Conservative Capital StructureA high equity ratio and low leverage provide durable financial flexibility: the company can fund operations and strategic investments without heavy debt service, better absorb shocks, and preserve optionality while pursuing product development and market expansion despite near-term losses.

Recurring Revenue ModelSubscription-based cloud offerings generate predictable, recurring revenue and promote customer stickiness. Over 2–6 months this supports revenue visibility, enables gradual margin expansion as fixed costs scale, and underpins long-term customer lifetime value if retention and upsell improve.

Diversified End Markets & PartnershipsExposure across finance, healthcare, and retail reduces single-market cyclicality and spreads client risk. Strategic partnerships with cloud providers accelerate distribution, enhance product integration, and expand the addressable market—structural advantages for sustained growth if execution holds.

Bears Say

Sustained LossesPersistent negative EBIT and net income indicate the company has not yet achieved operating leverage. Continued losses constrain reinvestment capacity, make profitability recovery a material execution risk, and can erode equity if unaddressed over multiple reporting periods.

Revenue Decline TrendMulti-year revenue decline undermines economies of scale and questions product-market fit or sales effectiveness. For a software/subscription business, shrinking top-line reduces potential for margin recovery and makes sustaining R&D and go-to-market investments harder without reversing the trend.

Weak Cash GenerationInconsistent operating cash flow and negative free cash flow limit the firm's ability to self-fund growth or weather downturns. Over the medium term this raises the likelihood of needing external financing, which could increase cost of capital or dilute shareholders, pressuring strategic options.

4814 FAQ

What was Nextware Ltd.’s price range in the past 12 months?

Nextware Ltd. lowest stock price was ¥123.00 and its highest was ¥314.00 in the past 12 months.

What is Nextware Ltd.’s market cap?

Nextware Ltd.’s market cap is ¥2.52B.

When is Nextware Ltd.’s upcoming earnings report date?

Nextware Ltd.’s upcoming earnings report date is May 18, 2026 which is in 91 days.

How were Nextware Ltd.’s earnings last quarter?

Nextware Ltd. released its earnings results on Feb 13, 2026. The company reported -¥3.229 earnings per share for the quarter, missing the consensus estimate of N/A by -¥3.229.

Is Nextware Ltd. overvalued?

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

Does Nextware Ltd. pay dividends?

Nextware Ltd. pays a Annually dividend of ¥2 which represents an annual dividend yield of N/A. See more information on Nextware Ltd. dividends here

What is Nextware Ltd.’s EPS estimate?

Nextware Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Nextware Ltd. have?

Nextware Ltd. has 13,015,222 shares outstanding.

What happened to Nextware Ltd.’s price movement after its last earnings report?

Nextware Ltd. reported an EPS of -¥3.229 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -5.263%.

Which hedge fund is a major shareholder of Nextware Ltd.?

Currently, no hedge funds are holding shares in JP:4814

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

Nextware Ltd.

Nextware Ltd. provides IT solutions in Japan. The company operates through Solutions Business and Entertainment Business segments. It is also involved in the computer system design and software development activities; buying, importing/exporting, selling, and leasing of computers and its peripherals. In addition, the company engages in operational management and support of computer systems; and computer system consulting services. Further, it provides consulting management, events planning and management, and non-life insurance agency businesses. Additionally, the company offers digital content development and distribution services. Nextware Ltd. was incorporated in 1990 and is headquartered in Osaka, Japan.