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SYS Holdings Co. Ltd.
(3988)
Select Model
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Rating:74Outperform
Price Target:
¥627.00
▲(7.00% Upside)
Action:Reiterated
Date:09/15/26
The score is driven primarily by solid financial performance (strong top-line growth and generally healthy balance sheet), tempered by modest margins and some volatility in cash flow/debt. Technicals are mildly bullish with price above key moving averages and balanced momentum. Valuation is supportive with a moderate P/E and a modest dividend yield.
Positive Factors
Strong Revenue Growth
Sustained revenue expansion indicates that SYS Holdings continues to win and deliver IT-services work across its corporate customer base. Continued growth supports scale, engineer utilization, and reinvestment capacity, helping preserve business momentum over the next several quarters.
Negative Factors
Modest Net Margins
Low-single-digit net margins leave limited room to absorb higher costs, weaker project economics, or changes in customer demand. Even with strong revenue growth, modest profitability can constrain retained earnings and make sustained earnings expansion more dependent on continued volume growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Growth
Sustained revenue expansion indicates that SYS Holdings continues to win and deliver IT-services work across its corporate customer base. Continued growth supports scale, engineer utilization, and reinvestment capacity, helping preserve business momentum over the next several quarters.
Read all positive factors
SYS Holdings Co. Ltd. (3988) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥5.94B
Dividend Yield1.45%
Average Volume (3M)6.49K
Price to Earnings (P/E)10.7
Beta (1Y)0.23
Revenue Growth11.55%
EPS Growth28.84%
CountryJP
Employees1,669
SectorGeneral
Sector StrengthN/A
IndustryInformation Technology Services
Share Statistics
EPS (TTM)43.99
Shares Outstanding10,630,995
10 Day Avg. Volume11,530
30 Day Avg. Volume6,490
Financial Highlights & Ratios
PEG Ratio0.36
Price to Book (P/B)1.37
Price to Sales (P/S)0.37
P/FCF Ratio18.74
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
SYS Holdings Co. Ltd. Business Overview & Revenue Model
Company Description
SYS Holdings Co., Ltd. engages in the software development and solutions business. It operates through the single segment: Comprehensive Information Services. The Comprehensive Information Services segment provides three solutions such as global m...
How the Company Makes Money
SYS Holdings primarily earns revenue by providing IT services to corporate customers. Key revenue streams typically include: (1) contract/project-based system development and related IT solution work, where the company charges customers based on p...
SYS Holdings Co. Ltd. Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
73
Positive
Cash Flow
70
Positive
| Breakdown | TTM | Jul 2026 | Jul 2025 | Jul 2024 | Jul 2023 | Jul 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 15.45B | 15.67B | 14.05B | 12.40B | 10.52B | 7.58B |
| Gross Profit | 3.38B | 3.46B | 3.11B | 2.79B | 2.38B | 1.69B |
| EBITDA | 1.01B | 785.36M | 935.00M | 946.89M | 755.14M | 536.20M |
| Net Income | 464.21M | 548.52M | 423.00M | 471.62M | 370.24M | 305.98M |
Balance Sheet | ||||||
| Total Assets | 8.22B | 8.18B | 7.91B | 6.61B | 6.30B | 4.37B |
| Cash, Cash Equivalents and Short-Term Investments | 4.44B | 4.28B | 4.47B | 3.54B | 3.49B | 2.74B |
| Total Debt | 1.65B | 734.54M | 1.94B | 1.22B | 1.61B | 491.20M |
| Total Liabilities | 4.18B | 3.94B | 4.16B | 3.25B | 3.39B | 1.82B |
| Stockholders Equity | 4.04B | 4.24B | 3.75B | 3.36B | 2.91B | 2.55B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 309.40M | 384.00M | 601.13M | 387.42M | 255.24M |
| Operating Cash Flow | 0.00 | 635.76M | 564.00M | 721.02M | 436.52M | 303.61M |
| Investing Cash Flow | 0.00 | -422.35M | -330.00M | -246.02M | -401.58M | 33.31M |
| Financing Cash Flow | 0.00 | -513.22M | 560.00M | -469.35M | 593.33M | -52.15M |
SYS Holdings Co. Ltd. Technical Analysis
Neutral
586.00
Price Trends
553.58
Negative
541.19
Positive
543.60
Positive
Market Momentum
1.48
Positive
45.95
Neutral
48.51
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3988, the sentiment is Neutral. The current price of 586 is above the 20-day moving average (MA) of 558.95, above the 50-day MA of 553.58, and above the 200-day MA of 543.60, indicating a neutral trend. The MACD of 1.48 indicates Positive momentum. The RSI at 45.95 is Neutral, neither overbought nor oversold. The STOCH value of 48.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3988.
SYS Holdings Co. Ltd. Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
83 Outperform | ¥27.46B | 10.96 | ― | 1.15% | 5.65% | 7.73% | |
83 Outperform | ¥7.14B | 8.66 | ― | 4.09% | 6.01% | 7.32% | |
76 Outperform | ¥152.93B | 13.18 | ― | 4.03% | 10.67% | 23.70% | |
76 Outperform | ¥6.02B | 16.21 | ― | 2.75% | -2.56% | -7.81% | |
74 Outperform | ¥5.94B | 10.66 | ― | 1.45% | 11.55% | 28.84% | |
71 Outperform | ¥27.68B | 14.58 | ― | 2.42% | 15.42% | 27.83% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
JP:3988
SYS Holdings Co. Ltd.
553.00
-30.37
-5.21%
JP:2317
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JP:3940
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JP:4396
System Support, Inc.
1,323.00
-281.09
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Showa System Engineering Corporation
1,614.00
6.92
0.43%
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.