Voltage Incorporation (3639) AI Stock Analysis

• Market Cap: ¥1.62B
• Dividend Yield: N/A
• Average Volume (3M): 795.52K
• Price to Earnings (P/E): 25.2
• Beta (1Y): 0.56
• Revenue Growth: -19.71%
• EPS Growth: N/A
• Country: JP
• Employees: 165
• Sector: Communication Services
• Sector Strength: 87
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.48
• Shares Outstanding: 6,518,975
• 10 Day Avg. Volume: 121,670
• 30 Day Avg. Volume: 795,520
• PEG Ratio: 0.60
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 29.75
• 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: 50 Neutral
• Price Target: ¥248.00 ▼(-1.59%Downside)

Voltage Incorporation faces significant financial challenges with declining revenues and profitability, which is the most impactful factor affecting its score. While the balance sheet is stable, liquidity issues from negative cash flows present a risk. Technical analysis shows mixed signals, and the valuation suggests the stock may be overvalued given its current performance. These factors collectively result in a moderate overall stock score.

Voltage Incorporation Business Overview & Revenue Model

Company Description

Voltage Incorporation (3639) is a company that specializes in creating and distributing interactive digital content, primarily focusing on mobile applications and games. The company is renowned for its innovative approach to entertainment and education, leveraging cutting-edge technology to deliver immersive user experiences. Voltage Incorporation operates within the technology and entertainment sectors, with a core emphasis on developing applications that engage users through unique storytelling and interactive gameplay.

How the Company Makes Money

Voltage Incorporation generates revenue through multiple streams, primarily focusing on in-app purchases, advertising, and subscription models. The company's digital content, particularly its mobile applications and games, often include premium features and virtual goods that users can purchase to enhance their experience. Additionally, Voltage Incorporation monetizes its platforms through advertising partnerships, offering ad placements within its apps to third-party advertisers. Subscription models also contribute to the company's earnings, providing users with access to exclusive content and features on a recurring basis. Strategic partnerships with other technology and entertainment firms further bolster Voltage Incorporation's revenue by expanding its market reach and integrating its products into broader digital ecosystems.

Voltage Incorporation Financial Statement Overview

Summary

Voltage Incorporation faces challenges in maintaining growth and profitability, as evidenced by declining revenues and low profit margins. The balance sheet is strong with low leverage and high equity, but cash flow issues pose a risk to liquidity and operational stability.

Income Statement

Voltage Incorporation's income statement shows a declining trend in revenue and profitability. The TTM (Trailing-Twelve-Months) data indicates a gross profit margin of 53.6%, which is reasonable, but the net profit margin of 3.5% suggests limited profitability. Revenue has been decreasing over the past years, indicating challenges in sustaining growth. The EBIT and EBITDA margins are low at 0.1% and 5.3% respectively, reflecting operational inefficiencies.

Balance Sheet

The balance sheet of Voltage Incorporation appears stable with a strong equity position. The debt-to-equity ratio is low at 0.05, indicating minimal leverage, which reduces financial risk. The equity ratio is high at 76.0%, suggesting a solid capital structure. Return on Equity (ROE) is modest, reflecting the company's struggle to generate substantial returns for shareholders.

Cash Flow

The cash flow statement highlights significant challenges, with negative operating cash flow in the latest periods, indicating issues with cash generation from operations. The free cash flow is also negative, reflecting potential liquidity concerns. The lack of free cash flow growth and the operating cash flow to net income ratio of 0 suggest inefficiencies in converting earnings into cash.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
3.08B	3.46B	4.26B	5.39B	6.90B	6.59B
	Gross Profit
1.65B	1.83B	2.44B	3.15B	4.53B	4.22B
	EBIT
3.48M	-94.36M	-84.84M	-362.81M	159.00M	-86.29M
	EBITDA
163.02M	51.38M	2.67M	-363.10M	200.41M	-72.00M
	Net Income Common Stockholders
107.87M	5.27M	-39.15M	-412.17M	163.21M	-160.75M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.65B	1.38B	1.45B	1.47B	1.84B	1.53B
	Total Assets
2.86B	2.84B	2.95B	3.06B	3.51B	3.00B
	Total Debt
102.00M	105.68M	139.68M	143.67M	147.67M	0.00
	Net Debt
-1.13B	-1.19B	-1.31B	-1.33B	-1.69B	-1.53B
	Total Liabilities
685.00M	661.18M	791.83M	870.26M	875.35M	719.24M
	Stockholders Equity
2.17B	2.18B	2.16B	2.19B	2.64B	2.29B
Cash Flow		Free Cash Flow
0.00	-417.98M	71.03M	-181.03M	157.90M	-263.69M
	Operating Cash Flow
0.00	-389.21M	112.03M	-125.49M	232.58M	-223.64M
	Investing Cash Flow
0.00	-79.00M	-139.06M	-204.50M	-259.29M	-32.15M
	Financing Cash Flow
0.00	-34.00M	-4.03M	-55.10M	329.69M	441.03M

Voltage Incorporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 252.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3639, the sentiment is Positive. The current price of 252 is below the 20-day moving average (MA) of 263.45, above the 50-day MA of 246.58, and above the 200-day MA of 235.97, indicating a neutral trend. The MACD of -2.27 indicates Positive momentum. The RSI at 51.12 is Neutral, neither overbought nor oversold. The STOCH value of 80.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3639.

Voltage Incorporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3928	72 Outperform	¥2.22B	11.76		―	0.08%	43.63%
3907	69 Neutral	¥2.56B	23.61		―	-2.54%	-6.52%
Sector *	61 Neutral	$14.74B	5.97	-3.99%	6.57%	2.79%	-32.84%
3639	50 Neutral	¥1.62B	25.21		―	-19.71%	―
3667	47 Neutral	¥4.00B	―		―	-8.79%	49.62%
3664	42 Neutral	¥2.33B	―		―	-14.79%	-53.16%
3672	41 Neutral	¥3.03B	―		―	-22.25%	-14.77%