Conservative Balance SheetLow debt-to-equity and an expanding equity base provide durable financial flexibility. Conservative leverage reduces refinancing and solvency risk, enabling the company to invest in R&D, weather cyclical industry downturns, and pursue partnerships without excessive interest burden.

Stronger Free Cash Flow In 2025A material FCF rebound and high FCF-to-net-income ratio indicate improved cash conversion quality. Sustainable cash generation supports reinvestment in engines/middleware, funds consulting projects, and provides optionality for dividends or strategic M&A over the medium term.

Diversified Software And Services Revenue ModelA mix of license fees, long-term support, consulting, and partnership/royalty income creates recurring and project revenue streams. This diversification stabilizes cash flow versus pure-product firms and aligns the business with structural demand for high-quality visual tools in gaming and digital content creation.

Bears Say

Weak Top-line GrowthDeclining or flat revenue constrains scalability and necessitates reliance on margin improvement or buybacks to grow EPS. Persistent top-line weakness reduces the firm's ability to expand market share, reinvest in product development, and capitalize on structural industry growth trends.

Operating Margin CompressionA multi-year decline in EBITDA margin signals pressure from costs, pricing, or product mix. Lower operating leverage reduces free cash flow potential per revenue dollar and limits the firm's capacity to fund R&D and sales expansion without eroding returns to equity holders.

Volatile Cash Flow HistoryHistoric swings in free cash flow undermine predictability for capex, dividends, and strategic investments. Irregular FCF increases funding risk during market stress and complicates long-term planning, making it harder to rely on cash returns or sustained reinvestment strategies.

3907 FAQ

What was Silicon Studio Corp.’s price range in the past 12 months?

Silicon Studio Corp. lowest stock price was ¥630.00 and its highest was ¥1311.00 in the past 12 months.

What is Silicon Studio Corp.’s market cap?

Silicon Studio Corp.’s market cap is ¥1.90B.

When is Silicon Studio Corp.’s upcoming earnings report date?

Silicon Studio Corp.’s upcoming earnings report date is Apr 14, 2026 which is in 56 days.

How were Silicon Studio Corp.’s earnings last quarter?

Silicon Studio Corp. released its earnings results on Jan 14, 2026. The company reported ¥21.35 earnings per share for the quarter, beating the consensus estimate of N/A by ¥21.35.

Is Silicon Studio Corp. overvalued?

According to Wall Street analysts Silicon Studio Corp.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Silicon Studio Corp. pay dividends?

Silicon Studio Corp. pays a Annually dividend of ¥10 which represents an annual dividend yield of 1.36%. See more information on Silicon Studio Corp. dividends here

What is Silicon Studio Corp.’s EPS estimate?

Silicon Studio Corp.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Silicon Studio Corp. have?

Silicon Studio Corp. has 2,973,900 shares outstanding.

What happened to Silicon Studio Corp.’s price movement after its last earnings report?

Silicon Studio Corp. reported an EPS of ¥21.35 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -0.124%.

Which hedge fund is a major shareholder of Silicon Studio Corp.?

Currently, no hedge funds are holding shares in JP:3907

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

Silicon Studio Corp.

Silicon Studio Corporation develops game engine and middleware products in Japan and internationally. The company offers YEBIS, an optical effects middleware; Mizuchi, the real-time rendering engine used in gaming and virtual reality (VR), video and animation, product and architectural visualization, etc.; Motion Portrait, a CG technology to create facial animation from a digital photo; and Enlighten, a lighting technology that delivers real-time global illumination over mobile, desktop, and VR platforms. It also provides human resource services comprising development, consulting, outsourcing, and staffing, including temporary, temporary-to-permanent, and full-time placement services. The company was incorporated in 1999 and is headquartered in Tokyo, Japan.