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Encourage Technologies Co., Ltd. (JP:3682)
:3682
Japanese Market
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Encourage Technologies Co., Ltd. (3682) Price & Analysis

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3682 Stock Chart & Stats

¥690.00
-¥2.00(-0.34%)
At close: 4:00 PM EST
¥690.00
-¥2.00(-0.34%)

Bulls Say, Bears Say

Bulls Say
Debt-free Balance SheetA debt-free balance sheet with rising equity materially reduces financial risk and preserves strategic optionality. Over the next 2–6 months this underpins stable dividend capacity, funds internal investment or M&A without refinancing, and cushions the business against cyclical IT spending shocks.
Consistent Revenue GrowthSustained top-line expansion and a meaningful step-up in 2024 indicate strengthening product-market fit for its IT security and operations services. Durable revenue growth supports scale economics, recurring client relationships, and a base for gradual margin recovery and reinvestment over the medium term.
Strong Recent Free Cash FlowRobust free cash flow in 2026 that tracks net income demonstrates the company's ability to convert earnings into cash. This strengthens funding for dividends, product development, and working capital needs without external financing, improving long-term financial autonomy and resilience.
Bears Say
Margin CompressionA meaningful decline from earlier margin peaks suggests structural mix shifts, pricing pressure, or rising operating costs. Persisting margin compression could limit free cash flow expansion and the ability to re-invest or raise dividends, reducing long-term profitability upside.
Volatile Cash FlowsLarge year-to-year swings in operating and free cash flow reduce predictability for capital allocation and dividend policy. This volatility raises the risk that a future downturn could impair investment plans or require cash conservation, weakening long-term strategic execution.
Moderate Return On EquityROE in the mid-single digits points to limited capital productivity relative to higher-return tech peers. Over multiple quarters this constrains the company's ability to compound shareholder returns and may indicate scale or pricing limitations in its core IT services business.

3682 FAQ

What was Encourage Technologies Co., Ltd.’s price range in the past 12 months?
Encourage Technologies Co., Ltd. lowest stock price was ¥555.00 and its highest was ¥731.00 in the past 12 months.
    What is Encourage Technologies Co., Ltd.’s market cap?
    Encourage Technologies Co., Ltd.’s market cap is ¥3.98B.
      When is Encourage Technologies Co., Ltd.’s upcoming earnings report date?
      Encourage Technologies Co., Ltd.’s upcoming earnings report date is Aug 13, 2026 which is in 11 days.
        How were Encourage Technologies Co., Ltd.’s earnings last quarter?
        Encourage Technologies Co., Ltd. released its earnings results on May 13, 2026. The company reported ¥8.11 earnings per share for the quarter, beating the consensus estimate of N/A by ¥8.11.
          Is Encourage Technologies Co., Ltd. overvalued?
          According to Wall Street analysts Encourage Technologies Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Encourage Technologies Co., Ltd. pay dividends?
            Encourage Technologies Co., Ltd. pays a Annually dividend of ¥27 which represents an annual dividend yield of 4.35%. See more information on Encourage Technologies Co., Ltd. dividends here
              What is Encourage Technologies Co., Ltd.’s EPS estimate?
              Encourage Technologies Co., Ltd.’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does Encourage Technologies Co., Ltd. have?
              Encourage Technologies Co., Ltd. has 6,924,200 shares outstanding.
                What happened to Encourage Technologies Co., Ltd.’s price movement after its last earnings report?
                Encourage Technologies Co., Ltd. reported an EPS of ¥8.11 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.426%.
                  Which hedge fund is a major shareholder of Encourage Technologies Co., Ltd.?
                  Currently, no hedge funds are holding shares in JP:3682
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Encourage Technologies Co., Ltd.

                    Encourage Technologies Co., Ltd. is a Japan-based firm specializing in the development, maintenance, and sale of computer system software products. The company provides a comprehensive suite of solutions, notably its "ESS SmartIT Operation" lineup. This includes ESS REC, a principal tool for overseeing and auditing user system activities; Remote Access Auditor, which captures and records remote user system operations, including desktop screen video; and ESS AdminGate, designed to bolster server security through features such as privileged access management, password management, log management, and controlled file transfers. Beyond this core offering, Encourage Technologies presents several other key products. ESS FileGate ensures secure file transfers utilizing various sanitization technologies. ESS AdminControl focuses on privilege ID management, complemented by ESS AdminControl for Client for handling local administrator passwords. The ID Inspector uniquely identifies users of shared IDs (like root/administrators) without requiring modifications to applications or operating systems. The company's portfolio also extends to automated solutions like ESS AutoAuditor, for validating user system operations, and ESS AutoQuality, a solution for optimizing user system operations. Additionally, they offer Encourage Super Station, a dedicated system monitoring solution. In addition to its software offerings, the company delivers BPO (Business Process Outsourcing) and consulting services tailored to computer operation management. Established in 2002, Encourage Technologies Co., Ltd. maintains its headquarters in Tokyo, Japan.

                    Encourage Technologies Co., Ltd. (3682) Earnings & Revenues

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