GiG Works, Inc. (2375) AI Stock Analysis

• Market Cap: ¥4.73B
• Dividend Yield: 0.43%
• Average Volume (3M): 105.29K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.45
• Revenue Growth: -9.76%
• EPS Growth: 3.53%
• Country: JP
• Employees: 826
• Sector: Technology
• Sector Strength: 87
• Industry: Information Technology Services
• EPS (TTM): 23.19
• Shares Outstanding: 22,105,486
• 10 Day Avg. Volume: 106,180
• 30 Day Avg. Volume: 105,293
• PEG Ratio: -0.59
• Price to Book (P/B): 1.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.15
• 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

• Rating: 49 Neutral
• Price Target: ¥242.00 ▲(4.76%Upside)

GiG Works, Inc. faces significant financial challenges, with declining revenue and profitability, which heavily influences the overall score. While technical indicators provide some positive signals, the negative valuation metrics further weigh down the stock's attractiveness. Strategic improvements are necessary to enhance financial and operational performance.

GiG Works, Inc. Business Overview & Revenue Model

Company Description

GiG Works, Inc. (2375) is a company operating in the gig economy sector, providing a platform that connects freelancers with businesses seeking short-term, flexible labor solutions. The company offers a suite of tools and services that facilitate job matching, project management, and payment processing, catering to a wide range of industries including technology, creative services, and administrative support.

How the Company Makes Money

GiG Works, Inc. generates revenue primarily through service fees charged to freelancers and businesses using its platform. The company typically takes a percentage of the transaction value as a commission for facilitating job matches and processing payments. Additionally, GiG Works, Inc. may offer premium subscription plans for businesses seeking enhanced features such as advanced analytics, priority listing, or dedicated support. The company might also partner with third-party service providers to offer additional tools and resources, earning a share of the revenue generated from these partnerships.

GiG Works, Inc. Financial Statement Overview

Summary

GiG Works, Inc. faces considerable financial challenges with declining revenue and profitability. Negative margins and cash flow issues are concerning, despite moderate leverage on the balance sheet.

Income Statement

GiG Works, Inc. has shown a decline in revenue over the past year, with a decrease from 26.43 billion to 25.37 billion JPY. The gross profit margin has decreased slightly to 23.47%, and the net profit margin remains negative due to continued net losses. The EBIT margin has turned negative, indicating operational challenges. However, the EBITDA margin is positive at 0.19%, showing some resilience in earnings before interest, taxes, depreciation, and amortization.

Balance Sheet

The company's balance sheet shows a slight decline in total assets and stockholders' equity, with a debt-to-equity ratio of 0.95, indicating moderate leverage. The return on equity is not applicable due to negative net income, and the equity ratio stands at 30.82%, suggesting a fair level of equity financing but with potential risks from liabilities.

Cash Flow

GiG Works, Inc. experienced a significant decline in free cash flow from a positive 784 million JPY to negative 771 million JPY. This reflects challenges in cash generation, exacerbated by negative operating cash flow. The free cash flow to net income ratio is not meaningful due to negative values, highlighting cash flow issues amid negative net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.76B	25.37B	26.43B	22.93B	21.17B	19.77B
Gross Profit	6.33B	5.95B	6.49B	5.14B	4.88B	4.81B
EBITDA	261.16M	47.05M	391.46M	940.85M	1.22B	1.29B
Net Income	-89.99M	-725.55M	-718.27M	232.92M	434.53M	657.09M
Balance Sheet
Total Assets	8.91B	8.27B	9.19B	10.68B	10.64B	10.37B
Cash, Cash Equivalents and Short-Term Investments	2.02B	1.74B	2.75B	2.59B	4.41B	4.06B
Total Debt	2.71B	2.43B	2.92B	3.32B	3.39B	2.69B
Total Liabilities	5.96B	5.72B	6.10B	6.76B	6.40B	6.44B
Stockholders Equity	2.95B	2.55B	3.10B	3.92B	4.24B	3.92B
Cash Flow
Free Cash Flow	0.00	-771.12M	784.26M	-760.56M	-53.66M	329.14M
Operating Cash Flow	0.00	-452.82M	1.13B	-369.86M	959.48M	940.71M
Investing Cash Flow	0.00	-256.47M	-389.68M	-836.43M	-1.16B	-390.75M
Financing Cash Flow	0.00	-300.19M	-576.63M	-616.12M	552.19M	728.83M

GiG Works, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 231.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2375, the sentiment is Negative. The current price of 231 is below the 20-day moving average (MA) of 236.55, below the 50-day MA of 234.58, and below the 200-day MA of 279.44, indicating a bearish trend. The MACD of 0.42 indicates Positive momentum. The RSI at 45.72 is Neutral, neither overbought nor oversold. The STOCH value of 32.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2375.

GiG Works, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3920	75 Outperform	¥4.62B	10.83		1.44%	13.25%	16826.25%
Sector *	63 Neutral	$34.04B	6.14	-11.52%	1.82%	5.53%	-18.79%
3682	63 Neutral	¥4.06B	18.45		3.28%	9.26%	1.71%
6942	59 Neutral	¥5.03B	47.32		―	-5.20%	133.74%
2375	49 Neutral	¥4.73B	―		0.43%	-9.76%	3.53%
3997	47 Neutral	¥4.92B	―		1.59%	15.59%	32.56%