Future Corporation (4722) AI Stock Analysis

• Market Cap: ¥202.55B
• Dividend Yield: 1.92%
• Average Volume (3M): 192.89K
• Price to Earnings (P/E): 20.2
• Beta (1Y): 0.41
• Revenue Growth: 13.51%
• EPS Growth: 2.63%
• Country: JP
• Employees: 3,499
• Sector: Technology
• Sector Strength: 87
• Industry: Information Technology Services
• EPS (TTM): 29.04
• Shares Outstanding: 95,328,000
• 10 Day Avg. Volume: 146,360
• 30 Day Avg. Volume: 192,890
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: 73 Outperform
• Price Target: ―

Future Corporation has a strong financial foundation with impressive growth and operational efficiency. However, technical indicators suggest caution due to current price trends. Valuation metrics indicate a fair price, providing a balanced outlook for investors.

Future Corporation Business Overview & Revenue Model

Company Description

Future Corporation (4722) is a diversified technology company that operates across various sectors including consumer electronics, software development, and renewable energy solutions. The company is known for its innovative approach to integrating cutting-edge technology into everyday products and services, aiming to enhance the quality of life for its customers globally.

How the Company Makes Money

Future Corporation generates revenue through the sale of its consumer electronics, which include smart devices, wearable technology, and home automation systems. The company also earns money from its software development segment by licensing its proprietary software and offering subscription-based services for cloud computing and data analytics. Additionally, Future Corporation has significant investments in renewable energy projects, providing sustainable energy solutions to businesses and governments, which contribute to its earnings. Strategic partnerships with technology firms and energy providers further bolster its revenue streams by expanding its market reach and enhancing its product offerings.

Future Corporation Financial Statement Overview

Summary

Future Corporation exhibits a robust financial position with strong revenue and profit growth, efficient cost management, and low leverage. The company efficiently converts earnings into cash, supporting its growth initiatives.

Income Statement

Future Corporation shows strong revenue growth with a 17.8% increase from the previous year. The gross profit margin stands at 48.2%, indicating efficient cost management. Net profit margin has increased to 14.8%, reflecting improved profitability. Both EBIT and EBITDA margins are robust at 21.0% and 24.9%, respectively, showcasing operational efficiency.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 60.3%. The debt-to-equity ratio is low at 0.32, indicating low leverage risk. Return on equity is high at 18.6%, demonstrating effective use of shareholders' equity to generate profits.

Cash Flow

Operating cash flow to net income ratio is at 1.03, indicating good cash conversion from earnings. Free cash flow grew by 57.2%, showcasing excellent cash generation capability. However, the free cash flow to net income ratio at 0.92 suggests substantial reinvestment back into the business.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.18B	69.88B	59.32B	53.74B	48.70B	44.31B
Gross Profit	32.99B	33.70B	28.81B	26.66B	22.55B	18.07B
EBITDA	17.83B	17.43B	15.01B	13.47B	10.33B	6.67B
Net Income	10.13B	10.32B	9.22B	9.24B	6.37B	3.80B
Balance Sheet
Total Assets	88.87B	92.05B	66.04B	57.86B	54.48B	49.82B
Cash, Cash Equivalents and Short-Term Investments	29.13B	32.37B	28.21B	27.65B	22.43B	16.11B
Total Debt	17.14B	17.86B	0.00	0.00	0.00	3.32M
Total Liabilities	33.29B	36.56B	14.66B	13.03B	12.68B	11.59B
Stockholders Equity	55.58B	55.49B	51.39B	44.83B	41.80B	38.18B
Cash Flow
Free Cash Flow	0.00	9.54B	6.07B	8.40B	8.59B	3.90B
Operating Cash Flow	0.00	10.68B	7.57B	10.17B	9.61B	4.45B
Investing Cash Flow	0.00	-20.41B	-3.03B	-1.01B	-1.69B	-666.80M
Financing Cash Flow	0.00	13.81B	-3.90B	-3.02B	-2.50B	-2.71B

Future Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2288.00
• 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:4722, the sentiment is Neutral. The current price of 2288 is below the 20-day moving average (MA) of 2359.00, above the 50-day MA of 2284.84, and above the 200-day MA of 1970.42, indicating a neutral trend. The MACD of 4.83 indicates Positive momentum. The RSI at 44.51 is Neutral, neither overbought nor oversold. The STOCH value of 22.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4722.

Future Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4722	73 Outperform	¥202.55B	20.22		1.92%	13.51%	2.63%
Sector *	61 Neutral	$35.48B	7.63	-10.11%	1.88%	8.73%	-9.23%
DLGEF	―	$1.16B	―	-13.94%	1.68%	―	―
DTSOF	―	$1.28B	16.23	19.83%	3.13%	―	―
TRCLF	―	$914.85M	10.44	11.91%	3.03%	―	―
9746	78 Outperform	¥227.86B	20.69		2.38%	9.00%	3.63%
2317	76 Outperform	¥180.11B	19.29		2.41%	10.87%	27.25%

Future Corporation Corporate Events

Future Corporation Announces Treasury Stock Disposal for Value Enhancement

Future Corporation announced its decision to dispose of treasury stock as restricted transferable shares to select directors and employees, aiming to enhance corporate and shareholder value. This strategic move is part of a compensation plan designed to incentivize continuous improvement in corporate value and align the interests of management and shareholders over the medium to long term.

Future Corporation Sees Sales Growth Amid Global Uncertainties

Future Corporation reported a 15.3% increase in net sales for the first quarter of 2025, driven by the consolidation of Revamp Corporation and new large-scale projects. However, operating income decreased by 2.4% due to a special tax on defense-related entities and a focus on acquiring new projects. Despite global economic uncertainties, the company remains optimistic about its full-year forecasts, with several major projects set to start in the second quarter.

Future Corporation Reports Q1 2025 Financial Results with Increased Sales but Lower Profits

Future Corporation reported its consolidated financial results for the three months ended March 31, 2025, showing a 15.3% increase in net sales to ¥17,320 million compared to the previous year. Despite the rise in sales, the company’s operating profit decreased by 2.4% to ¥3,335 million, and profit attributable to owners of the parent fell by 8.8% to ¥1,997 million. The company also announced a forecasted increase in annual dividends for the fiscal year ending December 31, 2025, from ¥42.00 to ¥46.00 per share, reflecting a positive outlook for stakeholders.