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Stock Analysis & ValuationCS-C.Co.,Ltd. (9258.T)

Professional Stock Screener
Previous Close
¥355.00
Sector Valuation Confidence Level
High
Valuation methodValue, ¥Upside, %
Artificial intelligence (AI)529.6149
Intrinsic value (DCF)3259.76818
Graham-Dodd Method341.60-4
Graham Formulan/a

Strategic Investment Analysis

Company Overview

CS-C.Co.,Ltd. is a Tokyo-based company specializing in Software-as-a-Service (SaaS) integrated marketing tools, primarily serving the Japanese market. Founded in 2011, the company offers two main products: C-mo and C+, which help businesses streamline their marketing efforts through digital solutions. Operating in the Advertising Agencies industry under the Communication Services sector, CS-C.Co.,Ltd. leverages technology to enhance marketing efficiency for its clients. Despite its relatively small market capitalization of approximately ¥2.57 billion, the company plays a niche role in Japan's growing digital marketing landscape. With a strong cash position of ¥1.87 billion and minimal debt, CS-C.Co.,Ltd. is positioned to invest in product development and market expansion. However, recent financials show a net loss, indicating challenges in profitability that need addressing.

Investment Summary

CS-C.Co.,Ltd. presents a mixed investment profile. On the positive side, the company operates in the high-growth SaaS and digital marketing space, with a solid cash reserve and negligible debt, providing financial flexibility. Its low beta (0.454) suggests lower volatility compared to the broader market, which may appeal to risk-averse investors. However, the company's recent net loss of ¥9.35 million and zero diluted EPS raise concerns about its profitability and scalability. The lack of dividends further limits income-seeking investors. Given its niche focus on Japan, growth may be constrained unless the company expands internationally or diversifies its product offerings. Investors should weigh its strong liquidity position against its current unprofitability before making a decision.

Competitive Analysis

CS-C.Co.,Ltd. competes in Japan's crowded digital marketing and SaaS industry, where differentiation is key. The company's primary competitive advantage lies in its specialized integrated marketing tools (C-mo and C+), which cater to local businesses seeking streamlined marketing solutions. However, its small scale and lack of profitability compared to larger rivals may hinder its ability to invest in innovation or marketing. The company's strong cash position provides a buffer, but it lacks the global reach or diversified product portfolio of major competitors. Its focus on the Japanese market is both a strength (deep local understanding) and a weakness (limited growth potential). To compete effectively, CS-C.Co.,Ltd. must enhance its product offerings, improve profitability, and potentially explore partnerships or acquisitions to scale its operations.

Major Competitors

  • Rakuten Group, Inc. (4755.T): Rakuten is a diversified tech giant with a strong presence in digital marketing through its Rakuten Marketing division. Its vast ecosystem and global reach give it a significant advantage over CS-C.Co.,Ltd. However, Rakuten's broader focus may dilute its marketing-specific offerings compared to CS-C's niche tools.
  • CyberAgent, Inc. (4751.T): CyberAgent is a major player in Japan's digital advertising and internet services market. Its strong market share and diversified services (including game development and media) make it a formidable competitor. CS-C.Co.,Ltd. lacks CyberAgent's scale but may compete on specialized SaaS tools.
  • DeNA Co., Ltd. (2432.T): DeNA operates in digital marketing, gaming, and e-commerce, leveraging its tech expertise. Its broader portfolio and stronger financials overshadow CS-C.Co.,Ltd., though CS-C's focus on integrated marketing tools could appeal to niche clients seeking simplicity.
  • mixi, Inc. (2121.T): mixi is known for its social networking and gaming platforms, with ancillary marketing services. While not a direct competitor, its advertising solutions overlap with CS-C.Co.,Ltd.'s offerings. mixi's larger user base is an advantage, but CS-C may compete on tailored SaaS solutions.
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