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Stock Analysis & ValuationArtner Co.,Ltd. (2163.T)

Professional Stock Screener
Previous Close
¥2,071.00
Sector Valuation Confidence Level
Moderate
Valuation methodValue, ¥Upside, %
Artificial intelligence (AI)2453.2318
Intrinsic value (DCF)1969.45-5
Graham-Dodd Methodn/a
Graham Formula2099.411

Strategic Investment Analysis

Company Overview

Artner Co., Ltd. is a leading Japanese staffing and employment services company specializing in worker dispatching and employment placement, primarily serving engineers and corporate clients. Founded in 1962 and headquartered in Yokohama, Japan, the company has expanded its expertise to include the design and development of machinery, electronic devices, electric circuits, and software. Operating in the industrials sector, Artner plays a crucial role in Japan's labor market by bridging the gap between skilled engineers and businesses in need of technical talent. With a market capitalization of approximately ¥20.07 billion, the company has demonstrated steady financial performance, supported by strong revenue growth and profitability. Artner’s diversified service offerings and deep industry expertise position it as a key player in Japan’s staffing and engineering solutions market.

Investment Summary

Artner Co., Ltd. presents a stable investment opportunity with low volatility (beta of 0.418) and consistent profitability, as evidenced by its net income of ¥1.26 billion and diluted EPS of ¥118.64. The company’s strong cash position (¥4.59 billion) and zero debt enhance its financial stability, while a dividend per share of ¥82 offers income potential. However, its reliance on Japan’s domestic market may limit growth compared to global staffing firms. Investors should weigh its solid fundamentals against potential risks from Japan’s aging workforce and competitive labor market.

Competitive Analysis

Artner Co., Ltd. holds a competitive advantage in Japan’s specialized staffing market, particularly in engineering and technical roles, where its deep industry expertise and long-standing client relationships provide a moat. Unlike generalist staffing firms, Artner’s focus on high-skilled technical placements allows it to command premium pricing and maintain strong client retention. The company’s integrated services—spanning staffing, machinery design, and software development—create cross-selling opportunities and differentiate it from pure-play staffing competitors. However, its domestic focus limits exposure to faster-growing international markets, where global players like Recruit Holdings dominate. Additionally, Artner’s zero-debt balance sheet and strong cash flow generation (¥1.18 billion operating cash flow) afford it flexibility to invest in technology and talent, but its smaller scale compared to multinational peers may hinder its ability to compete for large, cross-border contracts. The company’s niche positioning and profitability metrics suggest resilience in Japan’s competitive staffing landscape, though long-term growth may depend on geographic or service expansion.

Major Competitors

  • Recruit Holdings Co., Ltd. (6098.T): Recruit Holdings is a global leader in HR technology and staffing services, with a vast international presence and diversified portfolio, including Indeed and Glassdoor. Its scale and technological edge give it an advantage in digital recruitment, but its broader focus lacks Artner’s specialized engineering niche. Recruit’s higher growth potential comes with greater exposure to cyclical hiring trends.
  • IBJ Inc. (6071.T): IBJ Inc. is a Japanese staffing firm specializing in IT and engineering placements, making it a direct competitor to Artner. Its strength lies in IT-focused staffing, but it lacks Artner’s integrated design and development services. IBJ’s smaller market cap suggests less financial flexibility, though it benefits from similar domestic demand for technical talent.
  • Mixi, Inc. (2121.T): Mixi operates in HR tech and staffing but is more focused on digital platforms and social recruiting. Its technological capabilities are a strength, but it lacks Artner’s deep engineering specialization and on-the-ground staffing expertise. Mixi’s growth is tied to Japan’s digital transformation, which presents both opportunities and risks.
  • Persol Holdings Co., Ltd. (2181.T): Persol is one of Japan’s largest staffing firms, with a broad service range and regional presence across Asia. Its scale and diversified client base are strengths, but its generalist approach contrasts with Artner’s technical focus. Persol’s international footprint provides growth avenues but also exposes it to macroeconomic volatility.
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