Secom Co (9735) AI Stock Analysis

• Market Cap: ¥2.62T
• Dividend Yield: 1.77%
• Average Volume (3M): 1.24M
• Price to Earnings (P/E): 19.2
• Beta (1Y): 0.33
• Revenue Growth: 5.39%
• EPS Growth: 4.89%
• Country: JP
• Employees: 64,744
• Sector: Industrials
• Sector Strength: 72
• Industry: Security & Protection Services
• EPS (TTM): 72.41
• Shares Outstanding: 466,599,800
• 10 Day Avg. Volume: 1,270,470
• 30 Day Avg. Volume: 1,239,516
• PEG Ratio: 2.49
• Price to Book (P/B): 1.67
• Price to Sales (P/S): 1.76
• P/FCF Ratio: 22.22
• 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
• EPS Forecast (FY): 265.73
• Revenue Forecast (FY): ¥1.26T

• Rating: 73 Outperform
• Price Target: ¥6,586.00 ▲(16.34% Upside)
• Action: Upgraded Date: 10/09/25
• Date: Action: Upgraded 10/09/25

Secom Co's strong financial performance is the primary driver of its stock score, supported by consistent revenue growth and solid cash flow management. The technical analysis presents a cautious outlook due to bearish momentum indicators, while the valuation suggests the stock is fairly priced. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Recurring revenue model

Secom's core electronic security business is built on recurring monthly and annual monitoring fees, producing predictable contract revenue and high retention. This durable subscription-style cash flow supports stable operating results, easier planning for capex and hiring, and resilience across business cycles.

Negative Factors

Margin pressure

A decline in gross profit versus the prior year signals potential input cost increases or pricing constraints. If such cost pressures persist, they could compress gross and operating margins, limit margin expansion levers, and require either price increases or efficiency gains to protect profitability over coming quarters.

Secom Co Business Overview & Revenue Model

Company Description

SECOM Co., Ltd. provides security services in Japan and internationally. The company's Security Services segment provides online security systems, static guard services, and armored car services. Its Fire Protection Services segment provides autom...

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SECOM Co., Ltd. provides security services in Japan and internationally. The company's Security Services segment provides online security systems, static guard services, and armored car services. Its Fire Protection Services segment provides autom...

How the Company Makes Money

Secom primarily makes money by selling security and safety services through a combination of recurring service fees and one-time equipment/service charges. A major revenue stream is electronic security: customers pay ongoing monthly/annual fees fo...

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Secom primarily makes money by selling security and safety services through a combination of recurring service fees and one-time equipment/service charges. A major revenue stream is electronic security: customers pay ongoing monthly/annual fees fo...

Secom Co Financial Statement Overview

Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	1.25T	1.20T	1.15T	1.10T	1.05T	1.04T
Gross Profit	391.43B	371.15B	357.28B	342.46B	337.67B	330.57B
EBITDA	250.85B	253.42B	236.61B	223.18B	220.31B	201.68B
Net Income	107.13B	108.11B	101.95B	96.08B	94.27B	74.68B
Balance Sheet
Total Assets	2.15T	2.15T	2.08T	1.99T	1.91T	1.86T
Cash, Cash Equivalents and Short-Term Investments	582.51B	584.63B	599.15B	684.18B	685.86B	659.72B
Total Debt	66.24B	72.64B	68.96B	64.28B	67.63B	66.17B
Total Liabilities	708.31B	697.84B	690.09B	673.01B	651.72B	634.35B
Stockholders Equity	1.26T	1.27T	1.22T	1.16T	1.12T	1.08T
Cash Flow
Free Cash Flow	0.00	95.20B	83.00B	95.66B	109.75B	131.02B
Operating Cash Flow	0.00	172.74B	164.28B	145.44B	162.86B	178.88B
Investing Cash Flow	0.00	-100.77B	-159.34B	-67.60B	-55.28B	-48.06B
Financing Cash Flow	0.00	-85.28B	-98.42B	-80.68B	-87.47B	-49.79B

Secom Co Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5661.00
• 50DMA: Negative
• 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:9735, the sentiment is Neutral. The current price of 5661 is below the 20-day moving average (MA) of 5975.95, below the 50-day MA of 5931.06, and above the 200-day MA of 5539.44, indicating a neutral trend. The MACD of -3.47 indicates Positive momentum. The RSI at 47.23 is Neutral, neither overbought nor oversold. The STOCH value of 26.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9735.

Secom Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9740	80 Outperform	¥44.28B	21.44	―	1.95%	9.05%	14.38%
6744	76 Outperform	¥259.91B	14.78	―	2.42%	9.55%	9.52%
9735	73 Outperform	¥2.62T	19.24	8.35%	1.77%	5.39%	4.89%
7734	73 Outperform	¥150.67B	14.99	―	1.39%	11.23%	16.49%
2331	64 Neutral	¥632.92B	16.50	―	2.14%	7.73%	30.92%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7058	62 Neutral	¥4.41B	6.80	―	3.03%	6.87%	-1.10%

Secom Co Corporate Events