Skip to main content
TipRanks
Go Ultimate75% OFF

TWOSTONE&Sons Co.Ltd. (7352) AI Stock Analysis

0 Followers
JP:7352

TWOSTONE&Sons Co.Ltd.

(TSE/TYO:7352)

Select Model
Rating:66Neutral
Price Target:JPY 336.00â–²(12.00% Upside)
Action:downgraded
Date:10/29/26

Strong financial performance from cash generation and balance sheet improvement is the main positive driver; mixed technical signals and high valuation multiples limit further upside in the overall score.

Positive Factors
Revenue GrowthRapid multi-year revenue expansion indicates durable demand and increasing market reach. Although growth moderated, the business still added sales in 2026, supporting continued operating scale, broader customer penetration, and capacity to build earnings over the next several quarters.
Negative Factors
Thin ProfitabilityBottom-line profitability weakened despite continued revenue growth, showing that scale has not translated consistently into stronger earnings. A margin near 2% leaves limited room to absorb operating pressure, while the decline in net profit could constrain reinvestment and reduce the durability of returns.

TWOSTONE&Sons Co.Ltd. (7352) vs. iShares MSCI Japan ETF (EWJ)

-60%-40%-20%0%20%40%JP:7352-57.20%EWJ+13.61%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 13.49B
Dividend Yield
0.33%
Average Volume (3M)
838.93K
Price to Earnings (P/E)
30.5
Beta (1Y)
0.98
Revenue Growth
20.62%
EPS Growth
-13.75%
Country
Japan
Employees
750
Sector
General
Sector Strength
55
Industry
Staffing & Employment Services

TWOSTONE&Sons Co.Ltd. Business Overview & Revenue Model

Company Description

TWOSTONE&Sons Inc. engages in the IT service business in Japan. It offers engineer matching services, in-house production consulting, branding career services, web marketing consulting, M&A advisory, and closed ASP services; engineer recruitment serv...

TWOSTONE&Sons Co.Ltd. Financial Statement Overview

Summary

Strong historical revenue growth and improving balance sheet stability supported by robust operating cash flow and free cash flow generation; thin net margins and slowing recent growth are offsetting factors.

Income Statement

74Positive

Balance Sheet

81Very Positive

Cash Flow

86Very Positive
Financial statement breakdown
BreakdownTTMAug 2026Aug 2025Aug 2024Aug 2023Aug 2022
Income Statement
Total Revenue21.81B21.81B18.08B14.29B10.06B6.87B
Gross Profit7.62B7.62B5.51B4.12B2.71B2.07B
EBITDA1.40B1.31B1.07B612.68M359.05M266.56M
Net Income429.99M429.99M494.32M188.86M170.12M134.69M
Balance Sheet
Total Assets10.68B10.68B9.95B7.10B4.09B2.51B
Cash, Cash Equivalents and Short-Term Investments4.57B4.57B4.56B3.70B1.29B874.71M
Total Debt3.52B3.52B3.64B1.97B1.81B819.32M
Total Liabilities6.75B6.75B6.48B4.22B3.19B1.77B
Stockholders Equity3.85B3.85B3.36B2.89B897.07M736.92M
Cash Flow
Free Cash Flow0859.80M689.47M674.91M165.02M155.87M
Operating Cash Flow01.03B749.69M697.11M172.60M216.58M
Investing Cash Flow0-847.28M-1.28B-90.25M-652.91M-259.08M
Financing Cash Flow0-165.95M1.39B1.80B895.27M436.53M

TWOSTONE&Sons Co.Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price300.00

Price Trends

50DMA360.22Negative
100DMA361.00Negative
200DMA437.30Negative

Market Momentum

MACD-21.11Positive
RSI39.06Neutral
STOCH19.96Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7352, the sentiment is Negative. The current price of 300.00 is below the 20-day moving average (MA) of 402.55, below the 50-day MA of 360.22, and below the 200-day MA of 437.30, indicating a bearish trend. The MACD of -21.11 indicates Positive momentum. The RSI at 39.06 is Neutral, neither overbought nor oversold. The STOCH value of 19.96 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7352.

TWOSTONE&Sons Co.Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:7352 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:7914JP:791476OutperformJPY 42.06B8.35―4.86%-0.61%48.02%
JP:7811JP:781171OutperformJPY 21.22B7.80―3.21%5.98%52.32%
JP:7352JP:735266NeutralJPY 13.89B30.52―0.33%20.62%-13.75%
JP:7911JP:791158NeutralJPY 1.16T15.095.81%2.14%8.97%-9.58%
JP:7916JP:791657NeutralJPY 5.62B31.31―2.72%-3.93%11.47%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
JP:7805JP:780554NeutralJPY 3.05B9.09―2.11%-1.49%-24.51%

* General Sector Average

Performance Comparison

-50%-25%0%25%50%JP:7352JP:7911JP:7805JP:7811JP:7914JP:7916Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:7352 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:7352TWOSTONE&Sons Co.Ltd.300.00-433.84-59.12%
JP:7911Toppan Printing Co 2055.50-39.89-1.90%
JP:7805PRINTNET INC.615.00-23.44-3.67%
JP:7811Nakamoto Packs Co. Ltd.2430.00689.4539.61%
JP:7914Kyodo Printing Co., Ltd.1647.00251.8318.05%
JP:7916Mitsumura Printing Co., Ltd.1835.00210.3812.95%
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: Oct 29, 2026