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Zuken Inc. (JP:6947)
:6947
Japanese Market

Zuken Inc. (6947) AI Stock Analysis

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JP:6947

Zuken Inc.

(6947)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
¥4,829.00
▼(-6.60% Downside)
Action:ReiteratedDate:10/01/25
Zuken Inc. scores well due to its strong financial performance, characterized by consistent growth and robust cash flow. However, technical indicators suggest a bearish trend, which slightly offsets the positive financial outlook. The valuation is reasonable, with a fair P/E ratio and a modest dividend yield, making it a balanced investment option.
Positive Factors
Low leverage / strong balance sheet
A low debt load and robust equity base give Zuken durable financial flexibility: supports continued R&D and product investment, cushions downturns, and enables opportunistic M&A or share actions without stressing cash flow, sustaining strategic optionality over months.
Negative Factors
Modest revenue growth rate
Revenue growth around mid-single digits suggests limited top-line expansion versus faster-growing software peers. Structurally modest growth can constrain long-term improvement in scale economies and may require heavier reinvestment or M&A to materially accelerate expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage / strong balance sheet
A low debt load and robust equity base give Zuken durable financial flexibility: supports continued R&D and product investment, cushions downturns, and enables opportunistic M&A or share actions without stressing cash flow, sustaining strategic optionality over months.
Read all positive factors

Zuken Inc. (6947) vs. iShares MSCI Japan ETF (EWJ)

Zuken Inc. Business Overview & Revenue Model

Company Description
Zuken Inc., a software company, provides advanced design solutions for the creation and management of printed circuit board (PCB) designs, electrical and fluid systems, and 3D cabinet and wire harness layouts. The company offers CR-8000, a product...
How the Company Makes Money
Zuken primarily makes money by selling EDA software products and associated services to corporate customers engaged in electrical/electronic product development. Key revenue streams typically include: (1) Software licenses or subscriptions for its...

Zuken Inc. Financial Statement Overview

Summary
Zuken Inc. exhibits strong financial health with consistent revenue and profit growth, robust margins, and a solid balance sheet with minimal leverage. The company's cash flow generation is impressive, supporting its growth trajectory and financial stability.
Income Statement
85
Very Positive
Balance Sheet
78
Positive
Cash Flow
82
Very Positive
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue40.84B40.74B38.47B35.07B31.50B28.82B
Gross Profit27.91B27.19B26.14B23.94B21.79B20.04B
EBITDA6.81B8.32B6.43B5.43B7.02B3.93B
Net Income5.22B5.23B3.87B3.20B3.00B2.14B
Balance Sheet
Total Assets62.46B63.27B63.88B62.50B59.11B57.17B
Cash, Cash Equivalents and Short-Term Investments35.66B34.92B35.15B35.21B33.89B28.39B
Total Debt247.90M115.78M98.50M112.35M71.73M61.66M
Total Liabilities23.22B23.33B22.86B21.14B20.49B18.33B
Stockholders Equity39.25B39.95B40.45B40.88B38.24B38.51B
Cash Flow
Free Cash Flow0.004.58B4.22B2.02B530.04M2.05B
Operating Cash Flow0.004.86B4.88B2.88B1.25B2.66B
Investing Cash Flow0.001.08B-1.64B-747.37M4.70B-1.17B
Financing Cash Flow0.00-5.96B-5.22B-1.02B-765.90M-749.84M

Zuken Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5170.00
Price Trends
50DMA
4444.02
Positive
100DMA
4553.34
Negative
200DMA
4772.08
Negative
Market Momentum
MACD
25.06
Negative
RSI
52.39
Neutral
STOCH
79.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6947, the sentiment is Positive. The current price of 5170 is above the 20-day moving average (MA) of 4382.85, above the 50-day MA of 4444.02, and above the 200-day MA of 4772.08, indicating a neutral trend. The MACD of 25.06 indicates Negative momentum. The RSI at 52.39 is Neutral, neither overbought nor oversold. The STOCH value of 79.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6947.

Zuken Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥69.78B12.3813.96%2.16%10.89%-4.99%
78
Outperform
¥48.79B12.848.02%2.73%8.26%9.09%
77
Outperform
¥74.86B21.0831.71%1.68%16.12%46.57%
72
Outperform
¥99.38B18.712.03%3.64%51.48%
72
Outperform
¥50.64B23.841.50%13.48%35.63%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
47
Neutral
¥4.49B-18.61-40.57%83.14%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6947
Zuken Inc.
4,470.00
130.98
3.02%
JP:9790
Fukui Computer Holdings
3,375.00
199.37
6.28%
JP:4828
Business Engineering Corporation
1,248.00
548.76
78.48%
JP:4719
Alpha Systems Inc.
3,475.00
383.99
12.42%
JP:4323
Japan System Techniques Co., Ltd.
2,043.00
328.54
19.16%
JP:7527
SystemSoft Corporation
53.00
-12.00
-18.46%

Zuken Inc. Corporate Events

Zuken Posts Strong Nine-Month Profit Growth, Lifts Payout With Commemorative Dividend
Feb 9, 2026
Zuken Inc. reported steady growth for the nine months ended December 31, 2025, with net sales rising 5.3% year on year to ¥30.2 billion and profit attributable to owners of parent climbing 32.7% to ¥3.48 billion, reflecting improved prof...
Zuken Completes ¥3 Billion Share Buyback Program
Jan 29, 2026
Zuken Inc. has completed a share repurchase program authorized by its board on May 12, 2025, reaching the maximum monetary limit set under the resolution. Between January 1 and January 27, 2026, the company bought back 65,000 shares of its common ...
Zuken Advances Share Buyback Program, Repurchasing 525,500 Shares by Year-End 2025
Jan 6, 2026
Zuken Inc. has disclosed the status of its ongoing share repurchase program, confirming that it bought back 69,400 shares of its common stock on the Tokyo Stock Exchange between December 1 and December 31, 2025, for a total of ¥325.7 million....
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: Oct 01, 2025