Step Co's Days Sales Outstanding for the
six
months ended in Mar. 2026 was 3.65.
Step Co's Days Inventory for the
six
months ended in Mar. 2026 was 2.16.
Step Co's Days Payable for the
six
months ended in Mar. 2026 was 0.
Therefore, Step Co's Cash Conversion Cycle (CCC) for the
six
months ended in Mar. 2026 was 5.81.
Step Co (TSE:9795) Cash Conversion Cycle Explanation
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
Step Co Cash Conversion Cycle Related Terms
Step Co Cash Conversion Cycle Historical Data
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The historical data trend for Step Co's Cash Conversion Cycle can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
TSE:9795 vs EDU, TAL, LAUR: Cash Conversion Cycle Comparison
For the Education & Training Services subindustry, Step Co's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Step Co Cash Conversion Cycle vs Education Industry
For the Education industry and Consumer Defensive sector, Step Co's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Step Co's Cash Conversion Cycle falls into.
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
Step Co's Cash Conversion Cycle for the fiscal year that ended in Sep. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Step Co (TSE:9795) has a Cash Conversion Cycle of 5.81 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Step Co and its competitors.
Is Step Co's Cash Conversion Cycle too high?
Step Co's current Cash Conversion Cycle is 5.81. The Education industry median Cash Conversion Cycle is 9.69. Step Co's value of 5.81 is 40% below this industry median. Overall, Step Co has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Step Co's Cash Conversion Cycle compare to EDU and TAL?
Step Co's Cash Conversion Cycle of 5.81 can be compared against companies in the Education industry. The industry median Cash Conversion Cycle is 9.69. Step Co's value of 5.81 is 40% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for an Education company?
The median Cash Conversion Cycle among Education companies is 9.69, based on 256 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Step Co's current Cash Conversion Cycle of 5.81 is 40% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Step Co and its competitors. For the Education industry, the median Cash Conversion Cycle is 9.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Step Co's current Cash Conversion Cycle is 5.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Step Co stock overvalued right now?
Based on GuruFocus' analysis, Step Co (TSE:9795) is currently considered Fairly Valued. The stock's GF Value™ is 円2,363.31, compared to a current price of 円2,247.00 — trading 4.9% below its estimated fair value. The current Cash Conversion Cycle is 5.81 and 40% below the Education industry median of 9.69. Step Co's overall GF Score™ is 77/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Step Co (TSE:9795), the current Cash Conversion Cycle is 5.81 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Step Co (TSE:9795) Overvalued in 2026?
Based on GuruFocus' analysis, Step Co stock appears to be undervalued.
The current stock price of 円2,247.00 is trading 4.9% below its estimated GF Value™ of 円2,363.31.
GuruFocus considers Step Co to be Fairly Valued.
Key valuation signals for TSE:9795:
Cash Conversion Cycle: 5.81
GF Value™: 円2,363.31 vs. price of 円2,247.00 (4.9% below fair value)
No single metric tells the full story. See the TSE:9795 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Step Co Ltd is a Japan-based company engaged in the operation of private preparatory schools. The company operates cram schools and after-school care facilities, and produces and edits educational materials, as well as prints and binds books. The company is engaged in providing high school entrance exam preparation courses, Teaching Materials Research Division produces manuscripts and original plates for teaching materials, academic programs, physical education, and shogi (Japanese chess), and other activities.
77GF Score
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