Digital Information Technologies Corp. (3916) AI Stock Analysis

• Market Cap: ¥36.40B
• Dividend Yield: 3.02%
• Average Volume (3M): 34.80K
• Price to Earnings (P/E): 16.7
• Beta (1Y): 0.48
• Revenue Growth: 18.56%
• EPS Growth: 43.88%
• Country: JP
• Employees: 1,399
• Sector: Technology
• Sector Strength: 91
• Industry: Information Technology Services
• EPS (TTM): 40.66
• Shares Outstanding: 15,501,820
• 10 Day Avg. Volume: 37,590
• 30 Day Avg. Volume: 34,796
• PEG Ratio: 1.67
• Price to Book (P/B): 4.73
• 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: 67 Neutral
• Price Target: ―

Digital Information Technologies Corp. demonstrates a strong financial foundation with significant income growth and balance sheet stability, providing a solid base for potential future growth. However, technical indicators suggest current downward price momentum, which could pose near-term risks. The valuation is fair with a reasonable P/E ratio and a decent dividend yield, balancing growth and income potential.

Digital Information Technologies Corp. Business Overview & Revenue Model

Company Description

Digital Information Technologies Corporation operates as an information service company. The company develops business systems, embedded devices, etc. for clients primarily in the fields of finance, communications, distribution, transportation, and others. Its products include WebARGUS, a Website security solution; xoBlos, an Excel work innovation platform; Anti Phishing Mail Gateway, a solution to prevent damage from phishing and illegal use of brands by automatically adding electronic signatures on e-mails; and Rakuraku page, a content management system that enable website editing and updating. The company also develops custom software for in-vehicle devices, mobile devices, information home appliances, and communication devices; and offers verification services, including various laboratory tests. Digital Information Technologies Corporation was founded in 1982 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Digital Information Technologies Corp. generates revenue primarily through the sale of its software products and IT services. The company earns income from licensing fees for its enterprise software solutions, which are designed to improve business processes and increase operational efficiency. Additionally, it provides subscription-based cloud services, enabling clients to access and utilize its digital platforms on a recurring basis. The company's cybersecurity services, which include threat detection and prevention solutions, also contribute to its revenue streams. Strategic partnerships with other technology firms and businesses further enhance its market reach and financial performance, allowing it to tap into new customer segments and expand its service offerings.

Digital Information Technologies Corp. Financial Statement Overview

Summary

The company is performing strongly across income and balance sheet metrics, showcasing growth, profitability, and stability. The income statement reveals robust revenue and profit growth, while the balance sheet is well-capitalized with low leverage. While the cash flow statement shows positive trends historically, recent data gaps present a slight risk.

Income Statement

The company has shown strong revenue growth over the years, with a significant increase from 2023 to TTM (Trailing-Twelve-Months). Gross profit and EBIT margins are robust, indicating effective cost control and operational efficiency. The net profit margin is solid, reflecting a strong bottom-line performance. The consistent growth in revenue and profitability metrics highlights the company's competitive positioning in the industry.

Balance Sheet

The balance sheet is strong with a high equity ratio and low debt levels, as evidenced by a very low debt-to-equity ratio. The company has a strong equity base, providing stability and financial flexibility. The return on equity (ROE) is impressive, indicating efficient use of equity. Overall, the balance sheet reflects financial stability with minimal leverage risks.

Cash Flow

The company has shown growth in free cash flow over the periods, but the lack of operating cash flow data for TTM (Trailing-Twelve-Months) limits a full analysis. In previous periods, the operating cash flow to net income ratio was healthy, demonstrating effective cash generation relative to profits. However, the absence of recent cash flow data poses some uncertainty.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	19.89B	18.15B	16.16B	14.44B	13.50B
Gross Profit	4.95B	4.32B	4.08B	3.57B	3.32B
EBITDA	2.55B	2.14B	2.04B	1.76B	1.36B
Net Income	1.69B	1.45B	1.44B	1.20B	978.68M
Balance Sheet
Total Assets	10.22B	8.18B	7.68B	6.39B	5.36B
Cash, Cash Equivalents and Short-Term Investments	4.62B	4.19B	3.84B	3.33B	2.40B
Total Debt	243.54M	0.00	5.00M	0.00	0.00
Total Liabilities	3.16B	2.17B	2.13B	1.86B	1.70B
Stockholders Equity	6.96B	6.01B	5.55B	4.53B	3.66B
Cash Flow
Free Cash Flow	1.71B	1.41B	949.89M	1.25B	902.96M
Operating Cash Flow	1.74B	1.43B	958.38M	1.26B	927.52M
Investing Cash Flow	-595.61M	-66.84M	-14.44M	5.46M	-80.73M
Financing Cash Flow	-804.71M	-1.03B	-456.68M	-335.00M	-287.93M

Digital Information Technologies Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2387.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3916, the sentiment is Positive. The current price of 2387 is above the 20-day moving average (MA) of 2372.14, below the 50-day MA of 2413.74, and above the 200-day MA of 2232.33, indicating a neutral trend. The MACD of -9.72 indicates Negative momentum. The RSI at 50.14 is Neutral, neither overbought nor oversold. The STOCH value of 53.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3916.

Digital Information Technologies Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3916	67 Neutral	¥36.40B	16.72		3.02%	18.56%	43.88%
Sector *	63 Neutral	$33.80B	5.84	-11.67%	1.84%	5.28%	-18.34%
CB4	―	€195.68M	12.14	7.79%	4.99%	―	―
4743	80 Outperform	¥39.39B	14.03		3.30%	1.34%	-3.93%
8275	76 Outperform	¥36.76B	17.26		2.09%	14.33%	6.29%
9742	69 Neutral	¥34.58B	14.75		3.47%	0.01%	35.73%
9739	68 Neutral	¥38.35B	10.47		3.50%	4.53%	-6.57%

Digital Information Technologies Corp. Corporate Events

Digital Information Technologies Corp. Reports Strong Growth in Financial Performance

Digital Information Technologies Corp. reported a significant increase in its financial performance for the six months ending December 31, 2024, with net sales rising by 23.3% and operating profit increasing by 33.5% compared to the previous year. The company has revised its forecast for the fiscal year ending June 30, 2025, anticipating continued growth in net sales and profits, which suggests a strong market positioning and positive outlook for stakeholders.

Digital Information Technologies Corp. Increases Business and Dividend Forecasts for FY2025

Digital Information Technologies Corp. has revised its business and dividend forecasts for the fiscal year ending June 30, 2025, reflecting an improved outlook due to strong demand in the software industry. The company expects higher net sales and profits, driven by successful strategies in the financial sector, expanding automotive projects, and increased sales of cybersecurity products. The upward revisions are attributed to robust performance in their business units and strategic investments in new business models. The company has also increased its year-end dividend forecast, maintaining its commitment to stable profit distribution while enhancing shareholder returns.