JBCC Holdings Inc. (9889) AI Stock Analysis

• Market Cap: ¥94.09B
• Dividend Yield: 2.48%
• Average Volume (3M): 131.72K
• Price to Earnings (P/E): 17.7
• Beta (1Y): 0.71
• Revenue Growth: 4.72%
• EPS Growth: 37.65%
• Country: JP
• Employees: 1,626
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 20.28
• Shares Outstanding: 71,094,970
• 10 Day Avg. Volume: 99,370
• 30 Day Avg. Volume: 131,716
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,508.00
• Price Target Upside: 11.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: ¥1,508.00 ▲(11.46% Upside)

The overall stock score of 80.2 reflects JBCC Holdings Inc.'s strong financial performance, which is the most significant factor, supported by excellent cash flow management and stable balance sheet. Valuation is attractive due to a reasonable P/E ratio and high dividend yield. Technical analysis suggests neutral market momentum, which slightly tempers the overall score.

JBCC Holdings Inc. Business Overview & Revenue Model

Company Description

JBCC Holdings Inc. provides IT-related services in Japan. The company's services include consulting, application development, system development, operation, maintenance, monitoring, and outsourcing. It also develops and markets software, and provides printing and cloud services, as well as provides customized hardware; and offers staff services. JBCC Holdings Inc. was incorporated in 1964 and is headquartered in Tokyo, Japan

How the Company Makes Money

JBCC Holdings Inc. generates revenue through its diversified offerings in the IT sector. The company's primary revenue streams include fees from IT solutions and services, such as systems integration and consulting, where they design and implement customized IT systems for clients. Additionally, JBCC earns income from selling IT products, including hardware and software, either through direct sales or as part of larger IT projects. The company also provides ongoing support and maintenance services, which contribute to recurring revenue. Strategic partnerships with leading technology providers enable JBCC to enhance its product and service offerings. These collaborations, along with its focus on digital transformation and emerging technologies, play a significant role in driving the company's earnings.

JBCC Holdings Inc. Financial Statement Overview

Summary

JBCC Holdings Inc. displays a comprehensive financial strength across all verticals. The impressive revenue and profit growth, coupled with sustainable margins, underscore the company’s robust income statement. The stable balance sheet with low leverage and strong equity positions further enhances financial stability. Superior cash flow generation reflects excellent liquidity and operational efficiency, positioning the company well for future growth.

Income Statement

The company shows a strong financial performance with consistent revenue growth. Revenue increased by 7.16% in the latest year, indicating solid business expansion. The gross profit margin is healthy at 30.02%, and the net profit margin improved to 6.59%, reflecting enhanced operational efficiency. EBIT and EBITDA margins are also robust at 8.81% and 9.86% respectively, demonstrating effective cost management and profitability.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.11, indicating minimal leverage and financial stability. The equity ratio is impressive at 54.39%, suggesting a solid equity base supporting assets. Return on equity (ROE) stands at 19.04%, showcasing effective utilization of shareholders' funds. Consistent growth in stockholders’ equity reflects a stable financial structure.

Cash Flow

The company exhibits excellent cash flow management, with a substantial increase in free cash flow to 5,775% year-over-year. The operating cash flow to net income ratio is strong at 1.44, indicating efficient conversion of income to cash. Free cash flow to net income ratio is notably high at 1.44, demonstrating robust cash generation relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	69.87B	69.87B	65.19B	58.14B	55.93B	60.04B
Gross Profit	20.90B	20.97B	19.38B	18.01B	17.00B	17.34B
EBITDA	6.86B	6.89B	5.11B	4.37B	3.86B	3.54B
Net Income	4.51B	4.60B	3.19B	2.68B	2.25B	1.93B
Balance Sheet
Total Assets	44.47B	44.47B	37.21B	35.95B	33.26B	34.75B
Cash, Cash Equivalents and Short-Term Investments	17.78B	17.78B	9.90B	10.65B	12.11B	10.75B
Total Debt	2.69B	2.69B	102.00M	213.00M	596.00M	875.00M
Total Liabilities	20.28B	20.28B	16.03B	16.07B	15.24B	17.14B
Stockholders Equity	24.18B	24.18B	21.18B	19.88B	18.01B	17.58B
Cash Flow
Free Cash Flow	0.00	6.61B	1.13B	129.00M	3.34B	2.30B
Operating Cash Flow	0.00	6.64B	1.24B	910.00M	3.56B	2.55B
Investing Cash Flow	0.00	361.00M	393.00M	-964.00M	-67.00M	-197.00M
Financing Cash Flow	0.00	886.00M	-2.42B	-1.39B	-2.14B	-1.04B

JBCC Holdings Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1353.00
• 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:9889, the sentiment is Positive. The current price of 1353 is below the 20-day moving average (MA) of 1362.05, above the 50-day MA of 1341.76, and above the 200-day MA of 1231.29, indicating a neutral trend. The MACD of -0.93 indicates Positive momentum. The RSI at 48.83 is Neutral, neither overbought nor oversold. The STOCH value of 20.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9889.

JBCC Holdings Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9889	80 Outperform	¥94.09B	17.72	―	2.48%	4.72%	37.65%
7595	79 Outperform	¥87.28B	3.82	―	8.64%	8.30%	2.23%
2317	76 Outperform	¥192.07B	20.57	26.12%	2.26%	10.87%	27.25%
9715	74 Outperform	¥139.96B	10.66	9.55%	2.84%	4.08%	27.98%
3762	73 Outperform	¥86.88B	20.95	16.78%	1.56%	20.49%	12.95%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

JBCC Holdings Inc. Corporate Events

JBCC Holdings Completes Disposal of Treasury Shares

JBCC Holdings Inc. has completed the disposal of its treasury shares as restricted stock compensation, a decision made by its Board of Directors on July 9, 2025. This disposal involved 162,200 common stock shares at a price of 1,292 yen per share, totaling 209,562,400 yen, distributed among directors and employees of the company and its subsidiaries.

JBCC Holdings Inc. Reports Strong Q1 Financial Performance

JBCC Holdings Inc. reported a slight increase in net sales and significant growth in operating and ordinary profits for the three months ended June 30, 2025, compared to the same period in 2024. The company’s financial position remains strong, with an improved equity-to-asset ratio, and it has implemented a stock split to enhance share liquidity. The forecast for the fiscal year ending March 31, 2026, indicates modest growth in net sales and profitability, reflecting a stable outlook for the company.

JBCC Holdings Inc. Announces Disposal of Treasury Shares for Stock Compensation

JBCC Holdings Inc. announced the disposal of 162,200 treasury shares as part of a restricted stock compensation plan aimed at incentivizing directors and employees to enhance the company’s long-term value. This move is part of a broader strategy to align the interests of management with shareholders and promote sustained corporate growth.

JBCC Holdings Inc. Revises Medium-term Business Plan Targets Upward

JBCC Holdings Inc. has revised its medium-term business plan ‘CHALLENGE 2026’ to increase its targets for the fiscal year ending in March 2027, following strong performances in Cloud and Security. Despite economic uncertainties, the company expects to achieve its revised targets ahead of schedule, reflecting confidence in its core business growth.

JBCC Holdings Inc. Increases Year-End Dividend Payout

JBCC Holdings Inc. has announced an increase in its year-end dividend payout for the fiscal year ending March 2025, raising it from the previously forecasted 71 yen to 81 yen per share. This decision reflects the company’s commitment to maintaining a sound financial base and achieving long-term shareholder returns, aligning with its medium-term business plan targeting a dividend payout ratio of 45% or higher.

JBCC Holdings Reports Strong Fiscal Year Performance and Announces Stock Split

JBCC Holdings Inc. reported a strong financial performance for the fiscal year ended March 31, 2025, with net sales increasing by 7.2% and profits showing significant growth. The company also announced a stock split and increased dividends, indicating a positive outlook and commitment to shareholder value.