BayCurrent Consulting, Inc. (6532) AI Stock Analysis

• Market Cap: ¥699.29B
• Dividend Yield: 1.3%
• Average Volume (3M): 1.39M
• Price to Earnings (P/E): 19.2
• Beta (1Y): 0.35
• Revenue Growth: 25.07%
• EPS Growth: 26.47%
• Country: JP
• Employees: 4,321
• Sector: Industrials
• Sector Strength: 72
• Industry: Consulting Services
• EPS (TTM): 58.04
• Shares Outstanding: 155,411,400
• 10 Day Avg. Volume: 1,423,480
• 30 Day Avg. Volume: 1,394,313
• PEG Ratio: 1.45
• Price to Book (P/B): 10.26
• Price to Sales (P/S): 8.34
• P/FCF Ratio: 30.47
• 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: ¥8,000.00
• Price Target Upside: 23.08% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 299.39
• Revenue Forecast (FY): ¥175.70B

• Rating: 71 Outperform
• Price Target: ¥4,779.00 ▼(-26.48% Downside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

Strong financial performance (high margins, low leverage, and solid cash conversion) is the primary support for the score. This is partly offset by weak technicals (price below key moving averages with negative MACD), while valuation and dividend yield are reasonable and provide some balance.

Positive Factors

High Profitability

Sustained high margins indicate durable pricing power and a scalable consulting model that captures value. Elevated EBIT and net margins provide insulation against demand swings, fund reinvestment and shareholder returns, and support persistent high ROE even if top-line growth softens.

Conservative Balance Sheet

Very low leverage and steadily built equity give the company financial flexibility to weather downturns, fund acquisitions or buybacks, and sustain distributions without raising costly external capital. High ROE alongside low debt suggests efficient capital allocation continuity.

Strong Cash Conversion

Near-par conversion of reported profits into cash reflects high earnings quality and low accrual risk. Reliable operating cash flow supports recurring investments, dividends and strategic spending while limiting refinancing needs, underpinning medium-term financial stability.

Negative Factors

Revenue Deceleration

Slowing revenue growth reduces leeway to sustain elevated margins and ROE over time. For a consulting firm dependent on billable demand, persistent deceleration would pressure utilization, pricing leverage and margin expansion potential, making current profitability levels harder to maintain.

Slight FCF Growth Weakness

Although cash conversion is strong in absolute terms, negative FCF growth signals variability that can constrain funding for growth or returns if it persists. Continued declines in FCF would erode cash buffers and limit flexibility despite low leverage, especially during slower top-line periods.

Demand Sensitivity

Consulting revenue is cyclical and tied to client budgets; any sustained client spending reduction or cost inflation can compress margins quickly. Given elevated ROE and margins, normalization risk is material: a structural demand dip would disproportionately reduce profitability and returns.

BayCurrent Consulting, Inc. Business Overview & Revenue Model

Company Description

BayCurrent Consulting, Inc. provides consulting services in Japan. The company provides engaged in designing and implementing strategy/business strategy, globalization, m&a/jv/alliances, innovation/new business development, turn-around, innovation/new business development, overseas expansion, global resource utilization, global governance design, change towards capturing inbound demand, marketing and sales strategy, and business due diligence.It offers DX-based high level planning, digital department launch, blockchain utilization, business model DX, designing thinking/agile operations, digital marketing, AI/IoT implementation, DX strategy/roadmap formulation, digital human resource development, fintech/insurtech, operation DX, and lean start-ups services. Additionally, the company provides procurement cost reduction, business process re-engineering, supply chain management, customer relationship management, risk management, value chain transformation, governance/management design, operation reform/standardization, and leadership training services. Further, it offers IT strategy, IT governance, IT cost optimization, IT organizational improvement, IT talent development, PMO, IT architecture, system design/ development, and IT asset evaluation services. The company serves financial, high-tech/telecommunication, media/entertainment, industrial/distribution/retail, health care, energy, and public sector industries. BayCurrent Consulting, Inc. was founded in 1998 and is based in Tokyo, Japan.

How the Company Makes Money

BayCurrent Consulting generates revenue primarily through its consulting services, which include strategic advisory, operational improvement, and digital transformation projects. The company operates on a project-based fee structure, where clients are charged based on the scope and duration of the consulting engagements. Additionally, BayCurrent may offer retainer agreements for ongoing advisory services. Key revenue streams include fees for project deliverables, workshops, and training sessions. The firm also benefits from significant partnerships with technology providers and other consulting firms, which can enhance its service offerings and expand its client base, contributing to its overall earnings.

BayCurrent Consulting, Inc. Financial Statement Overview

Summary

Strong profitability and earnings quality: high TTM margins (gross ~55%, net ~26.8%, EBIT ~36.9%), conservative leverage (debt-to-equity ~0.06), and strong cash conversion (FCF/net income ~0.99; operating cash flow ~1.52x net income). Main risk is slowing momentum with decelerating revenue growth (~6.2% TTM) and slightly negative TTM FCF growth (~-1.5%).

Income Statement

Results show high-quality profitability with TTM (Trailing-Twelve-Months) gross margin ~55% and net margin ~26.8%, supported by strong operating profitability (EBIT margin ~36.9%). Revenue has expanded meaningfully over the last several years, and TTM revenue growth remains solid (~6.2%). The main weakness is a visible deceleration versus the prior annual growth pace, which increases sensitivity to any demand slowdown in consulting.

Balance Sheet

Balance sheet looks conservative: leverage is low with TTM (Trailing-Twelve-Months) debt-to-equity around 0.06, and equity has built steadily alongside asset growth. Returns to shareholders are strong (TTM return on equity ~37%), indicating efficient capital use. The key watch-out is that very high returns can normalize if growth slows or costs rise, but current leverage leaves ample flexibility.

Cash Flow

Cash generation is strong and well-aligned with earnings: TTM (Trailing-Twelve-Months) free cash flow is close to net income (free cash flow to net income ~0.99), suggesting good earnings quality. Operating cash flow comfortably covers accounting profit (about 1.52x). The main weakness is that TTM free cash flow growth is slightly negative (~-1.5%), pointing to modest near-term variability despite overall robust cash conversion.

Breakdown	TTM	Feb 2026	Feb 2025	Feb 2024	Feb 2022	Feb 2021
Income Statement
Total Revenue	138.47B	116.06B	93.91B	76.09B	57.64B	32.98B
Gross Profit	77.88B	62.45B	51.27B	42.42B	30.57B	14.31B
EBITDA	51.55B	45.10B	36.63B	30.98B	22.36B	8.86B
Net Income	35.60B	30.76B	25.38B	21.91B	15.54B	5.91B
Balance Sheet
Total Assets	133.47B	124.67B	99.88B	66.57B	50.26B	35.24B
Cash, Cash Equivalents and Short-Term Investments	68.80B	63.55B	45.78B	36.61B	26.05B	8.03B
Total Debt	5.74B	8.08B	9.65B	3.41B	4.46B	7.07B
Total Liabilities	28.47B	30.26B	25.76B	16.15B	14.73B	13.79B
Stockholders Equity	105.00B	94.40B	74.13B	50.42B	35.53B	21.45B
Cash Flow
Free Cash Flow	34.37B	31.78B	20.72B	21.25B	15.94B	7.97B
Operating Cash Flow	34.77B	32.65B	24.35B	21.64B	16.02B	7.98B
Investing Cash Flow	-4.24B	-3.53B	-3.75B	-2.26B	-147.00M	-107.00M
Financing Cash Flow	-19.33B	-14.34B	-11.42B	-8.83B	-6.11B	-2.83B

BayCurrent Consulting, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6500.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6532, the sentiment is Negative. The current price of 6500 is above the 20-day moving average (MA) of 4611.47, above the 50-day MA of 5700.32, and below the 200-day MA of 7180.74, indicating a bearish trend. The MACD of -438.27 indicates Negative momentum. The RSI at 41.79 is Neutral, neither overbought nor oversold. The STOCH value of 59.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6532.

BayCurrent Consulting, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9644	72 Outperform	¥25.24B	23.09	―	3.50%	15.91%	36.39%
9757	72 Outperform	¥111.99B	16.36	―	3.44%	10.28%	-20.11%
6532	71 Outperform	¥699.29B	19.22	―	1.30%	25.07%	26.47%
9168	68 Neutral	¥12.86B	8.54	―	1.04%	23.25%	14.29%
4792	64 Neutral	¥32.76B	14.32	―	4.39%	2.46%	-31.77%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4373	62 Neutral	¥204.09B	19.00	―	1.19%	23.88%	64.21%

BayCurrent Consulting, Inc. Corporate Events

Baycurrent Reshapes Leadership at Key Technology Subsidiary

Baycurrent, Inc. announced changes to the board of its consolidated subsidiary Baycurrent Technology, Inc., effective March 31, 2026. Executive Officer Daisuke Kudo will be promoted to Member of the Board and President of Baycurrent Technology, while current President and Board Member Ryuta Yamagiwa will retire upon expiration of his term.

Following these changes, Kudo is scheduled to be appointed as an Executive Officer of Baycurrent, Inc. on April 1, 2026, reinforcing leadership continuity across the parent company and its subsidiary. The reshuffle signals a planned leadership transition intended to maintain stability in the group’s management structure and support the ongoing execution of its business strategy.

The most recent analyst rating on (JP:6532) stock is a Hold with a Yen4151.00 price target. To see the full list of analyst forecasts on BayCurrent Consulting, Inc. stock, see the JP:6532 Stock Forecast page.

Baycurrent Overhauls Executive Lineup Across Group Companies

Baycurrent, Inc. announced a broad reshuffle of its leadership team, appointing new executive officers across Baycurrent, Inc., Baycurrent Consulting, Inc., and Baycurrent Technology, Inc. and promoting several existing officers to higher ranks, including vice president and managing executive officer roles. The changes, effective April 1, 2026, suggest a strategic strengthening of the group’s management structure to support its ongoing growth, integrate technology and consulting functions more tightly, and enhance governance and execution capabilities across its core operating entities.

The most recent analyst rating on (JP:6532) stock is a Hold with a Yen4151.00 price target. To see the full list of analyst forecasts on BayCurrent Consulting, Inc. stock, see the JP:6532 Stock Forecast page.

Baycurrent to Establish U.S. Subsidiary to Drive Overseas Consulting Expansion

Baycurrent, Inc. has resolved to establish a wholly owned subsidiary in the United States, Baycurrent USA, Inc., to better serve growing overseas needs of its existing client base. The new unit, to be incorporated in Delaware in March 2026 with capital of USD 1 million and led by Iori Shimada, will provide management, operations, digital transformation, and IT consulting services while building local networks and gathering market intelligence.

By creating an agile, locally based service structure in the U.S., Baycurrent aims to strengthen its international service delivery and lay foundations for future business expansion. The company expects the establishment of the subsidiary to have an immaterial impact on its consolidated financial results for the fiscal year ending February 2026, suggesting a strategic rather than near-term earnings-driven move for stakeholders.

The most recent analyst rating on (JP:6532) stock is a Hold with a Yen4854.00 price target. To see the full list of analyst forecasts on BayCurrent Consulting, Inc. stock, see the JP:6532 Stock Forecast page.

BayCurrent Consulting Positions Itself as Key Partner Amid Rising Demand for Comprehensive Digital and Strategic Advisory

BayCurrent Consulting outlined the business environment surrounding its operations and reiterated its vision as it reported third-quarter results for the fiscal year ending February 28, 2026, highlighting rising corporate demand for comprehensive consulting amid increasingly complex management issues driven by digital innovation, regulatory change, and geopolitical risk. Emphasizing the shortage of in-house expertise and talent at client companies, the firm positioned itself as a key partner for large enterprises seeking end-to-end solutions for digital transformation, sustainability, corporate finance, and business portfolio optimization, and signaled continued investment in enhancing value-added services and expanding capabilities to strengthen its competitive standing in Japan’s consulting market.

The most recent analyst rating on (JP:6532) stock is a Hold with a Yen7666.00 price target. To see the full list of analyst forecasts on BayCurrent Consulting, Inc. stock, see the JP:6532 Stock Forecast page.

BayCurrent Delivers Strong Q3 Earnings and Confirms Outlook While Doubling Dividend

BayCurrent reported strong consolidated results for the nine months ended November 30, 2025, with revenue rising 26.8% year-on-year to ¥105.9 billion and profit attributable to owners of the parent climbing 22.8% to ¥26.0 billion, alongside a solid equity ratio of 78.7%. The company also maintained its full-year forecast for fiscal 2026, projecting revenue of ¥143.0 billion and profit attributable to owners of the parent of ¥37.3 billion, and plans to double its annual dividend to ¥100 per share, signaling confidence in sustained growth and a continued commitment to shareholder returns.

The most recent analyst rating on (JP:6532) stock is a Hold with a Yen7666.00 price target. To see the full list of analyst forecasts on BayCurrent Consulting, Inc. stock, see the JP:6532 Stock Forecast page.