tiprankstipranks
LTS, Inc. (JP:6560)
:6560
Japanese Market

LTS, Inc. (6560) AI Stock Analysis

0 Followers

Top Page

JP:6560

LTS, Inc.

(6560)

Select Model
Select Model
Select Model
Neutral 50 (OpenAI - 5.2)
Rating:50Neutral
Price Target:
¥1,597.00
▼(-25.09% Downside)
Action:ReiteratedDate:03/24/26
The score is held back primarily by deteriorating cash flow (negative operating and free cash flow) and a sharp 2025 revenue decline with weaker margins. Technical indicators also point to a sustained downtrend (price below key moving averages and negative MACD). Valuation (moderate P/E and ~2.2% dividend yield) provides some support but is not enough to offset the fundamental and momentum headwinds.
Positive Factors
Improved leverage and stronger capital base
Debt-to-equity falling to ~0.61 and equity growth materially strengthen financial flexibility. A lower leverage profile reduces refinancing risk, provides capacity for targeted investment or restructuring, and supports stability while management executes operational changes over the medium term.
Negative Factors
Negative operating and free cash flow
Negative OCF and FCF despite positive net income indicate weak cash conversion and earnings quality. Persistent cash deficits constrain reinvestment, debt servicing and flexibility for M&A or buybacks, increasing reliance on financing or asset sales and raising execution and liquidity risk over coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved leverage and stronger capital base
Debt-to-equity falling to ~0.61 and equity growth materially strengthen financial flexibility. A lower leverage profile reduces refinancing risk, provides capacity for targeted investment or restructuring, and supports stability while management executes operational changes over the medium term.
Read all positive factors

LTS, Inc. (6560) vs. iShares MSCI Japan ETF (EWJ)

LTS, Inc. Business Overview & Revenue Model

Company Description
LTS, Inc. provides consulting, business process management, and digital utilization services in Japan. It offers business consulting services in the areas of business development, merger and acquisition, business revitalization, formulation of cus...

LTS, Inc. Financial Statement Overview

Summary
Mixed fundamentals: revenue fell sharply in 2025 (~-25%) and margins weakened (net margin ~4.1% vs ~5.9% in 2024). Balance sheet leverage improved (debt-to-equity ~0.61) and ROE remains positive (~14.6%), but cash conversion is a key weakness with negative operating and free cash flow in 2025.
Income Statement
61
Positive
Balance Sheet
64
Positive
Cash Flow
33
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue17.14B17.10B16.59B12.24B9.64B7.38B
Gross Profit5.97B6.09B5.90B4.27B3.21B2.63B
EBITDA1.76B1.44B1.84B897.00M454.47M636.32M
Net Income841.00M696.00M973.00M456.00M232.58M388.41M
Balance Sheet
Total Assets9.72B10.03B11.58B12.00B5.60B5.08B
Cash, Cash Equivalents and Short-Term Investments3.97B3.38B5.45B3.85B2.98B2.43B
Total Debt2.36B2.92B3.89B5.20B682.22M965.88M
Total Liabilities5.08B5.27B7.01B8.38B2.35B3.00B
Stockholders Equity4.64B4.76B4.57B3.57B3.24B2.08B
Cash Flow
Free Cash Flow0.00-466.00M0.00604.00M-33.20M331.65M
Operating Cash Flow0.00-326.00M0.00647.00M255.25M421.96M
Investing Cash Flow0.00-135.00M2.14B-3.66B-329.86M-399.68M
Financing Cash Flow0.00-1.60B-1.35B4.07B626.85M-277.61M

LTS, Inc. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price2132.00
Price Trends
50DMA
1764.56
Negative
100DMA
1981.82
Negative
200DMA
2094.36
Negative
Market Momentum
MACD
-18.76
Negative
RSI
50.13
Neutral
STOCH
77.69
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6560, the sentiment is Neutral. The current price of 2132 is above the 20-day moving average (MA) of 1665.75, above the 50-day MA of 1764.56, and above the 200-day MA of 2094.36, indicating a neutral trend. The MACD of -18.76 indicates Negative momentum. The RSI at 50.13 is Neutral, neither overbought nor oversold. The STOCH value of 77.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6560.

LTS, Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
¥700.99B28.671.30%25.07%26.47%
71
Outperform
¥22.22B8.702.18%17.87%5.31%
64
Neutral
¥31.30B31.604.39%2.46%-31.77%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
¥59.72B34.132.96%10.63%7.42%
63
Neutral
¥17.12B95.8816.77%39.98%
50
Neutral
¥7.73B13.871.34%5.97%-5.60%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6560
LTS, Inc.
1,681.00
-254.24
-13.14%
JP:2170
Link and Motivation Inc.
581.00
109.88
23.32%
JP:4792
YAMADA Consulting Group Co., Ltd.
1,646.00
68.55
4.35%
JP:6532
BayCurrent Consulting, Inc.
4,516.00
-2,947.28
-39.49%
JP:7033
Management Solutions Co., Ltd.
1,325.00
-354.14
-21.09%
JP:9556
INTLOOP, Inc.
1,819.00
-323.50
-15.10%

LTS, Inc. Corporate Events

LTS Outlines FY2025 Results, Segment Overhaul and FY2026 Outlook
Feb 13, 2026
LTS, Inc. has released an outline of its financial results for FY2025 along with a strategic update and outlook. The disclosure highlights the company’s recent performance, upcoming reorganization of business segments, and planned shareholde...
LTS, Inc. Posts Modest Sales Growth but Lower Profit, Targets Strong Rebound in 2026
Feb 13, 2026
LTS, Inc. reported consolidated net sales of ¥17.1 billion for the year ended December 2025, up 3.1% year on year, with operating profit rising 7.0% to ¥1.19 billion and ordinary profit up 21.0%. Profit attributable to owners of parent f...
LTS, Inc. Outlines FY2025 Results and Strategic Roadmap
Feb 13, 2026
LTS, Inc., a TSE Prime Market-listed business services company, has released its FY2025 financial results and outlined a comprehensive update on its operations and strategic direction. The disclosure frames the company’s performance within a...
LTS Posts Modest Sales Growth but Lower Net Profit, Signals Strong 2026 Rebound
Feb 13, 2026
LTS reported consolidated net sales of ¥17.1 billion for the year ended December 2025, up 3.1% year on year, with operating profit rising 7.0% to ¥1.19 billion and ordinary profit climbing 21.0%, but profit attributable to owners of pare...
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: Mar 24, 2026