Computer Management Co., Ltd. (4491) AI Stock Analysis

Computer Management Co., Ltd.

(TSE/TYO:4491)

Select Model

Rating:68Neutral

Price Target:JPY 3,325.00▲(14.42% Upside)

Action:downgraded

Date:09/30/26

The company's strong financial performance, highlighted by a debt-free balance sheet and improving profitability, is the primary driver of the score. However, the stock is currently under technical pressure, trading below key moving averages with bearish momentum. The low P/E ratio offers valuation support, suggesting the market may be undervaluing the company's stable fundamentals.

Positive Factors

Steady revenue growth with re-accelerationA multi-year revenue increase, followed by renewed acceleration in the latest annual period, indicates continued customer demand and business expansion. This supports a durable base for future earnings growth, while giving the company more opportunities to scale its IT services and deepen customer relationships.

Negative Factors

Uneven operating cash flowUneven operating cash flow makes the timing of internally generated funds less predictable, even when reported profits are positive. This can complicate working-capital management and reduce confidence that accounting earnings will translate into consistently available cash for investment or distributions.

Computer Management Co., Ltd. (4491) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 5.92B
Dividend Yield: 2.06%
Average Volume (3M): 3,133
Price to Earnings (P/E): 10.6
Beta (1Y): 0.48
Revenue Growth: 6.46%
EPS Growth: 38.58%
Country: Japan
Employees: 754
Sector: General
Sector Strength: 55
Industry: Software - Application

Computer Management Co., Ltd. Business Overview & Revenue Model

Company Description

Computer Management Co., Ltd. delivers a comprehensive array of IT support and solution services. The company's offerings span custom system development, with specialized expertise in financial and medical applications, as well as providing extensive...

How the Company Makes Money

Computer Management Co., Ltd. primarily generates revenue by delivering IT services under customer contracts. Key revenue streams generally include: (1) System integration/project delivery fees earned from planning, building, and deploying systems (e...

Computer Management Co., Ltd. Financial Statement Overview

Summary

The company demonstrates solid financial health with a debt-free balance sheet, consistent revenue growth, and expanding margins. The income statement shows improving profitability, the balance sheet is exceptionally strong with zero debt, and cash flow remains positive despite a recent dip. Overall, a stable and well-managed financial profile.

Income Statement

78Positive

Balance Sheet

92Very Positive

Cash Flow

75Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	8.43B	8.24B	7.90B	7.19B	6.93B	6.49B
Gross Profit	2.27B	2.17B	2.01B	1.76B	1.67B	1.51B
EBITDA	732.03M	655.09M	555.30M	452.00M	494.28M	507.62M
Net Income	557.92M	511.81M	397.89M	327.41M	337.66M	353.22M
Balance Sheet
Total Assets	6.07B	5.73B	5.22B	4.84B	4.35B	4.02B
Cash, Cash Equivalents and Short-Term Investments	3.71B	3.54B	3.30B	2.91B	2.58B	2.32B
Total Debt	0	0	0	0	0	0
Total Liabilities	1.76B	1.58B	1.64B	1.64B	1.50B	1.44B
Stockholders Equity	4.31B	4.15B	3.58B	3.20B	2.85B	2.59B
Cash Flow
Free Cash Flow	0	367.77M	475.97M	405.34M	333.33M	370.05M
Operating Cash Flow	0	406.44M	482.56M	429.19M	404.04M	393.88M
Investing Cash Flow	0	-66.73M	-10.64M	-27.03M	-81.19M	-73.72M
Financing Cash Flow	0	-100.41M	-81.56M	-68.32M	-59.90M	-49.56M

Computer Management Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price2906.00

Price Trends

50DMA3152.58Negative

100DMA3117.68Negative

200DMA3038.58Negative

Market Momentum

MACD-58.91Negative

RSI30.40Neutral

STOCH27.54Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4491, the sentiment is Negative. The current price of 2906.00 is below the 20-day moving average (MA) of 2977.70, below the 50-day MA of 3152.58, and below the 200-day MA of 3038.58, indicating a bearish trend. The MACD of -58.91 indicates Negative momentum. The RSI at 30.40 is Neutral, neither overbought nor oversold. The STOCH value of 27.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4491.

Computer Management Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:4491 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4826	83Outperform	JPY 32.34B	16.22	―	3.88%	9.86%	11.31%
JP:3826	82Outperform	JPY 5.26B	11.55	―	2.73%	13.99%	-36.97%
JP:3835	80Outperform	JPY 20.63B	19.93	―	3.33%	-2.50%	-17.10%
JP:3712	76Outperform	JPY 19.14B	11.91	―	2.47%	13.26%	13.68%
JP:4491	68Neutral	JPY 5.94B	10.61	―	2.06%	6.46%	38.58%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:7527	43Neutral	JPY 4.87B	148.39	―	―	-0.48%	―

* General Sector Average

Performance Comparison

JP:4491 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:4491	Computer Management Co., Ltd.	2906.00	332.52	12.92%
JP:3712	Information Planning Co., Ltd.	971.00	-100.10	-9.35%
JP:3826	System Integrator Corp.	477.00	0.38	0.08%
JP:3835	eBASE Co., Ltd.	448.00	19.14	4.46%
JP:4826	Computer Institute Of Japan, Ltd.	516.00	55.43	12.04%
JP:7527	SystemSoft Corporation	46.00	-24.00	-34.29%

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: Sep 30, 2026

Computer Management Co., Ltd. AI Stock Analysis