enish, Inc. (3667) AI Stock Analysis

• Market Cap: ¥1.97B
• Dividend Yield: N/A
• Average Volume (3M): 602.80K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: -22.21%
• EPS Growth: 32.20%
• Country: JP
• Employees: 112
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -7.76
• Shares Outstanding: 36,573,560
• 10 Day Avg. Volume: 421,410
• 30 Day Avg. Volume: 602,803
• PEG Ratio: 0.07
• Price to Book (P/B): 3.94
• Price to Sales (P/S): 1.05
• P/FCF Ratio: -3.61
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 37 Underperform
• Price Target: ¥75.00 ▲(38.89% Upside)

Enish, Inc. is facing severe financial difficulties, with negative profitability and cash flow issues being the most significant concerns. The technical analysis further supports a bearish outlook, with the stock in a downtrend and oversold. The negative P/E ratio and absence of a dividend yield make the valuation unattractive. Overall, the stock is rated at the lowest score due to these compounded risks.

Positive Factors

Game Development Expertise

Enish's strong expertise in game design and user engagement positions it well to create appealing games, potentially driving user growth and retention.

Partnerships for Distribution

Strategic partnerships enhance distribution capabilities, allowing enish to reach broader audiences and improve market penetration.

Freemium Revenue Model

The freemium model can drive significant user acquisition and engagement, with potential for high-margin in-game purchases boosting revenue.

Negative Factors

Declining Revenue

Consistent revenue decline indicates challenges in maintaining market share and competitiveness, potentially impacting long-term growth.

Negative Cash Flow

Negative cash flow highlights inefficiencies in cash management, limiting financial flexibility and ability to invest in growth opportunities.

High Debt Levels

High debt levels increase financial risk and can strain resources, potentially affecting the company's ability to invest in future projects.

enish, Inc. Business Overview & Revenue Model

Company Description

enish,inc. plans, develops, and operates game applications in Japan. The company was incorporated in 2009 and is based in Tokyo, Japan.

How the Company Makes Money

enish, Inc. generates revenue primarily through the sale of in-game purchases and advertisements within its mobile games. The company's revenue model is heavily reliant on the freemium model, where games are offered for free with optional purchases that enhance gameplay or provide cosmetic upgrades. Additionally, enish collaborates with various partners for game development and distribution, enabling access to broader audiences and shared marketing efforts. The company also monetizes through strategic partnerships with advertising networks, allowing it to earn revenue from ad placements within its games. Overall, the combination of in-game sales, advertising revenue, and partnerships forms the core of enish's earnings strategy.

enish, Inc. Financial Statement Overview

Summary

Enish, Inc. is experiencing significant financial challenges, with declining revenues and sustained losses. The company relies heavily on debt financing, which increases financial risk. Negative cash flows indicate potential liquidity issues, necessitating strategic changes to improve financial health.

Income Statement

The company has seen declining revenue over recent years, with a significant drop from 2023 to 2024. Profit margins are negative, indicating the company is operating at a loss. The negative EBIT and EBITDA margins further reinforce the lack of profitability. Gross profit margin is extremely low, showing limited control over production costs or pricing power.

Balance Sheet

The company has a reasonable equity ratio, suggesting some stability in its asset management. However, the debt-to-equity ratio indicates a higher reliance on debt, posing financial risk. The negative net income results in a negative ROE, reflecting challenges in generating profits from equity.

Cash Flow

Operating cash flow is negative, and free cash flow remains negative, highlighting cash management issues. Despite occasional financing inflows, cash flow from operations is not sufficient to cover capital expenditures. The free cash flow to net income ratio is unfavorable, indicating inefficiencies in converting earnings to cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.94B	3.32B	3.51B	4.12B	3.89B	4.07B
Gross Profit	28.67M	29.53M	-378.00M	348.44M	505.92M	335.35M
EBITDA	-847.02M	-832.05M	-1.30B	-365.30M	-237.31M	-996.37M
Net Income	-904.39M	-882.22M	-1.37B	-415.44M	-279.71M	-1.04B
Balance Sheet
Total Assets	1.78B	1.76B	1.89B	2.25B	1.54B	2.05B
Cash, Cash Equivalents and Short-Term Investments	1.18B	809.75M	1.09B	1.56B	652.91M	1.11B
Total Debt	300.00M	302.35M	752.00M	551.58M	552.20M	437.81M
Total Liabilities	792.32M	871.33M	1.39B	1.12B	974.66M	1.21B
Stockholders Equity	984.25M	888.00M	507.00M	1.13B	561.75M	840.91M
Cash Flow
Free Cash Flow	0.00	-967.00M	-1.34B	-212.35M	-538.10M	-736.37M
Operating Cash Flow	0.00	-966.00M	-1.34B	-206.30M	-526.60M	-734.75M
Investing Cash Flow	0.00	-124.75M	-81.92M	67.20M	-49.22M	-58.97M
Financing Cash Flow	0.00	1.15B	798.00M	1.10B	-172.12M	1.22B

enish, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 54.00
• 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:3667, the sentiment is Negative. The current price of 54 is below the 20-day moving average (MA) of 63.20, below the 50-day MA of 81.94, and below the 200-day MA of 103.56, indicating a bearish trend. The MACD of -8.54 indicates Negative momentum. The RSI at 21.73 is Positive, neither overbought nor oversold. The STOCH value of 13.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3667.

enish, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3723	68 Neutral	¥16.19B	17.92	―	1.27%	3.50%	6.04%
3928	65 Neutral	¥2.17B	17.11	―	―	-10.80%	-64.63%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
3907	58 Neutral	¥2.04B	6.50	―	1.35%	2.33%	―
3911	48 Neutral	¥10.37B	5.74	―	―	11.15%	―
3667	37 Underperform	¥1.97B	-1.58	―	―	-22.21%	32.20%