BIPROGY Inc. (8056) AI Stock Analysis

• Market Cap: ¥434.49B
• Dividend Yield: 2.17%
• Average Volume (3M): 277.82K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.44
• Revenue Growth: 10.42%
• EPS Growth: 28.75%
• Country: JP
• Employees: 8,218
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 71.32
• Shares Outstanding: 100,663,520
• 10 Day Avg. Volume: 382,550
• 30 Day Avg. Volume: 277,820
• PEG Ratio: 1.96
• Price to Book (P/B): 2.68
• Price to Sales (P/S): 1.12
• P/FCF Ratio: 10.84
• 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: ¥6,650.00
• Price Target Upside: 42.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 299.11
• Revenue Forecast (FY): ¥431.82B

• Rating: 67 Neutral
• Price Target: ¥5,082.00 ▲(9.15% Upside)
• Action: Reiterated Date: 02/06/26
• Date: Action: Reiterated 02/06/26

The score is supported primarily by solid financial performance and strong TTM free cash flow growth with improving margins, plus reasonable valuation. This is tempered by very weak technicals (below major moving averages, negative MACD, and oversold momentum), indicating elevated near-term price risk.

Positive Factors

Free cash flow generation

Consistent, large FCF and strong TTM FCF growth support durable financial flexibility. High FCF relative to net income (≈0.93x) indicates earnings quality and funds organic investment, dividends, and debt reduction without relying on capital markets.

Improving profitability margins

Sustained margin expansion and multi-year earnings improvement point to durable operational strength and pricing or efficiency advantages in IT services. Higher EBIT and net margins enhance cash generation and resilience versus peers in slower growth cycles.

Manageable leverage & strong ROE

Moderate leverage with a high ROE signals efficient capital use and a strengthened balance sheet. This mix preserves capacity for targeted M&A, reinvestment, or shareholder returns while limiting solvency risk under typical IT services cyclicality.

Negative Factors

Slowing top-line growth

A sharp deceleration to low single-digit revenue growth can constrain long-term scalability of margins and returns. For a services firm, sustained low revenue growth increases reliance on margin gains or higher-risk expansion to maintain earnings momentum.

Upward leverage trend

An increase in leverage versus recent years reduces financial flexibility and raises interest-rate sensitivity. If cash generation softens, the company has less buffer to absorb shocks or fund strategic investments without increasing financing costs or cutting returns.

Inconsistent cash conversion

Volatile cash conversion tied to project timing and working capital swings risks FCF sustainability in weaker quarters. Project-driven cash volatility can complicate capital planning and makes dividend, buyback, or M&A pacing less predictable over the medium term.

BIPROGY Inc. Business Overview & Revenue Model

Company Description

Biprogy Inc. provides information technology (IT) solutions in Japan. The company operates through five segments: System Services, Support Services, Outsourcing, Software, and Hardware. It offers contracted software development; technology support and ICT strategy consulting services; and support services, such as software and hardware maintenance, and installation support. The company also engages in the sale and rental of computer and network systems; and cloud computing and outsourcing businesses. In addition, it provides CRM/customer channel, business intelligence, SRM/electronic purchasing, SCM/logistics, energy management/environment, office communication, enterprise education, ERP/enterprise resource management, and regional revitalization solutions. Further, the company offers ICT infrastructure solutions and services; hardware, middleware, and related services; and business process restructuring, ICT visualization, construction, implementation, maintenance, operation, and training services. It provides solutions for various industries, including financial services, engineering, distribution, transportation, central and local governments, healthcare, leasing, telecommunications, media, education, and social insurance. The company was formerly known as Nihon Unisys, Ltd. and changed its name to Biprogy Inc. in April 2022. Biprogy Inc. was founded in 1947 and is headquartered in Tokyo, Japan.

How the Company Makes Money

BIPROGY generates revenue primarily through its IT services and solutions, which include system integration and software development projects for corporate clients. The company follows a project-based revenue model, where it charges clients for specific IT projects, including consulting and implementation of technology solutions. Additionally, BIPROGY earns recurring revenue from ongoing maintenance and support contracts, as well as subscription fees for software-as-a-service (SaaS) offerings. Significant partnerships with major technology vendors enhance their service capabilities and contribute to its earnings by enabling access to advanced technologies and tools necessary for service delivery.

BIPROGY Inc. Financial Statement Overview

Summary

Solid profitability (TTM gross margin ~26.7%, EBIT ~10.3%, net ~7.4%) with improving earnings over multiple years, and strong free cash flow (~¥59.8B TTM) growing ~20.1% with good earnings quality (~0.93x net income). Offsetting factors are modest recent revenue growth (~2.0% TTM) and a modest uptick in leverage (debt-to-equity ~0.35).

Income Statement

TTM (Trailing-Twelve-Months) revenue grew ~2.0% and profitability is solid for IT services, with gross margin ~26.7%, EBIT margin ~10.3%, and net margin ~7.4%. Earnings have trended up versus prior years (net margin improved from ~5.4% in FY2021 to ~6.7% in FY2025 and ~7.4% TTM). The main drawback is that recent top-line growth is modest versus the stronger growth rates seen in FY2022–FY2025, suggesting a slower growth phase despite continued margin resilience.

Balance Sheet

Leverage looks manageable with debt-to-equity at ~0.35 in TTM (higher than the last two fiscal years but still moderate), supported by a strong return on equity of ~18.7% TTM. Equity has expanded over time, indicating balance-sheet strengthening. The key watch-out is the upward move in leverage versus FY2024–FY2025 levels, which reduces flexibility if profitability or cash generation softens.

Cash Flow

Cash generation is a clear strength: TTM operating cash flow is ~¥64.1B and free cash flow is ~¥59.8B, with very strong free-cash-flow growth (~20.1% TTM). Free cash flow closely tracks earnings (free cash flow is ~0.93x net income TTM), indicating good earnings quality. A weakness is that cash conversion has been inconsistent across years (operating cash flow relative to sales was lower in prior fiscal years and the provided coverage metric remains below 1), though the TTM step-up is encouraging.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2021
Income Statement
Total Revenue	431.59B	404.01B	370.14B	339.90B	317.60B	309.69B
Gross Profit	115.08B	105.83B	97.17B	89.35B	83.14B	81.08B
EBITDA	62.42B	56.67B	52.03B	45.72B	44.89B	42.95B
Net Income	31.75B	26.97B	25.25B	20.20B	20.49B	16.64B
Balance Sheet
Total Assets	319.53B	330.88B	314.22B	280.40B	268.65B	231.98B
Cash, Cash Equivalents and Short-Term Investments	50.78B	64.80B	60.48B	44.23B	49.37B	46.88B
Total Debt	60.30B	42.60B	35.54B	38.00B	41.85B	21.33B
Total Liabilities	146.95B	159.57B	145.91B	138.80B	137.97B	95.09B
Stockholders Equity	170.46B	169.05B	166.42B	139.89B	128.92B	112.27B
Cash Flow
Free Cash Flow	59.83B	41.83B	28.92B	13.81B	20.37B	21.53B
Operating Cash Flow	64.06B	44.92B	41.69B	28.42B	29.43B	31.93B
Investing Cash Flow	-17.82B	-8.93B	-8.55B	-15.54B	-10.96B	-11.21B
Financing Cash Flow	-31.30B	-30.61B	-17.62B	-18.04B	-16.12B	-8.18B

BIPROGY Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4656.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8056, the sentiment is Neutral. The current price of 4656 is below the 20-day moving average (MA) of 4734.90, below the 50-day MA of 5128.46, and below the 200-day MA of 5745.15, indicating a neutral trend. The MACD of -155.66 indicates Negative momentum. The RSI at 45.71 is Neutral, neither overbought nor oversold. The STOCH value of 66.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8056.

BIPROGY Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3636	77 Outperform	¥79.63B	9.87	―	3.28%	5.28%	28.90%
2317	76 Outperform	¥160.18B	14.15	―	2.30%	13.82%	37.07%
3923	74 Outperform	¥314.79B	26.25	―	0.22%	25.00%	62.07%
4674	72 Outperform	¥61.56B	12.43	14.67%	2.91%	10.02%	16.48%
8056	67 Neutral	¥434.49B	14.62	―	2.17%	10.42%	28.75%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
2327	57 Neutral	¥735.63B	26.49	10.07%	1.76%	11.66%	-0.21%

BIPROGY Inc. Corporate Events

BIPROGY Sets Up AI CoE and Refreshes Leadership to Advance 2026 Plan

The company will establish an AI Center of Excellence and reorganize multiple business units effective April 1, 2026, to sharpen AI governance, speed manufacturing and financial services execution, and align support divisions with governance, HR, and process reforms ahead of its next internal system launch. BIPROGY also refreshed its corporate officer lineup, elevating Yasuhiro Imai and Yoshiko Yamauchi while retiring three senior officers, steps meant to keep its 2024-2026 management plan on track toward 1 trillion yen in corporate value by reinforcing leadership around AI-enabled business creation and operational resilience.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen6000.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Delivers Double-Digit Profit Growth on Strong Software and Hardware Sales in 3Q FY2026

BIPROGY Inc. reported solid growth for the third quarter of the fiscal year ending March 31, 2026, with revenue rising 9.9% year on year to ¥306.8 billion and operating profit increasing 20.6% to ¥30.3 billion, as profit attributable to owners of the parent climbed 27.4% to ¥22.2 billion and comprehensive income jumped 38.2%. Performance was underpinned by strong expansion in both software and hardware sales, particularly open-systems products, with total product sales up 18.5%, while adjusted operating profit improved 27.0%, indicating efficiency gains and robust demand that strengthen the company’s earnings base and competitive position in its core IT solutions markets.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen6000.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Lifts Q3 Profits, Holds FY2026 Guidance and Dividends

BIPROGY’s third-quarter FY2026 results showed revenue of ¥306.8 billion and operating profit of ¥30.3 billion, up 9.9% and 20.6% year on year, respectively, while adjusted operating profit climbed 27% to ¥30.8 billion, supported by the consolidation of a sustainability-focused investment fund and stronger service margins. Management kept full-year forecasts and dividend plans unchanged at ¥120 per share despite the earnings upgrade already announced in November, signaling confidence in meeting FY2026 targets and maintaining stable shareholder returns.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen6000.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Completes ¥10 Billion Share Buyback and Sets March 2026 Share Cancellation

BIPROGY Inc. has completed a share repurchase program authorized by its board in March 2025, acquiring a total of 1,703,900 shares of common stock for approximately 9.99 billion yen via market purchases on the Tokyo Stock Exchange between May 1, 2025, and January 8, 2026. The company will cancel all of these repurchased shares on March 25, 2026, reducing its total shares outstanding to 98,959,624, a move that tightens its capital base and is likely to enhance capital efficiency and shareholder value by decreasing share supply and potentially boosting earnings per share.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen5921.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Nears Completion of ¥10 Billion Share Buyback Program

BIPROGY Inc. has reported the status of its ongoing share buyback program, conducted under the authorization of its articles of incorporation and the Companies Act of Japan. Between December 1 and December 31, 2025, the company repurchased 292,800 shares of its common stock on the Tokyo Stock Exchange for a total of ¥1,621,658,200, as part of a broader capital allocation policy aimed at enhancing shareholder value.
Under the board resolution passed on March 27, 2025, BIPROGY is authorized to buy back up to 2.5 million shares, or 2.5% of its outstanding shares excluding treasury stock, with a maximum budget of ¥10 billion between May 1, 2025, and February 27, 2026. As of December 31, 2025, the company has cumulatively repurchased 1,644,000 shares for ¥9,674,013,800, indicating the program is close to its authorized monetary limit and signaling a strong commitment to shareholder returns and capital efficiency.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen5921.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Inc. Launches Strategic Fund to Drive Innovation and Growth

BIPROGY Inc. announced the establishment of BCF1 Limited Partnership, a strategic fund aimed at fostering collaboration with startups and creating new business opportunities. With a maximum investment of 5 billion yen, the fund aligns with the company’s long-term goals under its ‘Vision 2030,’ advancing its position in the technology sector by embracing innovation and supporting sustainable growth.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen5921.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Inc. Announces Absorption Merger with Subsidiary for Operational Streamlining

BIPROGY Inc. has announced the absorption-type merger of its wholly owned subsidiary, Emellience Partners Inc., effective April 1, 2026. This merger aligns with the company’s management policies to streamline and expand its operations through strategic investments, leveraging Emellience Partners’ intellectual assets and capabilities. As part of the merger process, BIPROGY will waive 1.5 billion yen of Emellience Partners’ debt to eliminate its insolvency, a move aimed at optimizing growth and operational efficiency.

The most recent analyst rating on (JP:8056) stock is a Hold with a Yen5921.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.

BIPROGY Inc. Acquires Yosemite 1 K.K. to Boost Retail Media Market Presence

BIPROGY Inc. has announced its decision to acquire all shares of Yosemite 1 K.K., making it a subsidiary, to enhance its presence in the retail media market. This acquisition is expected to accelerate BIPROGY’s consumer and purchase-oriented solutions, leveraging CMJ’s extensive retail media network and BIPROGY’s technological assets to develop new services and expand globally, particularly in Asia.

The most recent analyst rating on (JP:8056) stock is a Buy with a Yen7300.00 price target. To see the full list of analyst forecasts on BIPROGY Inc. stock, see the JP:8056 Stock Forecast page.