| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 4056.22 | -16 |
| Intrinsic value (DCF) | 2762.17 | -43 |
| Graham-Dodd Method | 2495.34 | -48 |
| Graham Formula | 2359.53 | -51 |
NJS Co., Ltd. (2325.T) is a leading Japanese construction consultancy specializing in water supply, sewerage, and environmental infrastructure. Headquartered in Tokyo, the company provides comprehensive services including planning, supervision, and asset management for water and sewage treatment facilities, disaster prevention, and seismic diagnostics. With a strong focus on sustainability, NJS develops GIS and facility information systems to optimize infrastructure management. Operating domestically and internationally, NJS leverages its expertise in environmental impact assessments and contamination analysis to support public and industrial projects. Formerly known as Nippon Jogesuido Sekkei Co., Ltd., the company rebranded in 2015 to reflect its expanded consultancy role in Japan's critical infrastructure sector. NJS's integrated approach combines engineering, technology, and financial consultancy, positioning it as a key player in Japan's industrials and waste management landscape.
NJS Co., Ltd. presents a stable investment opportunity with its niche focus on Japan's essential water and sewage infrastructure. The company's low beta (0.258) indicates resilience to market volatility, supported by consistent revenue (¥22.6B) and net income (¥2.1B). Strong cash reserves (¥17.7B) and minimal debt (¥3.3M) underscore financial health, while a dividend yield of ~2.1% (¥95/share) adds income appeal. However, reliance on domestic public projects may limit growth without international expansion. Investors should monitor Japan's infrastructure spending trends and NJS's ability to digitize services (e.g., GIS systems) for competitive differentiation.
NJS Co., Ltd. holds a specialized position in Japan's infrastructure consultancy market, differentiating through integrated water/sewerage expertise and seismic risk management—a critical advantage in earthquake-prone Japan. Its asset management services for aging infrastructure align with national priorities, while proprietary GIS systems enhance operational stickiness with municipal clients. However, the company faces competition from larger engineering conglomerates with broader global reach and diversified industrial portfolios. NJS's ¥43.8B market cap reflects its mid-size status, requiring niche dominance to offset scale disadvantages. Its international operations remain limited compared to peers, though overseas consulting activities present growth avenues. The firm's low debt and high cash position provide flexibility for strategic acquisitions or R&D in smart infrastructure technologies. Competitive threats include potential consolidation in Japan's fragmented engineering sector and pressure from digital-native entrants in asset management solutions.