Renaissance,Incorporated (2378) AI Stock Analysis

• Market Cap: ¥19.93B
• Dividend Yield: 1.52%
• Average Volume (3M): 45.16K
• Price to Earnings (P/E): 26.7
• Beta (1Y): 0.47
• Revenue Growth: 46.09%
• EPS Growth: 24.14%
• Country: JP
• Employees: 1,868
• Sector: Communication Services
• Sector Strength: 80
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 1.95
• Shares Outstanding: 21,379,000
• 10 Day Avg. Volume: 35,460
• 30 Day Avg. Volume: 45,156
• PEG Ratio: 0.05
• Price to Book (P/B): 1.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -16.13
• 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: ¥1,108.00
• Price Target Upside: 5.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: ¥1,107.00 ▲(4.93%Upside)

The stock's overall score is driven by strong financial performance, particularly in revenue growth and operational efficiency. However, high leverage and valuation concerns, along with neutral technical indicators, moderate the overall outlook.

Renaissance,Incorporated Business Overview & Revenue Model

Company Description

Renaissance, Incorporated (2378) is a diversified company operating across multiple sectors, including technology, healthcare, and financial services. The company focuses on delivering innovative solutions and services tailored to meet the evolving needs of its clients. Its core offerings include advanced software solutions, healthcare management systems, and financial advisory services. Renaissance is committed to driving growth and sustainability through continuous innovation and strategic partnerships.

How the Company Makes Money

Renaissance, Incorporated generates revenue through a multi-faceted approach that includes the sale of proprietary software solutions, subscription-based healthcare management systems, and consultancy fees in financial services. The technology arm of the company licenses its software products to various industries, ensuring a steady stream of income from licensing and maintenance fees. In the healthcare sector, Renaissance offers comprehensive management systems that operate on a subscription model, providing a recurring revenue stream. Additionally, the company's financial services division capitalizes on its expertise in advisory and management services, charging fees for consultancy and portfolio management. Strategic partnerships with key industry players further enhance its market presence and contribute to revenue growth.

Renaissance,Incorporated Financial Statement Overview

Summary

Renaissance, Incorporated shows strong revenue growth and improving operational efficiency, with rising EBIT and EBITDA margins. However, the high leverage indicated by a debt-to-equity ratio of 2.39 poses a risk. Cash flow generation is robust, but the decline in free cash flow growth suggests room for improvement.

Income Statement

The income statement shows strong revenue growth over the years, with a 46.1% increase in the latest period. Gross profit margin improved to 8.9%, an indication of effective cost management. The net profit margin remains modest at 1.2%, reflecting potential for further profitability improvements. The EBIT and EBITDA margins are also on an upward trajectory, indicating operational efficiency gains.

Balance Sheet

The balance sheet reveals a stable financial position with an equity ratio of 21.9% in the latest period. The debt-to-equity ratio of 2.39 indicates significant leveraging, which could be a risk if not managed carefully. ROE has slightly increased, suggesting better utilization of equity. Overall, the company maintains a solid asset base with potential risks from high leverage.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth, with recent figures showing a contraction. The operating cash flow to net income ratio is robust at 4.58, suggesting strong cash generation relative to net income. Free cash flow to net income ratio is 0.41, indicating room for improvement in converting earnings to free cash.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	58.78B	63.74B	43.63B	40.76B	37.12B	30.21B
Gross Profit	5.21B	5.68B	3.67B	2.98B	3.01B	-2.27B
EBITDA	4.71B	4.98B	3.68B	2.39B	3.05B	-7.20B
Net Income	743.24M	766.00M	632.95M	-1.14B	513.57M	-8.71B
Balance Sheet
Total Assets	53.76B	55.44B	53.19B	42.27B	38.19B	41.72B
Cash, Cash Equivalents and Short-Term Investments	6.85B	7.68B	6.21B	5.54B	4.86B	7.10B
Total Debt	27.45B	29.01B	27.29B	22.55B	18.88B	23.61B
Total Liabilities	41.82B	43.32B	41.77B	31.28B	27.87B	31.76B
Stockholders Equity	11.94B	12.12B	11.43B	10.99B	10.32B	9.95B
Cash Flow
Free Cash Flow	0.00	315.94M	2.32B	-1.09B	2.34B	-7.88B
Operating Cash Flow	0.00	3.51B	4.83B	1.61B	3.82B	-5.42B
Investing Cash Flow	0.00	-3.16B	-4.52B	-4.24B	-1.42B	-2.93B
Financing Cash Flow	0.00	1.09B	436.06M	3.35B	-4.56B	9.27B

Renaissance,Incorporated Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1055.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2378, the sentiment is Positive. The current price of 1055 is above the 20-day moving average (MA) of 1024.85, above the 50-day MA of 1025.80, and above the 200-day MA of 1035.13, indicating a bullish trend. The MACD of 7.01 indicates Negative momentum. The RSI at 63.79 is Neutral, neither overbought nor oversold. The STOCH value of 87.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2378.

Renaissance,Incorporated Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6419	80 Outperform	¥48.36B	6.01		5.25%	15.52%	-4.85%
6040	78 Outperform	¥25.47B	15.22		0.62%	24.52%	38.92%
6257	68 Neutral	¥22.17B	8.64		5.66%	0.55%	-24.89%
5261	68 Neutral	¥28.44B	14.59		1.95%	10.43%	38.10%
9656	67 Neutral	¥6.37B	11.98		1.62%	0.52%	34.46%
2378	67 Neutral	¥19.93B	26.72		1.52%	46.09%	24.14%
Sector *	55 Neutral	AU$3.53B	16.62	-1.37%	3.13%	4.07%	-17.03%

Renaissance,Incorporated Corporate Events

Renaissance, Inc. Reports Strong Financial Growth for FY 2025

Renaissance, Incorporated reported significant financial growth for the fiscal year ended March 31, 2025, with net sales increasing by 46.1% and operating income rising by 54.3% compared to the previous year. The company’s financial position strengthened with an increase in net assets and cash flow, indicating positive operational performance and potential for future growth.