SECOM CO (SOMLY) AI Stock Analysis

• Market Cap: $14.88B
• Dividend Yield: 1%
• Average Volume (3M): 5.85K
• Price to Earnings (P/E): 19.3
• Beta (1Y): 0.02
• Revenue Growth: 4.35%
• EPS Growth: 46.80%
• Country: US
• Employees: 64,744
• Sector: Industrials
• Sector Strength: 72
• Industry: Security & Protection Services
• EPS (TTM): 0.10
• Shares Outstanding: 1,866,399,200
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 5,852
• PEG Ratio: 0.04
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 7.29
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 0.01
• Enterprise Value/Gross Profit: 0.03
• Enterprise Value/Ebitda: 0.06
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 63 Neutral
• Price Target: $9.00 ▲(5.39% Upside)

SECOM CO's strong financial performance is the most significant factor, reflecting stability and growth potential. However, bearish technical indicators and fair valuation metrics suggest caution. The lack of earnings call and corporate events data limits additional insights.

SECOM CO Business Overview & Revenue Model

Company Description

SECOM CO (SOMLY) is a leading provider of security and safety solutions, operating primarily in the fields of security services, electronic security systems, and disaster prevention. Established in Japan, the company offers a comprehensive range of products and services, including monitoring systems, surveillance equipment, emergency response services, and risk management consulting. With a commitment to innovation and reliability, SECOM caters to both residential and commercial clients, ensuring peace of mind through advanced technology and professional expertise.

How the Company Makes Money

SECOM generates revenue through multiple streams, including subscription fees for its security monitoring services, sales of electronic security products, and installation services. The company charges monthly or annual fees for its monitoring services, which provide clients with 24/7 surveillance and emergency response. Additionally, SECOM benefits from direct sales of security equipment such as cameras and alarm systems, where they often partner with technology firms to enhance product offerings. Significant partnerships with local governments and businesses further bolster their revenue, as they provide tailored security solutions for large-scale projects. Furthermore, SECOM's focus on disaster prevention services presents additional revenue opportunities, particularly in areas prone to natural disasters, where businesses and homes seek enhanced safety measures.

SECOM CO Financial Statement Overview

Summary

SECOM CO exhibits strong financial health with consistent revenue growth, healthy profit margins, low leverage, and effective cash management. The income statement, balance sheet, and cash flow statement collectively reflect a stable financial foundation and growth potential.

Income Statement

SECOM CO has demonstrated consistent revenue growth with a 1.37% increase in the latest year. The company maintains healthy margins with a gross profit margin of approximately 30.9% and a net profit margin of around 9.0%. EBIT and EBITDA margins are strong, indicating efficient operations. The steady growth and robust profitability metrics reflect a well-managed income statement.

Balance Sheet

The balance sheet of SECOM CO shows a solid financial position with a low debt-to-equity ratio of approximately 0.06, indicating low leverage. The return on equity is stable at around 8.3%, showcasing effective use of equity. The equity ratio is healthy, suggesting a strong capital structure. Overall, the balance sheet reflects financial stability and low risk.

Cash Flow

SECOM CO's cash flow statement indicates strong operating cash flow, with a high operating cash flow to net income ratio. The free cash flow growth rate is positive, although it has shown some volatility in previous years. The company maintains a good free cash flow to net income ratio, demonstrating effective cash management. Overall, the cash flow position is solid but could benefit from more consistent free cash flow growth.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.22T	1.20T	1.15T	1.10T	1.05T	1.04T
Gross Profit	377.08B	371.15B	357.28B	342.46B	337.67B	330.57B
EBITDA	222.06B	253.42B	236.61B	223.18B	220.31B	201.68B
Net Income	108.40B	108.11B	101.95B	96.08B	94.27B	74.68B
Balance Sheet
Total Assets	2.09T	2.15T	2.08T	1.99T	1.91T	1.86T
Cash, Cash Equivalents and Short-Term Investments	448.23B	584.63B	599.15B	684.18B	685.86B	659.72B
Total Debt	64.94B	72.34B	68.96B	64.28B	67.63B	66.17B
Total Liabilities	669.55B	697.84B	690.09B	673.02B	651.72B	634.36B
Stockholders Equity	1.25T	1.27T	1.22T	1.16T	1.12T	1.08T
Cash Flow
Free Cash Flow	0.00	72.58B	71.34B	85.09B	101.24B	123.82B
Operating Cash Flow	0.00	167.84B	165.76B	146.43B	164.91B	181.93B
Investing Cash Flow	0.00	-100.80B	-162.27B	-70.45B	-55.35B	-48.54B
Financing Cash Flow	0.00	-85.25B	-95.49B	-77.84B	-87.39B	-49.31B

SECOM CO Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SOMLY, the sentiment is Negative. The current price of 8.54 is below the 20-day moving average (MA) of 8.65, below the 50-day MA of 9.08, and below the 200-day MA of 9.00, indicating a bearish trend. The MACD of -0.20 indicates Positive momentum. The RSI at 25.30 is Positive, neither overbought nor oversold. The STOCH value of -0.85 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SOMLY.

SECOM CO Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NSSC	―	$1.57B	37.13	24.98%	1.20%	-3.81%	-11.48%
ADT	―	$7.35B	13.24	17.13%	2.49%	3.80%	-3.18%
ALLE	―	$14.26B	22.44	36.41%	1.21%	6.87%	13.53%
REZI	―	$6.48B	―	-26.27%	―	20.00%	-547.75%
BCO	―	$4.63B	29.77	56.23%	0.89%	2.17%	25.34%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
SOMLY	―	$14.88B	19.28	8.93%	1.00%	4.35%	46.80%

SECOM CO Corporate Events

SECOM CO., LTD. Reports Strong Q2 2025 Performance

SECOM CO., LTD. is a leading Japanese company specializing in security services, fire protection, medical services, and insurance, with a focus on providing safety and peace of mind through innovative solutions.