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Recomm Co., Ltd. (JP:3323)
:3323
Japanese Market
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Recomm Co., Ltd. (3323) AI Stock Analysis

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JP:3323

Recomm Co., Ltd.

(3323)

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Neutral 53 (OpenAI - Gpt-5.6Sol)
Rating:53Neutral
Price Target:
¥96.00
▲(21.52% Upside)
Action:Reiterated
Date:08/11/26
The score is primarily constrained by weakening financial quality—negative operating/free cash flow and higher leverage despite strong revenue growth and positive (but thin) margins. Technicals are supportive in the short-to-medium term (price above key shorter moving averages and positive MACD), but the elevated RSI and price below the 200-day average limit the technical score. Valuation is middling due to a high P/E and modest yield.
Positive Factors
Revenue Growth
Sustained revenue expansion indicates continued demand and business scale-up. If maintained, this growth can broaden the company’s customer base and improve operating leverage over the medium term.
Negative Factors
Negative Cash Flow
Negative operating and free cash flow reduce the company’s ability to self-fund growth, dividends, or debt repayment. If the weak run-rate persists, reliance on external financing could increase and constrain strategic flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth
Sustained revenue expansion indicates continued demand and business scale-up. If maintained, this growth can broaden the company’s customer base and improve operating leverage over the medium term.
Read all positive factors

Recomm Co., Ltd. (3323) vs. iShares MSCI Japan ETF (EWJ)

Recomm Co., Ltd. Business Overview & Revenue Model

Company Description
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Recomm Co., Ltd. Financial Statement Overview

Summary
Strong TTM revenue growth (+16.23%) is offset by thin profitability (TTM operating margin ~3.3%, net margin ~1.5%), rising leverage (debt/equity ~1.29x), and a sharp deterioration in cash generation (TTM operating cash flow ~-0.9B and free cash flow ~-1.0B). The negative cash flow and higher debt materially increase financial risk.
Income Statement
61
Positive
Balance Sheet
52
Neutral
Cash Flow
38
Negative
BreakdownTTMSep 2025Sep 2024Sep 2023Sep 2022Sep 2021
Income Statement
Total Revenue15.62B13.09B11.69B9.51B8.92B6.63B
Gross Profit3.48B2.95B2.70B2.29B2.46B2.31B
EBITDA821.14M695.98M240.64M343.91M545.94M532.65M
Net Income226.59M196.72M83.94M314.85M351.54M-316.52M
Balance Sheet
Total Assets16.94B12.70B12.65B10.84B9.24B8.25B
Cash, Cash Equivalents and Short-Term Investments2.67B2.68B2.98B2.63B2.71B2.99B
Total Debt7.55B4.86B4.83B3.51B2.48B2.13B
Total Liabilities10.52B7.29B7.35B5.89B4.60B4.07B
Stockholders Equity5.84B5.05B4.96B4.69B4.33B3.68B
Cash Flow
Free Cash Flow-1.05B259.31M787.38M-147.06M197.12M373.42M
Operating Cash Flow-907.18M472.01M841.61M-104.76M266.45M391.47M
Investing Cash Flow-898.93M-332.63M-1.35B-843.76M-536.57M-242.43M
Financing Cash Flow1.74B-443.06M816.51M876.37M-262.07M-558.73M

Recomm Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price79.00
Price Trends
50DMA
78.12
Positive
100DMA
79.13
Positive
200DMA
86.18
Positive
Market Momentum
MACD
4.93
Negative
RSI
65.03
Neutral
STOCH
61.08
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3323, the sentiment is Positive. The current price of 79 is below the 20-day moving average (MA) of 85.20, above the 50-day MA of 78.12, and below the 200-day MA of 86.18, indicating a bullish trend. The MACD of 4.93 indicates Negative momentum. The RSI at 65.03 is Neutral, neither overbought nor oversold. The STOCH value of 61.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3323.

Recomm Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
¥17.42B14.243.53%2.67%-25.50%
72
Outperform
¥418.44B24.4116.96%1.49%6.44%8.66%
69
Neutral
¥8.95B10.603.85%-2.97%-6.79%
66
Neutral
¥51.29B11.122.63%6.10%29.54%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
53
Neutral
¥7.84B33.821.23%16.67%17.32%
51
Neutral
¥19.62B28.9221.77%-25.14%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3323
Recomm Co., Ltd.
95.00
-5.69
-5.65%
JP:9449
GMO Internet
4,129.00
244.51
6.29%
JP:3834
ASAHI Net, Inc.
623.00
-53.90
-7.96%
JP:9416
Vision, Inc. ( Japan)
1,040.00
-156.79
-13.10%
JP:9424
Japan Communications Inc.
115.00
-41.00
-26.28%
JP:9445
Forval Telecom, Inc.
535.00
-2.60
-0.48%

Recomm Co., Ltd. Corporate Events

Recomm Unveils FY 2026 Q3 Results and Strategic Outlook
Aug 7, 2026
Recomm Co., Ltd. has released materials for its FY 2026/9 third-quarter financial results briefing, outlining performance for the cumulative period and providing an overview of its current fiscal standing. The document also presents the company&#8...
Recomm Posts Strong Q3 Earnings and Maintains Bullish FY 2026 Outlook
Aug 7, 2026
Recomm Co., Ltd. reported strong consolidated results for the third quarter of FY 2026/9, with revenue rising 25.5% year on year to ¥12.43 billion and operating profit climbing 62.8% to ¥463 million, supported by a 50.1% increase in EBIT...
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: Aug 11, 2026