Careerlink Co., Ltd. (6070) AI Stock Analysis

• Market Cap: ¥28.23B
• Dividend Yield: 5.12%
• Average Volume (3M): 24.71K
• Price to Earnings (P/E): 14.9
• Beta (1Y): 0.62
• Revenue Growth: -4.87%
• EPS Growth: -14.53%
• Country: JP
• Employees: 928
• Sector: Industrials
• Sector Strength: 76
• Industry: Staffing & Employment Services
• EPS (TTM): 54.56
• Shares Outstanding: 12,605,700
• 10 Day Avg. Volume: 39,630
• 30 Day Avg. Volume: 24,710
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,333.00
• Price Target Upside: -2.22% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: ¥2,333.00 ▼(-2.22% Downside)

Careerlink Co., Ltd. is supported by a robust balance sheet and attractive dividend yield, which are significant strengths. However, concerns about profitability, revenue growth, and cash flow generation, along with neutral technical indicators, temper the overall attractiveness of the stock.

Careerlink Co., Ltd. Business Overview & Revenue Model

Company Description

Careerlink Co., Ltd. operates in the human resources sector, offering comprehensive staffing and recruitment services. The company specializes in providing temporary staffing, contract staffing, and permanent placement services across various industries. Careerlink aims to connect businesses with qualified professionals, ensuring a suitable match for both employers and job seekers.

How the Company Makes Money

Careerlink Co., Ltd. generates revenue primarily through its staffing services, where it charges client companies for providing temporary and permanent staff. The company earns a fee based on a percentage of the salary or hourly wage of the employees it places. Additionally, Careerlink may offer value-added services such as training and consulting, which contribute to its revenue. Partnerships with various businesses and organizations enhance its service offerings and expand its client base, supporting its financial performance.

Careerlink Co., Ltd. Financial Statement Overview

Summary

Careerlink Co., Ltd. displays a stable financial position, with strong balance sheet metrics like a low debt-to-equity ratio and healthy equity ratio. However, the income statement shows mixed results with declining profit margins and inconsistent revenue growth, and cash flow analysis reveals potential issues in cash generation.

Income Statement

Careerlink Co., Ltd. shows a mixed performance on the income statement. The gross profit margin and net profit margin have seen slight declines, indicating pressure on profitability. Revenue growth has been inconsistent, with significant fluctuations over the years. However, the company maintains a reasonable EBIT and EBITDA margin, suggesting operational efficiency.

Balance Sheet

The balance sheet of Careerlink Co., Ltd. is relatively strong with a low debt-to-equity ratio, indicating conservative leverage. The equity ratio is healthy, reflecting financial stability. The return on equity has shown some volatility but remains positive, suggesting decent shareholder returns.

Cash Flow

Cash flow analysis reveals some concerns, particularly with declining operating cash flow in recent years. Free cash flow remains positive but shows a downward trend, which could impact future investments. The company has managed to maintain a positive free cash flow to net income ratio, but the operating cash flow to net income ratio suggests potential issues with cash generation from operations.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	40.40B	43.79B	52.54B	39.79B	30.28B
Gross Profit	8.20B	9.13B	14.41B	8.73B	6.51B
EBITDA	2.93B	3.54B	7.91B	4.25B	2.85B
Net Income	1.83B	2.20B	5.71B	2.88B	2.05B
Balance Sheet
Total Assets	19.88B	21.21B	21.81B	16.54B	11.52B
Cash, Cash Equivalents and Short-Term Investments	10.72B	9.93B	5.10B	7.03B	6.44B
Total Debt	689.16M	1.05B	1.07B	980.70M	862.43M
Total Liabilities	4.97B	6.73B	8.28B	8.14B	6.04B
Stockholders Equity	14.82B	14.39B	13.46B	8.34B	5.43B
Cash Flow
Free Cash Flow	2.65B	6.25B	-1.40B	565.18M	2.67B
Operating Cash Flow	2.71B	6.77B	-1.21B	976.89M	2.74B
Investing Cash Flow	-129.78M	-614.74M	-319.32M	-282.06M	-48.00M
Financing Cash Flow	-1.79B	-1.32B	-405.00M	-98.60M	-177.04M

Careerlink Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2386.00
• 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:6070, the sentiment is Positive. The current price of 2386 is above the 20-day moving average (MA) of 2327.75, above the 50-day MA of 2241.20, and above the 200-day MA of 2232.40, indicating a bullish trend. The MACD of 45.24 indicates Positive momentum. The RSI at 56.60 is Neutral, neither overbought nor oversold. The STOCH value of 59.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6070.

Careerlink Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6539	79 Outperform	¥24.75B	23.82		5.69%	38.75%	-3.18%
2301	74 Outperform	¥26.65B	12.81		3.82%	15.42%	1.67%
2471	71 Outperform	¥26.86B	14.82		3.02%	4.91%	8.85%
6089	71 Outperform	¥22.49B	16.67		4.49%	0.73%	-35.91%
9332	71 Outperform	¥21.39B	13.07		3.37%	3.05%	-22.47%
6070	68 Neutral	¥28.23B	14.86		5.12%	-4.87%	-14.53%
Sector *	64 Neutral	$10.95B	16.37	8.81%	1.96%	2.68%	-15.33%

Careerlink Co., Ltd. Corporate Events

Careerlink Co., Ltd. Reports Modest Growth in Q1 2025 Financial Results

Careerlink Co., Ltd. reported its consolidated financial results for the first quarter ending June 30, 2025, showing a modest increase in net sales by 1.1% and a significant rise in operating profit by 17% compared to the same period last year. Despite a slight decrease in total assets and equity ratio, the company maintained a stable dividend forecast, indicating a positive outlook for stakeholders and a steady financial position.

Careerlink Co., Ltd. Confirms Stock Option Issuance Details

Careerlink Co., Ltd. announced the confirmation of details for the issuance of stock-compensation-type stock options to its Directors, excluding certain members. This move, resolved in a recent board meeting, involves issuing 55 stock acquisition rights, each covering 100 shares, as a form of compensation. The decision reflects the company’s strategy to align the interests of its directors with shareholders, potentially impacting its governance and operational efficiency.

Careerlink Issues Stock Options to Align Director and Shareholder Interests

Careerlink Co., Ltd. announced the issuance of stock-compensation-type stock options to select directors to align their interests with shareholders and motivate them to achieve the company’s medium-term management plan. This initiative aims to improve business performance and corporate value, reflecting the company’s commitment to strategic growth and stakeholder engagement.

Careerlink Co., Ltd. Unveils Ambitious Medium-term Growth Plan

Careerlink Co., Ltd. has announced a new Medium-term Management Plan for the fiscal years 2026 to 2028, targeting an average annual growth of 5%. The plan includes expanding business locations and operational domains, developing new clients in the manufacturing sector, and investing in new business and infrastructure development. Despite recent declines in revenue and profit, the company projects significant growth in net sales and profits by 2028, while maintaining dividends at ¥120 per share.