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): 0.84
• 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: it lowers default risk, preserves capacity to fund capex or dividends from operations, and allows the company to withstand cyclical downturns without refinancing pressure. Equity and assets growth paired with attractive ROE increases long-term stability and optionality for opportunistic investments or shareholder returns.

Improving profitability and margins

Sustained margin expansion — gross margin up toward ~29% and net margin rising into the mid-single digits to ~8%, with EBIT/EBITDA in the low-teens — indicates structural improvements in pricing, cost control, or mix. Higher margins enhance cash generation, increase reinvestment capacity, and provide a buffer against revenue volatility, supporting longer-term earnings durability.

Consistent free cash flow relative to earnings

Free cash flow closely tracking net income across recent years signals earnings quality and real cash conversion. This supports sustainable dividends, organic reinvestment, and internal funding for growth initiatives without reliance on external debt. Over the medium term, steady FCF underpins financial resilience and shareholder distributions.

Negative Factors

Latest-year revenue decline

A near-term revenue decline weakens the company’s growth trajectory and is a durable concern if it reflects demand softness or lost share. Even with better margins, falling top-line impairs absolute profit expansion, constrains reinvestment capacity, and increases dependence on margin gains to sustain returns unless revenue growth resumes.

Volatile cash flow and modest coverage

Intermittent negative free cash flow in historical periods and only modest operating cash coverage of obligations reduce financial resilience. Volatility in cash generation raises risk during downturns and limits predictable funding for capex, M&A or larger shareholder returns, making long-term planning and investment pacing more constrained.

Growth reliant on operating performance (no leverage)

A conservative, no-debt posture reduces financial risk but limits external levers for faster expansion (acquisitions, accelerated capex). With growth driven chiefly by operations, the company is more exposed to revenue volatility; absent leverage, restoring or accelerating top-line growth depends heavily on sustaining operational momentum and market conditions.

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

null

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%