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PA Co., Ltd. (4766) AI Stock Analysis

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JP:4766

PA Co., Ltd.

(TSE/TYO:4766)

Select Model
Rating:62Neutral
Price Target:JPY 215.00â–²(2.38% Upside)
Action:downgraded
Date:11/08/26

The company's solid financial recovery and healthy balance sheet are the primary strengths, supporting a base score in the mid-70s. However, significant technical weakness—with the stock in a downtrend and oversold—drags the overall score down. The moderate valuation and absence of a dividend provide little offset.

Positive Factors
Sustained ProfitabilityThe return to consistent profitability over four years indicates that the post-2021 turnaround has persisted beyond a single reporting period. This provides a more durable earnings base for reinvestment and strengthens the company’s ability to manage future operating volatility.
Negative Factors
Elevated LeverageDebt remains above equity despite improvement from levels exceeding 2.0x in 2021–2022. Continued reliance on debt funding leaves less financial flexibility, increases exposure to financing costs, and could constrain investment or resilience if operating conditions weaken.

PA Co., Ltd. (4766) vs. iShares MSCI Japan ETF (EWJ)

-40%-30%-20%-10%0%10%20%30%JP:4766-23.67%EWJ+13.61%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 2.26B
Dividend Yield
―
Average Volume (3M)
9,875
Price to Earnings (P/E)
22.6
Beta (1Y)
0.34
Revenue Growth
7.15%
EPS Growth
-3.20%
Country
Japan
Employees
159
Sector
General
Sector Strength
55
Industry
Staffing & Employment Services

PA Co., Ltd. Business Overview & Revenue Model

Company Description

Headquartered in Tokyo, Japan, PA Co., Ltd. was founded in 1973 and specializes in various revitalization projects aimed at both individuals and businesses throughout Japan. The company's services include operating its own recruitment platforms for j...

How the Company Makes Money

null

PA Co., Ltd. Financial Statement Overview

Summary

Solid revenue growth and restored profitability, with a net margin of 4.7% and improved operating margin. The balance sheet is healthy with declining leverage and an 18.4% ROE. Cash flow is positive but somewhat inconsistent, which tempers the overall financial strength.

Income Statement

78Positive

Balance Sheet

82Very Positive

Cash Flow

70Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.06B2.02B1.88B1.79B1.67B1.58B
Gross Profit784.71M785.31M772.42M783.88M744.24M684.72M
EBITDA142.17M145.74M94.68M87.78M107.36M-208.07M
Net Income112.36M95.88M73.42M44.96M49.24M-280.54M
Balance Sheet
Total Assets1.46B1.40B1.34B1.36B1.34B1.40B
Cash, Cash Equivalents and Short-Term Investments801.01M803.66M824.30M878.86M822.28M853.15M
Total Debt716.14M580.47M595.48M650.49M705.50M755.00M
Total Liabilities1.01B877.09M871.68M962.23M982.31M1.05B
Stockholders Equity449.94M520.61M465.27M395.37M350.53M351.19M
Cash Flow
Free Cash Flow053.49M11.12M105.01M11.60M-120.78M
Operating Cash Flow0116.35M21.83M111.27M58.30M-92.68M
Investing Cash Flow0-76.89M-19.87M-1.41M-40.07M225.08M
Financing Cash Flow0-60.10M-55.44M-55.01M-49.50M-45.07M

PA Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price210.00

Price Trends

50DMA212.80Negative
100DMA201.33Positive
200DMA216.21Negative

Market Momentum

MACD-1.46Positive
RSI45.74Neutral
STOCH47.84Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4766, the sentiment is Negative. The current price of 210.00 is below the 20-day moving average (MA) of 214.35, below the 50-day MA of 212.80, and below the 200-day MA of 216.21, indicating a bearish trend. The MACD of -1.46 indicates Positive momentum. The RSI at 45.74 is Neutral, neither overbought nor oversold. The STOCH value of 47.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4766.

PA Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:4766 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:4766JP:476662NeutralJPY 2.26B22.63――7.15%-3.20%
JP:6563JP:656360NeutralJPY 2.27B22.75――2.34%-9.63%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
JP:3900JP:390052NeutralJPY 9.55B-12.85――1.74%-199.70%
JP:6198JP:619842NeutralJPY 1.41B-9.04――-12.10%-967.78%
JP:9331JP:933141NeutralJPY 1.01B306.21――-2.93%―
JP:6558JP:655839UnderperformJPY 1.70B-5.16――-0.87%14.04%

* General Sector Average

Performance Comparison

-40%-20%0%20%40%JP:4766JP:3900JP:6198JP:6558JP:6563JP:9331Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:4766 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:4766PA Co., Ltd.210.00-64.13-23.39%
JP:3900CrowdWorks, Inc.588.00-286.00-32.72%
JP:6198CAREER CO., LTD.165.00-102.00-38.20%
JP:6558Cookbiz Co., Ltd.600.0035.006.19%
JP:6563Mirai Works, Inc.429.00-208.00-32.65%
JP:9331Caster Co. Ltd.542.00-282.00-34.22%
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 07, 2026