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CHANGE Holdings,Inc. (JP:3962)
:3962
Japanese Market
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CHANGE Holdings,Inc. (3962) AI Stock Analysis

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JP:3962

CHANGE Holdings,Inc.

(3962)

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Neutral 65 (OpenAI - 5.2)
Rating:65Neutral
Price Target:
¥964.00
▲(0.94% Upside)
Action:Reiterated
Date:05/15/26
The score is driven by a very attractive valuation (low P/E and decent yield), partially offset by weakening financial consistency (2026 revenue contraction, declining free cash flow, and higher leverage) and clearly weak technical momentum (below major moving averages with negative MACD).
Positive Factors
High profitability / margins
Consistently strong 2025 margins suggest durable service-led economics and pricing power in consulting/implementation. High gross and EBIT margins provide a buffer versus revenue swings, enabling reinvestment in capabilities and sustaining operating profitability over the medium term.
Negative Factors
Revenue volatility / 2026 contraction
A 28% revenue drop in 2026 signals material top-line cyclicality and execution or demand sensitivity. For a services firm, such declines can reflect project timing or client concentration, undermining revenue visibility and making multi-quarter recovery dependent on new contract wins.
Read all positive and negative factors
Positive Factors
Negative Factors
High profitability / margins
Consistently strong 2025 margins suggest durable service-led economics and pricing power in consulting/implementation. High gross and EBIT margins provide a buffer versus revenue swings, enabling reinvestment in capabilities and sustaining operating profitability over the medium term.
Read all positive factors

CHANGE Holdings,Inc. (3962) vs. iShares MSCI Japan ETF (EWJ)

CHANGE Holdings,Inc. Business Overview & Revenue Model

Company Description
Established in Tokyo, Japan, in 2003, Change Inc. provides IT human resources development and training services throughout Japan. The company offers educational programs that utilize core technologies and toolkits across a wide range of advanced d...
How the Company Makes Money
CHANGE Holdings primarily earns revenue by providing DX- and change-related professional services to clients. Key revenue streams include (1) consulting and project-based service fees for assessing client operations, designing transformation roadm...

CHANGE Holdings,Inc. Financial Statement Overview

Summary
Strong underlying profitability (2025 gross margin ~53%, EBIT ~27%, net margin ~16%), but quality weakened as revenue fell sharply in 2026 (-28%) with softer profits and a steep free-cash-flow drop (~-44.7%). Higher leverage (2026 debt ~¥29.1B) adds risk if earnings and cash flow remain volatile.
Income Statement
67
Positive
Balance Sheet
64
Positive
Cash Flow
58
Neutral
BreakdownMar 2025Mar 2024Mar 2023Mar 2023Sep 2021
Income Statement
Total Revenue52.83B46.39B37.02B20.02B20.28B
Gross Profit28.83B24.81B22.26B12.17B15.74B
EBITDA13.70B15.01B11.43B6.34B9.85B
Net Income6.94B7.53B4.26B3.86B6.19B
Balance Sheet
Total Assets105.61B104.79B93.83B52.94B42.73B
Cash, Cash Equivalents and Short-Term Investments26.18B30.18B38.40B25.10B31.79B
Total Debt29.12B34.47B24.02B3.41B1.68B
Total Liabilities50.82B55.12B43.90B13.61B7.22B
Stockholders Equity46.76B41.25B39.48B36.48B33.48B
Cash Flow
Free Cash Flow6.88B7.65B11.10B-3.06B3.29B
Operating Cash Flow7.25B7.84B12.20B-811.00M3.53B
Investing Cash Flow-2.84B-14.08B-13.74B-7.68B-832.00M
Financing Cash Flow-8.41B1.32B17.83B1.41B-193.00M

CHANGE Holdings,Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
¥118.15B19.042.32%10.11%16.32%
76
Outperform
¥28.86B33.9124.82%82.75%
65
Neutral
¥71.25B9.851.47%13.88%-7.43%
65
Neutral
¥32.76B36.543.99%-11.60%-43.23%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
49
Neutral
¥106.44B82.681.71%2.05%9.27%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3962
CHANGE Holdings,Inc.
982.00
-142.85
-12.70%
JP:4819
Digital Garage
2,326.00
-1,078.59
-31.68%
JP:5574
ABEJA,Inc.
2,800.00
-855.00
-23.39%
JP:9640
Saison Technology Co.Ltd.
2,018.00
150.02
8.03%
JP:9889
JBCC Holdings Inc.
1,708.00
370.57
27.71%

CHANGE Holdings,Inc. Corporate Events

CHANGE Holdings Reports No Share Buybacks in June Under Authorized Program
Jul 3, 2026
CHANGE Holdings, Inc. reported on the progress of its share buyback program authorized by its board in mid-May 2026, which allows for the purchase of up to 2.5 million ordinary shares, or about 3.59 percent of outstanding stock, for a total of up ...
CHANGE Holdings Clarifies Independence Despite Strong Ties with SBI Holdings
Jun 26, 2026
CHANGE Holdings has detailed its relationship with major shareholder SBI Holdings, which owns 37.12% of its voting shares via direct ownership and is listed on the Prime Market of the Tokyo Stock Exchange. Despite their capital and business allian...
CHANGE Holdings Reports No Treasury Share Purchases in May Despite Buyback Authorization
Jun 3, 2026
CHANGE Holdings, Inc. reported that, despite a board-approved program to repurchase up to 2.5 million ordinary shares for as much as 2 billion yen between May 15 and November 30, 2026, it did not buy back any shares during the May 15–31, 202...
CHANGE Holdings to Broaden Business Scope with Articles of Incorporation Amendment
May 21, 2026
CHANGE Holdings, Inc. plans to amend its Articles of Incorporation to expand its stated business objectives, reflecting preparations for future business expansion. The proposed additions cover logistics consignment and information processing, tran...
CHANGE Holdings Pushes Back Profit Target and Refocuses Mid-Term Strategy
May 14, 2026
CHANGE Holdings, Inc. has revised its mid-term business plan after reporting operating profit of ¥11.2 billion for the year ended March 2026, below its earlier forecast of ¥14 billion. The company will push back its original ¥18 bil...
CHANGE Holdings Slashes Top Executive Pay After Earnings Miss and Target Delay
May 14, 2026
CHANGE Holdings, Inc. has moved to cut executive pay after reporting consolidated financial results for the year ended March 31, 2026 that fell significantly short of its initial earnings forecast. The company also postponed by two years the achie...
CHANGE Holdings Raises Year-End Dividend, Emphasizes Disciplined Capital Policy
May 14, 2026
CHANGE Holdings, Inc. has declared a year-end dividend of 23 yen per share for the fiscal year ended March 31, 2026, with a total payout of 1.6 billion yen, up from 20.9 yen per share and 1.454 billion yen a year earlier. The dividend, payable on ...
CHANGE Holdings Launches ¥2 Billion Share Buyback for Strategic Flexibility
May 14, 2026
CHANGE Holdings, Inc., listed on the Tokyo Stock Exchange Prime Market, positions its capital policy as a tool to enhance shareholder value and support future strategic moves. The company emphasizes flexibility in deploying treasury stock for tran...
CHANGE Holdings Lifts Dividend as Profit Slips but Sales and Equity Rise
May 14, 2026
CHANGE Holdings, Inc. reported consolidated sales of ¥52.8 billion for the fiscal year ended March 31, 2026, up 13.9% year on year, while operating profit declined 16.4% to ¥11.2 billion as margins compressed and profitability indicators...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: May 15, 2026