Genetec Corp. (4492) AI Stock Analysis

• Market Cap: ¥5.65B
• Dividend Yield: 4.04%
• Average Volume (3M): 20.16K
• Price to Earnings (P/E): 14.5
• Beta (1Y): 0.82
• Revenue Growth: 15.79%
• EPS Growth: -33.67%
• Country: JP
• Employees: 347
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 5.93
• Shares Outstanding: 11,727,700
• 10 Day Avg. Volume: 14,300
• 30 Day Avg. Volume: 20,160
• PEG Ratio: 14.41
• Price to Book (P/B): 2.49
• Price to Sales (P/S): 0.74
• P/FCF Ratio: 15.58
• 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: 72 Outperform
• Price Target: ¥538.00 ▲(20.90% Upside)

Genetec Corp. has a strong financial foundation with robust revenue growth and profitability. The valuation is attractive with a low P/E ratio and a solid dividend yield. However, technical indicators suggest bearish momentum, which is a concern for short-term performance.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Balance Sheet Health

A low debt-to-equity ratio enhances financial stability and flexibility, allowing the company to invest in growth opportunities.

Profitability

Sustained profitability reflects effective cost management and competitive pricing, ensuring long-term financial health.

Negative Factors

Earnings Decline

A decline in EPS growth suggests challenges in maintaining profitability, potentially affecting investor confidence and future earnings.

Cash Flow Management

Inefficient cash flow management can limit the company's ability to fund operations and invest in growth, impacting long-term sustainability.

Operational Efficiency

Moderate EBIT margins indicate potential inefficiencies in operations, which can hinder profitability and competitiveness over time.

Genetec Corp. Business Overview & Revenue Model

Company Description

Genetec Corporation engages in software development business in Japan. The company operates through three segments: Digital Solutions Business, Engineering Solutions Business, and Cocodayo Business. It provides system solutions that offers embedded-system development for automotive products, digital appliances, and infrastructures, as well as software development for IoT devices, including cloud collaboration, and system architecture design that combines software and hardware; and engineering solution business that sells 3D CAD/CAM software, robot teaching software, 3D simulation software, and product lifecycle management software. The company also provides Cocodayo, a disaster prevention application for smartphones that allows users to check each other's safety by automatically distributing the latest whereabouts of family members. The company was incorporated in 1985 and is headquartered in Shinjuku, Japan.

How the Company Makes Money

Genetec Corp. generates revenue primarily through the sale of its software and hardware products, which include video management systems, access control systems, and integrated security platforms. The company employs a subscription-based model for many of its software solutions, allowing customers to access ongoing updates and support. Additionally, Genetec earns income from licensing its technology and providing maintenance and support services. Key revenue streams include direct sales to customers, recurring subscription fees, and partnerships with resellers and integrators that expand its market reach. Strategic alliances with hardware manufacturers and collaborations with industry leaders also contribute to its revenue, enabling Genetec to deliver comprehensive security solutions tailored to diverse customer needs.

Genetec Corp. Financial Statement Overview

Summary

Genetec Corp. demonstrates strong revenue growth and profitability, supported by a solid balance sheet with low leverage and effective equity utilization. Cash flow management shows room for improvement, but overall financial health is strong.

Income Statement

Genetec Corp. demonstrates healthy revenue growth, with a notable increase from 2024 to 2025. The gross profit margin is strong at approximately 40%, indicating good cost control relative to revenue. Net profit margin is also healthy at around 5%, showing profitability. However, the EBIT margin is moderate, suggesting room for operational efficiency improvements.

Balance Sheet

The company has a relatively low debt-to-equity ratio, indicating low financial leverage, which is favorable. The return on equity (ROE) is robust, reflecting efficient use of shareholder capital. The equity ratio is stable, suggesting a strong capital base and financial stability.

Cash Flow

Genetec Corp. has shown fluctuations in free cash flow but maintains a positive trajectory. The operating cash flow to net income ratio is positive, indicating efficient cash generation from operations. However, there is room for improvement in free cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.60B	8.12B	7.15B	5.86B	4.68B	4.08B
Gross Profit	3.37B	3.27B	2.91B	2.32B	1.96B	1.56B
EBITDA	748.79M	829.40M	783.24M	245.09M	153.83M	301.93M
Net Income	385.60M	421.12M	414.77M	23.76M	56.64M	173.41M
Balance Sheet
Total Assets	6.80B	7.15B	4.52B	4.12B	3.25B	2.84B
Cash, Cash Equivalents and Short-Term Investments	1.92B	1.99B	1.17B	1.08B	1.04B	1.48B
Total Debt	2.28B	2.26B	640.00M	976.09M	50.62M	75.00M
Total Liabilities	4.49B	4.75B	2.31B	2.26B	1.39B	1.02B
Stockholders Equity	2.31B	2.40B	2.21B	1.87B	1.86B	1.83B
Cash Flow
Free Cash Flow	0.00	384.76M	495.19M	-359.44M	-176.37M	406.28M
Operating Cash Flow	0.00	451.42M	602.37M	-223.12M	-24.03M	443.26M
Investing Cash Flow	0.00	-388.73M	-55.73M	-439.20M	-98.15M	-38.53M
Financing Cash Flow	0.00	655.92M	-410.02M	714.93M	-94.71M	-76.04M

Genetec Corp. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 445.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4492, the sentiment is Negative. The current price of 445 is below the 20-day moving average (MA) of 457.65, below the 50-day MA of 473.80, and below the 200-day MA of 477.39, indicating a bearish trend. The MACD of -8.94 indicates Negative momentum. The RSI at 44.71 is Neutral, neither overbought nor oversold. The STOCH value of 65.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4492.

Genetec Corp. 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%
4829	66 Neutral	¥4.20B	173.48	―	2.78%	-4.90%	-85.89%
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%