VIS Co., Ltd. (5071) AI Stock Analysis

• Market Cap: ¥13.20B
• Dividend Yield: 3.66%
• Average Volume (3M): 2.89K
• Price to Earnings (P/E): 8.2
• Beta (1Y): 0.85
• Revenue Growth: -5.11%
• EPS Growth: -13.97%
• Country: JP
• Employees: 252
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): 43.98
• Shares Outstanding: 8,435,050
• 10 Day Avg. Volume: 3,600
• 30 Day Avg. Volume: 2,893
• PEG Ratio: 0.21
• Price to Book (P/B): 1.49
• Price to Sales (P/S): 0.63
• P/FCF Ratio: 6.81
• 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: 80 Outperform
• Price Target: ¥1,800.00 ▲(30.91% Upside)
• Action: Reiterated Date: 12/30/25
• Date: Action: Reiterated 12/30/25

The score is driven primarily by strong financial quality (improving margins, debt-free balance sheet, and solid ROE) and favorable valuation (low P/E with a healthy dividend). Technicals are supportive but mixed due to slightly negative MACD and elevated stochastic despite the price holding above major moving averages.

Positive Factors

Debt-free balance sheet

A zero-debt balance sheet provides durable financial flexibility and low default risk. Over the next 2–6 months this supports consistent dividend capacity, resilience to revenue swings, and funding for organic initiatives without interest burden, preserving cash available for ops.

Improving margins

Steady margin expansion indicates structural improvements in pricing and cost control, supporting sustainable profitability. Higher gross and net margins enhance cash conversion and buffer earnings against revenue variability, underpinning longer-term earnings quality and reinvestment capacity.

Attractive ROE and equity growth

Consistently strong ROE shows the company converts shareholder capital into profits efficiently. This durable capital efficiency supports internal funding for growth, consistent shareholder returns, and indicates a competitively effective business model over a multi-quarter horizon.

Negative Factors

Latest-year revenue decline

A recent revenue pullback undermines growth momentum and raises the bar for operational recovery. With revenue down, sustaining investment, margins and shareholder returns becomes harder; if the decline reflects structural demand weakness, it could pressure medium-term earnings recovery.

Volatile cash flow and low coverage

Intermittent free cash flow and modest operating cash coverage limit the firm's ability to reliably fund capex, dividends or weather downturns. This volatility increases execution risk and constrains strategic flexibility despite generally positive FCF in recent years.

Growth reliant on operating performance

A conservative, no-debt stance reduces external funding options, so scaling initiatives or M&A must come from operations. That dependence means any prolonged organic softness directly limits expansion pace and makes recovery more reliant on restoring internal revenue drivers.

VIS Co., Ltd. Business Overview & Revenue Model

Company Description

VIS Co., Ltd. designs workplaces in Japan. The company offers office design and renovation, web design, and graphic design services; engages in the workplace and various equipment construction; and sells furniture. It also offers after sales services. The company was incorporated in 1998 and is headquartered in Osaka, Japan.

How the Company Makes Money

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VIS Co., Ltd. Financial Statement Overview

Summary

Strong overall fundamentals: profitability has improved steadily (higher gross, EBIT/EBITDA, and net margins) and the company maintains a conservative, debt-free balance sheet with attractive ROE. Key offsets are the latest-year revenue decline and somewhat volatile cash flow history with only moderate operating cash coverage.

Income Statement

Revenue expanded strongly from FY2022–FY2024 (after a FY2021 decline), with profitability steadily improving: gross margin rose from ~26% (FY2022) to ~29% (FY2025) and net margin increased from ~4% (FY2021) to ~8% (FY2025). EBIT and EBITDA margins also stepped up meaningfully into the low-teens by FY2025. The main weakness is the latest year’s revenue decline (FY2025), suggesting growth has become less consistent despite better margins.

Balance Sheet

The balance sheet is very conservative with zero debt across all periods provided, supporting strong financial flexibility. Equity and total assets have grown steadily over time, and return on equity has been consistently attractive (roughly mid-teens to ~20% recently), indicating the business is generating solid profits relative to shareholder capital. The primary limitation is that, without leverage, growth is more reliant on operating performance (and FY2025 showed a revenue pullback).

Cash Flow

Cash generation is generally healthy: free cash flow is positive in most years and closely tracks earnings in recent periods (free cash flow to net income ~0.79–0.97 from FY2023–FY2025), which supports earnings quality. However, cash flow has been somewhat volatile (notably negative free cash flow in FY2021), and operating cash flow has covered only a modest portion of total obligations as reported (coverage ratio roughly ~0.38–0.53 in FY2022–FY2025, and lower in earlier years), which tempers the score despite improvement.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	15.72B	16.25B	14.40B	13.22B	10.73B	8.08B
Gross Profit	4.55B	4.73B	3.99B	3.46B	2.85B	2.14B
EBITDA	1.87B	2.04B	1.64B	1.36B	1.06B	551.80M
Net Income	1.24B	1.36B	991.33M	856.03M	687.31M	331.19M
Balance Sheet
Total Assets	9.53B	10.83B	9.87B	7.96B	6.93B	5.27B
Cash, Cash Equivalents and Short-Term Investments	5.25B	6.12B	5.17B	4.32B	3.62B	2.36B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	2.84B	3.89B	4.03B	2.96B	2.65B	1.62B
Stockholders Equity	6.69B	6.94B	5.85B	5.00B	4.28B	3.65B
Cash Flow
Free Cash Flow	0.00	1.51B	1.15B	1.11B	1.34B	-222.27M
Operating Cash Flow	0.00	1.56B	1.46B	1.21B	1.39B	425.70M
Investing Cash Flow	0.00	-327.18M	-443.07M	-376.76M	-82.81M	-647.82M
Financing Cash Flow	0.00	-282.97M	-161.43M	-134.91M	-54.17M	-133.31M

VIS Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1375.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5071, the sentiment is Neutral. The current price of 1375 is below the 20-day moving average (MA) of 1638.05, below the 50-day MA of 1566.08, and below the 200-day MA of 1395.64, indicating a neutral trend. The MACD of 14.59 indicates Positive momentum. The RSI at 38.64 is Neutral, neither overbought nor oversold. The STOCH value of 19.48 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5071.

VIS Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7811	83 Outperform	¥16.41B	6.60	―	3.62%	7.07%	79.18%
5071	80 Outperform	¥13.20B	8.15	―	3.66%	-5.11%	-13.97%
7912	75 Outperform	$1.43T	11.76	7.04%	1.47%	3.37%	-31.10%
7911	74 Outperform	¥1.27T	11.67	6.28%	1.07%	3.01%	6.48%
7914	68 Neutral	¥41.21B	7.42	―	3.71%	-0.04%	93.95%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4384	62 Neutral	¥115.05B	21.77	19.59%	0.16%	18.08%	136.77%