DENTSU SOKEN INC. AI Stock Analysis
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DENTSU SOKEN INC. (4812) AI Stock Analysis
DENTSU SOKEN INC.
(TSE/TYO:4812)
The company's rock-solid balance sheet and consistent profitability are the primary strengths, supporting a high financial performance score. Positive technical trends add to the score, though momentum is not extreme. The primary risk is the elevated valuation, which significantly weighs on the overall assessment. The final score of 76 reflects a financially sound company with strong market positioning, tempered by a premium price tag.
DENTSU SOKEN INC. (4812) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 561.53B
- Dividend Yield
- 1.45%
- Average Volume (3M)
- 1.16M
- Price to Earnings (P/E)
- 31.6
- Beta (1Y)
- 0.29
- Revenue Growth
- 9.84%
- EPS Growth
- 6.02%
- Country
- Japan
- Employees
- 4,618
- Sector
- General
- Sector Strength
- 55
- Industry
- Software - Services
DENTSU SOKEN INC. Business Overview & Revenue Model
Company Description
Dentsu Soken Inc. provides information technology solutions. It operates through four segments: Financial Solutions, Business Solutions, Manufacturing Solutions, and Communication IT. The Financial Solutions segment offers IT solutions that support v...
How the Company Makes Money
DENTSU SOKEN generates revenue primarily by providing IT services to corporate clients under project-based and ongoing service arrangements. A major revenue stream is systems integration (SI), where the company earns fees for consulting, requirements...
DENTSU SOKEN INC. Financial Statement Overview
Summary
Strong financial health overall. The balance sheet is exceptional (95) with negligible debt and robust equity growth. The income statement (85) shows consistent multi-year revenue and profit growth, though recent deceleration is noted. Cash flow (80) is solid with strong conversion, albeit with some historical volatility. Weighted average of provided scores: (85+95+80)/3 = 86.67, rounded to 87.
Income Statement
85Very PositiveBalance Sheet
95Very PositiveCash Flow
80Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 177.47B | 164.87B | 152.64B | 142.61B | 129.05B | 112.08B |
| Gross Profit | 64.57B | 60.38B | 56.12B | 51.78B | 46.79B | 40.02B |
| EBITDA | 28.18B | 28.25B | 25.21B | 24.18B | 20.78B | 16.19B |
| Net Income | 17.76B | 16.36B | 15.12B | 14.66B | 12.60B | 8.95B |
Balance Sheet | ||||||
| Total Assets | 180.02B | 165.06B | 147.33B | 133.33B | 121.89B | 108.19B |
| Cash, Cash Equivalents and Short-Term Investments | 71.13B | 8.36B | 62.31B | 58.03B | 53.76B | 50.15B |
| Total Debt | 2.60B | 2.22B | 1.96B | 2.10B | 1.92B | 1.96B |
| Total Liabilities | 74.88B | 64.89B | 56.13B | 50.36B | 48.02B | 42.72B |
| Stockholders Equity | 105.11B | 100.16B | 91.19B | 82.97B | 73.84B | 65.45B |
Cash Flow | ||||||
| Free Cash Flow | 0 | 18.81B | 23.47B | 13.00B | 11.54B | 16.89B |
| Operating Cash Flow | 0 | 19.12B | 23.80B | 13.19B | 11.99B | 17.18B |
| Investing Cash Flow | 0 | -3.02B | -11.97B | -2.50B | -3.21B | -3.01B |
| Financing Cash Flow | 0 | -8.55B | -7.98B | -6.70B | -5.42B | -4.46B |
DENTSU SOKEN INC. Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4812, the sentiment is Positive. The current price of 2877.00 is above the 20-day moving average (MA) of 2871.25, above the 50-day MA of 2865.06, and above the 200-day MA of 2392.57, indicating a bullish trend. The MACD of 5.95 indicates Positive momentum. The RSI at 64.87 is Neutral, neither overbought nor oversold. The STOCH value of 66.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4812.
DENTSU SOKEN INC. Peers Comparison
Overall Rating
JP:363678Outperform- JP:481276Outperform
JP:557472Outperform
JP:971571Outperform
JP:481943Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:3636 | 78Outperform | JPY 80.43B | 12.66 | ― | 3.49% | 3.79% | 0.50% |
| JP:4812 | 76Outperform | JPY 561.49B | 31.61 | ― | 1.45% | 9.84% | 6.02% |
| JP:5574 | 72Outperform | JPY 20.59B | 18.39 | ― | ― | 27.68% | 126.99% |
| JP:9715 | 71Outperform | JPY 130.22B | 11.53 | 9.06% | 4.03% | 5.92% | -16.28% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| JP:4819 | 43Neutral | JPY 99.48B | -32.36 | -4.20% | 2.14% | 2.19% | -196.12% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:4812 | DENTSU SOKEN INC. | 2877.00 | 258.10 | 9.86% | |
| JP:4819 | Digital Garage | 2196.00 | -827.59 | -27.37% | |
| JP:9715 | transcosmos | 3530.00 | -1.09 | -0.03% | |
| JP:3636 | Mitsubishi Research Institute | 5160.00 | 310.37 | 6.40% | |
| JP:5574 | ABEJA,Inc. | 1970.00 | -688.00 | -25.88% |
DENTSU SOKEN INC. Corporate Events
Dentsu Soken Backs G.K. VIC Tender Offer Ahead of Planned Take-Private
Dentsu Soken’s board has endorsed a planned tender offer for its common shares by G.K. VIC, stating its current support and recommending that shareholders tender their shares once the offer formally begins. The move is part of a broader transaction t...
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: Oct 04, 2026