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CORREC CO., LTD. (JP:6578)
:6578
Japanese Market

CORREC CO., LTD. (6578) AI Stock Analysis

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JP:6578

CORREC CO., LTD.

(6578)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
¥444.00
▲(11.56% Upside)
Action:UpgradedDate:02/27/26
The score is driven primarily by strong financial performance (growth, improving profitability, and solid cash flow) with manageable leverage. Technicals are mixed—near-term weakness but longer-term trend support—while valuation is pressured by a negative P/E and only modest dividend yield.
Positive Factors
Revenue & Net Margin Growth
Sustained revenue expansion together with improved net margins indicates stronger pricing power and cost control. Over the medium term this supports higher retained earnings, funds for reinvestment, and resilience to demand swings, strengthening the company’s competitive positioning.
Negative Factors
Rising Liabilities
Growing total liabilities can strain liquidity and narrow financial flexibility if earnings or cash flow weaken. Over a multi-month horizon higher liabilities raise rollover and interest exposure, potentially forcing cutbacks to capex or shareholder returns if not offset by cash generation.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & Net Margin Growth
Sustained revenue expansion together with improved net margins indicates stronger pricing power and cost control. Over the medium term this supports higher retained earnings, funds for reinvestment, and resilience to demand swings, strengthening the company’s competitive positioning.
Read all positive factors

CORREC CO., LTD. (6578) vs. iShares MSCI Japan ETF (EWJ)

CORREC CO., LTD. Business Overview & Revenue Model

Company Description
CORREC Co., Ltd., together with its subsidiaries, engages in the sales promotion, media, and application development and operation businesses in Japan. It operates through three segments: Sales Promotion Business, Media Business, and Application D...
How the Company Makes Money
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CORREC CO., LTD. Financial Statement Overview

Summary
Strong revenue and profit growth with improved net margins and solid cash generation (stable operating cash flow and growing free cash flow). Balance sheet leverage is manageable with a healthy equity ratio, but rising liabilities and only moderate EBIT/EBITDA margins temper the score.
Income Statement
85
Very Positive
Balance Sheet
78
Positive
Cash Flow
82
Very Positive
BreakdownTTMFeb 2025Feb 2024Feb 2023Feb 2022Feb 2021
Income Statement
Total Revenue7.28B6.47B3.94B4.12B4.82B4.05B
Gross Profit4.79B4.39B3.43B3.85B4.62B3.95B
EBITDA473.94M299.07M155.19M318.31M-125.70M-1.22B
Net Income172.71M19.94M88.79M201.76M-371.05M108.74M
Balance Sheet
Total Assets3.05B2.94B2.38B1.82B1.93B2.54B
Cash, Cash Equivalents and Short-Term Investments1.70B1.56B1.41B1.05B1.04B1.58B
Total Debt754.45M792.78M640.00M316.67M341.66M200.00M
Total Liabilities1.93B1.86B1.27B807.81M1.05B1.27B
Stockholders Equity1.11B1.08B1.10B1.01B876.70M1.27B
Cash Flow
Free Cash Flow0.00170.12M162.68M-41.42M-646.53M660.87M
Operating Cash Flow0.00174.61M175.05M-41.21M-644.53M703.78M
Investing Cash Flow0.00-131.46M-33.65M22.11M-63.13M-181.80M
Financing Cash Flow0.00105.84M323.95M-23.70M119.13M170.14M

CORREC CO., LTD. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price398.00
Price Trends
50DMA
439.80
Negative
100DMA
406.85
Positive
200DMA
353.99
Positive
Market Momentum
MACD
-4.54
Negative
RSI
52.97
Neutral
STOCH
91.17
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6578, the sentiment is Positive. The current price of 398 is below the 20-day moving average (MA) of 407.80, below the 50-day MA of 439.80, and above the 200-day MA of 353.99, indicating a neutral trend. The MACD of -4.54 indicates Negative momentum. The RSI at 52.97 is Neutral, neither overbought nor oversold. The STOCH value of 91.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6578.

CORREC CO., LTD. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥12.91B14.722.91%7.68%39.87%
72
Outperform
¥3.14B33.642.07%49.99%142.46%
72
Outperform
¥24.40B16.333.50%15.91%36.39%
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%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6578
CORREC CO., LTD.
427.00
69.37
19.40%
JP:4792
YAMADA Consulting Group Co., Ltd.
1,646.00
68.55
4.35%
JP:6035
IR Japan Holdings Ltd.
742.00
149.69
25.27%
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:9644
TANABE CONSULTING GROUP CO. LTD
723.00
158.43
28.06%
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: Feb 27, 2026