Computer Engineering & Consulting Ltd. (9692) AI Stock Analysis

• Market Cap: ¥77.01B
• Dividend Yield: 2.39%
• Average Volume (3M): 64.79K
• Price to Earnings (P/E): 18.8
• Beta (1Y): 1.03
• Revenue Growth: 5.81%
• EPS Growth: -9.55%
• Country: JP
• Employees: 2,270
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Application
• EPS (TTM): 24.03
• Shares Outstanding: 36,059,600
• 10 Day Avg. Volume: 57,390
• 30 Day Avg. Volume: 64,786
• PEG Ratio: -2.48
• Price to Book (P/B): 1.85
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: ¥2,668.00 ▲(15.90%Upside)

The most significant strengths are the company’s strong financial performance and solid technical indicators, reflecting a stable and growing company. The valuation is reasonable, providing moderate growth and income potential. The absence of new earnings call data and corporate events limits additional insights.

Computer Engineering & Consulting Ltd. Business Overview & Revenue Model

Company Description

Computer Engineering & Consulting Ltd. (9692) is a technology-focused company operating in the information technology and services sector. The company specializes in providing IT consulting, system development, and integration services. Its core offerings include IT infrastructure solutions, software development, and managed services, aimed at helping clients enhance their operational efficiency and technological capabilities.

How the Company Makes Money

Computer Engineering & Consulting Ltd. generates revenue through a combination of service-based and product-based streams. The primary revenue source is its IT consulting services, which involve providing expertise and strategic advice to businesses for optimizing their IT infrastructure and processes. Additionally, the company earns revenue from custom software development projects, where it designs and implements tailored software solutions for clients. Another significant revenue stream is its managed services, which include ongoing support and maintenance of clients' IT systems. The company may also engage in partnerships and alliances with hardware and software vendors, which could contribute to its earnings through referrals or collaborative projects.

Computer Engineering & Consulting Ltd. Financial Statement Overview

Summary

Computer Engineering & Consulting Ltd. exhibits strong financial health with a solid balance sheet, evidenced by a low debt-to-equity ratio of 0.009 and a robust equity ratio of 76.7%. The income statement reflects strong revenue growth of 6% and improved operational efficiency with an EBIT margin of 11.9%, though net profit margin slightly decreased to 7.2%. Cash flow management is effective, with strong operating cash flow and a high free cash flow to net income ratio, despite marginal growth in free cash flow.

Income Statement

The company exhibits strong revenue growth with a 6% increase from 2024 to 2025. Gross profit margin remains stable at approximately 27.3%, indicating effective cost management. However, the net profit margin slightly decreased to 7.2%, suggesting pressure on net income despite revenue growth. The EBIT margin improved to 11.9%, reflecting better operational efficiency.

Balance Sheet

The balance sheet is robust, with a low debt-to-equity ratio of 0.009, indicating minimal leverage and prudent financial management. The equity ratio is strong at 76.7%, underlining a solid equity base. Return on equity decreased to 10%, which is decent but shows a decline in profitability from equity investments.

Cash Flow

Operating cash flow remains strong, though slightly down from the previous year, indicating operational resilience. Free cash flow to net income ratio is high, suggesting efficient capital expenditure management. However, the free cash flow growth rate is marginal, indicating a need for improvement in generating additional free cash flow.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
55.07B	56.21B	53.12B	48.21B	45.22B	48.00B
	Gross Profit
14.78B	15.35B	14.10B	11.31B	10.84B	11.49B
	EBIT
6.22B	6.70B	6.36B	4.37B	4.21B	5.05B
	EBITDA
7.03B	6.62B	7.07B	7.44B	5.06B	6.32B
	Net Income Common Stockholders
4.41B	4.04B	4.54B	5.18B	3.04B	4.04B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
26.71B	25.47B	26.71B	23.30B	22.43B	21.02B
	Total Assets
51.39B	52.64B	51.39B	46.33B	45.15B	43.79B
	Total Debt
363.80M	350.00M	363.80M	377.40M	391.00M	404.60M
	Net Debt
-26.35B	-25.12B	-26.35B	-22.92B	-22.04B	-20.62B
	Total Liabilities
10.60B	12.24B	10.60B	8.95B	9.41B	9.41B
	Stockholders Equity
40.79B	40.40B	40.79B	37.38B	35.74B	34.38B
Cash Flow		Free Cash Flow
0.00	5.27B	5.25B	1.65B	2.02B	4.89B
	Operating Cash Flow
0.00	5.27B	5.68B	2.49B	3.15B	5.35B
	Investing Cash Flow
0.00	-1.67B	-747.91M	1.93B	-340.73M	-470.60M
	Financing Cash Flow
0.00	-4.85B	-1.53B	-3.56B	-1.41B	-1.41B

Computer Engineering & Consulting Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2302.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9692, the sentiment is Positive. The current price of 2302 is above the 20-day moving average (MA) of 2281.30, above the 50-day MA of 2205.36, and above the 200-day MA of 1973.12, indicating a bullish trend. The MACD of 31.42 indicates Positive momentum. The RSI at 62.29 is Neutral, neither overbought nor oversold. The STOCH value of 61.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9692.

Computer Engineering & Consulting Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9691	85 Outperform	¥10.83B	6.90		1.36%	23.75%	66.10%
9692	77 Outperform	¥77.01B	18.81		2.39%	5.81%	-9.55%
4828	76 Outperform	€56.81B	17.04	27.18%	2.17%	6.59%	26.96%
4826	75 Outperform	¥31.56B	27.12		3.69%	7.04%	-9.91%
9928	72 Outperform	¥49.59B	12.21		3.08%	4.98%	3.33%
4746	69 Neutral	¥68.96B	14.35		3.31%	0.37%	13.07%
Sector *	62 Neutral	$11.80B	10.31	-7.45%	2.91%	7.43%	-7.78%

Computer Engineering & Consulting Ltd. Corporate Events

Computer Engineering & Consulting Ltd. Advances Treasury Share Acquisition Plan

Computer Engineering & Consulting Ltd. has acquired 264,400 shares of its common stock from the market, amounting to 599,076,500 yen, as part of a larger plan approved by its Board of Directors to purchase up to 1,200,000 shares. This move is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

Computer Engineering & Consulting Ltd. Acquires Treasury Shares

Computer Engineering & Consulting Ltd. announced the acquisition of 201,500 shares of its own stock from the market, as part of a broader plan approved by the Board of Directors to purchase up to 1,200,000 shares. This move is part of a strategic initiative to manage the company’s capital structure and potentially enhance shareholder value.

Computer Engineering & Consulting Ltd. Announces Treasury Share Acquisition

Computer Engineering & Consulting Ltd. has announced the acquisition of 308,000 shares of its own stock from the market, amounting to 704,791,200 yen, as part of a broader plan approved by its Board of Directors to purchase up to 1,200,000 shares. This move is aimed at optimizing the company’s capital structure and potentially enhancing shareholder value, reflecting a strategic financial decision that could impact its market positioning and investor relations.