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GAKUJO Co., Ltd. (2301) AI Stock Analysis

2 Followers
JP:2301

GAKUJO Co., Ltd.

(TSE/TYO:2301)

Select Model
Rating:77Outperform
Price Target:JPY 1,780.00â–²(10.90% Upside)
Action:reiterated
Date:11/07/26

The score is driven primarily by strong financial quality (high margins, debt-free balance sheet, and strong free cash flow) and supportive valuation (low P/E and high dividend yield). These positives are tempered by weak technical conditions, with the stock trading below key moving averages and bearish momentum indicators.

Positive Factors
High profitabilityThe company converts revenue into substantial gross, operating, and net profit, indicating an economically attractive service model. These margins provide room to fund hiring, technology, and customer acquisition while offering a durable buffer if employment demand or pricing becomes less favorable.
Negative Factors
Slower recent revenue growthThe longer-term revenue trajectory is positive, but the latest slowdown suggests that expansion has lost some momentum after several years of growth. If this persists, operating leverage may be harder to realize and the company may have fewer opportunities to scale profit faster than its cost base.

GAKUJO Co., Ltd. (2301) vs. iShares MSCI Japan ETF (EWJ)

-10%-5%0%5%10%15%20%25%JP:2301+5.97%EWJ+14.42%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 21.19B
Dividend Yield
4.67%
Average Volume (3M)
135.13K
Price to Earnings (P/E)
11.2
Beta (1Y)
0.52
Revenue Growth
7.88%
EPS Growth
5.28%
Country
Japan
Employees
392
Sector
Industrials
Sector Strength
63
Industry
Staffing & Employment Services

GAKUJO Co., Ltd. Business Overview & Revenue Model

Company Description

Gakujo Co., Ltd. delivers extensive human resources and talent acquisition solutions throughout Japan. The firm's offerings encompass a broad spectrum of services, including dedicated recruitment assistance for both recent graduates and seasoned prof...

How the Company Makes Money

GAKUJO makes money mainly by providing recruiting-related services that help client companies attract and hire students/young talent and by offering related career-support services to individual users. Key revenue streams typically include (1) fees f...

GAKUJO Co., Ltd. Financial Statement Overview

Summary

Strong overall fundamentals supported by high profitability (gross ~63%, operating ~24%, net ~17%), a debt-free balance sheet, and robust free cash flow (FCF ~99% of net income; FCF up ~56% YoY). The main constraint is moderation versus the prior year (slower revenue growth ~3% and softer margins/returns vs 2024) and some historical cash conversion variability.

Income Statement

82Very Positive

Balance Sheet

91Very Positive

Cash Flow

84Very Positive
Financial statement breakdown
BreakdownTTMOct 2025Oct 2024Oct 2023Oct 2022Oct 2021
Income Statement
Total Revenue11.64B11.02B10.73B8.78B6.77B6.22B
Gross Profit7.74B6.89B6.92B5.72B4.38B4.06B
EBITDA2.81B2.63B2.87B2.46B1.75B1.96B
Net Income1.91B1.89B2.23B1.75B1.40B1.38B
Balance Sheet
Total Assets15.99B17.11B16.74B15.61B13.81B13.53B
Cash, Cash Equivalents and Short-Term Investments5.74B6.18B6.05B4.68B4.56B5.79B
Total Debt000000
Total Liabilities1.56B2.23B2.26B2.34B1.58B1.61B
Stockholders Equity14.43B14.88B14.48B13.27B12.23B11.91B
Cash Flow
Free Cash Flow01.89B1.38B2.24B1.48B1.67B
Operating Cash Flow01.90B1.63B2.28B1.49B1.69B
Investing Cash Flow0368.45M177.71M-675.34M-1.42B-398.21M
Financing Cash Flow0-1.51B-1.26B-682.46M-793.09M-684.93M

GAKUJO Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price1605.00

Price Trends

50DMA1664.50Negative
100DMA1623.91Negative
200DMA1624.60Negative

Market Momentum

MACD-21.17Positive
RSI42.35Neutral
STOCH26.94Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2301, the sentiment is Negative. The current price of 1605.00 is below the 20-day moving average (MA) of 1642.44, below the 50-day MA of 1664.50, and below the 200-day MA of 1624.60, indicating a bearish trend. The MACD of -21.17 indicates Positive momentum. The RSI at 42.35 is Neutral, neither overbought nor oversold. The STOCH value of 26.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2301.

GAKUJO Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:2301 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6539JP:653984OutperformJPY 24.12B24.25―5.73%1.27%-2.58%
JP:2301JP:230177OutperformJPY 22.66B11.19―4.67%7.88%5.28%
JP:4377JP:437772OutperformJPY 44.60B19.45―1.06%41.09%72.01%
JP:3991JP:399169NeutralJPY 7.37B5.26―2.53%-8.80%33.17%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:3900JP:390052NeutralJPY 9.55B-12.85――1.74%-199.70%
JP:4433JP:443343NeutralJPY 13.65B81.52―4.91%-2.31%-80.42%

* Industrials Sector Average

Performance Comparison

-20%0%JP:2301JP:3900JP:3991JP:4377JP:4433JP:6539Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:2301 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:2301GAKUJO Co., Ltd.1605.0092.366.11%
JP:3900CrowdWorks, Inc.601.00-273.00-31.24%
JP:3991Wantedly, Inc.790.00-355.08-31.01%
JP:4377ONE CAREER Inc.2363.00-201.27-7.85%
JP:4433HITO-Communications Holdings, Inc.764.00-213.41-21.83%
JP:6539MATCHING SERVICE JAPAN CO.LTD.978.0026.172.75%

GAKUJO Co., Ltd. Corporate Events

GAKUJO Nears Completion of ¥650 Million Share Buyback Program

Oct 5, 2026

GAKUJO Co., Ltd. has completed a share buyback authorized by its board on June 8, 2026, acquiring 10,900 shares for about 19 million yen via market purchases on the Tokyo Stock Exchange between October 1 and 2, 2026. This transaction forms part of a...

GAKUJO Nears Completion of Board-Approved Share Buyback Program

Oct 1, 2026

GAKUJO Co., Ltd. has been executing a board-approved share repurchase program under the Companies Act, focusing on acquiring its own common shares through market purchases on the Tokyo Stock Exchange. The initiative reflects an effort to adjust its c...

GAKUJO outlines third-quarter FY2026 results and shareholder distributions

Sep 14, 2026

GAKUJO Co., Ltd. has released summary briefing materials on its financial results and shareholder distributions for the third quarter of the fiscal year ending October 2026. The disclosure signals continued engagement with investors through regular p...

GAKUJO Lifts Nine-Month Earnings and Confirms Higher Payout for FY2026

Sep 14, 2026

GAKUJO Co., Ltd. reported non-consolidated net sales of ¥7.68 billion for the nine months ended July 31, 2026, an 8.8% year-on-year increase, with operating profit up 13.7% to ¥964 million and profit edging up 2.0% to ¥784 million, lifting basic earn...

Gakujo Advances Share Buyback Program on Tokyo Stock Exchange

Sep 1, 2026

Gakujo Co., Ltd. has been repurchasing its own shares under a Board-approved program based on provisions of the Companies Act. The company is executing these buybacks via market purchases on the Tokyo Stock Exchange as part of a broader capital manag...

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: Nov 07, 2026