Internetworking & Broadband Consulting Co., Ltd. (3920) AI Stock Analysis

• Market Cap: ¥5.31B
• Dividend Yield: 1.21%
• Average Volume (3M): 11.81K
• Price to Earnings (P/E): 12.9
• Beta (1Y): 0.55
• Revenue Growth: 10.06%
• EPS Growth: 62.77%
• Country: JP
• Employees: 81
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 22.90
• Shares Outstanding: 5,751,600
• 10 Day Avg. Volume: 9,980
• 30 Day Avg. Volume: 11,813
• PEG Ratio: 0.22
• Price to Book (P/B): 2.45
• Price to Sales (P/S): 2.32
• P/FCF Ratio: 8.01
• 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: 72 Outperform
• Price Target: ¥1,056.00 ▲(5.49% Upside)

The company's strong financial performance is the most significant factor, reflecting robust growth and financial stability. However, technical indicators suggest bearish market sentiment, which weighs on the overall score. The valuation is attractive, indicating potential undervaluation, but market momentum remains a concern.

Positive Factors

Revenue Growth

Sustained revenue growth indicates the company's ability to expand its market presence and successfully attract new clients, supporting long-term business stability.

Cash Generation

Strong cash generation relative to earnings enhances financial flexibility, allowing the company to invest in growth opportunities and manage obligations effectively.

Profit Margins

Improved profit margins reflect efficient cost management and operational effectiveness, contributing to sustainable profitability and competitive advantage.

Negative Factors

Market Sentiment

Bearish market sentiment may impact investor perception and stock performance, potentially affecting the company's ability to raise capital or attract new investors.

Stock Momentum

Weak stock momentum could reflect broader market concerns or skepticism about the company's growth prospects, impacting its market valuation over time.

Earnings Call Data

Lack of recent earnings call data may limit transparency and investor insight into the company's strategic direction and financial performance, affecting stakeholder confidence.

Internetworking & Broadband Consulting Co., Ltd. Business Overview & Revenue Model

Company Description

Internetworking & Broadband Consulting Co., Ltd. (3920) specializes in providing comprehensive consulting services focused on the development and optimization of broadband and networking solutions. The company operates in the telecommunications sector, offering expertise in network architecture, broadband deployment strategies, and digital transformation initiatives. Their core products and services include network design consulting, performance optimization, and strategic planning for businesses looking to enhance their connectivity solutions.

How the Company Makes Money

The company generates revenue primarily through consulting fees charged for its expert services in network design and broadband solutions. Key revenue streams include project-based consulting contracts, retainer agreements with ongoing clients, and revenue from strategic partnerships with technology providers and telecom operators. Additionally, Internetworking & Broadband Consulting Co., Ltd. may earn income through workshops, training programs, and seminars designed to educate clients on best practices in networking and broadband technologies. The firm’s reputation and expertise in the industry help attract clients from various sectors, contributing to its overall earnings.

Internetworking & Broadband Consulting Co., Ltd. Financial Statement Overview

Summary

The company demonstrates strong financial health with significant revenue and profit growth, efficient cost management, and reduced leverage. The robust cash flow position supports operational and strategic initiatives, reflecting a well-managed company with a positive growth trajectory.

Income Statement

The company has shown strong revenue growth with a 5.03% increase in the latest year. Gross profit margin is robust at 76.94%, indicating efficient cost management. Net profit margin improved significantly to 17.08%, reflecting enhanced profitability. EBIT and EBITDA margins are healthy at 24.24% and 25.79%, respectively, showcasing operational efficiency.

Balance Sheet

The debt-to-equity ratio has improved to 0.35, indicating a solid reduction in leverage. The equity ratio stands at 60.79%, reflecting a strong equity base. Return on equity is commendable at 18.06%, highlighting effective use of shareholder funds. Overall, the balance sheet shows a stable financial position with reduced financial risk.

Cash Flow

Operating cash flow to net income ratio is strong at 1.71, indicating good cash generation relative to earnings. Free cash flow to net income ratio is nearly 1, showing efficient conversion of earnings to cash. The company has demonstrated consistent free cash flow growth, enhancing its financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.29B	2.40B	2.18B	1.90B	1.50B	2.01B
Gross Profit	1.77B	1.85B	1.59B	1.34B	1.02B	1.27B
EBITDA	549.82M	620.09M	352.43M	200.80M	27.82M	358.46M
Net Income	406.51M	410.71M	251.57M	70.37M	-17.55M	197.05M
Balance Sheet
Total Assets	3.39B	3.74B	3.33B	3.26B	3.26B	3.26B
Cash, Cash Equivalents and Short-Term Investments	2.46B	2.41B	1.97B	1.62B	1.41B	1.31B
Total Debt	801.72M	801.49M	852.44M	963.35M	1.08B	1.12B
Total Liabilities	1.24B	1.47B	1.34B	1.44B	1.42B	1.51B
Stockholders Equity	2.14B	2.27B	1.99B	1.83B	1.83B	1.75B
Cash Flow
Free Cash Flow	0.00	696.33M	306.84M	399.62M	317.01M	420.84M
Operating Cash Flow	0.00	701.47M	354.42M	431.64M	342.79M	446.44M
Investing Cash Flow	0.00	-125.50M	164.52M	-76.36M	-199.38M	-319.74M
Financing Cash Flow	0.00	-88.05M	-165.96M	-139.86M	-42.20M	-50.66M

Internetworking & Broadband Consulting Co., Ltd. Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3920, the sentiment is Negative. The current price of 1001 is above the 20-day moving average (MA) of 979.25, above the 50-day MA of 970.76, and above the 200-day MA of 945.19, indicating a neutral trend. The MACD of -9.92 indicates Positive momentum. The RSI at 40.53 is Neutral, neither overbought nor oversold. The STOCH value of 34.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3920.

Internetworking & Broadband Consulting Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4486	76 Outperform	¥5.45B	13.55	―	1.55%	15.64%	-5.48%
3920	72 Outperform	¥5.31B	12.91	―	1.21%	10.06%	62.77%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
2375	61 Neutral	¥4.51B	16.11	―	0.94%	-12.25%	―
6942	56 Neutral	¥5.87B	55.20	―	―	-5.20%	133.74%
9219	56 Neutral	¥5.27B	-55.42	―	5.38%	14.47%	-127.87%
3997	52 Neutral	¥19.33B	294.42	―	0.49%	14.08%	―

Internetworking & Broadband Consulting Co., Ltd. Corporate Events

Internetworking & Broadband Consulting Co., Ltd. Reports Robust Financial Growth

Internetworking & Broadband Consulting Co., Ltd. has reported significant financial growth, with its stock price almost doubling and market capitalization increasing by 86.1% in the fiscal year ending September 2025. The company’s return on equity and return on invested capital have both exceeded industry averages, indicating strong profitability and effective capital management.

The most recent analyst rating on (JP:3920) stock is a Buy with a Yen1210.00 price target. To see the full list of analyst forecasts on Internetworking & Broadband Consulting Co., Ltd. stock, see the JP:3920 Stock Forecast page.

Internetworking & Broadband Consulting Co., Ltd. Reports Strong Financial Growth for FY 2025

Internetworking & Broadband Consulting Co., Ltd. reported significant financial growth for the fiscal year ending September 2025, with a 15% increase in net sales and a notable rise in profit margins. The company’s decision to exclude its subsidiary from consolidation has led to a more streamlined financial reporting process, potentially impacting its operational focus and stakeholder interests.

The most recent analyst rating on (JP:3920) stock is a Buy with a Yen1210.00 price target. To see the full list of analyst forecasts on Internetworking & Broadband Consulting Co., Ltd. stock, see the JP:3920 Stock Forecast page.