SYSTEMS DESIGN CoTSE:3766 +1.79%71 FCF Margin % is 7.14% as of Mar. 2026, which is 219% above its 10-year median of 2.24. GuruFocus rates TSE:3766 with a GF Score™ of 71/100 and a GF Value™ of 円1,043.89 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,818 Software companies, SYSTEMS DESIGN Co ranks better than 63.59% on this metric.
The historical rank and industry rank for SYSTEMS DESIGN Co's FCF Margin % or its related term are showing as below:
TSE:3766'
s FCF Margin % Range Over the Past 10 Years
Min: -6.17 Med: 2.24 Max: 8.98
Current: 7.19
During the past 13 years, the highest FCF Margin % of SYSTEMS DESIGN Co was 8.98%. The lowest was -6.17%. And the median was 2.24%.
TSE:3766's FCF Margin % is ranked better than 63.59% of 2818
companies
in the Software industry
Industry Median: 2.35
vs TSE:3766: 7.19
SYSTEMS DESIGN Co FCF Margin % Related Terms
SYSTEMS DESIGN Co FCF Margin % Historical Data
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The historical data trend for SYSTEMS DESIGN Co's FCF Margin % 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:3766 vs IBM, ACN, FISV: FCF Margin % Comparison
For the Information Technology Services subindustry, SYSTEMS DESIGN Co's FCF Margin %, along with its competitors' market caps and FCF Margin % 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.
SYSTEMS DESIGN Co FCF Margin % vs Software Industry
For the Software industry and Technology sector, SYSTEMS DESIGN Co's FCF Margin % distribution charts can be found below:
* The bar in red indicates where SYSTEMS DESIGN Co's FCF Margin % falls into.
* 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.
SYSTEMS DESIGN Co (TSE:3766) has a FCF Margin % of 7.14% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on SYSTEMS DESIGN Co and its competitors. This is 219% above median its historical median of 2.24. According to the industry distribution chart, SYSTEMS DESIGN Co ranks #1026 out of 2818 companies in the Software industry, placing it in the top 36.4%.
Is SYSTEMS DESIGN Co's FCF Margin % too high?
SYSTEMS DESIGN Co's current FCF Margin % of 7.14% is 219% above median its 10-year median of 2.24. The Software industry median FCF Margin % is 2.35. SYSTEMS DESIGN Co's value of 7.14% is 203.8% above this industry median. Based on the distribution chart, SYSTEMS DESIGN Co ranks #1026 out of 2818 companies in the Software industry, which is above the industry midpoint. Overall, SYSTEMS DESIGN Co has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SYSTEMS DESIGN Co's FCF Margin % compare to IBM and ACN?
According to the Software industry distribution chart, SYSTEMS DESIGN Co ranks #1026 out of 2818 companies for FCF Margin %. This puts SYSTEMS DESIGN Co in the upper half of its industry. The industry median FCF Margin % is 2.35. SYSTEMS DESIGN Co's value of 7.14% is 203.8% above this benchmark. While the company's 10-year median is 2.24 vs. the industry median of 2.35, SYSTEMS DESIGN Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.35, based on 2,818 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. SYSTEMS DESIGN Co's current FCF Margin % of 7.14% is 203.8% above 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 FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on SYSTEMS DESIGN Co and its competitors. For the Software industry, the median FCF Margin % is 2.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SYSTEMS DESIGN Co's current FCF Margin % is 7.14%, which is 219% above median its own 10-year median of 2.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SYSTEMS DESIGN Co stock overvalued right now?
Based on GuruFocus' analysis, SYSTEMS DESIGN Co (TSE:3766) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,043.89, compared to a current price of 円1,419.00 — trading 35.9% above its estimated fair value. The current FCF Margin % is 7.14%, which is 219% above median its 10-year median of 2.24 and 203.8% above the Software industry median of 2.35. SYSTEMS DESIGN Co's overall GF Score™ is 71/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For SYSTEMS DESIGN Co (TSE:3766), the current FCF Margin % is 7.14% 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 SYSTEMS DESIGN Co (TSE:3766) Overvalued in 2026?
Based on GuruFocus' analysis, SYSTEMS DESIGN Co stock appears to be overvalued.
The current stock price of 円1,419.00 is trading 35.9% above its estimated GF Value™ of 円1,043.89.
GuruFocus considers SYSTEMS DESIGN Co to be Significantly Overvalued.
Key valuation signals for TSE:3766:
FCF Margin %: 7.14% (219% above median its 10-year median of 2.24)
GF Value™: 円1,043.89 vs. price of 円1,419.00 (35.9% above fair value)
Industry Position: 203.8% above the Software median (#1026 of 2818)
No single metric tells the full story. See the TSE:3766 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SYSTEMS DESIGN Co Ltd is an information technology service provider in Japan. The business of the company includes system development, integration, outsourcing business, system operation, data solution, and product service. The services offered by the company include quality control system, accounting system, a repair service system, and a dealer management system.
71GF Score
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FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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