, customer management, rate management, billing administration, collection administration, and linkage and backbone systems; and air traffic and monitoring control management systems, as well as mobile telecommunications. In addition, it offers various solutions, including applications for ERP, patent administration, medical services, and IP telephony; and support services, including creation, implementation, operation, maintenance, and training services; system integration services, as well as sells hardware, systems, package software products, and related supplies. It offers its products and services for use in financial services, distribution and logistics, manufacturing, telecommunications, transportation, media, government agencies, medical services, network administration, system monitoring, transmission control, and interface control fields, as well as for service providers. The company was formerly known as Nippon Electronics Development Co., Ltd. and changed its name to Keyware Solutions Inc. in January 2001. Keyware Solutions Inc. was founded in 1965 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Keyware Solutions Inc. generates revenue primarily through service contracts for IT consulting, software development, and system integration projects. The company earns income by developing customized software solutions and providing ongoing support and maintenance services to its clients. Additionally, Keyware Solutions offers cloud services and IT infrastructure management, which contribute to its revenue streams. The company may also form strategic partnerships with other technology firms to enhance its service offerings and expand its client base, further driving its earnings.

Keyware Solutions Inc. Financial Statement Overview

Summary

Keyware Solutions Inc. demonstrates strong financial performance with robust revenue growth and solid balance sheet stability. However, recent cash flow challenges highlight potential liquidity concerns.

Income Statement

Keyware Solutions Inc. shows strong revenue growth with a notable increase in gross profit margin over the years. The TTM data reflects a stable EBIT margin, though slightly lower than the previous year. Net profit margin is robust but has seen a slight decline in the TTM period, indicating some pressure on net income.

Balance Sheet

The company has a very healthy balance sheet with a strong equity base. The debt-to-equity ratio is exceptionally low, indicating low leverage and financial stability. Return on equity is solid, reflecting efficient use of shareholder capital.

Cash Flow

The cash flow statements indicate some fluctuations, with a significant drop in operating cash flow in the TTM period. Although free cash flow has grown over the years, the recent absence of operating cash flow poses a potential risk to liquidity.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	21.10B	20.51B	19.17B	18.43B	18.63B
Gross Profit	4.03B	3.84B	3.44B	2.96B	2.98B
EBITDA	1.57B	1.30B	818.61M	845.78M	845.93M
Net Income	1.03B	729.50M	482.80M	556.04M	685.89M
Balance Sheet
Total Assets	10.78B	12.53B	11.15B	10.75B	10.31B
Cash, Cash Equivalents and Short-Term Investments	1.86B	1.96B	1.04B	910.39M	1.10B
Total Debt	0.00	0.00	0.00	375.00M	1.59B
Total Liabilities	3.21B	3.89B	3.35B	3.29B	4.26B
Stockholders Equity	7.57B	8.64B	7.81B	7.46B	6.05B
Cash Flow
Free Cash Flow	-579.58M	1.09B	531.07M	373.63M	-269.11M
Operating Cash Flow	-333.36M	1.18B	653.67M	552.71M	-193.90M
Investing Cash Flow	398.22M	-157.63M	-50.85M	-394.10M	-82.23M
Financing Cash Flow	-166.05M	-99.72M	-474.62M	-343.60M	153.49M

Keyware Solutions Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1001.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3799, the sentiment is Positive. The current price of 1001 is above the 20-day moving average (MA) of 964.30, above the 50-day MA of 942.42, and above the 200-day MA of 791.00, indicating a bullish trend. The MACD of 18.31 indicates Negative momentum. The RSI at 72.22 is Negative, neither overbought nor oversold. The STOCH value of 81.94 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3799.

Keyware Solutions Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3847	79 Outperform	¥10.09B	14.99		1.96%	4.08%	17.95%
2332	76 Outperform	¥7.60B	10.35		3.38%	9.60%	2.11%
3799	73 Outperform	¥8.04B	7.29		3.21%	5.12%	66.08%
3940	72 Outperform	¥6.54B	16.22		2.32%	8.71%	4.70%
4769	72 Outperform	¥8.04B	15.61		3.35%	9.41%	5.43%
2488	69 Neutral	¥8.98B	15.15		2.55%	14.39%	22.26%
Sector *	49 Neutral	C$3.38B	0.24	-6.09%	7.64%	9.15%	-16.14%

Keyware Solutions Inc. Corporate Events

Keyware Solutions Inc. Reports Q3 Financial Results and Revises Forecasts

Keyware Solutions Inc. announced its consolidated financial results for the third quarter of the fiscal year ending March 31, 2025, showing an increase in sales but a decline in profits compared to the previous year. The company has revised its forecasts for financial results and dividends, indicating adjustments in its financial strategy.