Guidance Outlook:
In its FY 2025 earnings release, Robot Consulting disclosed its FY 2026 outlook—projecting FY2026 net revenue of ¥12.3 billion, representing a 13% YoY increase, and an adjusted EPS of ¥115, a 10% rise from the current year. Analysts had been forecasting FY2026 revenue growth of 11‑12% and an EPS of ¥110‑¥112, so the company’s guidance is modestly above the consensus on both the top‑line and earnings metrics. Management also highlighted a 15‑20% expansion in its legal‑tech platform and a pilot metaverse recruitment product, which they expect will contribute roughly ¥0.5 billion of incremental revenue, further underpinning the guidance.
Trading Implications:
The modest beat‑the‑consensus guidance has already been reflected in a 2.5% rally in LAWR shares, with the stock holding just above its 20‑day SMA (~¥38.2) and testing the recent high‑volume resistance around ¥40. Should the market digest the guidance as a credible catalyst for sustainable growth—particularly given the company’s expansion into high‑margin legal‑tech and the nascent metaverse space—upside could be limited to a 5‑7% upside to the next resistance level near ¥44. Conversely, any near‑term earnings miss or slower rollout of the new platforms could trigger a retracement toward the 50‑day EMA (~¥35) and the 61.8% Fibonacci retracement of the recent up‑move.
Actionable Take‑away:
With FY2026 guidance beating analyst expectations but still modest, the stock appears to be in the early stages of a “buy the dip” opportunity on pull‑backs to the ¥35‑¥38 range, offering a risk‑reward profile of ~1.5:1 to the upside target around ¥44. Traders should monitor volume‑weighted price action; a breakout above ¥40 on strong volume could justify a short‑term long position, while a break below the 50‑day EMA with rising volatility may warrant a defensive stop or a short position. Keep an eye on the upcoming Q3 earnings call for updates on the metaverse pilot’s performance—material updates there could swing the stock either side of the current technical range.