TechMatrix (3762) AI Stock Analysis

• Market Cap: $86.88B
• Dividend Yield: 1.37%
• Average Volume (3M): 175.91K
• Price to Earnings (P/E): 21.0
• Beta (1Y): 0.77
• Revenue Growth: 20.49%
• EPS Growth: 12.95%
• Country: JP
• Employees: 1,502
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 21.31
• Shares Outstanding: 44,518,400
• 10 Day Avg. Volume: 190,370
• 30 Day Avg. Volume: 175,906
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.84
• Enterprise Value/Revenue: 1.13
• Enterprise Value/Gross Profit: 3.55
• Enterprise Value/Ebitda: 8.52
• 1Y Price Target: $2,349.69
• Price Target Upside: 7.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ¥2,349.00 ▲(7.46% Upside)

TechMatrix's strong financial performance is the primary driver of its overall score, supported by solid revenue growth and profitability. However, technical indicators suggest potential resistance and bearish momentum, which slightly offsets the financial strengths. The valuation is moderate, with a focus on growth rather than income.

TechMatrix Business Overview & Revenue Model

Company Description

TechMatrix Corporation engages in the information infrastructure and application service business in Japan. It offers information infrastructure solutions in the green information technology (IT), virtualization, next-generation networks, security and storage, and other related fields; and IT services, which include lifecycle of systems comprising the maintenance, operation, and monitoring services. The company also provides various application services, such as systems development, cloud, test, process analysis, design, software development and integration, and operation and maintenance services, as well as application packages to healthcare, CRM, Internet services, finance, and software quality control markets. In addition, it offers network solutions, SDN, storage products, IT security products, and temporary dispatch and employee placement services for IT technicians; and system development and training services for skill-development of IT technicians. The company was formerly known as Nichimen Data Systems Co., Ltd. and changed its name to TechMatrix Corporation in November 2000. TechMatrix Corporation was founded in 1984 and is headquartered in Tokyo, Japan.

How the Company Makes Money

TechMatrix generates revenue through a diversified business model that includes software licensing, subscription services, and professional IT consulting. A significant portion of the company's earnings comes from licensing its proprietary software solutions to businesses that require robust IT systems for operations management, customer relationship management, and data analytics. Additionally, TechMatrix offers subscription-based services for cloud computing and data storage, providing clients with scalable solutions that adapt to their evolving needs. The company also earns through IT consulting services, where it helps businesses in implementing and optimizing their IT infrastructure and digital strategies. Strategic partnerships with leading technology providers further enhance TechMatrix's offerings, enabling it to deliver comprehensive and integrated solutions to its clients.

TechMatrix Financial Statement Overview

Summary

TechMatrix demonstrates impressive financial health with strong revenue growth, profitability, and efficient operational management. The balance sheet is solid with low leverage and high return on equity, and consistent cash flow generation underscores robust financial operations.

Income Statement

TechMatrix has shown strong revenue growth over the years, with a notable increase of 21.73% from 2024 to 2025. The company maintains healthy gross profit and net profit margins, standing at 31.68% and 6.26% respectively for the latest period. EBIT and EBITDA margins are also robust at 10.78% and 14.45%, signaling efficient operational management.

Balance Sheet

The balance sheet is solid, with a low debt-to-equity ratio of 0.23 indicating prudent financial leverage. The return on equity is strong at 16.78%, demonstrating effective use of equity capital. An equity ratio of 22.96% suggests a stable financial foundation with an adequate portion of assets financed by equity.

Cash Flow

TechMatrix reports a positive free cash flow growth rate over the years, underscoring its ability to generate cash. The operating cash flow to net income ratio is 1.68, reflecting efficient cash conversion from earnings. Free cash flow to net income ratio is also favorable at 1.51, indicating strong cash flow relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	64.88B	64.88B	53.30B	45.95B	36.51B	30.93B
Gross Profit	20.55B	20.55B	18.20B	16.37B	12.46B	11.22B
EBITDA	8.57B	9.38B	8.19B	7.50B	5.69B	5.16B
Net Income	4.06B	4.06B	3.54B	2.95B	2.37B	2.30B
Balance Sheet
Total Assets	105.44B	105.44B	85.76B	65.69B	52.50B	40.00B
Cash, Cash Equivalents and Short-Term Investments	27.33B	27.33B	27.27B	20.07B	18.16B	14.63B
Total Debt	5.60B	5.60B	4.17B	4.65B	3.50B	4.62B
Total Liabilities	75.44B	75.44B	58.71B	41.77B	32.30B	23.64B
Stockholders Equity	24.21B	24.21B	21.74B	18.97B	17.02B	14.84B
Cash Flow
Free Cash Flow	0.00	6.15B	7.97B	4.75B	4.73B	2.88B
Operating Cash Flow	0.00	6.84B	8.98B	6.35B	5.28B	3.52B
Investing Cash Flow	0.00	-5.96B	-1.94B	-3.13B	195.69M	-841.31M
Financing Cash Flow	0.00	-799.03M	147.56M	-1.30B	-1.96B	-1.79B

TechMatrix Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2186.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3762, the sentiment is Positive. The current price of 2186 is above the 20-day moving average (MA) of 2068.50, above the 50-day MA of 2094.66, and above the 200-day MA of 2154.36, indicating a bullish trend. The MACD of 20.51 indicates Negative momentum. The RSI at 66.04 is Neutral, neither overbought nor oversold. The STOCH value of 85.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3762.

TechMatrix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9889	80 Outperform	¥94.09B	17.72	19.03%	2.75%	4.72%	37.65%
7595	79 Outperform	¥87.28B	3.82	―	8.64%	8.30%	2.23%
3636	76 Outperform	¥83.91B	16.23	7.40%	3.02%	1.06%	-0.20%
4674	75 Outperform	¥68.05B	15.91	14.30%	2.47%	9.98%	13.52%
3762	73 Outperform	$86.88B	20.95	18.47%	1.37%	20.49%	12.95%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%