Nihon Jyoho Create Co., Ltd. (4054) AI Stock Analysis

• Market Cap: ¥8.38B
• Dividend Yield: 0.7%
• Average Volume (3M): 42.71K
• Price to Earnings (P/E): 17.0
• Beta (1Y): 0.62
• Revenue Growth: 0.11%
• EPS Growth: -4.41%
• Country: JP
• Employees: 313
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): N/A
• Shares Outstanding: 14,374,440
• 10 Day Avg. Volume: 33,030
• 30 Day Avg. Volume: 42,713
• PEG Ratio: 0.32
• Price to Book (P/B): 2.53
• Price to Sales (P/S): 1.94
• P/FCF Ratio: 12.58
• 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: ¥649.00 ▼(-9.36% Downside)
• Action: Reiterated Date: 09/02/25
• Date: Action: Reiterated 09/02/25

Nihon Jyoho Create Co., Ltd. has a strong financial foundation with consistent revenue growth and robust profitability, which are the most significant factors in its stock score. Technical analysis presents mixed signals, with some short-term weaknesses. Valuation metrics indicate the stock is fairly valued, with a modest dividend yield. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

High profitability margins

Sustained gross (~67.5%) and net (~12.4%) margins reflect durable pricing power and operating efficiency in its real-estate software business. High margins support reinvestment in product development and customer support, enabling long-term competitiveness and cash returns to shareholders.

Low leverage, strong equity base

A solid balance sheet with low debt reduces financial risk and provides flexibility to invest in growth, make acquisitions, or withstand industry cyclicality. Strong equity and improving ROE enable durable capital allocation and strategic resilience over multiple market cycles.

Improving cash-generation

Rising free cash flow and strong operating cash to net income indicate reliable cash conversion from earnings. This strengthens capacity to fund R&D, sales expansion, and shareholder returns without adding leverage, improving long-term financial sustainability.

Negative Factors

Recent revenue growth weakness

A negative recent revenue growth reading signals potential demand softness or product-cycle headwinds in core real-estate brokerage software. Persistent or recurring revenue decline would constrain scale benefits, slow investment plans, and pressure long-term top-line momentum.

Volatile free cash flow history

Historical swings in free cash flow imply less predictable funding for capital allocation. Volatility can complicate budgeting for R&D or sales investments and may force reliance on reserves or external financing in weaker periods, reducing strategic agility.

Slight gross margin decline

A gradual fall in gross margin points to rising costs or pricing pressure within its market. Margin erosion over time would weaken cash generation and limit the company's ability to maintain high returns and fund growth initiatives without cutting costs or raising prices.

Nihon Jyoho Create Co., Ltd. Business Overview & Revenue Model

Company Description

Nihon Jyoho Create Co., Ltd. (4054) is a Japanese company specializing in information technology and software development. The company operates primarily in the sectors of IT solutions, digital transformation, and data management, providing services that include system integration, software development, and IT consulting. With a focus on leveraging cutting-edge technology to enhance business processes, Nihon Jyoho Create aims to deliver innovative solutions tailored to meet the specific needs of various industries.

How the Company Makes Money

Nihon Jyoho Create generates revenue through a combination of service contracts, project-based work, and ongoing maintenance agreements. Key revenue streams include fees from custom software development, system integration services, and consulting projects. The company also earns income from licensing proprietary software solutions and providing training services to clients. Significant partnerships with technology providers and collaborations with industry leaders enhance their service offerings, allowing them to tap into new markets and expand their client base, which in turn contributes to their overall earnings.

Nihon Jyoho Create Co., Ltd. Financial Statement Overview

Summary

Nihon Jyoho Create Co., Ltd. presents a strong financial position with consistent revenue growth, robust profitability, and a solid balance sheet. The company effectively manages its cash flows, although some fluctuations in free cash flow growth should be monitored. The low leverage and strong equity position provide stability, while the improving return on equity reflects efficient management.

Income Statement

Nihon Jyoho Create Co., Ltd. has demonstrated consistent revenue growth over the years, with a recent growth rate of 2.12%. The company maintains strong profitability with a gross profit margin of approximately 67.5% and a net profit margin of 12.37% for the latest period. EBIT and EBITDA margins are also healthy, indicating efficient operations. However, the slight decline in gross profit margin from previous years suggests potential cost pressures.

Balance Sheet

The company exhibits a solid balance sheet with a low debt-to-equity ratio, indicating minimal leverage and financial risk. The equity ratio is strong, reflecting a robust capital structure. Return on equity has improved, showcasing effective use of shareholder funds. However, the slight increase in total debt warrants monitoring.

Cash Flow

Cash flow analysis reveals positive trends, with a significant increase in free cash flow growth. The operating cash flow to net income ratio is strong, indicating efficient cash generation relative to earnings. The free cash flow to net income ratio also shows improvement, highlighting enhanced cash profitability. Nonetheless, the volatility in free cash flow growth in prior years suggests potential fluctuations.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2021
Income Statement
Total Revenue	5.08B	4.44B	3.77B	3.05B	2.62B
Gross Profit	3.42B	2.91B	2.49B	2.26B	1.90B
EBITDA	1.27B	1.15B	709.51M	589.16M	679.36M
Net Income	628.09M	428.99M	185.31M	283.41M	414.95M
Balance Sheet
Total Assets	5.72B	5.57B	5.11B	5.04B	4.32B
Cash, Cash Equivalents and Short-Term Investments	752.45M	961.02M	1.16B	1.39B	2.99B
Total Debt	2.25M	0.00	49.98M	247.45M	3.08M
Total Liabilities	1.82B	2.10B	1.99B	1.90B	1.34B
Stockholders Equity	3.90B	3.47B	3.12B	3.14B	2.98B
Cash Flow
Free Cash Flow	783.77M	130.98M	-32.92M	28.72M	311.11M
Operating Cash Flow	811.13M	640.72M	279.07M	341.72M	555.56M
Investing Cash Flow	-959.65M	-540.20M	-112.85M	-1.50B	-237.58M
Financing Cash Flow	-60.30M	-267.79M	-401.20M	-466.20M	1.26B

Nihon Jyoho Create Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 716.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4054, the sentiment is Negative. The current price of 716 is above the 20-day moving average (MA) of 604.30, above the 50-day MA of 647.70, and below the 200-day MA of 727.25, indicating a bearish trend. The MACD of -13.64 indicates Negative momentum. The RSI at 33.37 is Neutral, neither overbought nor oversold. The STOCH value of 34.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4054.

Nihon Jyoho Create Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4389	80 Outperform	¥9.24B	14.59	―	1.48%	17.83%	34.25%
4060	74 Outperform	¥6.48B	23.73	―	0.57%	21.03%	32.29%
4054	72 Outperform	¥8.38B	17.01	―	0.70%	0.11%	-4.41%
4397	68 Neutral	¥6.61B	16.39	―	―	11.32%	―
5033	66 Neutral	¥4.83B	13.11	―	―	7.60%	19.13%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4448	58 Neutral	¥11.75B	54.18	―	―	14.63%	-760.87%

Nihon Jyoho Create Co., Ltd. Corporate Events

Japan PropTech Pushes End-to-End Platform to Drive Real Estate Digital Shift

Japan PropTech Co., Ltd., a technology-driven real estate solutions provider, is expanding its integrated platform that spans business analysis, property purchasing and sharing, customer acquisition, contracting, and ongoing property and rent management. The company targets property management firms, brokerage companies, property owners, and prospective tenants with tools that streamline operations and enhance asset performance.

In its FY2026 2Q briefing materials, the company emphasizes its strategic aim to become a leading digital platform in the real estate sector by offering end-to-end support across the property lifecycle. This positioning underscores a long-term move to deepen its role in industry-wide digital transformation, potentially strengthening its competitive standing and value proposition to stakeholders across Japan’s real estate market.

The most recent analyst rating on (JP:4054) stock is a Hold with a Yen636.00 price target. To see the full list of analyst forecasts on Nihon Jyoho Create Co., Ltd. stock, see the JP:4054 Stock Forecast page.

Japan PropTech Posts Solid First-Half Earnings and Announces Commemorative Dividend

Japan PropTech Co., Ltd., a Tokyo-listed proptech firm specializing in digital solutions for the real estate sector, reported stable financial health in the first half of the fiscal year ending June 30, 2026. The company continues to operate with a solid equity ratio and a focus on technology-driven services for property market participants.

For the six months to December 31, 2025, the company posted net sales of ¥2,534 million, operating profit of ¥283 million and profit attributable to owners of parent of ¥223 million, with total assets of ¥5,707 million and an equity ratio of 68.5%. The board declared an interim commemorative dividend of ¥3.00 per share for its fifth anniversary and maintained a full-year dividend forecast of ¥12.00, signaling confidence in earnings sustainability following a shift from consolidated to non-consolidated reporting due to a corporate merger.

The most recent analyst rating on (JP:4054) stock is a Hold with a Yen636.00 price target. To see the full list of analyst forecasts on Nihon Jyoho Create Co., Ltd. stock, see the JP:4054 Stock Forecast page.