Computer Management Co., Ltd. (4491) AI Stock Analysis

• Market Cap: ¥5.39B
• Dividend Yield: 1.89%
• Average Volume (3M): 10.16K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.49
• Revenue Growth: 6.18%
• EPS Growth: 29.79%
• Country: JP
• Employees: 694
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 46.12
• Shares Outstanding: 2,038,000
• 10 Day Avg. Volume: 5,720
• 30 Day Avg. Volume: 10,156
• PEG Ratio: 0.42
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 0.45
• P/FCF Ratio: 7.49
• 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: 69 Neutral
• Price Target: ―

Computer Management Co., Ltd. presents a strong financial profile with robust revenue growth and a debt-free balance sheet, significantly contributing to its high score. The stock's attractive valuation, evidenced by a low P/E ratio and decent dividend yield, further enhances its investment appeal. However, the technical analysis indicates short-term bearish momentum that slightly dampens the overall score. The absence of recent earnings call data and corporate events means these factors do not currently impact the evaluation.

Positive Factors

Revenue Growth

Consistent revenue growth highlights the company's ability to expand its market presence and enhance product adoption, ensuring long-term business sustainability.

Debt-Free Balance Sheet

A debt-free balance sheet provides financial flexibility and reduces risk, allowing the company to invest in growth opportunities without the burden of interest obligations.

Profitability Margins

Strong profitability margins suggest effective cost control and pricing power, which can support sustained earnings growth and competitive advantage in the market.

Negative Factors

Cash Flow Growth

Stagnant free cash flow growth may limit the company's ability to finance new projects and respond to market changes, potentially hindering long-term strategic initiatives.

EBIT and EBITDA Margins

Decreasing EBIT and EBITDA margins could indicate rising operational costs or inefficiencies, which may pressure profitability if not addressed.

Cash Flow Flexibility

Limited cash flow flexibility can constrain the company's ability to adapt to changing market conditions and invest in growth, impacting future competitiveness.

Computer Management Co., Ltd. Business Overview & Revenue Model

Company Description

Computer Management Co., Ltd. (4491) is a technology company that specializes in providing comprehensive IT solutions and services. The company operates in sectors such as software development, systems integration, and IT consulting, offering a range of products and services designed to enhance business efficiency and technology infrastructure. Its core offerings include custom software applications, IT infrastructure management, and digital transformation consulting services.

How the Company Makes Money

Computer Management Co., Ltd. generates revenue primarily through its service offerings in the IT sector. The company's key revenue streams include fees from software development projects, where they design and implement custom software solutions for clients. Additionally, they earn income from systems integration services, helping businesses streamline and optimize their technology infrastructure. IT consulting services also contribute significantly to their earnings, as they provide strategic guidance and solutions to businesses undergoing digital transformation. Partnerships with technology vendors and service providers further augment their revenue by enabling them to offer a diverse range of solutions to their clients.

Computer Management Co., Ltd. Financial Statement Overview

Summary

Computer Management Co., Ltd. exhibits strong financial health with steady revenue growth and solid profitability margins. The balance sheet is robust with no debt, showcasing financial stability. However, attention is needed on improving cash flow growth to ensure long-term operational flexibility.

Income Statement

The company has demonstrated consistent revenue growth over the years with a noticeable increase in the TTM period. Gross profit margins are strong, indicating efficient cost management. However, there is a slight decline in EBIT and EBITDA margins, suggesting increased operational costs or inefficiencies.

Balance Sheet

The company maintains a robust equity base with zero total debt, resulting in an excellent debt-to-equity ratio. The equity ratio is strong, reflecting a solid financial foundation. Return on Equity (ROE) is healthy, showcasing effective utilization of shareholder funds.

Cash Flow

While the company has stable free cash flow and operating cash flow, the lack of growth in free cash flow is a concern. The positive operating cash flow to net income ratio indicates good cash generation relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.91B	7.90B	7.19B	6.93B	6.49B	6.23B
Gross Profit	2.01B	2.01B	1.76B	1.67B	1.51B	1.39B
EBITDA	544.52M	555.30M	452.00M	494.28M	507.62M	409.37M
Net Income	401.52M	397.89M	327.41M	337.66M	353.22M	285.49M
Balance Sheet
Total Assets	5.31B	5.14B	4.75B	4.30B	3.97B	3.68B
Cash, Cash Equivalents and Short-Term Investments	3.43B	3.30B	2.91B	2.58B	2.32B	2.05B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	1.70B	1.56B	1.55B	1.45B	1.38B	1.34B
Stockholders Equity	3.61B	3.58B	3.20B	2.85B	2.59B	2.34B
Cash Flow
Free Cash Flow	0.00	475.97M	405.34M	333.33M	370.05M	143.56M
Operating Cash Flow	0.00	482.56M	429.19M	404.04M	393.88M	157.96M
Investing Cash Flow	0.00	-10.64M	-27.03M	-81.19M	-73.72M	-63.24M
Financing Cash Flow	0.00	-81.56M	-68.32M	-59.90M	-49.56M	-139.17M

Computer Management Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2699.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4491, the sentiment is Positive. The current price of 2699 is above the 20-day moving average (MA) of 2636.05, above the 50-day MA of 2681.64, and above the 200-day MA of 2384.21, indicating a bullish trend. The MACD of -1.85 indicates Negative momentum. The RSI at 59.75 is Neutral, neither overbought nor oversold. The STOCH value of 82.59 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4491.

Computer Management Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3841	77 Outperform	¥5.05B	22.39	―	2.95%	-1.09%	-14.08%
4492	72 Outperform	¥5.65B	14.51	―	4.04%	15.79%	-33.67%
4491	69 Neutral	¥5.39B	13.38	―	1.89%	6.18%	29.79%
4446	66 Neutral	¥14.90B	100.66	―	―	32.04%	-35.59%
4060	64 Neutral	¥6.49B	22.30	―	0.57%	21.03%	32.29%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
2321	47 Neutral	¥12.27B	-154.88	―	―	-6.35%	71.66%