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System Support, Inc. (4396) AI Stock Analysis

JP:4396

System Support, Inc.

(TSE/TYO:4396)

Select Model
Rating:86Outperform
Price Target:JPY 1,801.00â–²(19.51% Upside)
Action:reiterated
Date:08/17/26

The overall score of 86 is primarily driven by System Support's exceptional fundamental health and attractive valuation. The most impactful strengths are its consistent revenue growth, steady margin expansion, and strong cash generation. A reasonable P/E ratio and solid dividend yield further support the stock's appeal. From a technical perspective, the stock is in a strong bullish uptrend, though investors should be mindful of short-term overbought signals.

Positive Factors
Improving profitabilityExpanding gross, operating, and net margins indicate improving profitability across the business rather than simple reliance on revenue growth. If maintained, stronger margins can support reinvestment, improve earnings resilience, and provide greater flexibility through the next several quarters.
Negative Factors
Uneven revenue growthThe sharp slowdown in FY2025 followed by renewed growth in FY2026 shows that revenue expansion is not consistently smooth. Demand cadence or project timing may create variability, making forward earnings less predictable even though the longer-term revenue trend remains positive.

System Support, Inc. (4396) vs. iShares MSCI Japan ETF (EWJ)

-40%-30%-20%-10%0%10%20%30%JP:4396+3.19%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 31.06B
Dividend Yield
2.12%
Average Volume (3M)
103.98K
Price to Earnings (P/E)
16.6
Beta (1Y)
0.71
Revenue Growth
15.42%
EPS Growth
27.83%
Country
Japan
Employees
1,992
Sector
Technology
Sector Strength
61
Industry
Information Technology Services

System Support, Inc. Business Overview & Revenue Model

Company Description

Operating both in Japan and internationally, System Support Inc. delivers a comprehensive suite of IT services. The company develops and implements various specialized software solutions, such as Tate Yakusha for managing construction project data, S...

System Support, Inc. Financial Statement Overview

Summary

System Support, Inc. shows outstanding financial health characterized by exceptional top-line and bottom-line growth, and steady margin expansion. The company maintains a highly conservative balance sheet with low leverage and an impressive return on equity, paired with excellent cash generation and high-quality earnings conversion.

Income Statement

90Very Positive

Balance Sheet

88Very Positive

Cash Flow

85Very Positive
Financial statement breakdown
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue31.09B31.09B26.94B22.03B19.27B16.20B
Gross Profit9.13B9.13B7.50B6.09B5.23B4.34B
EBITDA3.28B3.26B2.54B2.01B1.66B1.38B
Net Income1.87B1.87B1.46B1.22B1.01B785.69M
Balance Sheet
Total Assets16.34B16.34B13.66B9.93B8.87B7.82B
Cash, Cash Equivalents and Short-Term Investments6.98B6.98B5.84B4.25B3.57B3.25B
Total Debt2.72B2.72B1.99B1.06B1.21B1.21B
Total Liabilities9.15B9.15B7.64B4.87B4.75B4.39B
Stockholders Equity7.19B7.19B6.01B5.06B4.12B3.42B
Cash Flow
Free Cash Flow02.23B2.11B1.32B901.40M913.58M
Operating Cash Flow02.36B2.38B1.47B1.07B1.01B
Investing Cash Flow0-1.16B-792.60M-419.54M-324.49M-274.70M
Financing Cash Flow0-299.26M-4.83M-513.24M-462.04M-240.62M

System Support, Inc. Technical Analysis

Technical Analysis SentimentPositive
Last Price1507.00

Price Trends

50DMA1404.20Positive
100DMA1232.80Positive
200DMA1208.18Positive

Market Momentum

MACD47.18Negative
RSI59.93Neutral
STOCH45.00Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4396, the sentiment is Positive. The current price of 1507.00 is above the 20-day moving average (MA) of 1459.10, above the 50-day MA of 1404.20, and above the 200-day MA of 1208.18, indicating a bullish trend. The MACD of 47.18 indicates Negative momentum. The RSI at 59.93 is Neutral, neither overbought nor oversold. The STOCH value of 45.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4396.

System Support, Inc. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:4396 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:4396JP:439686OutperformJPY 31.32B16.64―2.12%15.42%27.83%
JP:2349JP:234983OutperformJPY 27.59B10.79―1.17%5.65%7.73%
JP:4072JP:407281OutperformJPY 35.53B11.20―3.04%11.79%55.44%
JP:4725JP:472573OutperformJPY 33.35B9.3310.39%5.06%3.46%6.90%
JP:2359JP:235972OutperformJPY 28.54B9.69―3.00%10.18%22.45%
JP:3393JP:339371OutperformJPY 31.07B12.12―5.04%7.10%31.29%
Sector *61Neutral$37.18B12.37-10.20%1.83%8.50%-7.62%

* Technology Sector Average

Performance Comparison

-20%0%20%JP:4396JP:4725JP:2349JP:2359JP:3393JP:4072Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:4396 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:4396System Support, Inc.1507.0024.621.66%
JP:4725CAC Holdings Corporation1975.00-52.01-2.57%
JP:2349Nippon Information Development Co., Ltd.2484.00230.2410.22%
JP:2359Core Corporation2003.00-4.16-0.21%
JP:3393Startia Holdings,Inc.3135.00520.6219.91%
JP:4072Densan System Holdings Co. Ltd.3290.00-167.86-4.85%
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 17, 2026