| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 646.65 | -31 |
| Intrinsic value (DCF) | 1043830.40 | 110946 |
| Graham-Dodd Method | 94.72 | -90 |
| Graham Formula | n/a |
Japan Data Science Consortium Co. Ltd. (4418.T) is a Tokyo-based company specializing in AI-driven data science solutions, founded in 2013. The company develops and licenses algorithm modules using machine learning, offering a suite of data-driven insights platforms such as Wodom!, Sales Insight, Response Insight, Learning Insight, Home Insight, Demand Insight, and Maintenance Insight. These solutions cater to diverse needs, including sales optimization, adaptive learning, IoT-based home monitoring, inventory management, and predictive maintenance. Operating in Japan's rapidly growing IT services sector, the company also provides IT system development, data science advisory, and consulting services. With a focus on leveraging AI to solve real-world business and social challenges, Japan Data Science Consortium is positioned at the intersection of technology and data analytics, serving industries ranging from retail to healthcare and manufacturing.
Japan Data Science Consortium presents a high-risk, high-reward investment opportunity in Japan's burgeoning AI and data science market. While the company operates in a high-growth sector with strong demand for AI-driven solutions, its financials reveal challenges, including negative net income (-¥278M) and negative operating cash flow (-¥713M). The company's market cap of ¥14B suggests investor confidence in its long-term potential, but profitability remains elusive. The lack of dividends and reliance on cash reserves (¥2.3B) against total debt (¥1.6B) indicate financial strain. Investors should weigh the company's innovative product portfolio against its current unprofitability and competitive pressures in Japan's crowded AI services market.
Japan Data Science Consortium competes in Japan's AI and data analytics market, differentiating itself with a diverse suite of industry-specific AI solutions. Its competitive advantage lies in its verticalized approach, offering tailored insights for sales, logistics, education, and home IoT—unlike broader AI platforms. However, the company faces intense competition from larger IT service providers with deeper R&D budgets and established enterprise client bases. Its niche focus on Japan limits scalability compared to global players but provides localized expertise. The company's proprietary algorithms and modular approach offer flexibility, but its financial struggles may hinder long-term R&D investment. While its solutions like Wodom! and Maintenance Insight show innovation, adoption rates remain unclear. The firm must demonstrate tangible ROI for clients to justify premium pricing against cheaper alternatives. Its consulting arm provides supplementary revenue but competes directly with major system integrators. Success depends on converting its technological capabilities into sustainable monetization amid Japan's slow corporate digital transformation pace.