Revenue GrowthSustained double-digit top-line growth, including a very strong jump in 2025, demonstrates durable market traction and demand for core offerings. Over the next 2–6 months this growth supports operating leverage potential, stronger customer retention economics, and a clearer path to scale-driven margin improvement.

Healthy Gross MarginMid-30% gross margins indicate underlying pricing power and service delivery efficiency in the business model. This margin buffer provides structural room to absorb SG&A while pursuing growth and makes eventual operating profitability achievable if fixed-cost absorption and cost discipline improve over time.

Stable Asset BaseA broadly stable asset base implies the company has maintained productive capacity without capital deterioration, which supports ongoing service delivery and investment planning. Stability in assets reduces operational disruption risk and provides collateral or a foundation for strategic funding if needed.

Bears Say

Rising LeverageA dramatic rise in leverage materially increases financial risk: higher interest burdens and tighter covenant/financing constraints limit strategic flexibility. While growth is strong, elevated debt amplifies downside risk if revenue or margins underperform and constrains capacity to fund capex or delever organically.

Persistent Negative Cash FlowConsistent negative operating and free cash flow means the business consumes cash rather than funds itself, forcing reliance on external financing. Even with some improvement in 2025, the structural cash burn undermines sustainability, increases refinancing risk, and limits the ability to delever over the medium term.

Structural UnprofitabilityOngoing negative operating and net margins indicate the company has not yet converted top-line growth into profitable operations. This suggests persistent cost structure issues or low operating leverage; until margins sustainably turn positive, long-term value creation and shareholder returns remain uncertain.

5618 FAQ

What was Nyle Inc.’s price range in the past 12 months?

Nyle Inc. lowest stock price was ¥212.00 and its highest was ¥718.00 in the past 12 months.

What is Nyle Inc.’s market cap?

Nyle Inc.’s market cap is ¥2.70B.

When is Nyle Inc.’s upcoming earnings report date?

Nyle Inc.’s upcoming earnings report date is May 20, 2026 which is in 89 days.

How were Nyle Inc.’s earnings last quarter?

Nyle Inc. released its earnings results on Feb 13, 2026. The company reported ¥4.69 earnings per share for the quarter, beating the consensus estimate of N/A by ¥4.69.

Is Nyle Inc. overvalued?

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

Does Nyle Inc. pay dividends?

Nyle Inc. does not currently pay dividends.

What is Nyle Inc.’s EPS estimate?

Nyle Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Nyle Inc. have?

Nyle Inc. has 8,536,800 shares outstanding.

What happened to Nyle Inc.’s price movement after its last earnings report?

Nyle Inc. reported an EPS of ¥4.69 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.29%.

Which hedge fund is a major shareholder of Nyle Inc.?

Currently, no hedge funds are holding shares in JP:5618

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

Nyle Inc.

Nyle Inc is a Japan-based company engaged in the horizontal digital transformation (DX) business and automotive industry DX business. The Company operates two segments. The Horizontal DX segment consists of DX & Marketing business and Media & Solutions business. In the DX & Marketing business, the Company supports customer companies' sales and profit growth using the Internet. In the Media & Solutions business, the Company supports customers' business growth by developing and operating multiple media, provides solutions related to digital advertising, as well as operates the application information site Appliv. In the automotive industry DX business, the Company handles new and used cars of all Japanese manufacturer models for individuals, with the business operation of Otokuni My Car Teikaku Carmo-kun, being the mainstay of the business, sells new/used cars of all models from Japanese manufacturers for individuals, with monthly payments in the 10000 yen range with no down payment.