Very High Gross Profit MarginA gross margin above 85% indicates a durable structural advantage—either strong pricing power or a low variable-cost model. That margin buffer supports reinvestment in SG&A or R&D and helps protect operating profits from moderate revenue volatility over months.

Meaningful Recent Revenue GrowthReported revenue growth of ~25.6% signals the company can scale top-line demand. If sustained over ensuing quarters, this supports absorption of fixed costs, improves operating leverage, and provides runway for margin recovery and reinvestment into core services or expansion.

Improving Leverage TrajectoryA modest improvement in debt-to-equity shows management progress on leverage management. Continued deleveraging would reduce interest expense, enhance strategic flexibility for investments or M&A, and materially lower financial risk over the medium term.

Bears Say

Weak Net Profitability And Recent LossesDespite high gross margins, weak net margins and recent losses indicate operating or overhead costs erode profitability. This reduces retained earnings and limits the company’s ability to self-fund growth or debt reduction, threatening long-term shareholder returns absent structural fixes.

Declining Free Cash Flow And Poor Cash ConversionA decline in free cash flow and weak operating cash conversion means reported earnings are not reliably translating into liquidity. This elevates reliance on external financing for capex or debt service, raising refinancing and operational risk over coming quarters.

Leverage Still Elevated With Low ROEPersistently high leverage combined with low ROE suggests capital is not being efficiently deployed. High debt magnifies downside if revenue softens and constrains investment capacity, limiting the company’s ability to sustainably improve returns and fund strategic initiatives.

INEST,Inc. News

INEST Posts Nine‑Month Loss but Maintains Profit Forecast for Full Year

The latest announcement is out from INEST,Inc. ( ($JP:7111) ). INEST, Inc. reported consolidated revenue of ¥12,970 million...

4d ago

7111

INEST Posts Nine-Month Loss but Targets Full-Year Profit Amid Reverse Split and Stronger Equity Base

INEST,Inc. ( ($JP:7111) ) has shared an announcement. INEST, Inc. reported consolidated revenue of ¥12,970 million for the...

4d ago

7111

7111 FAQ

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

INEST,Inc. lowest stock price was ¥500.00 and its highest was ¥1260.00 in the past 12 months.

What is INEST,Inc.’s market cap?

INEST,Inc.’s market cap is ¥4.09B.

When is INEST,Inc.’s upcoming earnings report date?

INEST,Inc.’s upcoming earnings report date is May 26, 2026 which is in 98 days.

How were INEST,Inc.’s earnings last quarter?

INEST,Inc. released its earnings results on Feb 13, 2026. The company reported -¥33.552 earnings per share for the quarter, missing the consensus estimate of N/A by -¥33.552.

Is INEST,Inc. overvalued?

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

Does INEST,Inc. pay dividends?

INEST,Inc. does not currently pay dividends.

What is INEST,Inc.’s EPS estimate?

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

How many shares outstanding does INEST,Inc. have?

INEST,Inc. has 7,306,432 shares outstanding.

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

INEST,Inc. reported an EPS of -¥33.552 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -1.754%.

Which hedge fund is a major shareholder of INEST,Inc.?

Currently, no hedge funds are holding shares in JP:7111

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

INEST,Inc.

INEST, Inc. engages in the marketing and solutions support business for corporate enterprises and individual consumers. It engages in the development of marketing solutions that provide product planning and development, sales, support, and business processing support; and subscription-based products, as well as digital marketing services. The company was formerly known as Universal Solution Systems Inc. and changed name to INEST, Inc. in July 2016. INEST, Inc. was founded in 1996 and is headquartered in Toshima, Japan.