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Stock Analysis & ValuationSHIKIGAKU. Co., Ltd. (7049.T)

Professional Stock Screener
Previous Close
¥926.00
Sector Valuation Confidence Level
Moderate
Valuation methodValue, ¥Upside, %
Artificial intelligence (AI)1241.4734
Intrinsic value (DCF)490.25-47
Graham-Dodd Method547.90-41
Graham Formula943.222

Strategic Investment Analysis

Company Overview

SHIKIGAKU Co., Ltd. (7049.T) is a Tokyo-based company specializing in management and organizational consulting services, operating primarily in Japan. Founded in 2015, the company operates across four key segments: Organizational Consulting, Sports Entertainment, VC Fund Management, and Hands-On Support Fund. Its core services include human resource training, M&A intermediation, recruitment consulting, and game-based knowledge experience programs. Additionally, SHIKIGAKU manages a professional basketball team, sells related merchandise, and operates venture capital funds. The company also develops web-based knowledge services and publishes books. With a market cap of approximately ¥7.01 billion, SHIKIGAKU serves both corporate and individual clients, positioning itself at the intersection of business consulting and entertainment. Its diversified revenue streams and niche expertise in employee development make it a unique player in Japan's specialty business services sector.

Investment Summary

SHIKIGAKU presents a niche investment opportunity in Japan's consulting and sports entertainment sectors. With a market cap of ¥7.01 billion and a beta of 0.675, the company exhibits lower volatility compared to broader markets. Revenue of ¥5.37 billion and net income of ¥426.57 million indicate stable operations, supported by positive operating cash flow of ¥518.09 million. However, the lack of dividend payouts may deter income-focused investors. The company's diversified business model—spanning consulting, sports, and VC funds—provides resilience but also exposes it to varying industry risks. Investors should weigh its unique positioning against potential challenges in scaling its specialized services beyond Japan.

Competitive Analysis

SHIKIGAKU's competitive advantage lies in its hybrid business model combining consulting, sports entertainment, and venture capital—a rare mix in Japan's specialty services sector. Its Organizational Consulting segment benefits from deep expertise in employee training and M&A intermediation, differentiating it from generalist HR firms. The Sports Entertainment segment, anchored by a professional basketball team, provides brand visibility and ancillary revenue streams. However, the company faces competition from larger HR consultancies and niche VC firms. Its small size limits economies of scale, but agility allows tailored solutions. The lack of international presence contrasts with global competitors, though this may be a strategic focus on Japan's domestic market. Financial health is solid, with ¥2.31 billion in cash and modest debt (¥345 million), but growth depends on expanding high-margin consulting services and leveraging its sports platform for cross-promotion.

Major Competitors

  • SCSK Corporation (9719.T): SCSK offers broader IT and business consulting services, with stronger financial scale (market cap ~¥400 billion) but lacks SHIKIGAKU's sports and VC diversification. Its IT focus may appeal to tech-centric clients, whereas SHIKIGAKU targets HR-specific needs.
  • IBJ Inc. (6071.T): A leader in HR and recruitment services, IBJ competes directly in consulting but without SHIKIGAKU's entertainment or fund segments. Its established brand and nationwide reach pose challenges for SHIKIGAKU's growth in traditional HR services.
  • Otsuka Corporation (4768.T): Specializes in corporate training and e-learning, overlapping with SHIKIGAKU's knowledge programs. Otsuka's stronger digital infrastructure is a threat, but SHIKIGAKU's hands-on fund and sports assets provide alternative engagement channels.
  • Square Enix Holdings (9684.T): A tangential competitor in game-based experiences, Square Enix's vast resources dwarf SHIKIGAKU's offerings. However, SHIKIGAKU's focus on corporate training games carves a distinct niche.
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