Revenue Growth TrajectorySustained revenue growth indicates successful product-market fit and expanding user adoption. Over 2-6 months this supports predictable development funding, strengthens negotiating position for distribution/partnerships, and provides a base to scale recurring DLC and in‑game monetization.

Low Financial LeverageLow leverage and a strong equity base give the company durable financial flexibility to fund game development, weather cyclical sales, and pursue strategic investments or partnerships without over-reliance on external debt, preserving optionality over the medium term.

Niche IP And Specialized PortfolioDeep expertise and recognizable IP in a niche genre build a loyal, monetizable fanbase. This durable competitive advantage supports recurring sales, DLC, remasters, merchandise and licensing opportunities that can sustain revenue even amid broader market shifts.

Bears Say

Negative Free Cash FlowPersistent negative free cash flow undermines the firm's ability to self-fund development, marketing and platform investments. Over months this raises dependency on external financing or asset monetization, constraining strategic flexibility and increasing execution risk.

Weakened Profitability MarginsDeclining and volatile margins signal cost or pricing pressure that can erode the benefits of revenue growth. If margins don't stabilize, reinvestment capacity and free cash flow will remain limited, making long-term product roadmaps and competitive positioning harder to sustain.

Declining Return On EquityA materially lower ROE indicates diminishing effectiveness in converting shareholder capital into profits. Over the medium term this can signal suboptimal capital allocation or weaker project returns, pressuring management to improve returns or reallocate resources.

3760 FAQ

What was Cave Interactive Co., Ltd.’s price range in the past 12 months?

Cave Interactive Co., Ltd. lowest stock price was ¥648.00 and its highest was ¥1100.00 in the past 12 months.

What is Cave Interactive Co., Ltd.’s market cap?

Cave Interactive Co., Ltd.’s market cap is ¥4.60B.

When is Cave Interactive Co., Ltd.’s upcoming earnings report date?

The company’s upcoming earnings report date is not yet available.

How were Cave Interactive Co., Ltd.’s earnings last quarter?

Currently, no data Available

Is Cave Interactive Co., Ltd. overvalued?

According to Wall Street analysts Cave Interactive Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Cave Interactive Co., Ltd. pay dividends?

Cave Interactive Co., Ltd. pays a Annually dividend of ¥10 which represents an annual dividend yield of 1.44%. See more information on Cave Interactive Co., Ltd. dividends here

What is Cave Interactive Co., Ltd.’s EPS estimate?

Cave Interactive Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Cave Interactive Co., Ltd. have?

Cave Interactive Co., Ltd. has 6,693,500 shares outstanding.

What happened to Cave Interactive Co., Ltd.’s price movement after its last earnings report?

Currently, no data Available

Which hedge fund is a major shareholder of Cave Interactive Co., Ltd.?

Currently, no hedge funds are holding shares in JP:3760

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

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Cave Interactive Co., Ltd.

CAVE Interactive CO.,LTD. engages in entertainment business in Japan. It plans, produces, operates, and markets entertainment content, including mobile media. The company also offers games and live streaming services. CAVE Interactive CO.,LTD. was incorporated in 1994 and is based in Tokyo, Japan.