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Hip Corporation (2136) AI Stock Analysis
Hip Corporation
(TSE/TYO:2136)
Hip Corporation earns a moderate score anchored by sound financials: a debt-free balance sheet, steadily growing equity and reliable profitability. This is reinforced by an appealing valuation, with a 12.8x P/E, a near-5% dividend yield and low beta providing defensive support. Offsetting these strengths are compressing gross and operating margins, volatile year-to-year cash flow generation, and a soft technical picture, with the price below all major moving averages and a negative MACD. Overall, a conservatively managed, income-oriented holding whose fundamental and valuation appeal is currently tempered by weak price trends and margin pressure.
Hip Corporation (2136) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 5.24B
- Dividend Yield
- 5.09%
- Average Volume (3M)
- 1,435
- Price to Earnings (P/E)
- 12.5
- Beta (1Y)
- 0.51
- Revenue Growth
- 2.88%
- EPS Growth
- 3.07%
- Country
- Japan
- Employees
- 856
- Sector
- Industrials
- Sector Strength
- 63
- Industry
- Staffing & Employment Services
Hip Corporation Business Overview & Revenue Model
Company Description
Established in 1995 and headquartered in Yokohama, Japan, HIP Corporation is a Japanese firm specializing in outsourcing solutions. The company delivers specialized technical expertise, encompassing mechanical and electronic design, alongside compreh...
Hip Corporation Financial Statement Overview
Summary
Solid but unspectacular fundamentals. The balance sheet is the standout strength (score 75), with total debt eliminated by FY2026, steady equity growth to ¥4.1 billion, and a healthy ~10.5% ROE. The income statement (score 62) shows consistent low-to-mid single-digit revenue growth to ¥6.2 billion and rising net income to ¥433 million, but gross margins have compressed to ~22% and EBIT margins have slipped from ~11% to ~9.4%, signalling cost and competitive pressure. Cash flow (score 58) is the weakest link, with operating cash flow swinging from ¥560 million to ¥218 million before rebounding to ¥483 million, though free cash flow conversion of earnings remains near or above 0.9x over the full period.
Income Statement
62PositiveBalance Sheet
75PositiveCash Flow
58Neutral| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 5.06B | 6.19B | 5.97B | 5.66B | 5.48B | 5.19B |
| Gross Profit | 1.05B | 1.36B | 1.32B | 1.28B | 1.30B | 1.14B |
| EBITDA | 354.25M | 595.86M | 590.22M | 576.28M | 601.83M | 476.98M |
| Net Income | 220.41M | 432.75M | 413.67M | 388.59M | 401.54M | 403.60M |
Balance Sheet | ||||||
| Total Assets | ― | 5.70B | 5.90B | 6.14B | 5.77B | 5.59B |
| Cash, Cash Equivalents and Short-Term Investments | ― | 3.08B | 3.43B | 3.76B | 3.42B | 3.25B |
| Total Debt | ― | 0 | 400.00M | 600.67M | 601.81M | 652.96M |
| Total Liabilities | ― | 1.62B | 1.92B | 2.33B | 2.13B | 2.23B |
| Stockholders Equity | ― | 4.08B | 3.98B | 3.81B | 3.63B | 3.35B |
Cash Flow | ||||||
| Free Cash Flow | 0 | 479.53M | 172.90M | 543.94M | 340.29M | 551.74M |
| Operating Cash Flow | 0 | 483.35M | 217.54M | 549.42M | 344.76M | 560.00M |
| Investing Cash Flow | 0 | -603.83M | -95.17M | 1.71M | -4.46M | -7.75M |
| Financing Cash Flow | 0 | -735.77M | -444.90M | -214.65M | -170.08M | -120.27M |
Hip Corporation Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2136, the sentiment is Negative. The current price of 1372.00 is below the 20-day moving average (MA) of 1392.60, below the 50-day MA of 1408.32, and below the 200-day MA of 1452.19, indicating a bearish trend. The MACD of -11.23 indicates Positive momentum. The RSI at 40.95 is Neutral, neither overbought nor oversold. The STOCH value of 24.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2136.
Hip Corporation Peers Comparison
Overall Rating
JP:653984Outperform
JP:437772Outperform
JP:399171Outperform
JP:213663Neutral
JP:390059Neutral
JP:247150Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| 84Outperform | JPY 24.47B | 24.13 | ― | 5.72% | 1.27% | -2.58% | |
| 72Outperform | JPY 45.72B | 20.73 | ― | 1.01% | 41.09% | 72.01% | |
| 71Outperform | JPY 7.95B | 5.50 | ― | 2.39% | -8.80% | 33.17% | |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| 63Neutral | JPY 5.47B | 12.47 | ― | 5.09% | 2.88% | 3.07% | |
| 59Neutral | JPY 10.40B | -14.10 | ― | ― | 1.74% | -199.70% | |
| 50Neutral | JPY 18.25B | 14.56 | ― | 4.33% | -0.07% | -30.97% |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:2136 | Hip Corporation | 1376.00 | 10.19 | 0.75% | |
| JP:2471 | S-Pool, Inc. | 231.00 | -46.10 | -16.64% | |
| JP:3900 | CrowdWorks, Inc. | 657.00 | -171.00 | -20.65% | |
| JP:3991 | Wantedly, Inc. | 836.00 | -288.53 | -25.66% | |
| JP:4377 | ONE CAREER Inc. | 2480.00 | -23.76 | -0.95% | |
| JP:6539 | MATCHING SERVICE JAPAN CO.LTD. | 979.00 | 31.90 | 3.37% |
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: Aug 18, 2026