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KSK Co., Ltd (9687) AI Stock Analysis

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JP:9687

KSK Co., Ltd

(TSE/TYO:9687)

Select Model
Rating:82Outperform
Price Target:JPY 1,789.00â–²(18.87% Upside)
Action:reiterated
Date:09/30/26

Strong financial performance driven by a debt-free balance sheet and steady growth, combined with attractive valuation featuring a low P/E and high dividend yield, form the basis for the solid score. Mildly positive technical indicators provide additional support.

Positive Factors
Zero Debt and Growing EquityZero reported debt and equity growth from about ¥12.5B in 2021 to ¥18.6B in 2026 indicate a resilient capital structure. Low leverage should preserve borrowing capacity and financial flexibility through operating cycles, while a stronger equity base supports continued investment.
Negative Factors
Uneven Operating Cash ConversionOperating cash flow relative to net income has stayed below 1.0, around 0.32–0.69, and varies by year. This indicates working-capital or timing effects can disrupt cash conversion, making internally generated liquidity less predictable even when reported earnings remain healthy.

KSK Co., Ltd (9687) vs. iShares MSCI Japan ETF (EWJ)

-20%-10%0%10%20%30%JP:9687-9.17%EWJ+16.06%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 27.38B
Dividend Yield
12.03%
Average Volume (3M)
7,962
Price to Earnings (P/E)
13.3
Beta (1Y)
0.52
Revenue Growth
8.29%
EPS Growth
-21.76%
Country
Japan
Employees
2,709
Sector
General
Sector Strength
55
Industry
Software - Application

KSK Co., Ltd Business Overview & Revenue Model

Company Description

KSK Co.,Ltd. is a multifaceted technology firm engaged in integrated circuits, software, hardware systems, customer support, and data processing. The company specializes in developing both system and analog Large Scale Integrated (LSI) circuits, alon...

How the Company Makes Money

KSK primarily makes money by providing IT services to customers under project-based and recurring service arrangements. Key revenue streams typically include: (1) systems integration and software development fees earned from designing, developing, an...

KSK Co., Ltd Financial Statement Overview

Summary

Robust financial health with consistent revenue and profit growth, a debt-free balance sheet, and improving cash flows, though with some past volatility in cash generation.

Income Statement

85Very Positive

Balance Sheet

95Very Positive

Cash Flow

78Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue26.86B25.77B23.61B21.78B20.36B18.62B
Gross Profit6.12B5.92B5.69B5.33B4.67B4.32B
EBITDA2.85B2.86B2.63B2.43B2.31B2.15B
Net Income2.06B2.18B1.86B1.70B1.59B1.50B
Balance Sheet
Total Assets25.20B26.11B23.09B22.03B20.28B18.61B
Cash, Cash Equivalents and Short-Term Investments8.42B10.48B8.82B7.50B6.81B7.64B
Total Debt000000
Total Liabilities6.31B7.50B6.37B5.91B5.48B4.97B
Stockholders Equity18.88B18.61B16.72B16.12B14.79B13.63B
Cash Flow
Free Cash Flow03.39B1.70B1.71B1.30B910.00M
Operating Cash Flow03.42B1.82B1.94B1.43B991.00M
Investing Cash Flow0-1.14B-931.00M-470.00M-1.61B-1.64B
Financing Cash Flow0-724.00M-1.27B-474.00M-458.00M-463.00M

KSK Co., Ltd Technical Analysis

Technical Analysis SentimentNegative
Last Price1505.00

Price Trends

50DMA1539.61Negative
100DMA1506.82Negative
200DMA1474.63Positive

Market Momentum

MACD-9.02Positive
RSI42.37Neutral
STOCH17.04Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9687, the sentiment is Negative. The current price of 1505.00 is below the 20-day moving average (MA) of 1537.60, below the 50-day MA of 1539.61, and above the 200-day MA of 1474.63, indicating a neutral trend. The MACD of -9.02 indicates Positive momentum. The RSI at 42.37 is Neutral, neither overbought nor oversold. The STOCH value of 17.04 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9687.

KSK Co., Ltd Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:9687 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:3771JP:377182OutperformJPY 31.06B12.66―3.66%9.34%3.51%
JP:9687JP:968782OutperformJPY 29.30B13.28―12.03%8.29%-21.76%
JP:3853JP:385374OutperformJPY 14.22B6.36―1.04%9.82%64.85%
JP:4477JP:447773OutperformJPY 35.74B16.25―1.56%36.14%304.76%
JP:5027JP:502759NeutralJPY 44.56B34.26―0.28%28.94%-29.21%
JP:9553JP:955358NeutralJPY 16.06B22.46――30.51%290.91%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%

* General Sector Average

Performance Comparison

0%50%100%JP:9687JP:3771JP:3853JP:4477JP:5027JP:9553Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:9687 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:9687KSK Co., Ltd1505.00-212.68-12.38%
JP:3771System Research Co., Ltd.1911.0026.101.38%
JP:3853Asteria Corporation867.00-312.21-26.48%
JP:4477BASE, Inc.321.00-10.93-3.29%
JP:5027AnyMind Group Inc.717.0046.136.88%
JP:9553MicroAd, Inc.564.00-12.00-2.08%
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: Sep 30, 2026