Axis Consulting Corporation (9344) AI Stock Analysis

• Market Cap: ¥4.44B
• Dividend Yield: 3.75%
• Average Volume (3M): 6.51K
• Price to Earnings (P/E): 13.7
• Beta (1Y): 0.72
• Revenue Growth: 13.47%
• EPS Growth: -108.63%
• Country: JP
• Employees: 117
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): -35.77
• Shares Outstanding: 5,057,430
• 10 Day Avg. Volume: 8,140
• 30 Day Avg. Volume: 6,510
• PEG Ratio: -0.31
• Price to Book (P/B): 1.08
• Price to Sales (P/S): 0.68
• P/FCF Ratio: -12.19
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ¥1,003.00 ▲(7.50% Upside)

The stock's overall score is driven by strong technical momentum and a stable financial base, but is offset by negative cash flow and valuation concerns. The lack of earnings call data and corporate events means these areas did not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates effective market strategies and strong demand for services, supporting long-term business expansion.

Stable Balance Sheet

A stable balance sheet with low leverage enhances financial flexibility and reduces risk, supporting sustainable growth.

Market Position

Strong market position in key sectors provides competitive advantages and opportunities for cross-industry solutions, driving growth.

Negative Factors

Declining Profitability Margins

Decreasing margins suggest challenges in cost control and pricing power, potentially impacting long-term profitability.

Negative Cash Flows

Negative cash flows indicate liquidity issues and may constrain the company's ability to invest in growth and manage operations.

Decreased Return on Equity

A declining ROE suggests less efficient use of equity capital, which can affect investor confidence and long-term returns.

Axis Consulting Corporation Business Overview & Revenue Model

Company Description

Axis Consulting Corporation operates recruitment and skill share business in Japan. It offers recruitment consulting and job change support services including full time employment, freelance consulting, spot consulting, etc. The company was incorporated in 2002 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Axis Consulting Corporation generates revenue primarily through its consulting services, which are billed on a project basis or through retainer agreements with clients. Key revenue streams include fees from management consulting projects, training and development programs, and technology implementation services. Additionally, the company may engage in long-term partnerships with clients, providing ongoing advisory services that contribute to recurring revenue. Significant collaborations with technology providers and industry leaders also enhance its offerings, allowing Axis to create bundled services and solutions that increase client engagement and revenue potential.

Axis Consulting Corporation Financial Statement Overview

Summary

Axis Consulting Corporation shows strong revenue growth and a stable balance sheet, but declining profitability margins and negative cash flows raise concerns. The company needs to address cash flow management and improve profitability to sustain its growth trajectory.

Income Statement

Axis Consulting Corporation has demonstrated strong revenue growth with a 12.97% increase in the latest year. However, there is a noticeable decline in profitability margins, with the EBIT margin dropping significantly from previous years. The gross profit margin remains robust, indicating effective cost management, but the net profit margin has decreased, suggesting challenges in controlling non-operating expenses or taxes.

Balance Sheet

The company's balance sheet shows a solid equity base with a low debt-to-equity ratio, indicating financial stability. However, the return on equity has decreased, reflecting a potential decline in profitability relative to equity. The equity ratio remains strong, suggesting a healthy capital structure.

Cash Flow

The cash flow statement reveals significant challenges, with negative operating and free cash flows in the most recent year. This indicates potential liquidity issues and a need for improved cash management. Historical data shows positive free cash flow growth in earlier years, but recent trends are concerning.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.67B	5.27B	4.67B	4.34B	3.51B	2.20B
Gross Profit	3.10B	2.86B	3.10B	2.88B	2.24B	1.54B
EBITDA	841.03M	448.00M	850.75M	665.29M	516.33M	330.72M
Net Income	502.67M	321.00M	502.67M	418.80M	324.96M	239.11M
Balance Sheet
Total Assets	4.11B	4.51B	4.11B	3.50B	2.10B	1.49B
Cash, Cash Equivalents and Short-Term Investments	3.02B	3.00B	3.02B	2.90B	1.49B	1.03B
Total Debt	75.41M	366.00M	75.41M	161.18M	329.95M	495.16M
Total Liabilities	944.42M	1.19B	944.42M	843.33M	1.24B	948.47M
Stockholders Equity	3.17B	3.33B	3.17B	2.65B	862.68M	537.71M
Cash Flow
Free Cash Flow	0.00	-296.00M	236.41M	210.69M	624.32M	188.05M
Operating Cash Flow	0.00	-183.00M	446.85M	221.84M	657.38M	214.60M
Investing Cash Flow	0.00	-139.00M	-245.32M	-11.50M	-33.35M	16.25M
Financing Cash Flow	0.00	298.00M	-77.11M	1.20B	-166.18M	-155.50M

Axis Consulting Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 933.00
• 50DMA: Positive
• 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:9344, the sentiment is Positive. The current price of 933 is above the 20-day moving average (MA) of 886.35, above the 50-day MA of 884.30, and above the 200-day MA of 796.11, indicating a bullish trend. The MACD of 14.87 indicates Negative momentum. The RSI at 65.22 is Neutral, neither overbought nor oversold. The STOCH value of 68.86 is Neutral, 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
6538	76 Outperform	¥6.22B	21.79	―	1.53%	12.73%	―
7361	72 Outperform	¥3.83B	9.85	―	2.04%	24.84%	2.29%
6563	67 Neutral	¥3.33B	35.83	―	―	5.06%	37.14%
7064	67 Neutral	¥2.89B	12.30	―	―	17.81%	-28.68%
9344	66 Neutral	¥4.44B	13.70	―	3.75%	13.47%	-108.63%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6198	56 Neutral	¥2.19B	―	―	2.43%	-10.61%	-160.10%