TipRanks
Go Ultimate55% OFF

Broadband Tower, Inc. (3776) AI Stock Analysis

0 Followers
JP:3776

Broadband Tower, Inc.

(TSE/TYO:3776)

Select Model
Rating:63Neutral
Price Target:JPY 216.00â–²(10.77% Upside)
Action:reiterated
Date:10/01/26

The score is primarily supported by improving operating performance and a significantly de-risked balance sheet, but is held back by thin margins and a notable deterioration in 2025 cash-flow generation versus 2024. Technically, the stock shows a solid uptrend, while valuation remains a key constraint due to the high P/E and only modest yield.

Positive Factors
Revenue RecoveryThe return to strong revenue growth indicates improving demand for Broadband Tower’s data center and cloud-related services. If sustained, expanding sales can improve operating leverage, support reinvestment in infrastructure, and strengthen the company’s ability to compete in enterprise IT services over the coming quarters.
Negative Factors
Thin Net MarginsVery thin and declining net margins leave limited room to absorb cost increases, weaker utilization, or execution setbacks. Even with revenue recovery, modest retained profit constrains internal investment and makes future earnings more sensitive to relatively small changes in operating performance.

Broadband Tower, Inc. (3776) vs. iShares MSCI Japan ETF (EWJ)

-20%0%20%40%60%80%JP:3776+13.69%EWJ+10.02%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 12.07B
Dividend Yield
1.54%
Average Volume (3M)
292.52K
Price to Earnings (P/E)
24.4
Beta (1Y)
0.88
Revenue Growth
-14.02%
EPS Growth
16.57%
Country
Japan
Employees
218
Sector
Communication Services
Sector Strength
60
Industry
Software - Services

Broadband Tower, Inc. Business Overview & Revenue Model

Company Description

BroadBand Tower, Inc., established in 2000 and headquartered in Tokyo, Japan, delivers a comprehensive suite of computer and media technology solutions platforms throughout the nation. The company's core services encompass data center management, inc...

Broadband Tower, Inc. Financial Statement Overview

Summary

Financials show a recovery: revenue growth accelerated in 2025 (~+15% YoY) and operating profit returned to positive territory in 2024–2025. The balance sheet is healthier with materially lower leverage (debt-to-equity down to ~0.27 in 2025). Offsetting this, profitability remains thin (2025 net margin ~2%, down vs 2024) and cash generation weakened in 2025 (free cash flow fell to ~¥0.51B from ~¥2.2B in 2024), indicating inconsistent cash-flow conversion.

Income Statement

62Positive

Balance Sheet

74Positive

Cash Flow

55Neutral
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue15.15B15.29B13.42B13.24B14.13B15.53B
Gross Profit3.30B3.23B3.18B2.55B2.75B3.34B
EBITDA1.43B1.53B1.67B1.08B1.50B1.12B
Net Income513.87M300.21M404.38M99.78M-391.99M-3.89M
Balance Sheet
Total Assets19.42B19.18B19.79B19.48B20.52B24.40B
Cash, Cash Equivalents and Short-Term Investments7.45B6.98B7.60B6.16B7.01B5.54B
Total Debt2.00B2.36B2.94B3.64B4.53B5.07B
Total Liabilities6.64B7.11B7.79B7.81B8.73B11.04B
Stockholders Equity9.16B8.78B8.66B8.31B8.21B9.49B
Cash Flow
Free Cash Flow0510.13M2.21B-66.42M631.56M498.53M
Operating Cash Flow01.34B2.76B737.38M1.81B1.60B
Investing Cash Flow0-1.67B-465.81M-415.22M275.90M-682.47M
Financing Cash Flow0-784.22M-857.46M-1.18B-622.11M-1.50B

Broadband Tower, Inc. Technical Analysis

Technical Analysis SentimentNegative
Last Price195.00

Price Trends

50DMA249.70Negative
100DMA256.61Negative
200DMA241.24Negative

Market Momentum

MACD-12.84Positive
RSI21.52Positive
STOCH7.55Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3776, the sentiment is Negative. The current price of 195.00 is below the 20-day moving average (MA) of 246.15, below the 50-day MA of 249.70, and below the 200-day MA of 241.24, indicating a bearish trend. The MACD of -12.84 indicates Positive momentum. The RSI at 21.52 is Positive, neither overbought nor oversold. The STOCH value of 7.55 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3776.

Broadband Tower, Inc. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (60)

Financial Indicators

JP:3776 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:3834JP:383477OutperformJPY 15.52B12.41―4.60%2.67%-25.50%
JP:3774JP:377471OutperformJPY 628.92B25.7716.03%1.14%18.71%10.65%
JP:9450JP:945070OutperformJPY 15.61B13.20―3.80%4.54%-17.49%
JP:9419JP:941967NeutralJPY 3.22B10.77――18.07%69.43%
JP:3776JP:377663NeutralJPY 12.50B24.41―1.54%-14.02%16.57%
Sector *60Neutral$48.67B4.58-11.27%4.14%2.83%-41.78%
JP:9424JP:942451NeutralJPY 17.27B23.53――17.19%-74.05%

* Communication Services Sector Average

Performance Comparison

-25%0%25%50%JP:3776JP:3774JP:3834JP:9419JP:9424JP:9450Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:3776 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:3776Broadband Tower, Inc.195.0021.5212.40%
JP:3774Internet Initiative Japan 3607.00783.5927.75%
JP:3834ASAHI Net, Inc.543.00-121.99-18.35%
JP:9419WirelessGate, Inc.291.0029.0011.07%
JP:9424Japan Communications Inc.96.00-41.00-29.93%
JP:9450Fibergate, Inc.710.0043.966.60%
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 01, 2026