tiprankstipranks
Trending News
More News >
Prime Strategy Co., Ltd. (JP:5250)
:5250
Japanese Market
Advertisement

Prime Strategy Co., Ltd. (5250) AI Stock Analysis

Compare
0 Followers

Top Page

JP:5250

Prime Strategy Co., Ltd.

(5250)

Rating:74Outperform
Price Target:
¥1,343.00
▲(33.23%Upside)
Prime Strategy Co., Ltd. benefits from robust financial performance marked by strong profitability and balance sheet metrics. However, the stock's valuation suggests it may be overvalued, and technical indicators provide mixed signals. Monitoring revenue trends and cash flow will be key to future performance.

Prime Strategy Co., Ltd. (5250) vs. iShares MSCI Japan ETF (EWJ)

Prime Strategy Co., Ltd. Business Overview & Revenue Model

Company DescriptionPrime Strategy Co., Ltd. (5250) is a technology company specializing in providing IT consulting services, with a focus on web application development, server management, and performance optimization. The company primarily serves businesses looking to enhance their online presence and operational efficiency through customized IT solutions.
How the Company Makes MoneyPrime Strategy Co., Ltd. generates revenue through a combination of service fees for IT consulting, project-based work in web application development, and ongoing maintenance and support contracts. The company leverages its expertise in server management and performance optimization to offer value-added services, which can include subscription-based models for continuous support. Partnerships with technology vendors and collaborations with other IT firms may also contribute to its revenue streams by enabling bundled service offerings or reselling opportunities.

Prime Strategy Co., Ltd. Financial Statement Overview

Summary
The company has strong profitability margins and a healthy balance sheet with low leverage. Despite a slight decline in revenue and a decrease in free cash flow, overall financial stability remains solid.
Income Statement
75
Positive
The company's gross profit margin and net profit margin are healthy, with the most recent gross profit margin at 60.63% and net profit margin at 17.72%. However, there was a slight decline in total revenue by 2.28% from the previous year, indicating a potential concern for growth. EBIT and EBITDA margins are strong at 24.77% and 25.95%, respectively.
Balance Sheet
85
Very Positive
The company shows a strong balance sheet with a low debt-to-equity ratio of 0.07, indicating low leverage and financial stability. The equity ratio is robust at 86.32%, reflecting the company's strong equity position relative to its total assets. Return on equity (ROE) is impressive at 10.75%, showing effective management of shareholder funds.
Cash Flow
80
Positive
The firm has a solid free cash flow to net income ratio of 0.77, demonstrating efficient cash generation relative to net income. Operating cash flow to net income ratio of 0.85 indicates reliable cash flow generation from operations. However, free cash flow decreased by 22.46%, which could be a potential area of concern if the trend continues.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue857.21M877.19M770.99M559.85M567.00M
Gross Profit519.77M577.21M550.91M373.49M314.29M
EBITDA222.48M278.15M303.52M158.24M39.51M
Net Income151.90M185.38M197.57M95.52M27.62M
Balance Sheet
Total Assets1.64B1.50B729.11M415.94M362.25M
Cash, Cash Equivalents and Short-Term Investments1.40B1.33B558.68M286.76M182.12M
Total Debt103.54M83.12M211.29M175.47M256.41M
Total Liabilities224.05M203.20M395.13M284.41M327.11M
Stockholders Equity1.41B1.30B333.98M131.52M35.14M
Cash Flow
Free Cash Flow117.40M151.56M233.67M138.39M38.25M
Operating Cash Flow128.48M155.89M246.63M145.58M64.34M
Investing Cash Flow-38.39M-20.71M-12.96M38.86M-30.65M
Financing Cash Flow-17.55M630.18M32.82M-80.94M49.75M

Prime Strategy Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1008.00
Price Trends
50DMA
1102.18
Negative
100DMA
1059.61
Negative
200DMA
1097.02
Negative
Market Momentum
MACD
-22.30
Positive
RSI
34.35
Neutral
STOCH
15.72
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5250, the sentiment is Negative. The current price of 1008 is below the 20-day moving average (MA) of 1102.10, below the 50-day MA of 1102.18, and below the 200-day MA of 1097.02, indicating a bearish trend. The MACD of -22.30 indicates Positive momentum. The RSI at 34.35 is Neutral, neither overbought nor oversold. The STOCH value of 15.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5250.

Prime Strategy Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (50)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥3.57B27.06
1.98%
72
Outperform
¥4.05B9.69
1.31%9.32%25.46%
69
Neutral
¥6.15B17.09
1.18%17.68%-31.19%
63
Neutral
¥4.04B18.33
3.30%9.26%1.71%
54
Neutral
¥4.32B323.63
-2.43%-78.05%
50
Neutral
C$3.13B2.46-63.57%2.58%4.49%-6.00%
43
Neutral
¥12.09B
-32.31%-226.05%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:5250
Prime Strategy Co., Ltd.
1,008.00
-390.99
-27.95%
JP:3682
Encourage Technologies Co., Ltd.
606.00
-17.92
-2.87%
JP:4416
True Data Inc.
892.00
442.00
98.22%
JP:4450
Power Solutions Ltd.
2,005.00
415.14
26.11%
JP:4736
Nippon RAD Inc.
777.00
69.10
9.76%
JP:5255
Monstarlab Holdings Inc.
193.00
-71.00
-26.89%
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: Jul 15, 2025