tiprankstipranks
Eole, Inc. (JP:2334)
:2334
Japanese Market

Eole, Inc. (2334) AI Stock Analysis

Compare
0 Followers

Top Page

JP:2334

Eole, Inc.

(2334)

Select Model
Select Model
Select Model
Underperform 39 (OpenAI - 5.2)
Rating:39Underperform
Price Target:
¥314.00
▼(-26.81% Downside)
Action:DowngradedDate:03/24/26
The score is driven primarily by weak financial performance—net losses and negative operating/free cash flow alongside higher leverage—combined with bearish technicals (price below all key moving averages and negative MACD). Valuation provides limited offset because earnings are negative (negative P/E) and no dividend yield is available.
Positive Factors
Strong Revenue Growth
Sustained high revenue growth demonstrates clear demand and product-market fit in the application software market. Over 2-6 months this growth provides a runway to scale operations, attract customers, and realize operating leverage if cost discipline is restored.
Negative Factors
Negative Cash Flow
The shift to negative operating and free cash flow signals the business is consuming cash rather than self-funding growth. Persisting cash burn over months increases reliance on external financing, raises dilution or higher-cost debt risk, and constrains long-term execution.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Growth
Sustained high revenue growth demonstrates clear demand and product-market fit in the application software market. Over 2-6 months this growth provides a runway to scale operations, attract customers, and realize operating leverage if cost discipline is restored.
Read all positive factors

Eole, Inc. (2334) vs. iShares MSCI Japan ETF (EWJ)

Eole, Inc. Business Overview & Revenue Model

Company Description
eole Inc. manages applications for PCs and smartphones in Japan. The company offers Easy contact network, a free group communication service; contact network application solutions; Gakuba, a part-time job site; and Raku-Raku Part-time Job, a recru...

Eole, Inc. Financial Statement Overview

Summary
Despite strong revenue growth, results deteriorated sharply: the latest period swung to a large net loss, leverage increased (~0.71x debt-to-equity), and both operating cash flow and free cash flow turned negative, indicating elevated financial and execution risk.
Income Statement
38
Negative
Balance Sheet
45
Neutral
Cash Flow
25
Negative
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue3.85B3.55B3.82B3.56B2.09B1.44B
Gross Profit1.17B1.01B1.10B819.44M639.47M395.59M
EBITDA110.25M30.63M118.42M65.80M-18.20M-173.75M
Net Income-404.07M-493.22M36.62M36.81M-147.25M-630.98M
Balance Sheet
Total Assets1.82B1.05B1.34B1.45B751.70M766.48M
Cash, Cash Equivalents and Short-Term Investments1.12B375.71M257.58M457.57M392.20M421.01M
Total Debt210.00M220.00M0.000.000.000.00
Total Liabilities1.20B736.05M533.18M757.68M313.21M227.95M
Stockholders Equity620.46M310.52M803.75M691.58M438.48M538.53M
Cash Flow
Free Cash Flow0.00-123.54M87.33M12.19M-71.02M-389.46M
Operating Cash Flow0.00-18.20M94.89M125.61M1.44M-249.87M
Investing Cash Flow0.00-83.67M-340.43M-273.53M-72.47M-39.59M
Financing Cash Flow0.00220.00M45.54M213.29M42.21M7.97M

Eole, Inc. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price429.00
Price Trends
50DMA
407.82
Negative
100DMA
415.16
Negative
200DMA
415.75
Negative
Market Momentum
MACD
-12.95
Positive
RSI
46.01
Neutral
STOCH
36.01
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2334, the sentiment is Negative. The current price of 429 is above the 20-day moving average (MA) of 379.20, above the 50-day MA of 407.82, and above the 200-day MA of 415.75, indicating a bearish trend. The MACD of -12.95 indicates Positive momentum. The RSI at 46.01 is Neutral, neither overbought nor oversold. The STOCH value of 36.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2334.

Eole, Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
¥18.88B30.803.14%0.50%-2.92%
71
Outperform
¥4.68B21.997.60%19.13%
64
Neutral
¥33.84B20.1027.97%-5.25%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
60
Neutral
¥6.77B27.1511.32%
58
Neutral
¥11.88B74.5814.63%-760.87%
39
Underperform
¥15.22B-50.0456.35%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:2334
Eole, Inc.
371.00
306.90
478.78%
JP:3835
eBASE Co., Ltd.
410.00
-151.10
-26.93%
JP:4397
TeamSpirit, Inc.
410.00
-30.00
-6.82%
JP:4448
Chatwork Co.Ltd.
281.00
-194.00
-40.84%
JP:4477
BASE, Inc.
287.00
-175.33
-37.92%
JP:5033
Nulab Inc.
722.00
-369.00
-33.82%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Mar 24, 2026