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Kakaku.com Inc (JP:2371)
:2371

Kakaku (2371) AI Stock Analysis

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JP:2371

Kakaku

(2371)

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Neutral 68 (OpenAI - 4o)
Rating:68Neutral
Price Target:
¥2,783.00
▲(24.85% Upside)
Kakaku's strong financial performance is the most significant factor, supported by consistent revenue growth and low leverage. However, technical indicators suggest a bearish trend, and the valuation indicates moderate pricing. The absence of earnings call and corporate events data limits further insights.
Positive Factors
Revenue Growth
Consistent revenue growth indicates a strong market position and effective business model, supporting long-term financial stability.
Balance Sheet Health
A low debt-to-equity ratio suggests minimal financial risk, providing the company with flexibility to invest in growth opportunities.
Profitability
Strong profitability margins reflect efficient operations and competitive advantage, ensuring sustainable earnings over time.
Negative Factors
Free Cash Flow Growth
Declining free cash flow growth may limit the company's ability to reinvest in its business, potentially impacting future expansion.
Gross Profit Margin
A decrease in gross profit margin could indicate rising costs or pricing pressures, affecting long-term profitability.
Technical Analysis
Bearish momentum may reflect underlying market concerns, potentially affecting investor confidence and capital raising ability.

Kakaku (2371) vs. iShares MSCI Japan ETF (EWJ)

Kakaku Business Overview & Revenue Model

Company DescriptionKakaku.com, Inc. provides purchase support, restaurant review, and other services in Japan. The company operates kakaku.com, a purchasing support site that compare prices of products and services, such as computers, home appliances, fashion, interiors, cars, telecommunications, and insurances. It also operates tabelog.com, a restaurant search and reservation site. In addition, the company operates travel review and comparison site; online residential real estate portal; online database for movies and showtimes; photo sharing site; lifestyle media; information site for car lovers; men's fashion online media; FX related information, commentary, and forecast on foreign exchange market; job classifieds box; animation and Akihabara culture information media; highway busses and bus tours comparison site; lowest price comparison site for the cheapest bus, airline, and bullet train tickets; and an online media for bus trips, travel, and sightseeing. Further, it engages in the finance business. Kakaku.com, Inc. was incorporated in 1997 and is headquartered in Tokyo, Japan.
How the Company Makes MoneyKakaku generates revenue through multiple streams, primarily from advertising and affiliate marketing. The company earns money by allowing retailers and manufacturers to advertise their products on its platforms, charging fees based on impressions or clicks. Furthermore, Kakaku receives commissions from sales generated through its affiliate links, where users are directed to partner sites to complete their purchases. The company also benefits from partnerships with various retailers and service providers, enhancing its offerings and increasing traffic to its platforms, which in turn boosts its advertising revenues. Additionally, Kakaku has expanded into subscription services and premium listings, further diversifying its revenue model.

Kakaku Earnings Call Summary

Earnings Call Date:Aug 06, 2024
(Q1-2025)
|
% Change Since: |
Next Earnings Date:Feb 10, 2026
Earnings Call Sentiment Neutral
The earnings call highlights strong revenue and profit growth, particularly in Tabelog and Kyujin Box segments, alongside improvements in service performance and user growth. However, it also addresses challenges in the advertising business, lower-than-expected performance in the Tabelog inbound reservation service, and ongoing declines in the Shopping business.
Q1-2025 Updates
Positive Updates
Strong Revenue and Profit Growth
Revenue for the first quarter was ¥17.713 billion, up 15.3% year-over-year, and operating profit was ¥6.977 billion, up 34.9% year-over-year.
Segment Performance: Tabelog and Kyujin Box
Tabelog posted a year-over-year revenue growth of 19.2% and segment income growth of 31.8%. Kyujin Box saw a 36.3% year-over-year increase in revenue and a 15.3% increase in segment income.
Improvement in Kakaku.com Services
Services business within Kakaku.com grew by 21.6% year-over-year, driven by strong performance in personal finance and telecommunications.
Successful User Growth in Kyujin Box
Kyujin Box's monthly users in June exceeded 11 million, surpassing the initial forecast for the end of the fiscal year and reaching a new record high.
Incubation Segment Growth
Despite a 1.8% decrease in revenue year-over-year, the Incubation segment's income increased by 49.3%, showing growth in real estate, travel, and transportation.
Negative Updates
Challenges in Advertising Business
The Advertising business segment continues to face difficulties with a steady decline in revenue.
Weakness in Tabelog Inbound Reservation Service
The number of reservations after the release of the inbound reservation service is lower than expected, with about 1,600 reservations per day.
Shopping Business Revenue Decline
The Shopping business within Kakaku.com experienced an overall decline of 3% year-over-year, although the decline is narrowing.
Impact of Divestiture in Incubation
Revenue in the Incubation segment decreased by 1.8% year-over-year, partially due to the divestiture of gaie, Inc., a subsidiary, in the previous fiscal year.
Company Guidance
During the first quarter of the fiscal year ending March 31, 2025, Kakaku.com reported a revenue of ¥17.713 billion, marking a 15.3% year-over-year increase, and an operating profit of ¥6.977 billion, up 34.9% year-over-year. The company's revenue and operating profit growth rates align with their planned objectives, resulting in no change to the full-year earnings forecast. Kakaku.com experienced an 8.4% year-over-year revenue growth and an 11.4% increase in segment income, driven by strong performance in the services business, which grew 21.6% year-over-year. Tabelog reported a 19.2% growth in revenue and a 31.8% rise in segment income, supported by the expansion of restaurant advertising and reservation services. Kyujin Box saw a 36.3% increase in revenue, although its segment margins declined due to higher commission expenses. Meanwhile, the Incubation segment experienced a 1.8% decrease in revenue but a 49.3% increase in segment income, with a strategic focus on new businesses and M&A activities to foster growth.

Kakaku Financial Statement Overview

Summary
Kakaku demonstrates strong profitability with consistent revenue growth and robust margins. The balance sheet shows low leverage with a low debt-to-equity ratio, and strong returns on equity. However, there are minor declines in cash flow growth and profit margins, indicating potential pressure on profitability.
Income Statement
85
Very Positive
Kakaku demonstrates strong profitability with a consistent increase in revenue and robust margins. The TTM data shows a healthy revenue growth rate of 5.41%, and the company maintains high gross and net profit margins. However, there is a slight decline in margins compared to the previous year, indicating potential pressure on profitability.
Balance Sheet
80
Positive
The balance sheet is solid with a low debt-to-equity ratio of 0.14 in the TTM period, indicating low leverage. The return on equity remains strong at 35.04%, showcasing efficient use of equity. However, the equity ratio is not explicitly provided, which could give more insight into financial stability.
Cash Flow
75
Positive
Cash flow analysis shows a slight decline in free cash flow growth, but the company maintains a high operating cash flow to net income ratio, indicating good cash generation relative to earnings. The free cash flow to net income ratio is also strong, though slightly decreased, suggesting effective cash management.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue86.93B78.44B66.93B60.82B51.72B51.08B
Gross Profit28.93B29.78B66.93B60.82B51.72B51.08B
EBITDA33.28B33.23B29.76B26.98B22.65B21.58B
Net Income19.81B20.03B18.09B16.15B14.29B11.76B
Balance Sheet
Total Assets87.53B93.50B83.31B78.56B70.48B70.96B
Cash, Cash Equivalents and Short-Term Investments40.87B50.86B38.14B36.98B34.55B35.57B
Total Debt3.67B4.25B5.18B5.96B6.60B8.26B
Total Liabilities27.06B31.37B31.62B30.42B22.31B23.82B
Stockholders Equity60.22B61.81B51.38B47.88B47.96B46.88B
Cash Flow
Free Cash Flow25.04B26.79B17.44B20.40B14.26B15.09B
Operating Cash Flow25.65B27.49B19.52B22.40B16.03B17.29B
Investing Cash Flow-11.34B-3.02B-2.21B-2.68B-1.31B-2.18B
Financing Cash Flow-18.37B-11.30B-16.08B-17.57B-15.31B-9.72B

Kakaku Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2229.00
Price Trends
50DMA
2466.37
Negative
100DMA
2574.46
Negative
200DMA
2493.11
Negative
Market Momentum
MACD
-75.12
Negative
RSI
36.35
Neutral
STOCH
21.84
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2371, the sentiment is Negative. The current price of 2229 is below the 20-day moving average (MA) of 2294.80, below the 50-day MA of 2466.37, and below the 200-day MA of 2493.11, indicating a bearish trend. The MACD of -75.12 indicates Negative momentum. The RSI at 36.35 is Neutral, neither overbought nor oversold. The STOCH value of 21.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2371.

Kakaku Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
4.92%-12.12%
72
Outperform
¥4.16B24.761.19%-0.86%-29.61%
70
Outperform
¥20.48B17.741.93%0.63%-1.84%
68
Neutral
¥428.90B21.8033.08%3.59%20.98%0.48%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
45
Neutral
¥5.36B94.420.78%4.75%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:2371
Kakaku
2,229.00
-114.41
-4.88%
JP:2454
All About, Inc.
389.00
76.60
24.52%
JP:3662
Ateam Inc.
1,141.00
149.16
15.04%
JP:3675
Cross Marketing Group, Inc.
612.00
-128.73
-17.38%
JP:3770
Zappallas, Inc.
419.00
60.43
16.85%
JP:4298
Proto Corp.
2,090.00
784.00
60.03%

Kakaku Corporate Events

Kakaku.com Revises Active Account Figures for Kyujin Box
Nov 6, 2025

Kakaku.com, Inc. announced a correction to its second-quarter fiscal results presentation, specifically regarding the number of active accounts for its Kyujin Box service. The correction adjusted the reported figure from 14,500 to 13,800 active client accounts, reflecting a year-over-year growth of 56.8% instead of the previously stated 64.8%. This adjustment may influence stakeholders’ perception of the company’s growth metrics.

Kakaku.com Reports Revenue Growth Amid Strategic Investments
Nov 5, 2025

Kakaku.com Inc. reported a 23.4% increase in revenue year-on-year for Q2, though operating profit decreased by 1.4%. The company saw moderate revenue and profit growth in its core platform, Kakaku.com, and strong performance in Tabelog’s online reservations. Despite a segment loss in Kyujin Box due to brand investment, revenue growth exceeded expectations. Looking ahead, the company plans to expand investment in Kyujin Box to drive overall revenue growth, despite an anticipated decline in profit.

Kakaku.com Reports Revenue Growth Amid Profit Decline
Nov 5, 2025

Kakaku.com, Inc. reported its consolidated financial results for the six months ending September 30, 2025, showing a 23.4% increase in revenue compared to the previous year. Despite the revenue growth, the company experienced a slight decline in operating profit and profit before income taxes, indicating potential challenges in cost management or market conditions. The company also announced a stable dividend payout and maintained its earnings forecast for the fiscal year ending March 31, 2026, suggesting confidence in its long-term financial strategy.

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: Nov 06, 2025