Risk factor
Resilient to price shocks
Profitability factor
Greatly undervalued vs peers
About
Established in 1972 and headquartered in Kawasaki, Japan, Alpha Systems Inc. is a leading software developer catering to a wide array of technological needs. The company's core expertise lies in designing and implementing software for critical backbone communication infrastructure across Japan, including node, mobile network, and sophisticated network management systems. Beyond this foundational work, Alpha Systems engineers open systems like online business portals and related workflow solutions, alongside developing specialized online applications and databases for public works initiatives. They also provide comprehensive systems for managing production and distribution processes, and internal corporate intranets for information management. Additionally, the firm crafts embedded software that controls a diverse range of electronic devices, from household appliances and office automation equipment to complex industrial machinery and in-vehicle systems. Completing its offerings, Alpha Systems provides end-to-end services such as system integration, ongoing operation and maintenance, and product sales.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBIT