JAIC Co., Ltd. (7073) AI Stock Analysis

• Market Cap: ¥2.12B
• Dividend Yield: 1.93%
• Average Volume (3M): 1.65K
• Price to Earnings (P/E): 20.7
• Beta (1Y): 0.10
• Revenue Growth: 14.99%
• EPS Growth: N/A
• Country: JP
• Employees: 287
• Sector: Consumer Defensive
• Sector Strength: 44
• Industry: Education & Training Services
• EPS (TTM): -93.92
• Shares Outstanding: 933,500
• 10 Day Avg. Volume: 890
• 30 Day Avg. Volume: 1,653
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,544.00
• Price Target Upside: 8.95% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: ¥2,544.00 ▲(8.95% Upside)

JAIC Co., Ltd. receives a solid overall score driven by strong financial performance and reasonable valuation. The company's robust revenue growth and cash flow management are significant strengths. However, technical analysis indicates some short-term volatility, and the absence of earnings call data and corporate events limits further insights.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates a strong market position and effective business strategies, supporting long-term sustainability.

Cash Flow Management

Strong cash flow management enhances operational flexibility and supports strategic investments, crucial for sustaining growth and competitiveness.

Profitability Margins

Improved profitability margins reflect efficient cost management and pricing strategies, contributing to the company's financial health and resilience.

Negative Factors

Leverage Risk

While leverage is managed, a high debt-to-equity ratio could limit financial flexibility and increase risk, impacting long-term stability if not carefully monitored.

Operational Inefficiencies

Operational inefficiencies may hinder profitability and growth potential, necessitating strategic improvements to enhance efficiency and competitiveness.

High Liabilities

High liabilities relative to assets can strain financial resources, potentially impacting the company's ability to invest in growth opportunities and manage economic downturns.

JAIC Co., Ltd. Business Overview & Revenue Model

Company Description

JAIC Co., Ltd. (7073) is a Japanese company that operates primarily in the human resources sector. The company specializes in providing recruitment services, focusing on helping new graduates find employment opportunities. JAIC Co., Ltd. also offers job search support and career development services to both individuals and corporations.

How the Company Makes Money

JAIC Co., Ltd. makes money through its recruitment services by charging fees to companies that hire employees through their platform. These fees can be based on successful placements or long-term contracts for recruitment services. Additionally, the company may generate revenue from offering career development workshops, training programs, and other value-added services aimed at enhancing employability for job seekers. Collaborations with educational institutions and businesses for specialized recruitment drives or training programs could also contribute to their revenue.

JAIC Co., Ltd. Financial Statement Overview

Summary

JAIC Co., Ltd. demonstrates strong financial health with solid revenue growth of 14% and improved net profit margins. Cash flow management is robust, with a substantial increase in free cash flow by 305.4%. However, potential operational inefficiencies and leverage risks due to a high debt-to-equity ratio slightly temper the score.

Income Statement

JAIC Co., Ltd. has demonstrated strong revenue growth, with a 14.0% increase from 2024 to 2025. The gross profit margin remains robust at 86.1%, and the net profit margin improved significantly to 3.3% from 0.2% the previous year. However, EBIT and EBITDA margins, though improved, indicate potential operational inefficiencies that could be addressed.

Balance Sheet

The company's debt-to-equity ratio of 1.08 and equity ratio of 34.4% suggest a balanced but slightly leveraged position. Return on equity (ROE) improved to 14.1%, indicating better utilization of shareholder funds. However, the high level of total liabilities compared to assets could pose a risk if not managed carefully.

Cash Flow

JAIC Co., Ltd. shows strong cash flow management with a substantial increase in free cash flow, growing by 305.4% from 2024 to 2025. The operating cash flow to net income ratio of 3.0 indicates efficient conversion of income into cash. However, a significant portion of cash is used in financing activities, which should be monitored.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.19B	3.68B	3.21B	2.59B	2.24B
Gross Profit	3.61B	3.31B	3.00B	2.43B	2.10B
EBITDA	387.81M	223.05M	333.10M	196.14M	-180.17M
Net Income	137.78M	5.94M	140.51M	90.64M	-221.83M
Balance Sheet
Total Assets	2.83B	2.44B	2.91B	2.12B	2.26B
Cash, Cash Equivalents and Short-Term Investments	1.40B	1.09B	1.24B	1.26B	1.15B
Total Debt	1.05B	921.79M	1.30B	804.38M	1.15B
Total Liabilities	1.87B	1.56B	1.98B	1.29B	1.50B
Stockholders Equity	973.42M	882.90M	933.91M	835.65M	763.11M
Cash Flow
Free Cash Flow	391.00M	96.48M	-42.37M	297.53M	-504.82M
Operating Cash Flow	417.33M	138.84M	90.82M	369.00M	-404.30M
Investing Cash Flow	-226.42M	135.78M	-499.62M	100.10M	-155.86M
Financing Cash Flow	119.90M	-416.56M	384.06M	-342.08M	543.32M

JAIC Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2335.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7073, the sentiment is Neutral. The current price of 2335 is above the 20-day moving average (MA) of 2307.50, below the 50-day MA of 2369.20, and above the 200-day MA of 2209.06, indicating a neutral trend. The MACD of -6.28 indicates Negative momentum. The RSI at 47.28 is Neutral, neither overbought nor oversold. The STOCH value of 57.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7073.

JAIC Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9256	76 Outperform	¥3.01B	11.20		1.90%	9.30%	16.97%
7073	71 Outperform	¥2.12B	20.67		1.93%	14.99%	―
4678	64 Neutral	¥1.99B	7.56		3.38%	2.62%	―
3998	63 Neutral	¥2.87B	23.79		―	-6.87%	-26.72%
4668	63 Neutral	¥18.61B	16.06		3.50%	10.85%	123.10%
Sector *	62 Neutral	$20.32B	14.51	-3.18%	3.18%	1.92%	-6.57%
4720	44 Neutral	¥2.00B	―		2.30%	-2.46%	-102.48%