Axis Consulting Corporation (9344) AI Stock Analysis

• Market Cap: ¥3.97B
• Dividend Yield: 4.45%
• Average Volume (3M): 6.72K
• Price to Earnings (P/E): 8.9
• Beta (1Y): 0.78
• Revenue Growth: 18.47%
• EPS Growth: 12.18%
• Country: JP
• Employees: 117
• Sector: Industrials
• Sector Strength: 84
• Industry: Staffing & Employment Services
• EPS (TTM): 10.47
• Shares Outstanding: 5,049,150
• 10 Day Avg. Volume: 3,660
• 30 Day Avg. Volume: 6,720
• 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: ¥892.00
• Price Target Upside: 13.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 82 Outperform
• Price Target: ¥892.00 ▲(13.34% Upside)

Axis Consulting Corporation's strong financial performance and attractive valuation are the primary drivers of its high score. The stock's technical indicators also support a positive outlook, though there is no additional influence from earnings calls or corporate events.

Axis Consulting Corporation Business Overview & Revenue Model

Company Description

Axis Consulting Corporation (9344) is a leading provider of strategic consulting services, focusing primarily on sectors such as technology, healthcare, and financial services. The company specializes in delivering tailored solutions that encompass business strategy development, operational efficiency, and digital transformation. With a team of experienced consultants, Axis Consulting helps organizations optimize their performance and navigate complex market challenges through innovative approaches and industry best practices.

How the Company Makes Money

Axis Consulting Corporation generates revenue through a combination of consulting fees, project-based engagements, and long-term retainer agreements with clients. The company charges clients for its consulting services on an hourly basis or through fixed project fees, depending on the nature and scope of the engagement. Key revenue streams include management consulting, IT advisory services, and specialized consulting for specific industries such as healthcare and finance. Additionally, Axis Consulting has established significant partnerships with technology firms and software providers, allowing them to offer integrated solutions that enhance their service offerings and create additional revenue opportunities. These collaborations not only enhance their market presence but also contribute to client retention and growth, further bolstering the company's earnings.

Axis Consulting Corporation Financial Statement Overview

Summary

Axis Consulting Corporation exhibits strong financial health with consistent revenue growth, robust profitability, and solid balance sheet stability. The company maintains minimal leverage, reflecting a conservative financial strategy. While cash reserves are high, suggesting potential underinvestment, the overall financial position is sound with effective cash flow management.

Income Statement

Axis Consulting Corporation demonstrates strong income statement performance with a consistent increase in total revenue, showcasing a CAGR of approximately 27.5% over the past three years. The gross profit margin remains robust at around 66.4%, with a slight improvement over previous years. The net profit margin improved to approximately 10.8%, indicating healthy profitability. EBIT and EBITDA margins of 17.9% and 18.2%, respectively, suggest efficient operational management. However, maintaining these margins amidst industry fluctuations remains a challenge.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio of 0.02, reflecting minimal leverage and prudent financial management. A high equity ratio of 77.0% indicates financial stability with significant reliance on equity funding. The return on equity is strong at 15.9%, showing effective use of shareholders' equity to generate profit. However, the company's high cash reserves relative to its total assets suggest potential underutilization of resources.

Cash Flow

Cash flow analysis shows robust free cash flow growth, with a free cash flow increase of 12.2% from the previous year, demonstrating effective cash management. The operating cash flow to net income ratio of 0.89 indicates good conversion of net income into cash. The free cash flow to net income ratio of 0.47 suggests a healthy cash generation capacity relative to net income. The positive trajectory in cash flow metrics highlights effective financial operations, though capital expenditure management could be optimized.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	4.67B	4.34B	3.51B	2.20B
Gross Profit	3.10B	2.88B	2.24B	1.54B
EBITDA	867.00M	665.29M	516.33M	330.72M
Net Income	502.67M	418.80M	324.96M	239.11M
Balance Sheet
Total Assets	4.11B	3.50B	2.10B	1.49B
Cash, Cash Equivalents and Short-Term Investments	3.02B	2.90B	1.49B	1.03B
Total Debt	75.41M	161.18M	329.95M	495.16M
Total Liabilities	944.42M	843.33M	1.24B	948.47M
Stockholders Equity	3.17B	2.65B	862.68M	537.71M
Cash Flow
Free Cash Flow	236.41M	210.69M	624.32M	188.05M
Operating Cash Flow	446.85M	221.84M	657.38M	214.60M
Investing Cash Flow	-245.32M	-11.50M	-33.35M	16.25M
Financing Cash Flow	-77.11M	1.20B	-166.18M	-155.50M

Axis Consulting Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 787.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9344, the sentiment is Positive. The current price of 787 is above the 20-day moving average (MA) of 764.05, above the 50-day MA of 738.66, and below the 200-day MA of 824.71, indicating a neutral trend. The MACD of 12.08 indicates Negative momentum. The RSI at 63.99 is Neutral, neither overbought nor oversold. The STOCH value of 89.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9344.

Axis Consulting Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9344	82 Outperform	¥3.97B	8.93		4.45%	18.47%	12.18%
7361	79 Outperform	¥3.79B	9.42		2.26%	16.31%	0.09%
7064	79 Outperform	¥3.25B	11.52		―	24.22%	-5.79%
6538	72 Outperform	¥4.49B	20.85		2.33%	13.99%	―
6563	67 Neutral	¥3.69B	40.52		―	26.41%	8.91%
6198	66 Neutral	¥2.63B	22.53		2.02%	-4.08%	-41.24%
Sector *	58 Neutral	HK$13.59B	5.63	-2.78%	5.79%	2.29%	-57.49%