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Japan System Techniques Co., Ltd. (JP:4323)
:4323
Japanese Market
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Japan System Techniques Co., Ltd. (4323) AI Stock Analysis

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JP:4323

Japan System Techniques Co., Ltd.

(4323)

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Outperform 76 (OpenAI - Gpt-5.6Sol)
Rating:76Outperform
Price Target:
¥2,096.00
▼(-16.86% Downside)
Action:Reiterated
Date:08/19/26
The score is driven primarily by strong financial performance—solid growth and margins, an extremely low-debt balance sheet, and healthy ROE—partly offset by weaker and more volatile recent cash-flow realization. Technicals are mixed with improving medium-term momentum but the stock still below the 200-day average. Valuation is reasonable with a supportive dividend yield.
Positive Factors
Steady Revenue Growth
Sustained top-line expansion indicates continuing demand for the company’s system development and IT services. A multi-year growth record supports recurring client relevance and provides a durable base for future operating leverage.
Negative Factors
Weaker Cash Conversion
Recent cash-flow deterioration and low cash-to-profit coverage indicate that earnings are not being converted into cash consistently. Working-capital timing or operating swings could constrain reinvestment and make financial performance less predictable.
Read all positive and negative factors
Positive Factors
Negative Factors
Steady Revenue Growth
Sustained top-line expansion indicates continuing demand for the company’s system development and IT services. A multi-year growth record supports recurring client relevance and provides a durable base for future operating leverage.
Read all positive factors

Japan System Techniques Co., Ltd. (4323) vs. iShares MSCI Japan ETF (EWJ)

Japan System Techniques Co., Ltd. Business Overview & Revenue Model

Company Description
Japan System Techniques Co., Ltd. engages in the software business in Japan and internationally. It operates through four segments: Digital Transformation and System Integration (DX&SI) Business, Package Business, Medical Big Data Business, and Gl...
How the Company Makes Money
null...

Japan System Techniques Co., Ltd. Financial Statement Overview

Summary
Fundamentals are strong: steady multi-year revenue growth and improving gross margin (~28.8% TTM) with healthy EBIT margin (~11.5% TTM). The balance sheet is exceptionally conservative with near-zero leverage (debt-to-equity ~0.3%) and strong ROE (~15% TTM). The main offset is cash-flow softness/volatility, with TTM free cash flow down meaningfully and weaker cash coverage (~0.32), tempering the otherwise high-quality profile.
Income Statement
82
Very Positive
Balance Sheet
91
Very Positive
Cash Flow
67
Positive
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue32.86B32.46B29.32B26.18B23.52B21.40B
Gross Profit9.47B9.56B8.27B7.27B6.38B5.69B
EBITDA4.14B4.27B3.56B3.08B2.64B2.16B
Net Income2.41B2.62B2.44B2.09B1.77B1.33B
Balance Sheet
Total Assets25.87B25.30B22.91B20.02B17.41B15.54B
Cash, Cash Equivalents and Short-Term Investments11.73B9.11B7.21B7.97B7.21B6.46B
Total Debt52.09M54.86M232.99M202.16M40.36M62.62M
Total Liabilities9.72B8.47B8.08B7.31B6.60B6.35B
Stockholders Equity16.04B16.75B14.76B12.66B10.77B9.16B
Cash Flow
Free Cash Flow2.39B2.97B1.64B1.39B976.24M1.08B
Operating Cash Flow2.47B3.03B1.76B1.89B1.07B1.16B
Investing Cash Flow103.17M53.03M-1.98B-761.48M-541.66M-80.91M
Financing Cash Flow-1.15B-1.04B-599.35M-424.08M-280.82M486.86M

Japan System Techniques Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2521.00
Price Trends
50DMA
1816.06
Positive
100DMA
1815.18
Positive
200DMA
2028.62
Negative
Market Momentum
MACD
35.57
Positive
RSI
58.13
Neutral
STOCH
71.54
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4323, the sentiment is Positive. The current price of 2521 is above the 20-day moving average (MA) of 1902.15, above the 50-day MA of 1816.06, and above the 200-day MA of 2028.62, indicating a neutral trend. The MACD of 35.57 indicates Positive momentum. The RSI at 58.13 is Neutral, neither overbought nor oversold. The STOCH value of 71.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4323.

Japan System Techniques Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
¥87.88B17.9930.58%3.53%15.67%23.19%
82
Outperform
¥48.44B12.908.44%2.73%5.27%11.84%
82
Outperform
¥32.85B12.642.93%10.84%11.95%
81
Outperform
¥83.62B14.032.41%20.97%44.36%
79
Outperform
¥31.67B14.994.58%8.18%35.49%
76
Outperform
¥48.76B20.041.50%9.28%-6.81%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4323
Japan System Techniques Co., Ltd.
1,957.00
-107.01
-5.18%
JP:4828
Business Engineering Corporation
1,443.00
257.29
21.70%
JP:4719
Alpha Systems Inc.
3,470.00
-99.15
-2.78%
JP:3771
System Research Co., Ltd.
1,951.00
-43.31
-2.17%
JP:9629
PCA Corporation
1,666.00
-196.50
-10.55%
JP:9692
Computer Engineering & Consulting Ltd.
2,541.00
358.44
16.42%

Japan System Techniques Co., Ltd. Corporate Events

Japan System Techniques Sees Profit Slump in Q1 but Keeps Full-Year Outlook and Higher Dividend Plan
Aug 13, 2026
Japan System Techniques reported first-quarter consolidated net sales of ¥7,437 million, up 5.6% year on year, but operating profit fell 21.0% to ¥390 million and profit attributable to owners of parent dropped 64.8% to ¥113 million...
Japan System Techniques Delivers Record Q1 Sales but Profit Hit by One-Off Costs
Aug 13, 2026
Japan System Techniques reported record first-quarter net sales of ¥7,437 million for FY2027.3, up 5.6% year on year, with growth across all segments led by its DX SI and Medical Big Data businesses. Despite the top-line expansion, operating...
Japan System Techniques Reports Initial Progress on Share Buyback Program
Aug 3, 2026
Japan System Techniques Co., Ltd. has disclosed the progress of its ongoing share repurchase program, reporting the buyback of 112,900 common shares for a total of ¥205,875,400 between July 1 and July 31, 2026, through market purchases on the...
Japan System Techniques Clarifies Legal Basis for Share Buyback Resolution
Jun 30, 2026
Japan System Techniques Co., Ltd. has issued a correction to its previously announced notice regarding a planned stock repurchase approved by its Board of Directors. The update clarifies that the repurchase will be conducted in accordance with the...
Japan System Techniques Launches Up to ¥2.5 Billion Share Buyback Under Medium-Term Plan
Jun 26, 2026
Japan System Techniques Co., Ltd. has approved a substantial share buyback as part of its FY2026–FY2028 medium-term management plan, prioritizing improved cost of capital and capital efficiency while maintaining a balance between growth inve...
Japan System Techniques to Add Funds to Board Restricted Stock Trust
Jun 26, 2026
Japan System Techniques Co., Ltd. has approved an additional contribution to its Board Benefit Trust-Restricted Stock program, a stock-based compensation scheme for directors. The move underscores the company’s ongoing use of equity incentiv...
JAST Details Major Affiliated Shareholders and Affirms Independence
Jun 26, 2026
Japan System Techniques Co., Ltd. is a Japanese IT company listed on the Tokyo Stock Exchange Prime Market under code 4323, providing systems development and technology solutions with a diversified shareholder base that includes financial and stra...
Japan System Techniques Reaffirms Leadership and Governance Team After Shareholders Meeting
Jun 26, 2026
Japan System Techniques Co., Ltd. has reaffirmed stability in its top management by reappointing President and CEO Taku Hirabayashi and several key directors, including senior managing and executive officers, as well as external directors, followi...
Japan System Techniques Lifts Profits and Dividends on Solid FY2026 Results
May 28, 2026
Japan System Techniques reported strong results for the fiscal year ended March 31, 2026, with consolidated net sales rising 10.7% to ¥32.46 billion and operating profit up 22.7% to ¥3.91 billion. Profit attributable to owners of parent ...
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 19, 2026