Plus Alpha Consulting Co. LTD. (4071) AI Stock Analysis

• Market Cap: ¥93.80B
• Dividend Yield: 1.19%
• Average Volume (3M): 175.66K
• Price to Earnings (P/E): 28.2
• Beta (1Y): 0.68
• Revenue Growth: 22.78%
• EPS Growth: 7.57%
• Country: JP
• Employees: 429
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 7.26
• Shares Outstanding: 42,387,550
• 10 Day Avg. Volume: 248,020
• 30 Day Avg. Volume: 175,660
• PEG Ratio: 4.25
• Price to Book (P/B): 7.00
• Price to Sales (P/S): 6.06
• P/FCF Ratio: 20.30
• 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: 79 Outperform
• Price Target: ¥2,817.00 ▲(15.59% Upside)

The score is driven primarily by high-quality financial performance (strong growth, high margins, strong cash conversion, and zero debt). Technicals are supportive with price above key moving averages, though momentum appears somewhat stretched near-term. Valuation is the main offset due to a premium P/E and only a modest dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and successful product adoption, supporting long-term business expansion.

Debt-Free Balance Sheet

A debt-free balance sheet enhances financial flexibility, reduces risk, and allows for strategic investments without financial strain.

Strategic Alliance

The strategic alliance with RAKUS enhances sales opportunities and competitiveness, potentially driving future growth and market presence.

Negative Factors

Net Margin Decline

A decline in net margin suggests rising costs or operational inefficiencies, which could impact long-term profitability if not addressed.

Impairment Losses

Significant impairment losses indicate challenges in asset valuation and could affect future earnings and financial stability.

Free Cash Flow Volatility

Volatile free cash flow can hinder strategic planning and investment, potentially impacting long-term growth and shareholder returns.

Plus Alpha Consulting Co. LTD. Business Overview & Revenue Model

Company Description

Plus Alpha Consulting Co.,Ltd. provides marketing solutions business. The company develops and operates visualization engine, a customer experience feedback system; ALPHA SCOPE, a FAQ solution; CustomerRings, a CRM/MA system; and Talent Palette, a talent management system. The company was founded in 2006 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Plus Alpha Consulting Co. LTD. generates revenue through a diversified portfolio of consulting and IT services. The company earns money by offering specialized consulting services that cater to the unique needs of its clients, which include both large enterprises and smaller businesses. Revenue streams include fees from strategic consulting engagements, system integration projects, and IT infrastructure management contracts. The company may also generate income from long-term partnerships and service agreements, where it provides ongoing support and maintenance. Key factors contributing to its earnings include a strong client base, expertise in digital transformation, and a focus on delivering tailored solutions that drive measurable business outcomes for clients.

Plus Alpha Consulting Co. LTD. Financial Statement Overview

Summary

Strong multi-year revenue growth, consistently high gross and operating margins, robust free-cash-flow generation, and a debt-free balance sheet. Key watch items are the 2025 step-down in net margin and ROE and some year-to-year variability in free cash flow growth.

Income Statement

Revenue expanded strongly over the last several years (from ~¥4.7B in 2020 to ~¥17.1B in 2025), supporting solid scale-up for a software business. Profitability is consistently high with gross margin ~71–74% and operating profitability holding around ~30–34%, indicating strong pricing power and cost control. The main weakness is that the 2025 net margin fell to ~19% from ~22–23% in prior years despite higher revenue, suggesting rising costs or other profitability headwinds.

Balance Sheet

The balance sheet is very conservative with zero debt across all reported periods, which materially reduces financial risk and provides flexibility. Equity increased meaningfully (from ~¥3.6B in 2020 to ~¥14.8B in 2025), reflecting retained profitability and strengthening capitalization. Returns on equity remain strong (~22–29%), though the 2025 level (~22%) is down versus prior years (~26–29%), indicating slightly less efficient equity utilization as the company scales.

Cash Flow

Cash generation is robust: operating cash flow rose to ~¥5.15B in 2025 and free cash flow is similarly strong at ~¥5.10B, implying good cash conversion. Free cash flow closely tracks net income (roughly ~90–99% historically), which supports earnings quality. A watch item is volatility in free cash flow growth (including a modest decline in 2024), even though coverage of earnings by operating cash flow remains healthy (above 1x in the periods provided).

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.53B	17.08B	13.91B	11.17B	7.91B	6.12B
Gross Profit	12.02B	12.33B	10.15B	8.21B	5.68B	4.35B
EBITDA	6.23B	5.64B	4.75B	3.95B	2.71B	2.13B
Net Income	3.95B	3.26B	3.09B	2.62B	1.80B	1.43B
Balance Sheet
Total Assets	14.54B	18.63B	15.27B	12.02B	7.94B	6.14B
Cash, Cash Equivalents and Short-Term Investments	9.59B	14.66B	10.19B	8.28B	5.48B	4.61B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	3.15B	3.82B	3.17B	2.57B	1.48B	1.23B
Stockholders Equity	11.37B	14.79B	12.08B	9.45B	6.46B	4.91B
Cash Flow
Free Cash Flow	0.00	5.10B	3.17B	3.28B	1.63B	1.50B
Operating Cash Flow	0.00	5.15B	3.32B	3.31B	1.81B	1.55B
Investing Cash Flow	0.00	-164.09M	-950.67M	-644.71M	-707.87M	-59.17M
Financing Cash Flow	0.00	-615.54M	-456.44M	136.18M	-238.47M	-125.39M

Plus Alpha Consulting Co. LTD. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2437.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4071, the sentiment is Negative. The current price of 2437 is above the 20-day moving average (MA) of 2352.05, above the 50-day MA of 2363.54, and above the 200-day MA of 2223.14, indicating a bearish trend. The MACD of -34.15 indicates Positive momentum. The RSI at 30.94 is Neutral, neither overbought nor oversold. The STOCH value of 5.59 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4071.

Plus Alpha Consulting Co. LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4071	79 Outperform	¥93.80B	28.15	―	1.19%	22.78%	7.57%
4746	79 Outperform	¥76.89B	14.95	―	3.34%	2.61%	16.80%
9692	73 Outperform	¥71.70B	15.96	―	2.41%	13.05%	4.42%
2492	69 Neutral	¥103.32B	63.02	―	0.72%	22.13%	254.87%
2326	66 Neutral	¥78.73B	22.80	―	1.42%	-6.04%	-24.88%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
3673	61 Neutral	¥58.08B	56.18	―	0.62%	18.86%	―

Plus Alpha Consulting Co. LTD. Corporate Events

Plus Alpha Consulting Announces Director Reappointments

Plus Alpha Consulting Co., Ltd. announced the reappointment of its current directors, including the Representative Director and President Katsuya Mimuro, at the upcoming 19th Annual General Meeting of Shareholders. This decision reflects the company’s commitment to maintaining its current leadership structure, which may provide stability and continuity in its strategic direction.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Proposes Stock Options for Directors

Plus Alpha Consulting Co., Ltd. announced a proposal to introduce stock options as compensation for its directors, excluding outside directors, to be discussed at the upcoming Annual General Meeting. This initiative aims to motivate directors by aligning their interests with the company’s performance and shareholder value, with a proposed annual compensation cap of 300 million yen for these stock options.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Proposes Increase in Director Compensation

Plus Alpha Consulting Co., Ltd. has announced a proposal to revise the compensation for its directors, which will be submitted at the upcoming Annual General Meeting of Shareholders. The company plans to increase the annual compensation limit from 300 million yen to 600 million yen, reflecting the growth in the number of directors and current economic conditions.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Reports Strong Financial Growth in FY 2025

Plus Alpha Consulting Co., Ltd. reported significant financial growth for the fiscal year ended September 30, 2025, with net sales increasing by 22.8% and operating profit by 40.8% year on year. The company’s strategic focus on enterprise business and cost-effective marketing measures contributed to this success. The HR Solutions segment, particularly Talent Palette, saw strong sales and cost reductions, while Yorisoar continues to grow despite being in the investment phase. Grow Up faced challenges but managed to secure a profit by the year’s end.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Forms Strategic Alliance with RAKUS Co., Ltd.

Plus Alpha Consulting Co., Ltd. has entered into a capital and business alliance with RAKUS Co., Ltd. to enhance sales opportunities and customer satisfaction through the OEM development of its Talent Palette system. This collaboration aims to provide high value-added solutions and improve competitiveness for customer companies, with RAKUS acquiring a 4.09% stake in Plus Alpha Consulting.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Announces Dividend Increase for 2025

Plus Alpha Consulting Co., Ltd. announced a resolution to pay dividends of surplus with a record date of September 30, 2025. The dividend per share is set at 29.00 yen, reflecting an increase from the previous fiscal year. This decision aligns with the company’s policy to balance internal reserves for growth and maintain a stable dividend payout ratio of 30%, indicating a commitment to long-term corporate value enhancement.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Reports Strong Fiscal Year Performance

Plus Alpha Consulting Co., Ltd. reported a robust financial performance for the fiscal year ended September 30, 2025, with a notable increase in net sales and operating profit. The company experienced a 22.8% rise in net sales and a 40.8% increase in operating profit, reflecting its strong operational efficiency and market positioning. The company also announced a significant rise in dividends, indicating a positive outlook for stakeholders.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.

Plus Alpha Consulting Revises Earnings Forecast Amid Impairment Losses

Plus Alpha Consulting Co., Ltd. has revised its full-year earnings forecast for the fiscal year ended September 30, 2025, reflecting a slight increase in net sales and profits due to effective cost control, despite recording extraordinary losses of 1,154 million yen from impairment losses on goodwill related to its subsidiaries, Grow Up Co., Ltd. and Attack Inc. This revision highlights the challenges faced by the company in the recruitment market, particularly due to sluggish orders and increased competition, impacting its financial performance.

The most recent analyst rating on (JP:4071) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Plus Alpha Consulting Co. LTD. stock, see the JP:4071 Stock Forecast page.