The company's net profit margin improved to 10.7%, signaling robust cost control and operational efficiency. With a P/E ratio of 15.6x, below both the Japanese IT sector's 17.3x and its peer group's 16.6x, the consensus narrative suggests this relative discount, paired with stable profit delivery, strengthens appeal for value-focused investors. The company's earnings per share have been growing at 11% a year for the past five years.
Cyborg Score Rationale
The company achieved FY2025 revenue of JP¥69.5b, up 17% from FY2024, demonstrating solid growth momentum. Stable margins, consistent dividend growth, and earnings resilience support quality business fundamentals. However, earnings grew by 8.5% over the past year, falling short of the five-year compounded annual growth rate of 15%, signaling some deceleration as the business scales.
Top Insights
The company has a trailing dividend yield of approximately 3.2%, above average for the industry
Since the start of data 10 years ago, ARGO GRAPHICS has lifted its dividend by approximately 18% a year on average
The current stock price trades at a P/E ratio discount of 15.6x versus sector peer average of 16.6x
11% annual EPS growth for five years with the company keeping more than half of earnings within the business, suggesting focus on reinvestment for further growth
Named Competitors
CATIA — Computer-aided design and PLM software platform
Siemens NX — CAD/CAM software for product design and manufacturing
ANSYS — Engineering simulation and HPC solutions
Recent Developments
(May 2025) Full year 2025 revenue reached JP¥69.5b, up 17% year-over-year with EPS of JP¥350
(November 2025) Net profit margin improved to 10.7%, demonstrating operational efficiency gains
(January 2026) Earnings report released with continued profit growth trajectory
Open the full interactive ARGO GRAPHICS Inc. report
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