Revenue Growth / Recurring ModelSORACOM's recurring subscription-based IoT connectivity business is delivering durable top-line expansion (TTM revenue growth 13.44%). Steady device additions and usage-driven billing create repeatable revenues that support long-term scaling, product investment, and network effects in IoT markets.

High Gross MarginA 56% gross margin signals an efficient cost structure in core connectivity and platform services, providing structural cushion to absorb SG&A and R&D. High product-level profitability supports reinvestment in platform features and partnerships, helping sustain competitive differentiation over time.

Strong Balance Sheet / Low LeverageExtremely low leverage and a high equity ratio give SORACOM lasting financial flexibility to fund growth, weather industry cycles, pursue strategic partnerships or M&A, and avoid refinancing risk. A conservative capital structure supports long-term strategic optionality.

Bears Say

Negative Operating & Free Cash FlowPersistent negative operating and free cash flow indicate the business is not converting revenue into cash sustainably. Over months this pressures liquidity, may require external financing, and constrains the firm's ability to self-fund capex, R&D, or margin-improving initiatives.

Declining Net Profit MarginA sharp fall in net margin signals rising costs, pricing pressure, or higher operating expenses relative to revenue. If sustained, lower net profitability will reduce retained earnings, limit reinvestment capacity, and weaken long-term returns despite strong gross margins.

Low And Falling ROEA modest and declining ROE points to inefficiency in converting equity into profits. Over a multi-month horizon this undermines shareholder returns and suggests operational leverage or profitability issues that must be addressed to justify continued equity capital deployment.

SORACOM,INC. News

SORACOM Achieves Solid Q1 Growth, Optimistic FY2025 Outlook

SORACOM,INC. (JP:147A) has released an update. SORACOM, INC., listed on the Tokyo Stock Exchange, reports consolidated net sales...

2y ago

147A

147A FAQ

What was SORACOM,INC.’s price range in the past 12 months?

SORACOM,INC. lowest stock price was ¥686.00 and its highest was ¥1335.00 in the past 12 months.

What is SORACOM,INC.’s market cap?

SORACOM,INC.’s market cap is ¥46.05B.

When is SORACOM,INC.’s upcoming earnings report date?

SORACOM,INC.’s upcoming earnings report date is May 20, 2026 which is in 80 days.

How were SORACOM,INC.’s earnings last quarter?

SORACOM,INC. released its earnings results on Feb 12, 2026. The company reported ¥6.08 earnings per share for the quarter, beating the consensus estimate of N/A by ¥6.08.

Is SORACOM,INC. overvalued?

According to Wall Street analysts SORACOM,INC.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does SORACOM,INC. pay dividends?

SORACOM,INC. does not currently pay dividends.

What is SORACOM,INC.’s EPS estimate?

SORACOM,INC.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does SORACOM,INC. have?

SORACOM,INC. has 45,325,240 shares outstanding.

What happened to SORACOM,INC.’s price movement after its last earnings report?

SORACOM,INC. reported an EPS of ¥6.08 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -4.33%.

Which hedge fund is a major shareholder of SORACOM,INC.?

Currently, no hedge funds are holding shares in JP:147A

What is the TipRanks Smart Score and how is it calculated?

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Company Description

SORACOM,INC.

SORACOM, Inc. is a global provider of cloud-based IoT (Internet of Things) connectivity solutions, focusing on simplifying the way devices connect to the internet. Operating primarily in the telecommunications and technology sectors, SORACOM offers a range of services including cellular connectivity, device management, and data analytics, enabling businesses to deploy and manage IoT devices efficiently. Their core products encompass various IoT SIM cards, APIs, and management platforms that allow seamless integration and scalability for IoT applications.