Aucfan Co., Ltd. (3674) AI Stock Analysis

• Market Cap: ¥3.43B
• Dividend Yield: N/A
• Average Volume (3M): 15.15K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: -3.79%
• EPS Growth: -272.95%
• Country: JP
• Employees: 186
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): -28.44
• Shares Outstanding: 10,813,700
• 10 Day Avg. Volume: 11,730
• 30 Day Avg. Volume: 15,150
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 46 Neutral
• Price Target: ¥328.00 ▲(1.23% Upside)

Aucfan Co., Ltd. is facing significant challenges with declining financial performance, as indicated by negative revenue growth and profitability metrics. The technical analysis suggests a bearish trend with the stock trading below key moving averages and indicators pointing towards oversold conditions. Valuation metrics are unattractive due to a negative P/E ratio and lack of dividend yield. These factors collectively contribute to a low overall stock score.

Positive Factors

Stable Balance Sheet

Aucfan's stable balance sheet with a moderate debt level suggests financial resilience, allowing it to navigate economic fluctuations and invest in strategic opportunities.

Operational Efficiency

Maintaining a positive EBITDA margin indicates that Aucfan is able to manage its operating costs effectively, which is crucial for long-term sustainability and competitiveness.

Cash Generation from Operations

Positive cash flow from operations shows Aucfan's ability to generate cash internally, which supports ongoing operations and potential reinvestment in growth initiatives.

Negative Factors

Declining Revenue

Consistent revenue decline indicates challenges in market demand or competitive positioning, which could hinder long-term growth prospects and market share.

Profitability Challenges

Negative profitability metrics suggest difficulties in cost management or revenue generation, potentially impacting future investments and shareholder returns.

Free Cash Flow Concerns

Reduced free cash flow growth limits Aucfan's capacity to fund new projects or expand operations, potentially affecting its competitive edge and innovation.

Aucfan Co., Ltd. Business Overview & Revenue Model

Company Description

Aucfan Co., Ltd. (3674) is a Japanese company specializing in e-commerce and technology solutions. It operates primarily in the online auction and marketplace sectors, providing services that facilitate buying and selling through various platforms. The company is known for its price comparison tools, auction data analysis, and user-friendly interfaces that help consumers and businesses make informed purchasing decisions. Aucfan also offers services that enhance the user experience in online shopping, catering to a diverse range of clients from individual buyers to large retailers.

How the Company Makes Money

Aucfan Co., Ltd. generates revenue primarily through its online platform, which earns income from listing fees, transaction fees on sales facilitated through its auction services, and subscription fees for premium services. The company also monetizes through advertising on its website and partnerships with e-commerce platforms that integrate its tools for price comparison and analytics. Additionally, Aucfan may engage in data analytics services, providing insights to retailers and brands based on shopping trends and consumer behavior, further contributing to its revenue streams.

Aucfan Co., Ltd. Financial Statement Overview

Summary

Aucfan Co., Ltd. shows declining revenue and limited profitability, with a strong gross profit margin but low net profit margin. The balance sheet is stable with manageable debt, but cash flow issues are concerning due to zero operating and free cash flow in the latest period.

Income Statement

Aucfan Co., Ltd. has seen declining revenue over the years, from 8.38 billion in 2021 to 4.85 billion in TTM 2024, indicating a significant revenue shrinkage. The gross profit margin is strong at 55.96% for TTM 2024, suggesting efficient cost management. However, the net profit margin for TTM 2024 is 3.99%, which is relatively low, indicating limited profitability. EBIT and EBITDA margins are moderate, at 7.21% and 11.63% respectively, reflecting constrained operational profitability.

Balance Sheet

The company has a healthy debt-to-equity ratio of 0.38 in TTM 2024, reflecting manageable leverage. The equity ratio is robust at 56.75%, indicating solid financial stability. However, the return on equity (ROE) is modest at 4.40%, suggesting that the company is not generating high returns on its equity. Overall, the balance sheet is stable but shows room for improvement in profitability.

Cash Flow

Cash flow metrics are concerning with zero operating and free cash flow for the TTM 2024 period, indicating potential liquidity issues. Historical data shows fluctuation in free cash flow, with a negative trend noted recently. The operating cash flow to net income ratio and free cash flow to net income ratio can't be evaluated for TTM 2024, but prior ratios indicate a need for better cash management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.76B	4.66B	4.84B	5.15B	6.26B	8.38B
Gross Profit	2.37B	2.17B	2.68B	2.57B	3.24B	3.53B
EBITDA	266.16M	107.55M	552.83M	312.64M	672.02M	713.57M
Net Income	-55.81M	-329.11M	187.45M	17.08M	56.50M	177.55M
Balance Sheet
Total Assets	7.30B	7.08B	7.69B	7.10B	7.35B	8.49B
Cash, Cash Equivalents and Short-Term Investments	5.14B	4.66B	5.59B	4.86B	5.23B	6.09B
Total Debt	1.24B	1.30B	1.66B	1.27B	1.48B	1.70B
Total Liabilities	2.92B	2.99B	3.28B	2.47B	2.79B	3.03B
Stockholders Equity	4.39B	4.09B	4.41B	4.63B	4.56B	5.46B
Cash Flow
Free Cash Flow	0.00	189.37M	790.02M	-283.82M	767.78M	852.34M
Operating Cash Flow	0.00	203.03M	1.00B	15.50M	1.08B	1.13B
Investing Cash Flow	0.00	-544.18M	-206.78M	-376.05M	-263.40M	-276.76M
Financing Cash Flow	0.00	-393.35M	431.87M	-332.18M	-82.97M	-456.39M

Aucfan Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 324.00
• 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:3674, the sentiment is Negative. The current price of 324 is below the 20-day moving average (MA) of 335.30, below the 50-day MA of 339.94, and below the 200-day MA of 361.26, indicating a bearish trend. The MACD of -4.04 indicates Positive momentum. The RSI at 32.36 is Neutral, neither overbought nor oversold. The STOCH value of 27.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3674.

Aucfan Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3930	76 Outperform	¥2.63B	14.65	―	―	7.20%	47.54%
3770	72 Outperform	¥4.16B	24.76	―	1.19%	-0.86%	-29.61%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
3691	51 Neutral	¥6.47B	-90.40	―	―	11.29%	-358.08%
3674	46 Neutral	¥3.43B	-10.35	―	―	-3.79%	-272.95%
2454	45 Neutral	¥5.43B	95.15	―	0.77%	4.75%	―
3645	43 Neutral	¥2.60B	-295.85	―	1.01%	13.89%	82.37%