TipRanks
Go Ultimate55% OFF

Environmental Control Center Co., Ltd. (4657) AI Stock Analysis

JP:4657

Environmental Control Center Co., Ltd.

(TSE/TYO:4657)

Select Model
Rating:63Neutral
Price Target:JPY 459.00â–²(6.74% Upside)
Action:reiterated
Date:08/17/26

The overall stock score of 63 is heavily influenced by a highly stretched valuation offset by favorable technical momentum. While the company maintains a stable balance sheet with recovering profitability and cash flows, its extreme P/E ratio of over 93x and inconsistent historical earnings pose notable risks. The stock benefits from positive moving average alignment, but the premium valuation limits its fundamental appeal to long-term investors.

Positive Factors
Revenue GrowthRevenue growth in 2026 indicates improving demand and a renewed ability to expand the top line after weaker periods. If maintained, this growth can support operating leverage, provide additional resources for investment, and strengthen the company’s position over the next several quarters.
Negative Factors
Volatile ProfitabilityProfitability has recovered but remains inconsistent, with a recent loss, an almost breakeven year, and only modest net margin in 2026. This volatility makes earnings power less dependable, limits visibility into sustainable returns, and may constrain reinvestment if weaker periods recur.

Environmental Control Center Co., Ltd. (4657) vs. iShares MSCI Japan ETF (EWJ)

-5%0%5%10%15%20%25%30%JP:4657+2.06%EWJ+17.00%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 2.06B
Dividend Yield
1.86%
Average Volume (3M)
9,698
Price to Earnings (P/E)
16.8
Beta (1Y)
0.64
Revenue Growth
-8.39%
EPS Growth
1657.23%
Country
Japan
Employees
283
Sector
General
Sector Strength
55
Industry
Waste Management

Environmental Control Center Co., Ltd. Business Overview & Revenue Model

Company Description

Environmental Control Center Co.,Ltd. is a Japanese firm specializing in environmental consultancy. It offers comprehensive monitoring and advisory services concerning air, water, and soil quality, applicable to both general ecological systems and in...

Environmental Control Center Co., Ltd. Financial Statement Overview

Summary

Financial performance presents a mixed profile. Positives include a stable balance sheet with a manageable debt-to-equity ratio of 0.64 and a recent recovery in free cash flow. However, historically volatile earnings, low return on equity (5.0%), and a recent decline in top-line revenue restrict the score.

Income Statement

60Neutral

Balance Sheet

70Positive

Cash Flow

65Positive
Financial statement breakdown
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue5.59B5.59B6.10B5.59B5.34B4.75B
Gross Profit1.53B1.49B1.30B1.43B1.16B1.01B
EBITDA540.84M540.84M365.03M594.11M326.77M356.64M
Net Income122.97M122.97M7.90M218.41M-41.60M222.99M
Balance Sheet
Total Assets5.44B5.44B5.44B5.62B5.26B5.75B
Cash, Cash Equivalents and Short-Term Investments683.45M683.45M828.18M675.55M651.23M542.77M
Total Debt1.57B1.57B1.75B1.48B1.74B1.89B
Total Liabilities2.88B2.88B2.99B3.18B3.02B3.46B
Stockholders Equity2.43B2.43B2.34B2.36B2.16B2.23B
Cash Flow
Free Cash Flow0214.15M41.20M378.03M371.80M-219.60M
Operating Cash Flow0386.19M189.28M479.61M570.55M54.94M
Investing Cash Flow0-258.80M-189.06M-139.88M-272.84M-307.38M
Financing Cash Flow0-273.84M156.63M-314.45M-188.47M320.59M

Environmental Control Center Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price430.00

Price Trends

50DMA455.78Negative
100DMA455.62Negative
200DMA455.42Negative

Market Momentum

MACD-8.31Positive
RSI36.28Neutral
STOCH19.11Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4657, the sentiment is Negative. The current price of 430.00 is below the 20-day moving average (MA) of 441.95, below the 50-day MA of 455.78, and below the 200-day MA of 455.42, indicating a bearish trend. The MACD of -8.31 indicates Positive momentum. The RSI at 36.28 is Neutral, neither overbought nor oversold. The STOCH value of 19.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4657.

Environmental Control Center Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:4657 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:5698JP:569880OutperformJPY 18.98B7.42―3.96%-9.49%118.07%
JP:9336JP:933676OutperformJPY 399.57B24.13―1.40%13.76%18.44%
JP:9793JP:979372OutperformJPY 161.97B15.7112.40%2.44%3.67%13.39%
JP:4657JP:465763NeutralJPY 2.06B16.78―1.86%-8.39%1657.23%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
JP:2195JP:219552NeutralJPY 6.33B20.24―1.54%0.03%-16.01%

* General Sector Average

Performance Comparison

0%50%100%JP:4657JP:9793JP:2195JP:5698JP:9336Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:4657 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:4657Environmental Control Center Co., Ltd.431.0010.642.53%
JP:9793Daiseki Co 3405.00185.665.77%
JP:2195Amita Holdings Co., Ltd.325.0012.413.97%
JP:5698Envipro Holdings, Inc.632.00132.5826.55%
JP:9336Daiei Kankyo Co., Ltd.4000.00629.5818.68%
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