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Nippon Air Conditioning Services Co., Ltd. (JP:4658)
:4658
Japanese Market

Nippon Air Conditioning Services Co., Ltd. (4658) AI Stock Analysis

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JP:4658

Nippon Air Conditioning Services Co., Ltd.

(4658)

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Outperform 78 (OpenAI - 5.2)
Rating:78Outperform
Price Target:
¥1,891.00
▲(46.59% Upside)
Action:ReiteratedDate:02/26/26
The score is driven primarily by strong financial performance (growth, improving margins, solid cash flow, and low leverage). Technicals support an uptrend, but overbought indicators (RSI and Stoch) temper the rating. Valuation is reasonable with a supportive dividend yield.
Positive Factors
Recurring revenue from maintenance contracts
A large share of revenue derives from recurring maintenance and inspection contracts, creating predictable, sticky cash flows. That client repeatability and regulatory-driven service cadence support stable revenue and reduce sales volatility over multi-quarter horizons.
Negative Factors
Modest net profit margin
Net margin near 5% leaves limited buffer against rising input or labor costs and compressive pricing. With relatively thin bottom-line profitability, adverse cost swings or contract pricing pressure could materially reduce earnings and free cash generation over several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring revenue from maintenance contracts
A large share of revenue derives from recurring maintenance and inspection contracts, creating predictable, sticky cash flows. That client repeatability and regulatory-driven service cadence support stable revenue and reduce sales volatility over multi-quarter horizons.
Read all positive factors

Nippon Air Conditioning Services Co., Ltd. (4658) vs. iShares MSCI Japan ETF (EWJ)

Nippon Air Conditioning Services Co., Ltd. Business Overview & Revenue Model

Company Description
Nippon Air conditioning Services Co., Ltd. provides construction support services in Japan and internationally. It offers maintenance services, including inspection, servicing, repair, and replacement for air conditioning; and facilities managemen...
How the Company Makes Money
Nippon Air Conditioning Services generates revenue primarily through the sale and installation of air conditioning systems, as well as ongoing maintenance and repair services. Key revenue streams include new system installations for residential an...

Nippon Air Conditioning Services Co., Ltd. Financial Statement Overview

Summary
Strong overall fundamentals: revenue grew 10.7% (2024→2025), profitability improved (gross margin 20.1%, net margin 4.8%) with solid EBIT/EBITDA margins (6.5%/7.5%), and cash generation is strong (FCF up 118.8%, OCF/NI 1.60). Balance sheet leverage is low (D/E 0.14) and equity ratio is healthy (53.4%), though rising total debt bears monitoring.
Income Statement
85
Very Positive
Balance Sheet
78
Positive
Cash Flow
82
Very Positive
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue65.58B64.44B58.23B52.89B49.89B49.15B
Gross Profit13.45B12.96B10.97B9.33B8.81B9.12B
EBITDA4.99B4.67B4.02B3.23B3.07B3.45B
Net Income3.26B3.10B2.73B1.94B2.82B2.00B
Balance Sheet
Total Assets45.64B48.57B42.95B37.56B35.14B34.91B
Cash, Cash Equivalents and Short-Term Investments10.64B9.00B6.99B6.58B7.25B6.69B
Total Debt3.60B3.65B1.73B1.02B887.00M1.22B
Total Liabilities19.43B22.44B18.73B15.85B14.65B14.52B
Stockholders Equity26.01B25.93B24.04B21.54B20.34B20.27B
Cash Flow
Free Cash Flow0.001.64B762.00M368.00M1.49B2.55B
Operating Cash Flow0.004.96B2.42B921.00M1.78B2.73B
Investing Cash Flow0.00-3.47B-1.80B-697.00M971.00M-267.00M
Financing Cash Flow0.00378.00M-287.00M-1.02B-2.37B-1.81B

Nippon Air Conditioning Services Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1290.00
Price Trends
50DMA
1519.14
Positive
100DMA
1385.84
Positive
200DMA
1278.55
Positive
Market Momentum
MACD
16.56
Negative
RSI
59.96
Neutral
STOCH
90.76
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4658, the sentiment is Positive. The current price of 1290 is below the 20-day moving average (MA) of 1537.57, below the 50-day MA of 1519.14, and above the 200-day MA of 1278.55, indicating a bullish trend. The MACD of 16.56 indicates Negative momentum. The RSI at 59.96 is Neutral, neither overbought nor oversold. The STOCH value of 90.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4658.

Nippon Air Conditioning Services Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥55.73B20.653.33%9.63%11.40%
75
Outperform
¥37.16B9.6510.19%3.21%6.55%5.32%
71
Outperform
¥11.77B14.991.08%18.17%191.50%
69
Neutral
¥300.58B14.5530.73%2.20%4.52%
67
Neutral
¥22.16B14.171.34%16.06%31.24%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
61
Neutral
¥283.52B44.540.87%16.30%23.34%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4658
Nippon Air Conditioning Services Co., Ltd.
1,604.00
678.45
73.30%
JP:4659
AJIS Co
4,415.00
1,993.00
82.29%
JP:8876
Relo Group
1,966.00
216.19
12.36%
JP:6044
SANKI SERVICE CORP.
1,792.00
723.70
67.74%
JP:6086
Shin Maint Holdings Co.Ltd.
1,053.00
277.36
35.76%
JP:6544
Japan Elevator Service Holdings Co., Ltd.
1,586.00
112.61
7.64%

Nippon Air Conditioning Services Co., Ltd. Corporate Events

Nippon Air Conditioning Services Overhauls Executive and Regional Management Structure
Feb 12, 2026
Nippon Air Conditioning Services announced a series of senior executive and management personnel changes, effective April 1, 2026, aimed at strengthening oversight of its key regional offices and technical divisions. Senior Executive Officer Tadas...
Nippon Air Conditioning Services Lifts Full-Year Earnings and Sales Forecasts on Strong Renovation Demand
Jan 30, 2026
Nippon Air Conditioning Services has raised its full-year consolidated and non-consolidated forecasts for the fiscal year ending March 31, 2026, projecting higher net sales and profits than previously expected, with consolidated net sales now seen...
Nippon Air Conditioning Services Lifts Earnings and Dividend Outlook on Strong Nine-Month Results
Jan 30, 2026
Nippon Air Conditioning Services reported steady growth for the nine months ended 31 December 2025, with net sales up 5.7% to ¥46.7 billion and profit attributable to owners of the parent rising 15.0% to ¥2.1 billion, while comprehensive...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Feb 26, 2026