COPRO-HOLDINGS Co., Ltd. (7059) AI Stock Analysis

• Market Cap: ¥36.74B
• Dividend Yield: 3.63%
• Average Volume (3M): 156.12K
• Price to Earnings (P/E): 15.9
• Beta (1Y): 0.82
• Revenue Growth: 20.52%
• EPS Growth: 11.81%
• Country: JP
• Employees: 4,189
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 15.75
• Shares Outstanding: 40,000,000
• 10 Day Avg. Volume: 110,940
• 30 Day Avg. Volume: 156,123
• PEG Ratio: 0.74
• Price to Book (P/B): 3.69
• Price to Sales (P/S): 1.03
• P/FCF Ratio: 14.96
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ¥1,047.00 ▲(3.97% Upside)
• Action: Reiterated Date: 01/17/26
• Date: Action: Reiterated 01/17/26

The score is driven primarily by strong financial performance—especially the very low balance-sheet risk and solid returns—partly offset by margin compression and inconsistent operating cash conversion. Technicals are supportive but show overbought conditions, while valuation is reasonable with a moderate P/E and a solid dividend yield.

Positive Factors

Conservative balance sheet / low financial risk

COPRO-HOLDINGS’ virtually zero debt position materially lowers financial and interest-rate risk, preserving flexibility through cycles. Combined with reported strong ROE (~18%–22%), the capital structure supports durable stability and efficient equity returns without reliance on external financing.

Meaningful revenue scale-up

Sustained revenue growth—more than doubling since 2020—reflects durable demand for engineering staffing and strengthens client relationships and market position. Larger scale supports operational efficiencies, richer client data, and a broader service offering that underpin medium-term competitive resilience.

Improved free cash flow and earnings quality

A sharp improvement in free cash flow and FCF near parity with net income in 2025 indicates rising cash conversion at the headline level. This durable cash generation enhances capital-allocation flexibility for reinvestment, workforce training, or strategic initiatives without frequent external funding.

Negative Factors

Margin compression over time

Downward trends in gross and operating margins suggest rising cost intensity or pricing pressure in the staffing model. Persistent compression can erode competitive advantages, limit reinvestment and training budgets, and reduce the firm’s ability to absorb wage inflation without sacrificing returns.

Uneven operating cash conversion

Operating cash flow volatility and persistently sub‑1.0 conversion vs. net income point to working-capital swings inherent in staffing. This raises liquidity and funding risk during slowdowns and can constrain consistent reinvestment or make short-term financing necessary despite positive accounting earnings.

Limited use of leverage may cap upside

While conservative leverage reduces downside risk, near-zero debt also limits return amplification and reduces optionality for financing faster expansion or bolt-on M&A. In growth opportunities where peers use modest leverage efficiently, COPRO may underutilize capital to accelerate scale.

COPRO-HOLDINGS Co., Ltd. Business Overview & Revenue Model

Company Description

COPRO-HOLDINGS. Co., Ltd., operates as a temporary staffing agency in Japan. It provides temporary staff, including construction and plant engineers, as well as training services. The company was incorporated in 2006 and is headquartered in Nagoya, Japan.

How the Company Makes Money

The company primarily makes money by supplying engineers and other technical personnel to client companies under staffing/dispatch arrangements and related employment-placement services. Under dispatch contracts, COPRO-HOLDINGS’ subsidiaries employ the engineers (or hire and train them), then bill client companies a fee based on the contracted unit price and working time/assignment terms; gross profit is generally the spread between (a) what the client pays for the dispatched engineer and (b) the company’s labor costs (wages, social insurance), recruiting costs, and training/administrative overhead. In addition to dispatch, the company earns revenue from recruitment/placement-type services where it introduces candidates to client companies and receives placement fees (typically recognized when hiring is completed under the contract terms). Other monetization can include ancillary HR/engineering support services provided alongside assignments (e.g., training or related services) when offered under client contracts. Specific breakdowns of revenue by segment/service line, major customers, and any named strategic partnerships are null.

COPRO-HOLDINGS Co., Ltd. Financial Statement Overview

Summary

Overall financial quality is above average: strong revenue scale-up and healthy profitability, an exceptionally conservative balance sheet with essentially no debt and strong ROE. Offsetting factors are gradual margin compression over time and uneven cash conversion (operating cash flow often below net income) despite improved and positive free cash flow.

Income Statement

Revenue has scaled meaningfully over the period (from ~13.1B in 2020 to ~30.0B in 2025), with solid growth in 2023–2025, including 2025 at ~4.8%. Profitability is healthy for the sector with 2025 operating profitability around ~9.3% and net profitability ~6.1%. The key offset is margin compression over time—gross and operating profitability have trended down versus 2020 highs—suggesting higher cost intensity or pricing pressure as the business expands.

Balance Sheet

The balance sheet is conservatively positioned with essentially no debt in recent years (debt-to-equity at 0.0 in 2022–2025), which materially reduces financial risk and interest-rate sensitivity. Equity and total assets have grown steadily alongside the business, and returns on equity are strong (roughly ~18%–22% recently), indicating good efficiency in generating profit from shareholder capital. A minor limitation is that the absence of leverage can cap upside in strong cycles, but overall balance-sheet risk looks low.

Cash Flow

Free cash flow is positive and improved sharply in 2025 (to ~2.07B), and free cash flow is fairly close to net income in 2025 (about ~0.93x), which supports earnings quality. However, operating cash flow has been more volatile and has not consistently matched accounting earnings (operating cash flow relative to net income is ~0.50x in 2025 and generally below 1.0 across the period), pointing to working-capital swings typical in staffing and creating some cash conversion risk despite strong headline free cash flow.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	31.44B	30.02B	24.10B	18.79B	15.59B	14.84B
Gross Profit	8.74B	8.31B	6.77B	5.58B	4.84B	4.30B
EBITDA	3.44B	3.25B	2.51B	1.57B	1.74B	1.53B
Net Income	1.94B	1.82B	1.46B	864.60M	962.95M	1.01B
Balance Sheet
Total Assets	12.26B	13.06B	12.15B	10.00B	8.84B	8.51B
Cash, Cash Equivalents and Short-Term Investments	5.16B	6.19B	5.95B	4.41B	4.06B	5.32B
Total Debt	0.00	0.00	0.00	0.00	0.00	89.02M
Total Liabilities	4.19B	4.66B	4.04B	2.88B	2.27B	2.24B
Stockholders Equity	8.07B	8.40B	8.12B	7.11B	6.58B	6.27B
Cash Flow
Free Cash Flow	150.70M	2.07B	1.91B	722.70M	519.35M	760.91M
Operating Cash Flow	168.66M	2.23B	2.33B	1.01B	824.77M	988.65M
Investing Cash Flow	-94.39M	-350.96M	-321.75M	-291.90M	-1.26B	-83.19M
Financing Cash Flow	-650.68M	-1.64B	-464.81M	-372.19M	-825.03M	-417.06M

COPRO-HOLDINGS Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1007.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7059, the sentiment is Negative. The current price of 1007 is above the 20-day moving average (MA) of 986.00, below the 50-day MA of 1033.86, and below the 200-day MA of 1039.06, indicating a bearish trend. The MACD of -26.65 indicates Positive momentum. The RSI at 42.02 is Neutral, neither overbought nor oversold. The STOCH value of 45.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7059.

COPRO-HOLDINGS Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3991	78 Outperform	¥10.51B	13.11	―	1.72%	3.95%	4.50%
7059	75 Outperform	¥36.74B	15.87	―	3.63%	20.52%	11.81%
6089	70 Outperform	¥28.41B	8.25	―	3.86%	1.18%	-5.05%
4433	64 Neutral	¥16.38B	65.84	―	3.66%	8.62%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4848	56 Neutral	¥57.56B	12.19	―	3.66%	3.47%	-0.05%
3900	51 Neutral	¥10.41B	426.22	―	2.24%	32.39%	-127.51%

COPRO-HOLDINGS Co., Ltd. Corporate Events

COPRO-HOLDINGS Posts Higher Engineer Headcount but Mixed Utilization in January

COPRO-HOLDINGS reported that as of the end of January 2026 it employed 5,406 technical staff across the group, up 677 year-on-year, with 5,006 in active assignments and a utilization rate of 92.6%, slightly below the prior year but broadly stable month-on-month. The core construction technician dispatching unit continued to drive scale with solid year-on-year growth in engineers and active placements despite a modest utilization dip, while the mechanical, electrical and semiconductor engineer segment expanded headcount strongly and the smaller IT engineer business saw declining numbers and softer utilization, underscoring a mixed demand environment across its specialist domains.

The most recent analyst rating on (JP:7059) stock is a Buy with a Yen1261.00 price target. To see the full list of analyst forecasts on COPRO-HOLDINGS Co., Ltd. stock, see the JP:7059 Stock Forecast page.

COPRO-HOLDINGS Outlines 3Q FYE2026 Results and No.1 Growth Strategy

COPRO-HOLDINGS Co., Ltd. released an outline of its financial results for the third quarter of the fiscal year ending March 2026, highlighting KPI analysis by business segment and the performance of its core construction technician dispatching business. The company also presented its strategy to secure an overwhelming No.1 position in the industry, along with earnings and dividend forecasts for the full fiscal year, underscoring its focus on growth and shareholder returns.

While detailed figures were not disclosed in the overview, the structured release indicates management is emphasizing transparency on segment performance and long-term competitive positioning. The inclusion of historical data and a company profile suggests an effort to give investors broader context on its operational track record, market role, and the sustainability of its business model in the construction staffing market.

The most recent analyst rating on (JP:7059) stock is a Buy with a Yen1261.00 price target. To see the full list of analyst forecasts on COPRO-HOLDINGS Co., Ltd. stock, see the JP:7059 Stock Forecast page.

COPRO-HOLDINGS to Voluntarily Adopt IFRS and Phase Out Japanese GAAP

COPRO-HOLDINGS Co., Ltd. will voluntarily switch from Japanese GAAP to International Financial Reporting Standards (IFRS) for its consolidated financial statements beginning with the annual securities report for the fiscal year ending March 2027, as part of a phased transition that will be completed by the fiscal year ending March 2028. The company expects the adoption of IFRS to enhance corporate value by improving the rigor of M&A-related goodwill and intangible asset assessments, increasing comparability for market participants, and boosting reported profits because goodwill will no longer be amortized, reducing expenses and potentially affecting how investors and other stakeholders evaluate its performance and acquisition strategy.

The most recent analyst rating on (JP:7059) stock is a Buy with a Yen1151.00 price target. To see the full list of analyst forecasts on COPRO-HOLDINGS Co., Ltd. stock, see the JP:7059 Stock Forecast page.

COPRO-HOLDINGS to Acquire TRYT Inc. and Expand Construction Technician Dispatch Business

COPRO-HOLDINGS has resolved to acquire all shares of TRYT Inc., which owns construction-focused staffing firm TRYT Engineering Inc., making TRYT a wholly owned subsidiary and turning both TRYT and TRYT Engineering into specified subsidiaries due to their capital size. By folding TRYT Engineering’s nationwide client base and digital recruitment strength—particularly its “Sekoukanri Job” site for experienced construction managers—into COPRO-HOLDINGS’ existing low-cost recruitment and retention-focused platform, the group aims to expand its footprint, secure a broader and higher-quality pool of dispatched technicians, and reinforce its ambition to become the dominant player in Japan’s construction technician dispatch market; the transaction will be structured through an absorption-type split that carves out non-construction dispatch businesses from TRYT before COPRO-HOLDINGS purchases all TRYT shares, with COPRO CEO Kosuke Kiyokawa slated to also lead TRYT Engineering afterward.

The most recent analyst rating on (JP:7059) stock is a Buy with a Yen1151.00 price target. To see the full list of analyst forecasts on COPRO-HOLDINGS Co., Ltd. stock, see the JP:7059 Stock Forecast page.

COPRO-HOLDINGS to Divest IT SES Business to Japaniace for ¥730 Million

COPRO-HOLDINGS has announced that its consolidated subsidiary COPRO TECHNOLOGY will transfer its System Engineering Service (SES) business, including the Bscareer IT recruitment website and IT engineer dispatch and quasi-mandate services, to Japaniace Co., Ltd. via an absorption-type company split effective March 27, 2026, for monetary consideration of ¥730 million. The move is part of a medium- to long-term restructuring strategy to concentrate management resources on COPRO’s core businesses in construction and engineering staffing amid a shrinking labor force, intensifying competition for IT engineers, and a divergence between the SES business and the group’s strategic focus, with Japaniace assuming related assets, liabilities, and contracts while COPRO aims to build a more robust and sustainable corporate structure.

The most recent analyst rating on (JP:7059) stock is a Buy with a Yen1151.00 price target. To see the full list of analyst forecasts on COPRO-HOLDINGS Co., Ltd. stock, see the JP:7059 Stock Forecast page.

COPRO-HOLDINGS Posts Higher Technical Headcount and Stable Utilization in December 2025

COPRO-HOLDINGS reported monthly figures for December 2025 showing that its group-wide pool of technical employees increased year-on-year to 5,422, with 5,026 in operation and a utilization rate of 92.7%, reflecting strong demand but a modest decline in utilization compared with the previous year. The core construction technician dispatching business continued to dominate scale with 4,904 engineers and a 92.4% utilization rate, slightly below year-ago efficiency, while the mechanical, electrical and semiconductor engineer segment expanded headcount and improved utilization to 95.1%, and the smaller IT engineer unit maintained very high utilization above 97% despite a year-on-year decline in staff numbers. Overall, the data indicate steady expansion of COPRO-HOLDINGS’ technical workforce and resilient operational deployment, with some pressure on utilization in construction offset by improving efficiency and growth in higher-value technology-related dispatch services, factors that are key for revenue generation and margin trends in its staffing model.

The most recent analyst rating on (JP:7059) stock is a Buy with a Yen1151.00 price target. To see the full list of analyst forecasts on COPRO-HOLDINGS Co., Ltd. stock, see the JP:7059 Stock Forecast page.

COPRO-HOLDINGS Reports Stable Growth in Technical Staffing for November 2025

COPRO-HOLDINGS Co., Ltd. reported its monthly disclosure for November 2025, highlighting a slight increase in the number of technical employees and those in operation, with a marginal improvement in the overall utilization rate. The data suggests stable growth in their staffing operations, particularly in the mechanical and electrical engineering sector, which saw a notable increase in utilization rate, indicating efficient deployment of resources.