SIG Group Co., Ltd. (4386) AI Stock Analysis

• Market Cap: ¥4.34B
• Dividend Yield: 3.45%
• Average Volume (3M): 35.21K
• Price to Earnings (P/E): 8.9
• Beta (1Y): 0.69
• Revenue Growth: 26.96%
• EPS Growth: 100.21%
• Country: JP
• Employees: 669
• Sector: Technology
• Sector Strength: 79
• Industry: Information Technology Services
• EPS (TTM): 34.13
• Shares Outstanding: 5,933,220
• 10 Day Avg. Volume: 30,000
• 30 Day Avg. Volume: 35,213
• PEG Ratio: 0.91
• Price to Book (P/B): 1.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.73
• 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

• Rating: 78 Outperform
• Price Target: ¥902.00 ▲(19.63%Upside)

The company's strong financial performance and attractive valuation are the most significant factors driving the stock's score. Technical analysis suggests bullish momentum, but caution is warranted due to overbought conditions. The absence of earnings call and corporate events data did not affect the evaluation.

SIG Group Co., Ltd. Business Overview & Revenue Model

Company Description

SIG Group Co., Ltd. (4386) is a company that specializes in providing advanced technology solutions and services. The company operates in various sectors including information technology, software development, and consulting services. Its core products and services include software development, IT consulting, and system integration services designed to enhance business operations and efficiency for its clients.

How the Company Makes Money

SIG Group Co., Ltd. generates revenue through a diverse range of streams primarily centered around its technology solutions and services. The company earns money by offering software development services where it designs and builds custom software solutions tailored to the specific needs of its clients. Additionally, it provides IT consulting services, helping businesses optimize their technology infrastructure and strategy. System integration services also contribute to its revenue, as the company assists in integrating and aligning various IT systems within client organizations to improve overall operational efficiency. Partnerships with other technology firms and enterprises may also play a significant role in its revenue generation by expanding its reach and client base. The combination of these services creates a comprehensive revenue model that supports the company's financial growth.

SIG Group Co., Ltd. Financial Statement Overview

Summary

SIG Group Co., Ltd. presents a strong financial position with impressive revenue growth and profitability. The balance sheet reflects robust financial stability with effective leverage management. While the cash flow statement is generally positive, some fluctuations in investing and financing activities warrant attention.

Income Statement

SIG Group Co., Ltd. has demonstrated strong revenue growth with a consistent upward trend over the past few years. The gross profit margin has remained healthy, and the net profit margin has shown improvement, indicating effective cost management. The EBIT and EBITDA margins are strong, reflecting operational efficiency. Overall, the income statement reflects solid growth and profitability.

Balance Sheet

The balance sheet shows a strong equity position with a favorable debt-to-equity ratio, indicating sound financial leverage management. The company's return on equity is robust, showcasing the ability to generate returns from shareholders' investments. The equity ratio also indicates a solid asset base funded by equity. Overall, the balance sheet reflects financial stability and prudent management of liabilities.

Cash Flow

The cash flow statement shows positive operating cash flow, suggesting the company is effectively converting its earnings into cash. The free cash flow has been growing, although there are fluctuations in investing and financing cash flows. The operating cash flow to net income ratio is solid, indicating strong cash generation relative to net income. Overall, the cash flow position is healthy but shows some variability in non-operational cash flows.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
8.24B	8.77B	6.91B	5.42B	4.92B	4.40B
	Gross Profit
1.79B	1.89B	1.47B	1.30B	1.16B	1.04B
	EBIT
570.32M	583.75M	355.62M	391.56M	378.13M	325.19M
	EBITDA
729.76M	807.85M	456.65M	506.91M	426.76M	349.64M
	Net Income Common Stockholders
407.71M	480.57M	239.28M	301.79M	274.08M	239.61M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.80B	2.21B	1.81B	1.18B	1.13B	714.28M
	Total Assets
4.44B	5.82B	4.58B	4.28B	3.16B	2.60B
	Total Debt
764.00M	1.61B	1.04B	1.12B	644.03M	337.61M
	Net Debt
-1.04B	-596.28M	-767.21M	-59.72M	-490.78M	-376.67M
	Total Liabilities
2.19B	3.36B	2.52B	2.38B	1.45B	1.05B
	Stockholders Equity
2.25B	2.45B	2.06B	1.90B	1.69B	1.55B
Cash Flow		Free Cash Flow
0.00	452.39M	468.23M	151.50M	465.11M	-21.28M
	Operating Cash Flow
0.00	526.35M	514.11M	235.19M	484.67M	-6.67M
	Investing Cash Flow
0.00	-567.04M	271.39M	-500.66M	-107.60M	-678.94M
	Financing Cash Flow
0.00	478.30M	-153.56M	308.35M	43.46M	-197.13M

SIG Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 754.00
• 50DMA: Positive
• 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:4386, the sentiment is Positive. The current price of 754 is above the 20-day moving average (MA) of 752.85, above the 50-day MA of 675.86, and above the 200-day MA of 668.56, indicating a bullish trend. The MACD of 22.36 indicates Positive momentum. The RSI at 57.11 is Neutral, neither overbought nor oversold. The STOCH value of 67.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4386.

SIG Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4386	78 Outperform	¥4.34B	8.90		3.45%	26.96%	100.21%
3996	72 Outperform	¥4.29B	16.66		―	3.20%	99.69%
4416	70 Outperform	¥5.07B	373.70		―	-2.43%	-78.05%
3682	63 Neutral	¥4.07B	18.48		3.27%	9.26%	1.71%
Sector *	62 Neutral	$11.97B	10.08	-7.46%	2.96%	7.37%	-8.22%
4068	54 Neutral	¥3.76B	26.44		―	30.73%	―
2493	52 Neutral	¥4.15B	32.84		0.53%	19.04%	34.12%