GMO Payment Gateway (3769) AI Stock Analysis

• Market Cap: ¥652.25B
• Dividend Yield: 1.44%
• Average Volume (3M): 221.66K
• Price to Earnings (P/E): 32.3
• Beta (1Y): 1.04
• Revenue Growth: 14.07%
• EPS Growth: 29.02%
• Country: JP
• Employees: 853
• Sector: Technology
• Sector Strength: 94
• Industry: Software - Infrastructure
• EPS (TTM): 69.67
• Shares Outstanding: 76,557,550
• 10 Day Avg. Volume: 275,770
• 30 Day Avg. Volume: 221,656
• PEG Ratio: 15.70
• Price to Book (P/B): 6.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.75
• 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: ¥9,824.43
• Price Target Upside: 14.24% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 73 Outperform
• Price Target: ¥9,685.00 ▲(12.62%Upside)

GMO Payment Gateway's strong financial performance is a key strength, underpinning its stability and operational efficiency. However, technical indicators suggest potential short-term weakness, with negative momentum and potential overvaluation concerns. The lack of earnings call and corporate event data limits additional insights.

GMO Payment Gateway Business Overview & Revenue Model

Company Description

GMO Payment Gateway, Inc. (3769) is a leading provider of comprehensive payment processing solutions, primarily serving e-commerce businesses in Japan and across Asia. The company offers a wide range of services, including credit card payment processing, convenience store payment support, electronic money, and various other payment-related services. As a subsidiary of the GMO Internet Group, GMO Payment Gateway is known for its robust technology infrastructure and strong industry partnerships.

How the Company Makes Money

GMO Payment Gateway generates revenue through transaction fees charged to merchants for processing payments. The company earns money from various streams, including service fees for online payment processing, subscription fees for value-added services like fraud prevention and analytics, and setup fees for integrating their payment systems into merchant websites. Additionally, GMO Payment Gateway benefits from its partnerships with banks and financial institutions, which help expand its service offerings and reach. The company's extensive network and reputation in the payment processing industry contribute to its stable revenue growth.

GMO Payment Gateway Financial Statement Overview

Summary

GMO Payment Gateway is performing exceptionally well across all financial metrics. The company shows strong revenue and profit growth, high margins, and good cash generation. The balance sheet is stable with moderate leverage, and the equity ratio suggests a healthy equity base. While the decrease in free cash flow growth is a minor concern, the overall financial health of the company is solid, indicating strong operational performance and financial stability.

Income Statement

GMO Payment Gateway has shown strong revenue growth in its TTM period, with a 6.31% increase from the previous annual report. The company's gross profit margin stands at an impressive 66.76%, and the net profit margin is also strong at 25.78%. With an EBIT margin of 34.89% and an EBITDA margin of 41.50%, the company demonstrates excellent profitability. This strong performance across key income statement metrics indicates robust operational efficiency and profitability.

Balance Sheet

The balance sheet reveals a sound financial structure with a debt-to-equity ratio of 0.51, indicating moderate leverage. The return on equity is 19.42%, showcasing efficient use of equity to generate profits. The equity ratio of 27.88% implies that a significant portion of the company's assets are financed by equity, suggesting a stable financial position. Overall, the balance sheet is strong, but there is room for improvement in equity financing.

Cash Flow

GMO Payment Gateway reports a robust free cash flow, with a TTM free cash flow of ¥41.23 billion. The operating cash flow to net income ratio is 2.10, indicating strong cash generation relative to reported earnings. However, the free cash flow has decreased compared to the previous period, reflecting a decline in cash flow growth. Despite this, the company's ability to generate cash remains strong, supporting ongoing operations and potential investments.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	73.79B	63.12B	50.30B	41.67B	33.05B
Gross Profit	48.10B	39.99B	33.64B	28.10B	23.85B
EBITDA	31.47B	23.22B	20.62B	15.98B	12.72B
Net Income	18.71B	13.48B	24.15B	8.82B	7.62B
Balance Sheet
Total Assets	344.70B	292.35B	273.41B	215.46B	192.02B
Cash, Cash Equivalents and Short-Term Investments	174.76B	134.31B	126.89B	104.98B	96.99B
Total Debt	53.10B	49.11B	42.68B	34.75B	35.75B
Total Liabilities	238.88B	197.54B	184.15B	157.64B	158.57B
Stockholders Equity	102.90B	92.27B	87.12B	55.85B	31.73B
Cash Flow
Free Cash Flow	45.03B	1.50B	4.69B	-8.27B	47.25B
Operating Cash Flow	49.47B	6.13B	7.66B	-6.34B	49.19B
Investing Cash Flow	-5.23B	17.76B	-2.44B	2.23B	-4.49B
Financing Cash Flow	-3.73B	-6.42B	2.64B	12.78B	-785.11M

GMO Payment Gateway Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 8600.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3769, the sentiment is Neutral. The current price of 8600 is below the 20-day moving average (MA) of 8914.85, below the 50-day MA of 8893.44, and above the 200-day MA of 8421.86, indicating a neutral trend. The MACD of -118.78 indicates Positive momentum. The RSI at 42.48 is Neutral, neither overbought nor oversold. The STOCH value of 22.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3769.

GMO Payment Gateway Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3623	78 Outperform	¥6.69B	16.45		1.12%	11.52%	35.61%
4374	76 Outperform	¥9.28B	25.82		0.57%	24.77%	116.47%
2428	74 Outperform	¥13.59B	12.24		3.86%	10.87%	49.45%
3769	73 Outperform	¥652.25B	32.25	20.05%	1.44%	14.07%	29.02%
Sector *	68 Neutral	¥228.97B	14.57	7.50%	2.70%	9.28%	6.70%
3778	60 Neutral	¥146.32B	48.65		0.11%	43.92%	302.88%
4180	60 Neutral	¥156.81B	53.79		0.13%	27.60%	165.28%

GMO Payment Gateway Corporate Events

GMO Payment Gateway Issues Unsecured Bonds to Bolster Financial Strategy

GMO Payment Gateway, Inc. announced the issuance of its first and second unsecured straight bonds, each amounting to 10 billion yen. The proceeds from these bonds will primarily be used for redeeming existing convertible bonds due in 2026, with any surplus directed towards working capital or investment purposes. This strategic financial move is expected to strengthen the company’s liquidity and support its operational and investment activities.

The most recent analyst rating on (JP:3769) stock is a Hold with a Yen9300.00 price target. To see the full list of analyst forecasts on GMO Payment Gateway stock, see the JP:3769 Stock Forecast page.

GMO Financial Gate Approved for Tokyo Stock Exchange Prime Market Listing

GMO Payment Gateway, Inc. announced that its subsidiary, GMO Financial Gate, Inc., has received approval to change its stock listing from the Growth Market to the Prime Market of the Tokyo Stock Exchange, effective June 5, 2025. This move signifies the company’s commitment to growth and value enhancement, reflecting positively on its market positioning and stakeholder relations.

The most recent analyst rating on (JP:3769) stock is a Buy with a Yen10650.00 price target. To see the full list of analyst forecasts on GMO Payment Gateway stock, see the JP:3769 Stock Forecast page.

GMO Payment Gateway Reports Strong H1 FY2025 Financial Results

GMO Payment Gateway reported a strong financial performance for the first half of fiscal year 2025, with a 12.9% increase in revenue and a 21.0% rise in operating profit compared to the previous year. The company also announced the inclusion of GMO Enpay, Inc. in its consolidation, indicating strategic expansion and potential growth in its service offerings.

The most recent analyst rating on (JP:3769) stock is a Buy with a Yen10650.00 price target. To see the full list of analyst forecasts on GMO Payment Gateway stock, see the JP:3769 Stock Forecast page.