JDC CORPORATION (1887) AI Stock Analysis

JDC CORPORATION

(TSE/TYO:1887)

Select Model

Rating:52Neutral

Price Target:JPY 521.00▲(3.17% Upside)

Action:reiterated

Date:10/17/26

The overall score of 52 reflects a company with significant strengths offset by notable weaknesses. The primary positive is the attractive valuation, with a low P/E ratio and a high dividend yield. However, this is counterbalanced by very weak cash flow generation, which is a critical risk, and a bearish technical trend with the stock trading below all key moving averages. The recovery in revenue and net income is encouraging but not yet sufficient to outweigh the cash flow and momentum concerns.

Positive Factors

Profitability reboundThe strong earnings recovery shows that JDC can restore profitability after a difficult period. If maintained, improved operating performance can support reinvestment, strengthen financial resilience, and provide a more durable earnings base over the next several quarters.

Negative Factors

Weak cash generationNegative operating and free cash flow weaken earnings quality because reported profits are not currently converting into internal funding. Persistent volatility could increase reliance on financing, constrain investment capacity, and raise liquidity pressure alongside higher debt.

JDC CORPORATION (1887) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 39.90B
Dividend Yield: 4.21%
Average Volume (3M): 298.30K
Price to Earnings (P/E): 7.1
Beta (1Y): 0.82
Revenue Growth: 4.90%
EPS Growth: 532.61%
Country: Japan
Employees: 1,104
Sector: Industrials
Sector Strength: 63
Industry: Engineering & Construction

JDC CORPORATION Business Overview & Revenue Model

Company Description

JDC Corporation engages in the construction business in Japan and rest of Asia. It operates through Civil Engineering Business, Construction Business, and Construction in Progress-related Business segments. The company is involved in the construction...

JDC CORPORATION Financial Statement Overview

Summary

Financial performance is mixed. The Income Statement (Score: 55) shows a return to revenue growth and profitability, but margins remain modest. The Balance Sheet (Score: 62) is solid with moderate leverage. However, the Cash Flow Statement (Score: 30) is a significant concern, with negative operating and free cash flow in the latest year, indicating poor cash conversion. The overall financial health is constrained by weak cash generation.

Income Statement

55Neutral

Balance Sheet

62Positive

Cash Flow

30Negative

Financial statement breakdown
Breakdown	TTM	May 2025	May 2024	May 2023	May 2022	May 2022
Income Statement
Total Revenue	135.21B	135.21B	123.35B	135.70B	126.79B	154.20B
Gross Profit	16.31B	16.31B	12.19B	-542.00M	17.00B	13.94B
EBITDA	8.85B	8.51B	4.70B	-3.73B	13.81B	7.94B
Net Income	5.45B	5.45B	1.33B	-7.19B	7.39B	3.29B
Balance Sheet
Total Assets	157.97B	157.97B	140.65B	145.68B	154.72B	162.34B
Cash, Cash Equivalents and Short-Term Investments	19.92B	19.92B	18.14B	21.95B	47.59B	24.17B
Total Debt	37.91B	37.91B	30.02B	30.00B	30.03B	29.93B
Total Liabilities	86.58B	86.58B	74.22B	77.08B	74.77B	84.31B
Stockholders Equity	71.20B	71.20B	66.22B	68.44B	79.15B	77.89B
Cash Flow
Free Cash Flow	-6.70B	-6.70B	-294.00M	-4.02B	1.79B	-14.90B
Operating Cash Flow	-4.57B	-4.57B	3.79B	-1.26B	3.76B	-11.06B
Investing Cash Flow	446.00M	446.00M	-3.88B	1.47B	4.33B	-6.54B
Financing Cash Flow	5.27B	5.27B	-3.79B	-2.09B	-8.08B	-5.89B

JDC CORPORATION Technical Analysis

Technical Analysis SentimentNegative

Last Price505.00

Price Trends

50DMA532.80Negative

100DMA528.78Negative

200DMA561.73Negative

Market Momentum

MACD-7.32Negative

RSI41.36Neutral

STOCH23.25Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1887, the sentiment is Negative. The current price of 505.00 is below the 20-day moving average (MA) of 511.25, below the 50-day MA of 532.80, and below the 200-day MA of 561.73, indicating a bearish trend. The MACD of -7.32 indicates Negative momentum. The RSI at 41.36 is Neutral, neither overbought nor oversold. The STOCH value of 23.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:1887.

JDC CORPORATION Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

JP:1887 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:3431	80Outperform	JPY 38.18B	13.25	―	5.92%	-27.67%	-45.04%
JP:1810	78Outperform	JPY 42.52B	8.71	―	6.25%	-6.31%	34.94%
JP:1967	78Outperform	JPY 47.19B	10.60	―	2.85%	-3.19%	16.79%
JP:1929	77Outperform	JPY 48.23B	11.29	―	4.25%	20.57%	50.62%
JP:1930	65Neutral	JPY 40.64B	7.65	11.31%	3.44%	20.84%	68.55%
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
JP:1887	52Neutral	JPY 39.90B	7.06	8.19%	4.21%	4.90%	532.61%

* Industrials Sector Average

Performance Comparison

JP:1887 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:1887	JDC CORPORATION	508.00	-7.82	-1.52%
JP:1930	Hokuriku Electrical Construction Co	1452.00	94.70	6.98%
JP:1810	Matsui Construction Co., Ltd.	1393.00	85.70	6.56%
JP:1929	Nittoc Construction Co., Ltd.	1154.00	-23.42	-1.99%
JP:1967	Yamato Corporation	2108.00	-8.73	-0.41%
JP:3431	MIYAJI ENGINEERING GROUP, INC.	1385.00	-500.15	-26.53%

JDC CORPORATION Corporate Events

JDC Corporation Lifts Quarterly Profit but Sees Full-Year Earnings Decline Amid Margin Pressure

Oct 15, 2026

JDC Corporation reported consolidated net sales of ¥32.06 billion for the three months ended August 31, 2026, down 7.1% year-on-year, while operating profit was broadly flat at ¥1.94 billion and ordinary profit slipped slightly to ¥1.9...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 17, 2026

JDC CORPORATION AI Stock Analysis