Gecoss Corporation (9991) AI Stock Analysis

• Market Cap: ¥47.36B
• Dividend Yield: 4.21%
• Average Volume (3M): 31.23K
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.77
• Revenue Growth: -6.09%
• EPS Growth: 31.18%
• Country: JP
• Employees: 1,385
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 43.37
• Shares Outstanding: 33,795,746
• 10 Day Avg. Volume: 29,690
• 30 Day Avg. Volume: 31,233
• PEG Ratio: 3.43
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 6.44
• 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: 77 Outperform
• Price Target: ¥1,569.00 ▲(11.04% Upside)

Gecoss Corporation's overall stock score of 77 reflects strong financial stability and attractive valuation, with a solid cash flow position and low leverage. The technical analysis indicates stable momentum, but declining revenue poses a challenge. The lack of earnings call and corporate events data limits further insights.

Positive Factors

Cash Generation Ability

Strong cash generation ability supports reinvestment and debt repayment, ensuring long-term financial stability and operational flexibility.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability, reducing risk and enhancing the company's ability to weather economic fluctuations.

Management of Costs

Improved cost management enhances profitability, allowing for better resource allocation and competitive pricing strategies in the long term.

Negative Factors

Declining Revenue

Declining revenue suggests potential challenges in market demand or competition, which could impact long-term growth and market positioning.

Revenue Growth Trend

Negative revenue growth trend indicates potential structural issues in capturing market share, which may require strategic adjustments to reverse.

Market Demand Challenges

Challenges in market demand could hinder the company's ability to maintain its competitive edge, necessitating innovation or market expansion efforts.

Gecoss Corporation Business Overview & Revenue Model

Company Description

Gecoss Corporation rents and sells construction machinery and steel products in Japan. It is involved in the rental and sale of temporary construction steel materials, such as H-section steel, steel sheet piles, floor iron plates, lining boards, and mountain retaining materials. The company also design, manufactures and sells erection and demolition work of mountain retaining and gantry, pile driving and pulling work, and obstacle removal work; rents, sells, and constructs temporary bridges, station building platforms, stairs, shield mounts, road bridges, and bridge collapse prevention hardware; rents cars; and rents construction machinery, such as aerial work platforms, backhoe, generators, temporary houses and lights. In addition, it undertakes design and construction of pile punching work, mountain retaining erection and demolition, soil cement column wall construction, etc. Further, the company provides planning and design, and technical support services for temporary construction works. The company was incorporated in 1946 and is headquartered in Tokyo, Japan. Gecoss Corporation is a subsidiary of JFE Steel Corporation.

How the Company Makes Money

Gecoss Corporation generates revenue through multiple streams, primarily by selling hardware products such as robotics and sensors, alongside software solutions for data analytics and process control. The company also offers maintenance and support services, which provide ongoing revenue from existing clients. Additionally, Gecoss has established strategic partnerships with key players in the technology and manufacturing sectors, allowing it to expand its market reach and enhance its product offerings. These collaborations often lead to joint ventures and co-development projects, further contributing to the company's overall earnings.

Gecoss Corporation Financial Statement Overview

Summary

Gecoss Corporation demonstrates solid financial health with strong cash flows and a robust balance sheet. The cash flow score of 85 reflects impressive free cash flow growth and strong cash generation ability. The balance sheet score of 80 indicates financial stability with low leverage. However, the income statement score of 72 highlights concerns with declining revenue, which impacts overall financial performance.

Income Statement

Gecoss Corporation exhibited a moderate gross profit margin of 20.89% in 2025, reflecting stable operational efficiency. The net profit margin improved slightly to 4.07% from the previous year, indicating better cost management. However, the revenue decreased by 12.97% from 2024, highlighting potential challenges in market demand or competition. The EBIT and EBITDA margins were 6.14% and 9.07%, respectively, showing a positive operating performance, albeit with some room for improvement.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.01, suggesting conservative leverage and financial stability. The return on equity stood at 6.85%, indicating effective use of shareholder funds, although there is potential for higher returns. The equity ratio of 61.91% underscores a solid equity base, providing a cushion against liabilities.

Cash Flow

Gecoss Corporation's cash flow statement shows impressive free cash flow growth, turning from negative in 2024 to a robust positive in 2025. The operating cash flow to net income ratio of 1.93 indicates strong cash generation ability relative to earnings. The free cash flow to net income ratio of 1.20 further emphasizes the company's ability to generate cash effectively, supporting reinvestment and debt repayment.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.78B	111.55B	128.19B	120.52B	114.00B	110.21B
Gross Profit	24.01B	23.31B	22.07B	19.74B	19.01B	19.97B
EBITDA	10.57B	10.12B	9.83B	8.41B	7.64B	8.87B
Net Income	4.94B	4.54B	4.41B	3.43B	3.33B	4.55B
Balance Sheet
Total Assets	102.55B	107.07B	107.04B	108.98B	107.75B	102.85B
Cash, Cash Equivalents and Short-Term Investments	2.19B	3.09B	1.14B	1.27B	10.29B	7.02B
Total Debt	628.00M	632.00M	2.60B	2.25B	2.11B	4.08B
Total Liabilities	35.91B	40.79B	44.13B	49.88B	48.32B	43.05B
Stockholders Equity	66.63B	66.28B	62.91B	59.10B	59.43B	59.79B
Cash Flow
Free Cash Flow	0.00	5.43B	-1.19B	110.00M	6.00B	5.80B
Operating Cash Flow	0.00	8.78B	2.06B	2.95B	9.10B	8.50B
Investing Cash Flow	0.00	-3.28B	-4.80B	-4.75B	-2.61B	-2.43B
Financing Cash Flow	0.00	-3.56B	-894.00M	-3.73B	-3.23B	-1.27B

Gecoss Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1413.00
• 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:9991, the sentiment is Positive. The current price of 1413 is below the 20-day moving average (MA) of 1415.00, above the 50-day MA of 1399.46, and above the 200-day MA of 1243.85, indicating a neutral trend. The MACD of 3.46 indicates Positive momentum. The RSI at 51.09 is Neutral, neither overbought nor oversold. The STOCH value of 23.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9991.

Gecoss Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9763	81 Outperform	¥12.66B	8.21	―	3.61%	6.66%	13.62%
9619	78 Outperform	¥48.58B	6.83	―	3.60%	3.70%	-43.85%
9991	77 Outperform	¥47.36B	8.52	―	4.21%	-6.09%	31.18%
7081	72 Outperform	¥13.89B	6.76	―	3.16%	5.72%	60.38%
2445	70 Outperform	¥19.38B	14.57	―	3.39%	-1.56%	-3.60%
5834	64 Neutral	¥42.53B	7.29	―	4.15%	0.17%	58.30%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Gecoss Corporation Corporate Events

Gecoss Corporation Revises Earnings Forecast and Increases Interim Dividend

Gecoss Corporation has revised its full-year consolidated earnings forecast for the fiscal year ending March 31, 2026, reflecting a slight decrease in net sales but an increase in operating and ordinary income due to improved profitability and project advancements. Additionally, the company has announced an increase in its interim dividend, reflecting confidence in its financial performance despite lower-than-expected sales in certain segments.

Gecoss Corporation Reports Strong Financial Growth and Strategic Expansion

Gecoss Corporation reported a significant increase in its financial performance for the six months ending September 30, 2025, with net sales rising by 2.1% and profit attributable to owners of the parent increasing by 57% compared to the previous year. The company has revised its dividend forecast upwards and included three new companies in its consolidation, indicating a strategic expansion and positive outlook for stakeholders.

Gecoss Corporation to Receive Significant Dividend from Subsidiary

Gecoss Corporation announced it will receive a dividend of 3,200 million yen from its subsidiary, Rentalsystem Company, Limited. This dividend will be recorded as non-operating income in Gecoss’s non-consolidated financial statements for the fiscal year ending March 31, 2026, with no impact on the consolidated financial statements.