PBsystems, Inc. (4447) AI Stock Analysis

• Market Cap: ¥3.86B
• Dividend Yield: 1.73%
• Average Volume (3M): 8.27K
• Price to Earnings (P/E): 19.9
• Beta (1Y): 0.41
• Revenue Growth: 42.88%
• EPS Growth: -5.21%
• Country: JP
• Employees: 65
• Sector: Technology
• Sector Strength: 94
• Industry: Software - Application
• EPS (TTM): -4.90
• Shares Outstanding: 6,583,500
• 10 Day Avg. Volume: 13,570
• 30 Day Avg. Volume: 8,270
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥640.00
• Price Target Upside: 10.92% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: ¥640.00 ▲(10.92% Upside)

PBsystems, Inc. has a strong financial foundation with consistent revenue growth and profitability, supported by a stable balance sheet. The technical indicators show a positive trend, although the stock is not overbought. The valuation is reasonable, with a fair P/E ratio and a modest dividend yield. These factors contribute to a solid overall stock score.

PBsystems, Inc. Business Overview & Revenue Model

Company Description

PBsystems, Inc. (4447) is a technology-driven company specializing in innovative software solutions and systems integration services for various industries, including healthcare, finance, and manufacturing. The company focuses on developing advanced data analytics tools, cloud-based applications, and custom software solutions that enhance operational efficiency and drive digital transformation for its clients.

How the Company Makes Money

PBsystems generates revenue primarily through the sale of software licenses, subscription fees for its cloud-based services, and project-based consulting fees for systems integration. The company also earns money from maintenance and support services for its software products. Strategic partnerships with cloud service providers and technology vendors further bolster its revenue streams by enabling PBsystems to offer comprehensive solutions that meet the evolving needs of its customers.

PBsystems, Inc. Financial Statement Overview

Summary

PBsystems, Inc. demonstrates robust growth and profitability with impressive revenue growth and strong margins. The balance sheet is solid with low leverage, but the cash flow situation requires attention due to zero operating and free cash flows, highlighting inefficiencies that could hinder future growth.

Income Statement

PBsystems, Inc. showcases impressive revenue growth of 12.6% year-over-year, coupled with robust gross profit and net profit margins of 27.4% and 7.5% respectively for the TTM period. Consistent EBIT and EBITDA margins indicate strong operational efficiency. The healthy growth trajectory solidifies the company's competitive positioning, although slight margin pressure is observed compared to the previous period.

Balance Sheet

The company maintains a strong equity ratio of 65.9% and a low debt-to-equity ratio of 0.01, highlighting financial stability and low leverage. Return on equity stands at a commendable 19.2%, reflecting efficient use of shareholder equity. Despite these strengths, a decrease in stockholders' equity could pose future challenges.

Cash Flow

Cash flow analysis reveals a challenging environment with zero reported operating and free cash flows for the TTM period, despite previous positive trends. The zero operating cash flow to net income ratio indicates potential inefficiencies in cash generation. Improving cash flow management will be crucial to sustain growth.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	3.11B	2.90B	2.50B	2.17B	2.28B
Gross Profit	890.97M	737.34M	669.22M	628.25M	629.52M
EBITDA	376.17M	304.38M	269.14M	229.96M	204.28M
Net Income	255.82M	205.50M	183.72M	164.81M	143.09M
Balance Sheet
Total Assets	2.87B	1.98B	1.91B	1.57B	1.10B
Cash, Cash Equivalents and Short-Term Investments	847.53M	1.05B	653.63M	786.82M	656.00M
Total Debt	24.28M	66.09M	117.91M	173.94M	229.97M
Total Liabilities	1.44B	718.83M	1.02B	835.78M	506.07M
Stockholders Equity	1.44B	1.26B	891.27M	731.90M	592.00M
Cash Flow
Free Cash Flow	21.81M	363.53M	-77.75M	217.52M	93.14M
Operating Cash Flow	58.42M	385.32M	-73.11M	232.45M	100.60M
Investing Cash Flow	-48.03M	-24.80M	-4.64M	-14.92M	-2.55M
Financing Cash Flow	-122.68M	97.30M	-56.09M	-80.93M	65.77M

PBsystems, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 577.00
• 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:4447, the sentiment is Neutral. The current price of 577 is below the 20-day moving average (MA) of 609.80, above the 50-day MA of 574.78, and above the 200-day MA of 554.95, indicating a neutral trend. The MACD of 10.11 indicates Positive momentum. The RSI at 51.42 is Neutral, neither overbought nor oversold. The STOCH value of 48.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4447.

PBsystems, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4447	72 Outperform	¥3.86B	19.93		1.73%	42.88%	-5.21%
Sector *	61 Neutral	$36.28B	7.09	-7.27%	1.97%	7.76%	-8.56%
4484	61 Neutral	¥3.92B	25.28		―	1.83%	-20.00%
4387	60 Neutral	¥3.41B	28.12		―	3.25%	―
3909	56 Neutral	¥3.52B	11.70		―	13.97%	―
4014	50 Neutral	¥3.16B	51.41		―	-33.91%	90.57%