NTT Data Intramart Corporation (3850) AI Stock Analysis

• Market Cap: ¥15.72B
• Dividend Yield: 0.91%
• Average Volume (3M): 28.54K
• Price to Earnings (P/E): 19.5
• Beta (1Y): 0.48
• Revenue Growth: 15.28%
• EPS Growth: 60.07%
• Country: JP
• Employees: 474
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 36.97
• Shares Outstanding: 4,955,000
• 10 Day Avg. Volume: 24,610
• 30 Day Avg. Volume: 28,540
• PEG Ratio: -13.57
• Price to Book (P/B): 2.50
• Price to Sales (P/S): 1.08
• P/FCF Ratio: 9.45
• 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: 65 Neutral
• Price Target: ¥3,488.00 ▼(-8.81% Downside)
• Action: Reiterated Date: 12/30/25
• Date: Action: Reiterated 12/30/25

The score is primarily supported by strong financial stability (near-zero leverage) and improved 2025 free cash flow, but is held back by materially weaker profitability and a soft technical setup (below key moving averages with negative MACD). Valuation is also a mild headwind given the ~27x P/E and low dividend yield.

Positive Factors

Conservative balance sheet / negligible leverage

Near-zero debt and rising equity give the company durable financial flexibility: lower refinancing risk, capacity to fund product development or M&A, and resilience through downturns. This structural strength supports long-term operations and strategic optionality irrespective of short-term earnings swings.

Improved cash generation and FCF recovery in 2025

The meaningful rebound to positive free cash flow indicates improved cash conversion mechanics, supporting sustainable reinvestment in the platform, partner programs, or shareholder returns. If maintained, stronger FCF reduces reliance on external financing and enables strategic long-term initiatives.

Platform model with partner ecosystem and services revenue

The intra-mart platform plus a partner-driven sales/implementation model supports recurring maintenance/subscription streams and professional services. This creates durable customer stickiness, scalable go-to-market via partners, and multiple revenue streams that underpin steady long-term commercial traction.

Negative Factors

Material margin compression and weak operating profitability

Sustained margin erosion reduces the company's ability to convert revenue into operating profits and limits reinvestment capacity. Lower operating margins strain returns on capital and make long-term earnings growth more sensitive to cost pressures and competitive pricing dynamics.

Volatile cash conversion and inconsistent FCF history

Irregular free cash flow raises questions about the reliability of internal funding for growth or dividends. Structural volatility—from working capital swings, timing of services revenue, or capex—can constrain strategic planning and increase dependency on external funding when investment is needed.

Uneven revenue growth and weakening returns on equity

Inconsistent top-line growth combined with falling ROE suggests the business is not yet translating scale into proportional profitability or capital efficiency. Over the medium term this can limit shareholder returns and signals execution or competitive challenges in sustaining high-quality growth.

NTT Data Intramart Corporation Business Overview & Revenue Model

Company Description

NTT Data Intramart Corporation provides software products and services in Japan and internationally. The company offers intra-mart, a package software to construct web system bases. It also provides consultation services. The company was incorporated in 2000 and is based in Tokyo, Japan.

How the Company Makes Money

NTT Data Intramart Corporation generates revenue primarily through the sale and licensing of its software products, particularly its intra-mart platform. The company offers a range of solutions that cater to different enterprise needs, such as BPM, workflow management, and application development. Revenue streams include software licensing fees, subscription fees for cloud-based services, and fees for professional services such as consulting, implementation, and support. Strategic partnerships with other technology companies and systems integrators also play a significant role in expanding the company's market reach and driving sales. Additionally, NTT Data Intramart benefits from the ongoing digital transformation trends across industries, as businesses increasingly seek integrated and scalable software solutions to enhance efficiency and competitiveness.

NTT Data Intramart Corporation Financial Statement Overview

Summary

Strong balance sheet with essentially no debt and steadily growing equity supports resilience, while operating cash flow is consistently positive and free cash flow rebounded strongly in 2025. Offsetting this, profitability has deteriorated meaningfully (gross margin down to ~38% and operating margin ~4% in 2025), and cash flow has been volatile versus earnings in prior years.

Income Statement

Revenue has expanded over the period, with a strong rebound after the 2021 decline and a solid step-up in 2025, but the growth path is uneven. Profitability has compressed versus earlier years: gross margin drifted down from the mid-40%s (2022–2023) to ~38% in 2025, and operating margin fell to ~4% in 2025 from double-digits in 2020–2022. Net margin remains positive but thin (~3% in 2025), indicating execution and cost pressure despite ongoing top-line progress.

Balance Sheet

The balance sheet is conservatively positioned with essentially no debt (debt-to-equity near 0 across years) and steadily growing equity, supporting financial flexibility and lower refinancing risk. Returns on equity are positive but have moderated from peak levels (roughly low-teens in 2020–2022 to mid-single-digits in 2024–2025), suggesting profitability has not kept pace with the expanding capital base.

Cash Flow

Operating cash flow is consistently positive and improved in 2025, and free cash flow turned strongly positive in 2025 after being negative in 2021–2024, highlighting a meaningful improvement in cash conversion. However, cash generation has been volatile year-to-year, and free cash flow has not consistently tracked earnings (including negative free cash flow versus positive net income in several years), which raises questions on sustainability of recent improvement.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	12.47B	11.83B	9.26B	7.97B	7.65B	5.91B
Gross Profit	4.89B	4.53B	3.69B	3.56B	3.28B	2.43B
EBITDA	1.82B	1.44B	1.32B	1.27B	1.54B	822.88M
Net Income	582.67M	341.31M	350.13M	399.44M	550.01M	107.34M
Balance Sheet
Total Assets	10.24B	9.27B	8.53B	7.48B	7.66B	6.17B
Cash, Cash Equivalents and Short-Term Investments	3.63B	2.52B	2.54B	3.31B	3.89B	2.86B
Total Debt	0.00	0.00	45.43M	0.00	0.00	0.00
Total Liabilities	5.08B	4.15B	3.61B	2.75B	3.16B	2.17B
Stockholders Equity	5.16B	5.12B	4.92B	4.73B	4.50B	4.00B
Cash Flow
Free Cash Flow	0.00	1.35B	-239.89M	-394.04M	1.14B	-266.27M
Operating Cash Flow	0.00	1.39B	876.58M	910.61M	1.98B	555.91M
Investing Cash Flow	0.00	-1.20B	-1.70B	-1.31B	-899.94M	-822.22M
Financing Cash Flow	0.00	-215.24M	-222.35M	-169.65M	-53.25M	-121.44M

NTT Data Intramart Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3825.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3850, the sentiment is Negative. The current price of 3825 is above the 20-day moving average (MA) of 3454.00, above the 50-day MA of 3679.20, and above the 200-day MA of 3781.80, indicating a bearish trend. The MACD of -165.63 indicates Positive momentum. The RSI at 36.15 is Neutral, neither overbought nor oversold. The STOCH value of 25.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3850.

NTT Data Intramart Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4686	79 Outperform	¥252.08B	17.15	―	0.43%	15.01%	19.66%
3741	75 Outperform	¥41.46B	28.38	―	1.74%	21.97%	15.89%
3915	68 Neutral	¥23.06B	15.13	―	―	17.93%	91.21%
4475	68 Neutral	¥32.66B	24.33	―	0.39%	30.59%	65.14%
3850	65 Neutral	¥15.72B	19.50	―	0.91%	15.28%	60.07%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4434	61 Neutral	¥16.36B	-46.59	―	―	―	―