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Business Brain Showaota Inc. (JP:9658)
:9658
Japanese Market
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Business Brain Showaota Inc. (9658) AI Stock Analysis

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JP:9658

Business Brain Showaota Inc.

(9658)

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Outperform 78 (OpenAI - 5.2)
Rating:78Outperform
Price Target:
¥1,236.00
▼(-65.28% Downside)
Action:Reiterated
Date:08/17/26
The score is driven primarily by solid financial strength (especially low leverage and a strong equity base) and favorable valuation (moderate P/E with a high dividend yield). Technicals are supportive with price above key moving averages and positive MACD, though momentum is getting somewhat extended, and historical cash flow/profit volatility remains the main risk factor.
Positive Factors
Low leverage and strong equity base
Low leverage and substantial equity provide financial resilience, reduce dependence on external funding, and give the company flexibility to sustain investment in enterprise IT services through changing business conditions.
Negative Factors
Profitability volatility
The unusually high 2024 margin makes reported earnings difficult to normalize and reduces confidence in peak profitability. Investors may need to assess the business on steadier margins closer to surrounding years.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage and strong equity base
Low leverage and substantial equity provide financial resilience, reduce dependence on external funding, and give the company flexibility to sustain investment in enterprise IT services through changing business conditions.
Read all positive factors

Business Brain Showaota Inc. (9658) vs. iShares MSCI Japan ETF (EWJ)

Business Brain Showaota Inc. Business Overview & Revenue Model

Company Description
Business Brain Showa-Ota Inc. provides consulting and systems development, and business management services in Japan. The company offers accounting package, enterprise solutions, digital transformation (DX), business-specific and industry-specific...
How the Company Makes Money
null...

Business Brain Showaota Inc. Financial Statement Overview

Summary
Above-average fundamentals supported by a strong balance sheet (low leverage, improving equity base). Income statement is generally healthy with re-accelerating revenue growth, but confidence is tempered by a large, likely non-recurring profitability spike in 2024 and uneven cash flow history (including prior negative/declining FCF before the latest rebound).
Income Statement
74
Positive
Balance Sheet
86
Very Positive
Cash Flow
63
Positive
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue42.56B42.10B38.80B34.22B37.06B32.35B
Gross Profit9.47B9.49B8.59B7.87B9.03B8.03B
EBITDA4.62B4.86B4.31B21.28B4.29B3.74B
Net Income2.65B2.99B2.47B14.15B1.84B1.78B
Balance Sheet
Total Assets48.42B48.46B45.32B44.80B30.39B28.30B
Cash, Cash Equivalents and Short-Term Investments11.40B11.73B9.91B9.91B11.33B9.04B
Total Debt3.60B3.30B2.73B2.84B3.38B4.13B
Total Liabilities17.67B17.24B15.71B15.41B14.20B14.25B
Stockholders Equity30.25B30.72B29.14B28.96B14.96B13.22B
Cash Flow
Free Cash Flow0.004.27B2.54B2.74B3.09B-121.11M
Operating Cash Flow0.004.49B2.75B3.15B3.31B682.47M
Investing Cash Flow0.00104.12M552.24M-2.07B-1.32B-844.81M
Financing Cash Flow0.00-2.77B-3.29B-1.40B-414.84M535.09M

Business Brain Showaota Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3560.00
Price Trends
50DMA
1040.40
Positive
100DMA
1005.20
Positive
200DMA
1041.52
Positive
Market Momentum
MACD
18.56
Negative
RSI
67.70
Neutral
STOCH
82.89
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9658, the sentiment is Positive. The current price of 3560 is above the 20-day moving average (MA) of 1064.80, above the 50-day MA of 1040.40, and above the 200-day MA of 1041.52, indicating a bullish trend. The MACD of 18.56 indicates Negative momentum. The RSI at 67.70 is Neutral, neither overbought nor oversold. The STOCH value of 82.89 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9658.

Business Brain Showaota Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
89
Outperform
¥202.84B14.532.55%14.36%32.93%
79
Outperform
¥404.18B15.880.22%16.71%161.67%
78
Outperform
¥39.03B13.472.97%6.10%-1.37%
75
Outperform
¥33.48B9.2310.39%4.82%3.46%6.90%
71
Outperform
¥43.51B19.2211.26%3.65%5.91%-31.97%
71
Outperform
¥29.76B15.552.83%15.42%27.86%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:9658
Business Brain Showaota Inc.
1,094.00
212.43
24.10%
JP:3844
Comture
1,324.00
-296.53
-18.30%
JP:4725
CAC Holdings Corporation
1,953.00
-50.30
-2.51%
JP:3923
RAKUS Co., Ltd.
1,086.50
-186.98
-14.68%
JP:4396
System Support, Inc.
1,408.00
-16.94
-1.19%
JP:9746
TKC Corporation
4,115.00
-145.68
-3.42%

Business Brain Showaota Inc. Corporate Events

Business Brain Showa-Ota Opens FY2027 With 1Q Results Briefing
Aug 13, 2026
Business Brain Showa-Ota Inc. has released materials for its first-quarter financial results briefing for the fiscal year ending March 2027. The briefing, dated August 13, 2026, outlines company introductions, key financial highlights, current top...
Business Brain Showa-Ota Posts Profit Drop Amid Modest Sales Growth and Trims Outlook
Aug 13, 2026
Business Brain Showa-Ota Inc. reported consolidated sales of ¥10.5 billion for the quarter ended June 30, 2026, up 4.6% year on year, but business profit fell 54.2% to ¥299 million and profit attributable to owners of parent declined 61....
Business Brain Showa-ota Cuts Interim Profit Forecast but Keeps Full-Year Outlook Intact
Aug 13, 2026
Business Brain Showa-ota Inc. has revised its consolidated earnings forecast for the six months ending September 30, 2026, keeping revenue unchanged at ¥20.9 billion but cutting business and operating profit projections by ¥250 million t...
Business Brain Showaota Corrects Segment Data in FY2026 Results
Jun 22, 2026
Business Brain Showaota Inc. has announced corrections to its consolidated financial results for the fiscal year ended March 31, 2026, originally released in mid-May. The company identified tabulation inaccuracies in segment information and has re...
Business Brain Showa-Ota Corrects Earnings Forecast and Adds Alliance Details
Jun 11, 2026
Business Brain Showa-Ota Inc. announced it has identified errors in the segment-based earnings forecast contained in its financial results briefing for the fiscal year ended March 2026, originally released on May 14, 2026. The company has issued c...
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 17, 2026