Asahi Intelligence Service Co., Ltd. (9799) AI Stock Analysis

• Market Cap: ¥16.25B
• Dividend Yield: 3.16%
• Average Volume (3M): 12.00K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 0.33
• Revenue Growth: 6.50%
• EPS Growth: 5.16%
• Country: JP
• Employees: 1,790
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 12.82
• Shares Outstanding: 16,529,700
• 10 Day Avg. Volume: 11,410
• 30 Day Avg. Volume: 12,003
• PEG Ratio: 1.16
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 0.96
• P/FCF Ratio: 16.43
• 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: 74 Outperform
• Price Target: ¥1,119.00 ▲(12.12% Upside)

Asahi Intelligence Service Co., Ltd. demonstrates strong financial performance with solid growth and low financial risk, contributing significantly to the overall score. The valuation is fair with an attractive dividend yield. However, neutral technical indicators suggest a lack of strong market momentum, slightly tempering the overall score.

Asahi Intelligence Service Co., Ltd. Business Overview & Revenue Model

Company Description

Asahi Intelligence Service Co., Ltd. (9799) is a Japanese company specializing in the fields of information technology and artificial intelligence. The company focuses on providing advanced data analytics, AI solutions, and IT services to various industries, including finance, healthcare, and manufacturing. Asahi Intelligence aims to enhance operational efficiency and support decision-making processes through innovative technological solutions.

How the Company Makes Money

Asahi Intelligence Service generates revenue primarily through the sale of its AI-driven software solutions and consulting services. The company offers customized analytics platforms that help businesses process and interpret large datasets, which are essential for strategic decision-making. Additionally, Asahi Intelligence earns income from ongoing maintenance and support services for its products. Strategic partnerships with technology firms and industry leaders also contribute to its revenue, allowing the company to leverage shared resources and expand its service offerings. Moreover, participation in government contracts and projects within the public sector enhances its earnings potential.

Asahi Intelligence Service Co., Ltd. Financial Statement Overview

Summary

The company exhibits strong financial health with robust revenue and profit growth, a stable balance sheet with minimal debt, and effective cash management. However, a slight decline in cash flow growth warrants monitoring.

Income Statement

The company demonstrates strong revenue growth with a consistent upward trajectory in Total Revenue over the years. The Gross Profit Margin remains robust, indicating effective cost management. Net Profit Margin and EBIT Margin show healthy profitability, with a notable increase in Net Income. The EBITDA Margin is stable, reflecting strong earnings performance. Overall, the income statement suggests a solid financial position with excellent growth and profitability metrics.

Balance Sheet

The balance sheet is extremely strong with a high equity ratio, indicating a solid financial foundation. The Debt-to-Equity Ratio is very low, highlighting minimal leverage and financial risk. The Return on Equity (ROE) is healthy, driven by strong net income and efficient use of equity. The company shows excellent liquidity and financial stability, maintaining a strong equity position relative to its assets.

Cash Flow

Operating Cash Flow is positive and consistently supports the company's net income, indicating strong cash generation. The Free Cash Flow shows a slight decline in growth rate, but remains positive. The company maintains a solid Free Cash Flow to Net Income Ratio, reflecting efficient cash management. However, a decline in Operating Cash Flow compared to the previous year suggests potential challenges in cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.02B	15.82B	14.79B	13.86B	12.97B	12.28B
Gross Profit	3.49B	3.43B	3.21B	2.97B	2.78B	2.68B
EBITDA	1.65B	1.65B	1.48B	1.36B	1.28B	1.25B
Net Income	1.18B	1.19B	1.07B	912.47M	863.08M	843.43M
Balance Sheet
Total Assets	14.24B	14.65B	13.93B	12.89B	12.16B	11.54B
Cash, Cash Equivalents and Short-Term Investments	7.00B	7.20B	7.08B	6.24B	6.54B	6.18B
Total Debt	210.00M	210.00M	210.00M	260.00M	260.00M	260.00M
Total Liabilities	2.63B	2.96B	2.97B	2.72B	2.56B	2.51B
Stockholders Equity	11.61B	11.68B	10.97B	10.17B	9.59B	9.03B
Cash Flow
Free Cash Flow	0.00	922.22M	1.06B	576.73M	774.23M	969.25M
Operating Cash Flow	0.00	927.10M	1.07B	587.34M	781.28M	992.42M
Investing Cash Flow	0.00	-527.54M	372.63M	47.41M	-610.12M	172.00K
Financing Cash Flow	0.00	-480.95M	-395.59M	-343.02M	-307.12M	-308.62M

Asahi Intelligence Service Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 998.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9799, the sentiment is Positive. The current price of 998 is below the 20-day moving average (MA) of 1000.96, above the 50-day MA of 997.92, and above the 200-day MA of 986.14, indicating a bullish trend. The MACD of 1.09 indicates Negative momentum. The RSI at 56.44 is Neutral, neither overbought nor oversold. The STOCH value of 89.06 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9799.

Asahi Intelligence Service Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9799	74 Outperform	¥16.25B	13.30	―	3.16%	6.50%	5.16%
3676	73 Outperform	¥20.12B	23.51	―	2.26%	-0.09%	1653.62%
4761	72 Outperform	¥14.79B	12.27	―	2.76%	3.03%	59.52%
2335	71 Outperform	¥16.93B	13.30	―	3.47%	2.38%	32.36%
3968	68 Neutral	¥20.27B	41.69	―	1.82%	20.91%	-26.43%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6572	60 Neutral	¥21.33B	45.67	―	1.64%	13.47%	296.94%