CareerIndex, Inc. (6538) AI Stock Analysis

• Market Cap: ¥3.75B
• Dividend Yield: 2.78%
• Average Volume (3M): 85.23K
• Price to Earnings (P/E): 17.6
• Beta (1Y): 1.02
• Revenue Growth: 13.99%
• EPS Growth: N/A
• Country: JP
• Employees: 100
• Sector: Industrials
• Sector Strength: 93
• Industry: Staffing & Employment Services
• EPS (TTM): 5.77
• Shares Outstanding: 21,113,962
• 10 Day Avg. Volume: 54,230
• 30 Day Avg. Volume: 85,226
• PEG Ratio: 0.05
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥188.00 ▲(4.44%Upside)

CareerIndex, Inc. achieves a strong overall stock score due to its robust financial performance marked by revenue growth and profitability improvement, complemented by a positive technical outlook with bullish momentum indicators. The valuation remains reasonable, making it an attractive consideration for investors seeking both growth and income.

CareerIndex, Inc. Business Overview & Revenue Model

Company Description

CareerIndex, Inc. (6538) is a Japanese company that operates within the human resources and recruitment industry. It focuses on providing comprehensive career information and recruitment services through its online platforms. The company aims to connect job seekers with potential employers by offering a wide range of job listings, career advice, and industry insights, catering to both individual users and corporate clients.

How the Company Makes Money

CareerIndex, Inc. generates revenue primarily through fees charged to corporate clients for job advertisement postings on its platforms. The company also offers premium services such as enhanced job listing visibility and employer branding solutions, which contribute to its revenue streams. Additionally, CareerIndex may engage in partnerships with educational institutions and career counseling services to expand its reach and enhance its service offerings. The company's earnings are significantly influenced by the demand for recruitment services and the overall health of the job market in Japan.

CareerIndex, Inc. Financial Statement Overview

Summary

CareerIndex, Inc. shows strong revenue growth and a high gross profit margin, which indicates efficient cost management. The balance sheet is robust with low leverage, enhancing financial stability. However, the company faces challenges with operational inefficiencies and cash flow volatility, which could impact financial performance negatively in the future.

Income Statement

CareerIndex, Inc.'s TTM (Trailing-Twelve-Months) gross profit margin is strong at 71.1%, reflecting efficient cost management. However, the net profit margin is modest at 2.9%, impacted by a negative EBITDA indicating potential operational inefficiencies. Despite challenges, the company demonstrated revenue growth of 7.6% in the latest TTM period, suggesting positive sales momentum.

Balance Sheet

The balance sheet is solid with a low debt-to-equity ratio of 0.43, indicating prudent use of leverage. The return on equity is modest at 5.6%, suggesting moderate profitability relative to shareholder investments. The equity ratio of 57.1% reflects a stable capital structure and financial resilience.

Cash Flow

Cash flow performance is weak, with no operating cash flow in the latest TTM period. The historical free cash flow to net income ratio is inconsistent, reflecting volatility in cash generation relative to earnings. Previous periods showed positive free cash flow growth, but recent figures highlight potential liquidity challenges.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
4.26B	3.77B	3.34B	3.06B	2.32B	2.34B
	Gross Profit
2.89B	2.80B	2.85B	2.84B	2.11B	2.18B
	EBIT
233.00M	65.00M	533.00M	1.00B	527.14M	305.43M
	EBITDA
-1.30B	-1.29B	885.00M	1.15B	665.64M	317.42M
	Net Income Common Stockholders
-1.43B	-1.60B	262.00M	585.00M	301.00M	141.99M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
990.00M	990.00M	2.33B	2.41B	1.75B	1.19B
	Total Assets
4.02B	4.02B	5.96B	5.15B	4.52B	3.77B
	Total Debt
1.23B	1.23B	1.61B	790.00M	1.05B	760.00M
	Net Debt
236.00M	236.00M	-719.00M	-1.62B	-695.73M	-427.78M
	Total Liabilities
1.93B	1.94B	2.27B	1.52B	1.57B	1.12B
	Stockholders Equity
2.09B	2.09B	3.69B	3.63B	2.95B	2.65B
Cash Flow		Free Cash Flow
0.00	241.00M	301.00M	983.00M	850.37M	-31.34M
	Operating Cash Flow
0.00	304.00M	328.00M	986.00M	899.07M	-3.33M
	Investing Cash Flow
0.00	-1.14B	-648.00M	-61.00M	-631.12M	-1.97B
	Financing Cash Flow
0.00	-504.00M	207.00M	-259.00M	290.00M	548.68M

CareerIndex, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 180.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6538, the sentiment is Positive. The current price of 180 is above the 20-day moving average (MA) of 165.95, above the 50-day MA of 155.53, and above the 200-day MA of 161.30, indicating a bullish trend. The MACD of 7.07 indicates Negative momentum. The RSI at 72.44 is Negative, neither overbought nor oversold. The STOCH value of 93.79 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6538.

CareerIndex, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9344	77 Outperform	¥3.72B	8.42		―	18.47%	12.18%
6538	76 Outperform	¥3.75B	17.56		2.78%	13.99%	―
7361	73 Outperform	¥3.78B	9.41		2.30%	16.31%	0.09%
4766	72 Outperform	¥2.94B	42.57		3.32%	5.45%	38.61%
6563	67 Neutral	¥3.67B	40.22		―	26.41%	8.91%
6198	66 Neutral	¥2.74B	23.19		1.94%	-4.08%	-41.24%
Sector *	66 Neutral	$4.49B	12.28	5.32%	248.53%	4.08%	-12.00%