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

JP:4658

Nippon Air Conditioning Services Co., Ltd.

(TSE/TYO:4658)

Select Model
Rating:78Outperform
Price Target:JPY 1,773.00â–²(17.03% Upside)
Action:reiterated
Date:08/18/26

The overall stock score is strongly supported by the company's excellent financial performance, pristine balance sheet, and highly attractive valuation, highlighted by a solid 3.47% dividend yield. While the underlying business fundamentals are exceptionally robust, the score is partially tempered by short-term technical weakness, suggesting a favorable long-term hold despite recent price fluctuations.

Positive Factors
Sustained Revenue GrowthMulti-year revenue expansion indicates durable business activity across installation, maintenance, inspection and renovation services. Continued growth provides a foundation for operating leverage and supports the company’s competitive position in lifecycle-oriented facility management.
Negative Factors
Volatile Cash GenerationSignificant year-to-year cash-flow swings reduce visibility into internally generated funds and may reflect working-capital or project timing effects. Moderate recent free-cash-flow conversion also limits confidence that accounting earnings will consistently translate into deployable cash.

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

-10%0%10%20%30%40%JP:4658+27.22%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 52.51B
Dividend Yield
3.93%
Average Volume (3M)
130.10K
Price to Earnings (P/E)
13.2
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

null

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

Summary

Excellent financial health driven by consistent revenue growth, expanding profit margins, and a pristine balance sheet with extremely low leverage (D/E of 0.10). This is slightly offset by moderate cash flow volatility.

Income Statement

88Very Positive

Balance Sheet

92Very Positive

Cash Flow

74Positive
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 Price1515.00

Price Trends

50DMA1550.82Negative
100DMA1549.33Negative
200DMA1521.77Negative

Market Momentum

MACD-9.10Positive
RSI41.14Neutral
STOCH11.16Positive

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 1515.00 is below the 20-day moving average (MA) of 1552.85, below the 50-day MA of 1550.82, and below the 200-day MA of 1521.77, indicating a bearish trend. The MACD of -9.10 indicates Positive momentum. The RSI at 41.14 is Neutral, neither overbought nor oversold. The STOCH value of 11.16 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:6086JP:608679OutperformJPY 21.17B13.86―1.99%12.37%14.91%
JP:4658JP:465878OutperformJPY 52.64B13.18―3.93%7.19%14.56%
JP:6544JP:654473OutperformJPY 273.78B35.81―1.37%16.94%29.51%
JP:8876JP:887673OutperformJPY 373.66B17.2027.45%4.23%7.13%-9.94%
JP:6044JP:604466NeutralJPY 12.41B12.42―1.59%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%JP:4658JP:8876JP:6044JP:6086JP:6544Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:4658 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:4658Nippon Air Conditioning Services Co., Ltd.1515.00250.9519.85%
JP:8876Relo Group 2444.00867.9955.08%
JP:6044SANKI SERVICE CORP.1890.00-243.37-11.41%
JP:6086Shin Maint Holdings Co.Ltd.1006.00-111.20-9.95%
JP:6544Japan Elevator Service Holdings Co., Ltd.1531.50-265.13-14.76%

Nippon Air Conditioning Services Co., Ltd. Corporate Events

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...

Nippon Air Conditioning Services Reports Limited Impact From Kumamoto Earthquake

Jul 31, 2026

Nippon Air Conditioning Services Co., Ltd. reported limited damage from the July 28 Kumamoto earthquake, confirming no injuries among Group employees and only partial damage to its Kumamoto Service Office building. The company emphasized that all ser...

Nippon Air Conditioning Services Posts Strong Q1 Profits, Holds Full-Year Guidance

Jul 31, 2026

For the three months to June 30, 2026, Nippon Air Conditioning Services delivered higher revenues and margins, as net sales reached ¥15.1 billion and operating profit surged 45.8% year on year, lifting quarterly EPS to ¥23.47 and boosting t...

Nippon Air Conditioning Services Reveals Long-Term Certificate Falsification at Sales Office

Jul 31, 2026

Nippon Air Conditioning Services has disclosed long-running misconduct at a sales office involving falsification of third-party calibration and inspection certificates for measuring instruments used in maintenance of a major customer’s air cond...

Nippon Air Conditioning Services Grants Restricted Stock to Management from Treasury Shares

Jul 24, 2026

Nippon Air Conditioning Services has approved the disposal of 47,500 treasury shares as restricted stock compensation to four directors, three senior executive officers and eight executive officers, at a price of ¥1,603 per share for a total of...

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 18, 2026