TipRanks
Go Ultimate55% OFF

Nippon Air Conditioning Services Co., Ltd. (4658) AI Stock Analysis

JP:4658

Nippon Air Conditioning Services Co., Ltd.

(TSE/TYO:4658)

Select Model
Rating:68Neutral
Price Target:JPY 1,535.00â–²(9.02% Upside)
Action:reiterated
Date:11/03/26

The company's strong fundamentals, particularly its pristine balance sheet and solid profitability, are the primary support for the score. However, the stock is under severe technical pressure, trading in oversold territory with strong bearish momentum, which significantly drags down the overall assessment. Attractive valuation and a high dividend yield provide a partial buffer.

Positive Factors
Sustained Revenue GrowthThe multi-year increase in revenue indicates continued demand for the company’s HVAC installation, replacement, maintenance, and facilities services. This expanding base can support recurring service activity, strengthen operating scale, and provide a durable foundation for growth over the next several quarters.
Negative Factors
Volatile Cash GenerationMeaningful year-to-year swings in operating cash flow reduce visibility into the timing and quality of earnings conversion. Although cash generation remains positive, variability can complicate investment planning and make internally funded growth less predictable across project and working-capital cycles.

Nippon Air Conditioning Services Co., Ltd. (4658) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%50%JP:4658+21.17%EWJ+16.91%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 48.80B
Dividend Yield
4.23%
Average Volume (3M)
131.24K
Price to Earnings (P/E)
12.1
Beta (1Y)
1.00
Revenue Growth
7.19%
EPS Growth
14.56%
Country
Japan
Employees
2,268
Sector
Industrials
Sector Strength
63
Industry
Specialty Business Services

Nippon Air Conditioning Services Co., Ltd. Business Overview & Revenue Model

Company Description

Nippon Air Conditioning Services Co., Ltd. delivers specialized construction support services, operating both domestically within Japan and across international markets. Their core offerings encompass a full spectrum of air conditioning maintenance,...

How the Company Makes Money

Nippon Air Conditioning Services Co., Ltd. generates revenue primarily by delivering and maintaining air-conditioning and related building facilities systems. Its core revenue streams typically include (1) construction/installation income from design...

Nippon Air Conditioning Services Co., Ltd. Financial Statement Overview

Summary

Solid financial health with steady revenue growth (~7% CAGR) and expanding margins. The balance sheet is exceptionally strong (low debt-to-equity of 0.10, ROE 12%). Cash flow is positive but somewhat volatile, with lower recent conversion. Overall, a profitable and low-risk financial profile.

Income Statement

78Positive

Balance Sheet

92Very Positive

Cash Flow

72Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue70.41B69.25B64.44B58.23B52.89B49.89B
Gross Profit15.39B14.91B12.96B10.97B9.33B8.81B
EBITDA6.07B5.80B4.86B4.26B3.36B4.64B
Net Income3.98B3.69B3.10B2.73B1.94B2.82B
Balance Sheet
Total Assets50.97B53.14B48.57B42.95B37.56B35.14B
Cash, Cash Equivalents and Short-Term Investments9.17B8.20B9.00B6.99B6.58B7.25B
Total Debt3.73B3.20B3.65B1.73B1.02B887.00M
Total Liabilities19.18B22.20B22.44B18.73B15.85B14.65B
Stockholders Equity31.58B30.74B25.93B24.04B21.54B20.34B
Cash Flow
Free Cash Flow01.32B1.64B762.00M368.00M1.49B
Operating Cash Flow02.76B4.96B2.42B921.00M1.78B
Investing Cash Flow0-1.54B-3.47B-1.80B-697.00M971.00M
Financing Cash Flow0-2.08B378.00M-287.00M-1.02B-2.37B

Nippon Air Conditioning Services Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price1408.00

Price Trends

50DMA1548.27Negative
100DMA1548.35Negative
200DMA1522.43Negative

Market Momentum

MACD-18.98Positive
RSI26.59Positive
STOCH10.05Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4658, the sentiment is Negative. The current price of 1408.00 is below the 20-day moving average (MA) of 1546.20, below the 50-day MA of 1548.27, and below the 200-day MA of 1522.43, indicating a bearish trend. The MACD of -18.98 indicates Positive momentum. The RSI at 26.59 is Positive, neither overbought nor oversold. The STOCH value of 10.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4658.

Nippon Air Conditioning Services Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:4658 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:8876JP:887681OutperformJPY 373.66B17.0527.45%4.27%7.13%-9.94%
JP:6086JP:608679OutperformJPY 21.17B13.75―1.99%12.37%14.91%
JP:6544JP:654473OutperformJPY 273.78B36.13―1.36%16.94%29.51%
JP:4658JP:465868NeutralJPY 52.64B12.12―4.23%7.19%14.56%
JP:6044JP:604466NeutralJPY 12.41B12.26―1.61%11.52%8.39%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%

* Industrials Sector Average

Performance Comparison

-20%0%20%40%60%JP:4658JP:8876JP:6044JP:6086JP:6544Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:4658 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:4658Nippon Air Conditioning Services Co., Ltd.1408.00217.1218.23%
JP:8876Relo Group 2423.00853.1754.35%
JP:6044SANKI SERVICE CORP.1866.00-267.37-12.53%
JP:6086Shin Maint Holdings Co.Ltd.998.00-101.48-9.23%
JP:6544Japan Elevator Service Holdings Co., Ltd.1545.50-285.73-15.60%

Nippon Air Conditioning Services Co., Ltd. Corporate Events

Nippon Air Conditioning Services Delivers Strong First-Half Earnings and Raises Dividend

Oct 30, 2026

Nippon Air Conditioning Services reported solid results for the six months to September 30, 2026, with net sales up 8.4% year on year to ¥31.88 billion and profit attributable to owners of the parent rising 20.9% to ¥1.91 billion. Operating...

Nippon Air Conditioning Services Moves to Rebuild Trust After Employee Misconduct

Sep 25, 2026

Nippon Air Conditioning Services Co., Ltd. has announced a comprehensive set of measures to address misconduct by an employee and reinforce management responsibility. The company is prioritizing a rebuilding of its corporate culture by elevating its...

Nippon Air Conditioning Services Completes Treasury Share Disposal for Restricted Stock Compensation

Aug 10, 2026

Nippon Air Conditioning Services has completed the payment procedures for the disposal of 47,500 treasury shares, which are being used as restricted stock compensation under a board resolution passed on July 24, 2026. The shares, priced at ¥1,60...

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: Nov 03, 2026