tiprankstipranks
Trending News
More News >
ORO Co. Ltd. (JP:3983)
:3983
Japanese Market
Advertisement

ORO Co. Ltd. (3983) AI Stock Analysis

Compare
2 Followers

Top Page

JP:3983

ORO Co. Ltd.

(3983)

Select Model
Select Model
Select Model
Neutral 63 (OpenAI - 4o)
Rating:63Neutral
Price Target:
¥2,864.00
▲(16.42% Upside)
ORO Co. Ltd. shows strong financial performance with robust revenue growth and profitability, which is a significant positive factor. However, the technical analysis indicates bearish momentum, which is a major concern. The valuation is moderate, offering limited upside potential. Overall, the stock is positioned well financially but faces technical challenges.

ORO Co. Ltd. (3983) vs. iShares MSCI Japan ETF (EWJ)

ORO Co. Ltd. Business Overview & Revenue Model

Company DescriptionoRo Co., Ltd. provides cloud and digital transformation solutions. The company's Cloud Solutions business develops and delivers ZAC, a cloud ERP designed for the intellectual service industry; and Reforma PSA, a cloud based PSA that automates back office operations for the intellectual service industry, as well as offers system solutions, IT infrastructure, business process outsourcing services, etc. Its Marketing Communication business offers SEMrush, a digital marketing suite. This division is also involved in digital strategy planning support and promotion, strategy planning marketing support, and planning and executing marketing communication internationally, as well as business support solutions for inbound, outbound, test marketing, and online trading. oRo Co., Ltd. was incorporated in 1999 and is headquartered in Tokyo, Japan.
How the Company Makes MoneyORO Co. Ltd. generates revenue through multiple streams, primarily by selling its electronic components and systems to manufacturers across various industries. The company benefits from long-term contracts with key clients in the telecommunications and automotive sectors, ensuring a stable revenue base. Additionally, ORO invests in research and development to innovate new products, which allows it to capture emerging market trends and demands. Strategic partnerships with other technology firms enhance its product offerings and market reach, further contributing to its earnings. The company also explores opportunities in licensing its technology and patents, providing an additional revenue stream.

ORO Co. Ltd. Financial Statement Overview

Summary
ORO Co. Ltd. exhibits strong financial health with excellent profitability margins and effective balance sheet management. The company's consistent revenue growth and robust cash flow generation underpin its competitive position in the software application industry. While there are slight contractions in certain cash flow metrics, the overall financial outlook remains positive and stable.
Income Statement
85
Very Positive
ORO Co. Ltd. demonstrates strong profitability with a consistent increase in revenue over the years. The TTM gross profit margin stands at 66.6%, while the net profit margin is at 24.6%. The EBIT and EBITDA margins are also robust at 33.8% and 39.3% respectively. Revenue has grown significantly from 2022 to TTM with a notable revenue growth rate of 12.1% from 2023 to 2024. These metrics indicate strong operational efficiency and a competitive edge in the software application industry.
Balance Sheet
80
Positive
The company's balance sheet reflects financial stability with a low debt-to-equity ratio of 0.03 in TTM, showcasing prudent leverage management. The return on equity is a solid 19.9%, indicating effective utilization of equity capital. Additionally, the equity ratio of 77.8% underscores a strong equity foundation. These factors contribute to a resilient financial structure, albeit with a slight decrease in total assets observed over the period.
Cash Flow
75
Positive
ORO Co. Ltd. has a healthy cash flow position with a free cash flow growth rate of -3.4% in the TTM, indicating slight contraction but remaining positive overall at ¥2.34 billion. The operating cash flow to net income ratio is 1.22, while the free cash flow to net income ratio is 1.19, reflecting strong cash conversion efficiency. Despite a minor decline in free cash flow, the company maintains robust cash generation capabilities.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.98B7.90B7.03B6.21B5.51B4.88B
Gross Profit5.28B5.28B4.67B3.99B3.32B3.10B
EBITDA2.98B3.08B2.95B2.67B2.33B1.84B
Net Income1.83B2.07B1.84B1.62B1.42B1.20B
Balance Sheet
Total Assets12.99B13.59B12.37B11.05B9.35B8.61B
Cash, Cash Equivalents and Short-Term Investments9.04B9.90B8.71B6.83B5.91B6.29B
Total Debt696.20M335.83M415.53M479.15M596.75M743.87M
Total Liabilities3.14B3.31B3.49B3.71B3.44B1.39B
Stockholders Equity9.85B10.28B8.88B7.33B5.91B6.33B
Cash Flow
Free Cash Flow2.07B2.42B2.42B1.40B2.06B945.40M
Operating Cash Flow2.10B2.49B2.52B1.60B2.09B1.17B
Investing Cash Flow-176.58M-163.78M-129.76M-278.49M-34.89M-232.34M
Financing Cash Flow-2.27B-1.18B-517.74M-436.09M-2.09B-169.72M

ORO Co. Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2460.00
Price Trends
50DMA
2746.02
Negative
100DMA
2805.25
Negative
200DMA
2636.02
Negative
Market Momentum
MACD
-75.31
Negative
RSI
37.34
Neutral
STOCH
42.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3983, the sentiment is Negative. The current price of 2460 is below the 20-day moving average (MA) of 2553.90, below the 50-day MA of 2746.02, and below the 200-day MA of 2636.02, indicating a bearish trend. The MACD of -75.31 indicates Negative momentum. The RSI at 37.34 is Neutral, neither overbought nor oversold. The STOCH value of 42.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3983.

ORO Co. Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
¥86.83B95.440.13%34.06%95.20%
76
Outperform
¥54.93B21.151.71%12.01%16.50%
74
Outperform
¥41.48B41.750.44%28.85%40.37%
63
Neutral
¥38.02B21.531.22%5.39%-6.71%
62
Neutral
¥39.30B33.9322.92%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
55
Neutral
¥50.94B27.79%84.27%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3983
ORO Co. Ltd.
2,460.00
185.07
8.14%
JP:3692
FFRI Security, Inc.
10,760.00
8,697.83
421.78%
JP:4165
PLAID Inc.
955.00
-11.00
-1.14%
JP:4323
Japan System Techniques Co., Ltd.
2,216.00
412.91
22.90%
JP:4375
Safie Inc.
902.00
57.00
6.75%
JP:5038
eWeLL Co.,Ltd
2,738.00
1,091.28
66.27%

ORO Co. Ltd. Corporate Events

ORO Co., Ltd. Updates on Treasury Stock Repurchase Progress
Aug 5, 2025

ORO Co., Ltd. has announced the progress of its treasury stock repurchase program, which was decided at a Board of Directors meeting on May 14, 2025. As of July 31, 2025, the company has repurchased a total of 210,600 shares at a cost of 598,325,300 yen, with the repurchase period set to continue until November 30, 2025. This move is part of a broader strategy to manage its capital structure, potentially enhancing shareholder value.

ORO Co., Ltd. Reports Progress on Treasury Stock Repurchase Plan
Jul 3, 2025

ORO Co., Ltd. announced the progress of its treasury stock repurchase plan, which was decided at a Board of Directors meeting in May 2025. As of June 30, 2025, the company repurchased 127,800 shares totaling 349,558,200 yen, with the repurchase period extending until November 30, 2025. This move is part of a broader strategy to manage capital structure and enhance shareholder value.

ORO Co., Ltd. Announces Treasury Stock Repurchase Progress
Jun 10, 2025

ORO Co., Ltd. announced the repurchase of 52,000 shares of its common stock, amounting to 143,693,800 yen, as part of a broader plan approved by its Board of Directors. This strategic move is part of a larger initiative to repurchase up to 500,000 shares, aiming to enhance shareholder value and optimize capital structure.

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: Aug 29, 2025