Softfront Holdings (2321) AI Stock Analysis

• Market Cap: ¥11.07B
• Dividend Yield: N/A
• Average Volume (3M): 1.04M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.12
• Revenue Growth: -6.35%
• EPS Growth: 71.66%
• Country: JP
• Employees: 52
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -1.36
• Shares Outstanding: 51,970,898
• 10 Day Avg. Volume: 563,920
• 30 Day Avg. Volume: 1,035,520
• PEG Ratio: 0.59
• Price to Book (P/B): 2.92
• Price to Sales (P/S): 4.36
• P/FCF Ratio: 89.15
• 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: 52 Neutral
• Price Target: ¥215.00 ▲(3.37% Upside)
• Action: Reiterated Date: 03/25/26
• Date: Action: Reiterated 03/25/26

The score is driven primarily by solid balance sheet positioning and improved recent cash generation, which reduce financial risk, but is held back by continued net losses and a revenue decline in 2025. Technicals are mixed with near-term weakness, and valuation is pressured due to the negative P/E.

Positive Factors

Conservative balance sheet with very low leverage

Very low leverage and increased equity through 2025 materially reduce financial risk and extend the company's runway. This conservative financing supports investment in product and operations, giving management flexibility to execute strategy without immediate refinancing pressure.

Negative Factors

Recurring net losses and negative returns

Persistent net losses and negative returns erode retained earnings and limit internal capital for growth. Over time this constrains shareholder returns, may force reliance on external funding, and raises execution risk if losses persist despite improved cash generation.

Softfront Holdings Business Overview & Revenue Model

Company Description

Softfront Holdings provides communication software and services in Japan. It is involved in the development and sale of products and services related to real-time communication using voice, video, messaging, and related commissioned development, a...

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Softfront Holdings provides communication software and services in Japan. It is involved in the development and sale of products and services related to real-time communication using voice, video, messaging, and related commissioned development, a...

How the Company Makes Money

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Softfront Holdings Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	862.44M	823.60M	889.51M	763.83M	377.80M	310.10M
Gross Profit	453.75M	408.24M	285.62M	364.70M	205.85M	198.31M
EBITDA	64.33M	-27.01M	-32.17M	35.80M	7.23M	58.67M
Net Income	-54.57M	-81.17M	-317.02M	-59.41M	-29.06M	54.30M
Balance Sheet
Total Assets	2.25B	1.71B	515.45M	2.02B	819.70M	418.14M
Cash, Cash Equivalents and Short-Term Investments	2.01B	1.42B	206.03M	157.00M	292.52M	217.17M
Total Debt	0.00	0.00	9.98M	20.38M	32.49M	0.00
Total Liabilities	290.32M	417.83M	343.75M	1.52B	264.11M	212.96M
Stockholders Equity	1.90B	1.23B	132.35M	424.97M	484.16M	205.18M
Cash Flow
Free Cash Flow	0.00	40.30M	33.37M	-123.80M	-44.30M	2.54M
Operating Cash Flow	0.00	60.68M	64.94M	-44.86M	9.16M	47.24M
Investing Cash Flow	0.00	-14.41M	-29.91M	-78.46M	39.82M	-24.35M
Financing Cash Flow	0.00	1.17B	14.00M	-12.19M	26.36M	12.60M

Softfront Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 208.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2321, the sentiment is Negative. The current price of 208 is below the 20-day moving average (MA) of 294.85, below the 50-day MA of 244.84, and above the 200-day MA of 198.76, indicating a neutral trend. The MACD of -16.08 indicates Positive momentum. The RSI at 40.41 is Neutral, neither overbought nor oversold. The STOCH value of 9.96 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2321.

Softfront Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9629	68 Neutral	¥31.84B	20.63	―	4.58%	4.58%	-15.00%
4168	67 Neutral	¥8.96B	11.67	―	0.70%	9.78%	-23.98%
5033	66 Neutral	¥4.89B	21.99	―	―	7.60%	19.13%
5244	65 Neutral	¥9.58B	7.53	―	1.20%	12.21%	6.86%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4448	58 Neutral	¥12.00B	23.59	―	―	14.63%	-760.87%
2321	52 Neutral	¥11.07B	-39.56	―	―	-6.35%	71.66%