investorscraft@gmail.com

Stock Analysis & ValuationLogizard Co.,Ltd. (4391.T)

Professional Stock Screener
Previous Close
¥1,117.00
Sector Valuation Confidence Level
Low
Valuation methodValue, ¥Upside, %
Artificial intelligence (AI)1219.309
Intrinsic value (DCF)1038.45-7
Graham-Dodd Method876.15-22
Graham Formula1555.5739

Strategic Investment Analysis

Company Overview

Logizard Co., Ltd. is a Tokyo-based application service provider specializing in logistics and retail information systems. Founded in 2001, the company offers comprehensive solutions under its flagship product, Logizard ZERO, which includes barcode management, warehousing management, location management, and multi-language services. Operating in Japan and internationally, Logizard serves businesses seeking to optimize their supply chain and retail operations through innovative software infrastructure. With a market capitalization of approximately ¥4.09 billion, the company plays a critical role in the technology-driven transformation of logistics and retail sectors. Its solutions are designed to enhance operational efficiency, reduce costs, and improve inventory accuracy, making it a key player in Japan's growing logistics tech market. Logizard's focus on scalable, multi-language systems positions it well for expansion in global markets.

Investment Summary

Logizard Co., Ltd. presents a niche investment opportunity in the logistics and retail software sector, with a strong foothold in Japan. The company's revenue of ¥1.98 billion and net income of ¥252.5 million reflect steady performance, supported by positive operating cash flow of ¥351.3 million. A debt-free balance sheet and ¥1.54 billion in cash reserves provide financial stability. However, its beta of 1.126 indicates higher volatility compared to the market, which may deter risk-averse investors. The dividend yield, with ¥16 per share, adds modest income appeal. Growth potential lies in international expansion and increasing demand for logistics automation, but competition from larger global players could pressure margins. Investors should weigh its specialized market position against scalability challenges.

Competitive Analysis

Logizard Co., Ltd. competes in the logistics and retail software infrastructure market with a focus on Japan and selective international markets. Its competitive advantage stems from its specialized, integrated solutions like Logizard ZERO, which cater specifically to logistics and retail operations—a niche that larger, generalized software providers may overlook. The company's multi-language support enhances its appeal for global clients, though its primary revenue base remains domestic. Logizard's debt-free status and strong cash position allow for reinvestment in R&D and potential acquisitions. However, its smaller scale limits its ability to compete on pricing or brand recognition against global giants like SAP or Oracle. The company's success hinges on maintaining technological differentiation and deepening client relationships in its core markets. Its lack of significant debt is a strength, but reliance on a concentrated market (Japan) poses risks if economic conditions weaken. Logizard must balance innovation with cost control to sustain profitability amid rising competition.

Major Competitors

  • SoftBank Group Corp. (9984.T): SoftBank Group, through its subsidiaries, offers broad IT and logistics solutions, including SaaS platforms. Its vast resources and global reach overshadow Logizard's niche focus. However, SoftBank's diversified operations dilute its logistics software specialization, giving Logizard an edge in tailored solutions for smaller businesses.
  • SCSK Corporation (9719.T): SCSK provides enterprise IT services, including logistics systems, competing directly with Logizard. Its larger scale and established client base in Japan are strengths, but Logizard's agility and focused product suite may appeal to SMEs seeking cost-effective, specialized solutions.
  • SAP SE (SAP): SAP dominates global enterprise logistics software with its SCM and ERP suites. Its extensive features and multinational support outmatch Logizard's offerings for large corporations. However, SAP's complexity and high costs leave room for Logizard to serve mid-market clients in Japan and Asia.
  • Oracle Corporation (ORCL): Oracle's logistics and retail cloud solutions compete with Logizard, especially in inventory and warehouse management. Oracle's AI and IoT integrations are advanced, but Logizard's localized expertise and simpler interfaces may better suit regional Japanese retailers.
HomeMenuAccount