PIXEL COMPANYZ, Inc. (2743) AI Stock Analysis

• Market Cap: ¥432.61M
• Dividend Yield: N/A
• Average Volume (3M): 4.12M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.11
• Revenue Growth: 47.60%
• EPS Growth: 25.72%
• Country: JP
• Employees: 98
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): N/A
• Shares Outstanding: 144,894,300
• 10 Day Avg. Volume: 1,675,090
• 30 Day Avg. Volume: 4,121,563
• PEG Ratio: -0.02
• Price to Book (P/B): -21.94
• Price to Sales (P/S): 9.14
• P/FCF Ratio: -4.78
• 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: 41 Neutral
• Price Target: ¥3.00 ▼(-40.00% Downside)

The score is held down primarily by weak financial quality (large losses, ongoing cash burn, and negative equity) and bearish technical conditions (price far below key moving averages with negative MACD). Valuation metrics provide limited support because the company is loss-making (negative P/E) and no dividend yield is available.

Positive Factors

Top-line recovery & margin improvement

Revenue grew materially in 2024 (+26% YoY) and gross margin improved to ~41%, indicating better unit economics and pricing or mix gains. Sustained top-line growth with higher gross margin can provide a durable path to narrowing losses, improving cash conversion and reinvestment capacity if maintained.

Zero reported debt

The company reports zero total debt, which reduces financial leverage and interest burden. For a loss-making firm, limited debt lowers near-term default risk, increases flexibility to manage cash burn, and improves the ability to pursue recapitalization or strategic options without onerous debt servicing constraints.

Industry: Renewable Utilities

Operating in Renewable Utilities provides structural tailwinds from the global energy transition, long-term demand growth and potential policy/support mechanisms. These sector dynamics expand addressable markets and can enable durable revenue opportunities, long-term contracts, and financing support over multiple years.

Negative Factors

Negative shareholders' equity

Shareholders' equity turning negative signals capital erosion and a weakened balance sheet, which constrains financing options and heightens refinancing and going-concern risk. Negative equity undermines counterparties' and investors' confidence and makes raising non-dilutive capital more difficult over the medium term.

Persistent negative operating cash flow

Operating cash flow has been negative across all reported years and free cash flow is materially negative and worsening. Persistent cash burn means the core business does not self-fund, forcing reliance on external financing and raising dilution, liquidity and sustainability risks for ongoing operations and investment.

Deep and widening net losses

Net margin collapsing to about -281% despite revenue rebound indicates large and widening losses, suggesting structural cost, scale or one-off charge issues. Such deep losses make the path to profitability lengthy, increase capital needs, and heighten execution risk absent sustained margin improvement.

PIXEL COMPANYZ, Inc. Business Overview & Revenue Model

Company Description

Pixel Companyz Inc. generates and sells solar power in Japan. The company operates through Development Business, System Innovation Business, and Entertainment Business segments. It also develops, constructs, purchases, and sells solar power facilities, as well as develops resort sites, and sells and brokerages real estate properties. In addition, the company plans, develops, manufactures, and sells casino gaming machines and gaming application systems; provides consulting services related to E-Sports; develops and builds systems for the financial industry, as well as provides host, server, client system consultation, and system development services; and provides technical support services for system development and IT operations, and outsourcing business using cutting-edge technologies. The company was formerly known as Hybrid Service Co., Ltd. and changed its name to Pixel Companyz Inc. in October 2015. Pixel Companyz Inc. was incorporated in 1986 and is headquartered in Tokyo, Japan.

How the Company Makes Money

PIXEL COMPANYZ, Inc. generates revenue through multiple streams aligned with its diverse operations. In the technology sector, the company earns money by developing and licensing blockchain solutions and related technologies that cater to businesses looking to enhance their security and data management systems. In the financial services domain, PIXEL COMPANYZ offers various financial products and services, generating income through fees and commissions. Additionally, the company's involvement in the renewable energy sector contributes to its earnings through the development and sale of sustainable energy solutions and related infrastructure projects. Strategic partnerships and collaborations with industry leaders further bolster its revenue by enabling access to new markets and expanding its service offerings.

PIXEL COMPANYZ, Inc. Financial Statement Overview

Summary

PIXEL COMPANYZ, Inc. is facing significant financial challenges. The income statement shows declining revenues and profitability, the balance sheet highlights solvency concerns with negative equity, and cash flow analysis indicates liquidity issues. The company must address operational inefficiencies and financial instability to improve its financial health.

Income Statement

The company has experienced declining revenues from 2019 to 2024, with a significant drop in profitability. The gross profit margin stands at 40.6% in 2024, but the net profit margin was negative due to substantial net losses. The EBIT margin is also negative, indicating operational challenges. Overall, the income statement reflects a company struggling to maintain revenue growth and profitability.

Balance Sheet

The balance sheet reveals a negative stockholders' equity in 2024, indicating potential solvency issues. The debt-to-equity ratio is not applicable due to negative equity, but the equity ratio is negative as well. The deterioration of equity from previous years highlights financial instability, with liabilities exceeding assets in the most recent period.

Cash Flow

Cash flow from operations has been consistently negative, with a significant decline in free cash flow. The free cash flow to net income ratio is unfavorable, reflecting challenges in converting income into cash. Operating cash flow to net income ratios and free cash flow growth rates are also concerning, indicating liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	998.62M	887.00M	609.42M	574.59M	1.01B	2.35B
Gross Profit	324.49M	360.05M	131.31M	167.87M	146.43M	645.99M
EBITDA	-658.55M	-2.48B	-761.60M	-367.00M	-1.39B	-903.54M
Net Income	-1.18B	-2.49B	-786.18M	-408.60M	-1.44B	-942.45M
Balance Sheet
Total Assets	1.79B	957.74M	538.75M	808.73M	725.31M	4.33B
Cash, Cash Equivalents and Short-Term Investments	59.36M	150.00M	177.80M	54.43M	26.31M	113.44M
Total Debt	145.00M	0.00	0.00	527.00M	60.00M	2.78B
Total Liabilities	1.93B	1.33B	113.03M	680.87M	233.12M	3.23B
Stockholders Equity	-139.72M	-369.30M	425.72M	127.86M	492.19M	1.10B
Cash Flow
Free Cash Flow	0.00	-1.70B	-726.30M	-531.97M	-766.22M	-1.94B
Operating Cash Flow	0.00	-176.82M	-517.96M	-518.93M	-757.70M	-1.82B
Investing Cash Flow	0.00	-1.56B	-237.49M	26.33M	2.50B	-1.88B
Financing Cash Flow	0.00	1.71B	878.67M	520.47M	-1.83B	3.18B

PIXEL COMPANYZ, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2743, the sentiment is Negative. The current price of 5 is below the 20-day moving average (MA) of 5.70, below the 50-day MA of 41.68, and below the 200-day MA of 88.47, indicating a bearish trend. The MACD of -11.05 indicates Negative momentum. The RSI at 25.09 is Positive, neither overbought nor oversold. The STOCH value of 9.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2743.

PIXEL COMPANYZ, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
1407	61 Neutral	¥61.59B	11.29	―	4.59%	-6.23%	-19.98%
9514	60 Neutral	¥7.88B	13.56	―	2.29%	4.05%	38.64%
9517	55 Neutral	¥48.84B	22.86	―	1.79%	-15.80%	―
5074	48 Neutral	¥26.97B	-60.44	―	1.46%	25.53%	-128.67%
1711	44 Neutral	¥2.56B	-16.28	―	―	3.63%	7.60%
2743	41 Neutral	¥432.61M	-0.14	―	―	47.60%	25.72%