CROOZ, Inc. (2138) AI Stock Analysis

• Market Cap: ¥6.48B
• Dividend Yield: N/A
• Average Volume (3M): 25.48K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.69
• Revenue Growth: -12.37%
• EPS Growth: 12.44%
• Country: JP
• Employees: 594
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -2.55
• Shares Outstanding: 12,957,600
• 10 Day Avg. Volume: 41,870
• 30 Day Avg. Volume: 25,476
• PEG Ratio: 0.07
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.40
• P/FCF Ratio: -4.71
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: ¥523.00 ▼(-9.36% Downside)

CROOZ, Inc. faces significant financial and technical challenges. Declining revenues and profitability, coupled with weak cash flow generation, are major concerns. Technical indicators point to bearish momentum, and the negative P/E ratio highlights valuation issues. These factors collectively result in a low overall stock score.

Positive Factors

Diversified Revenue Streams

CROOZ's diversified revenue streams from e-commerce and digital content services provide resilience against sector-specific downturns, supporting long-term stability.

Partnerships and Collaborations

Strategic partnerships enhance product offerings and can drive additional revenue, strengthening CROOZ's market position and competitive edge over time.

Balanced Asset Structure

A balanced asset structure with a reasonable equity ratio provides a buffer against liabilities, supporting long-term financial health and operational stability.

Negative Factors

Declining Revenue Growth

Consistent revenue decline indicates challenges in market competitiveness and product demand, potentially impacting long-term growth prospects.

Negative Cash Flow

Negative cash flow suggests operational inefficiencies and limits investment capacity, posing risks to future growth and financial flexibility.

Increasing Debt Levels

Rising debt levels increase financial risk and may strain cash flow, limiting the company's ability to invest in growth opportunities and manage economic downturns.

CROOZ, Inc. Business Overview & Revenue Model

Company Description

CROOZ, Inc. engages in the e-commerce, media and advertising, gaming, and investment and financial businesses. The company plans, develops, and operates SHOPLIST.com, a fashion mail order; and offers EC site system construction, operation contract, fulfillment, and other solutions. It also provides advertising agency and media services; plans, develops, and manages games for smartphones; and invests in private equity funds. The company was founded in 2001 and is headquartered in Tokyo, Japan.

How the Company Makes Money

CROOZ generates revenue through multiple streams, primarily from its e-commerce operations and digital content services. The company's e-commerce platforms earn income through product sales, where it takes a percentage of the sales price as commission. Furthermore, CROOZ monetizes its mobile gaming offerings through in-app purchases and advertisements, generating significant revenue from its user base. The company also engages in partnerships with various brands and retailers to enhance its product offerings, which can lead to additional revenue through collaborations and promotions. Additionally, CROOZ may benefit from affiliate marketing and advertising revenue on its platforms, contributing to its overall earnings.

CROOZ, Inc. Financial Statement Overview

Summary

CROOZ, Inc. is experiencing financial challenges with declining revenues and profitability issues. The income statement shows negative net profit margins, and cash flow analysis indicates operational cash flow difficulties. Although the balance sheet is moderately stable, increasing debt levels pose potential risks.

Income Statement

The income statement reveals declining revenue growth and profitability challenges. Revenue has decreased consistently over the years, with a significant drop from 2021 to 2022. Gross profit margin has been stable, but net profit margin has turned negative in the most recent year, indicating profitability issues. EBIT and EBITDA margins have also declined, highlighting operational inefficiencies.

Balance Sheet

The balance sheet shows a moderate level of stability with a reasonable equity ratio. The debt-to-equity ratio has increased over time, indicating higher leverage, which could pose a risk if not managed properly. However, the company's equity has grown slightly, providing some buffer against liabilities. Overall, the company maintains a balanced asset structure, but increasing debt levels require attention.

Cash Flow

Cash flow analysis indicates negative free cash flow growth and operational cash flow challenges. The operating cash flow to net income ratio has turned unfavorable, and free cash flow has been negative for the past few years. This suggests difficulties in generating cash from operations, potentially impacting future liquidity and investment capacity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.42B	14.19B	14.27B	14.00B	15.48B	35.71B
Gross Profit	6.17B	6.17B	6.70B	6.28B	6.95B	8.16B
EBITDA	-552.76M	-57.72M	1.89B	999.77M	519.36M	2.11B
Net Income	-404.50M	-530.40M	1.01B	254.88M	310.44M	1.43B
Balance Sheet
Total Assets	28.61B	29.53B	27.08B	25.41B	25.09B	27.07B
Cash, Cash Equivalents and Short-Term Investments	8.93B	10.10B	12.86B	14.31B	13.77B	17.97B
Total Debt	16.49B	17.11B	11.66B	9.47B	10.26B	11.55B
Total Liabilities	19.44B	20.20B	16.28B	15.44B	15.44B	17.33B
Stockholders Equity	9.05B	9.20B	10.66B	9.80B	9.39B	9.21B
Cash Flow
Free Cash Flow	0.00	-1.20B	-424.17M	1.56B	38.14M	2.31B
Operating Cash Flow	0.00	-1.14B	-385.00M	1.59B	683.15M	2.43B
Investing Cash Flow	0.00	-6.59B	-1.64B	-708.65M	-1.28B	72.71M
Financing Cash Flow	0.00	4.63B	572.01M	-345.60M	-692.96M	-1.28B

CROOZ, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 577.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2138, the sentiment is Negative. The current price of 577 is below the 20-day moving average (MA) of 579.25, above the 50-day MA of 576.16, and below the 200-day MA of 597.04, indicating a bearish trend. The MACD of 1.54 indicates Negative momentum. The RSI at 48.97 is Neutral, neither overbought nor oversold. The STOCH value of 64.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2138.

CROOZ, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4446	69 Neutral	¥14.90B	100.66	―	―	32.04%	-35.59%
4476	68 Neutral	¥7.12B	73.31	―	―	10.43%	-65.78%
4256	64 Neutral	¥7.65B	52.69	―	―	13.62%	35.18%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
3653	58 Neutral	¥4.86B	-70.61	―	―	1.91%	-122.15%
4845	58 Neutral	¥6.93B	6.89	―	4.24%	-24.66%	―
2138	44 Neutral	¥6.48B	―	―	―	-12.37%	12.44%