Japan System Techniques Co., Ltd. (4323) AI Stock Analysis

• Market Cap: ¥52.85B
• Dividend Yield: 1.64%
• Average Volume (3M): 51.12K
• Price to Earnings (P/E): 20.3
• Beta (1Y): 0.88
• Revenue Growth: 12.01%
• EPS Growth: 16.50%
• Country: JP
• Employees: 1,847
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 13.02
• Shares Outstanding: 24,836,920
• 10 Day Avg. Volume: 33,110
• 30 Day Avg. Volume: 51,120
• PEG Ratio: 1.09
• Price to Book (P/B): 3.01
• Price to Sales (P/S): 1.52
• P/FCF Ratio: 27.08
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ¥2,364.00 ▲(9.95% Upside)

Japan System Techniques Co., Ltd. has a strong financial foundation, with robust revenue and profit growth, low leverage, and strong cash flow generation. However, technical indicators suggest a bearish trend with weak momentum, which could impact short-term performance. The valuation is fair, with a reasonable P/E ratio and modest dividend yield. The absence of recent earnings call data and corporate events limits additional insights.

Japan System Techniques Co., Ltd. Business Overview & Revenue Model

Company Description

Japan System Techniques Co., Ltd. (4323) is a Japanese company specializing in the development and provision of IT solutions and services. The company operates primarily in the information technology sector, offering a range of products and services including system integration, software development, and IT consulting. Japan System Techniques focuses on creating innovative solutions for various industries, enhancing operational efficiency and productivity for its clients.

How the Company Makes Money

The company generates revenue through multiple streams, primarily from its IT service offerings, including custom software development and system integration projects. Japan System Techniques also earns money through recurring revenue models, such as maintenance and support services for the software and systems they implement. Additionally, partnerships with other technology firms and enterprises in need of IT solutions contribute to their revenue. The company may also participate in government contracts and projects, which can provide significant income opportunities. Overall, the combination of project-based work and ongoing service contracts plays a crucial role in the company's financial performance.

Japan System Techniques Co., Ltd. Financial Statement Overview

Summary

Japan System Techniques Co., Ltd. exhibits strong financial health across all verticals. The income statement shows consistent revenue and profit growth, supported by efficient operations. The balance sheet is solid with low leverage and high returns on equity. Cash flow generation is robust, enhancing the company's financial flexibility. Overall, the company is well-positioned for continued growth and stability in the software application industry.

Income Statement

The company demonstrates strong revenue growth with a consistent increase over the years, reaching a TTM revenue growth rate of 2.53%. Gross profit margins have improved slightly, indicating efficient cost management. Net profit margins are stable, reflecting solid profitability. EBIT and EBITDA margins are healthy, supporting operational efficiency.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio, indicating minimal leverage and financial risk. Return on equity is strong at 18.15% TTM, showcasing effective use of equity to generate profits. The equity ratio is stable, reflecting a solid capital structure.

Cash Flow

Cash flow performance is strong with significant free cash flow growth of 71.68% TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio is stable, suggesting efficient cash conversion. The free cash flow to net income ratio is high, reflecting strong cash profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.07B	29.32B	26.18B	23.52B	21.40B	18.79B
Gross Profit	8.62B	8.27B	7.27B	6.38B	5.69B	4.62B
EBITDA	3.72B	3.56B	3.08B	2.64B	2.16B	1.20B
Net Income	2.58B	2.44B	2.09B	1.77B	1.33B	578.88M
Balance Sheet
Total Assets	23.37B	22.91B	20.02B	17.41B	15.54B	12.86B
Cash, Cash Equivalents and Short-Term Investments	10.44B	7.21B	7.97B	7.21B	6.46B	4.85B
Total Debt	63.19M	68.13M	78.44M	40.36M	8.52M	410.60M
Total Liabilities	9.00B	8.08B	7.31B	6.60B	6.35B	6.01B
Stockholders Equity	14.31B	14.76B	12.66B	10.77B	9.16B	6.82B
Cash Flow
Free Cash Flow	2.82B	1.64B	1.39B	976.24M	1.08B	2.03B
Operating Cash Flow	2.93B	1.76B	1.89B	1.07B	1.16B	2.13B
Investing Cash Flow	-1.75B	-1.98B	-761.48M	-541.66M	-80.91M	87.03M
Financing Cash Flow	-768.36M	-599.35M	-424.08M	-280.82M	486.86M	-1.25B

Japan System Techniques Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2150.00
• 50DMA: Negative
• 100DMA: Positive
• 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:4323, the sentiment is Neutral. The current price of 2150 is below the 20-day moving average (MA) of 2249.00, below the 50-day MA of 2247.89, and above the 200-day MA of 1959.50, indicating a neutral trend. The MACD of -41.74 indicates Positive momentum. The RSI at 42.65 is Neutral, neither overbought nor oversold. The STOCH value of 26.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4323.

Japan System Techniques Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3771	77 Outperform	¥32.83B	13.47	―	2.71%	11.53%	23.23%
4719	76 Outperform	¥52.09B	15.42	8.36%	3.03%	8.26%	9.09%
3648	76 Outperform	¥24.25B	11.99	―	2.23%	21.57%	129.44%
3835	74 Outperform	¥21.60B	18.32	―	3.10%	0.50%	-2.92%
4323	69 Neutral	¥52.85B	20.35	―	1.64%	12.01%	16.50%
3800	68 Neutral	¥13.85B	19.27	―	3.67%	-1.03%	-3.19%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Japan System Techniques Co., Ltd. Corporate Events

Japan System Techniques Co., Ltd. Introduces Interim Dividend to Enhance Shareholder Returns

Japan System Techniques Co., Ltd. has announced the introduction of an interim dividend of 11 yen per share for the fiscal year ending March 31, 2026, as part of its strategy to enhance shareholder returns. This move marks a significant shift from the previous fiscal year, where no interim dividend was paid, and reflects the company’s strong operating results and profit levels, with an expected annual dividend of 35 yen per share.

The most recent analyst rating on (JP:4323) stock is a Buy with a Yen2306.00 price target. To see the full list of analyst forecasts on Japan System Techniques Co., Ltd. stock, see the JP:4323 Stock Forecast page.

Japan System Techniques Reports Strong First Quarter Financial Results

Japan System Techniques Co., Ltd. reported a significant increase in its financial performance for the first quarter ending June 30, 2025, with net sales rising by 11.8% and profit attributable to owners of the parent increasing by 77.8% compared to the previous year. The company forecasts continued growth for the fiscal year ending March 31, 2026, with expected increases in net sales and profits, indicating a strong market position and positive outlook for stakeholders.

The most recent analyst rating on (JP:4323) stock is a Buy with a Yen2405.00 price target. To see the full list of analyst forecasts on Japan System Techniques Co., Ltd. stock, see the JP:4323 Stock Forecast page.

Japan System Techniques Enhances Shareholder Benefit Program

Japan System Techniques Co., Ltd. has announced an upgrade to its Shareholder Benefit Program to express appreciation to shareholders and attract long-term investors. The new program introduces a benefit category for shareholders holding 100 or more shares, offering incentives to encourage continuous investment in the company, which could strengthen shareholder loyalty and potentially enhance the company’s market positioning.

The most recent analyst rating on (JP:4323) stock is a Buy with a Yen2405.00 price target. To see the full list of analyst forecasts on Japan System Techniques Co., Ltd. stock, see the JP:4323 Stock Forecast page.

Japan System Techniques Reports Strong Q1 Financial Performance and Positive Outlook

Japan System Techniques Co., Ltd. reported a significant increase in its financial performance for the first quarter ending June 30, 2025, with net sales rising by 11.8% and operating profit surging by 73.8% compared to the previous year. The company forecasts continued growth for the fiscal year ending March 31, 2026, with expected increases in net sales and profits, indicating a strong market position and positive outlook for stakeholders.