GMO Payment Gateway (3769) AI Stock Analysis

• Market Cap: $715.35B
• Dividend Yield: 1.31%
• Average Volume (3M): 200.51K
• Price to Earnings (P/E): 35.4
• Beta (1Y): 1.03
• Revenue Growth: 14.07%
• EPS Growth: 29.02%
• Country: JP
• Employees: 853
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Infrastructure
• EPS (TTM): 69.67
• Shares Outstanding: 76,557,550
• 10 Day Avg. Volume: 196,510
• 30 Day Avg. Volume: 200,510
• PEG Ratio: 0.18
• Price to Book (P/B): 8.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 161.06
• 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: $9,451.76
• Price Target Upside: 0.21% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 70 Outperform
• Price Target: ¥9,374.00 ▼(-0.61%Downside)

GMO Payment Gateway's strong financial performance is the most significant factor driving its overall score, showcasing robust revenue growth and profitability. Technical analysis presents mixed short-term signals but supports a longer-term bullish trend. Valuation metrics indicate the stock is relatively expensive, which is a notable risk.

GMO Payment Gateway Business Overview & Revenue Model

Company Description

GMO Payment Gateway, Inc. (3769) is a leading provider of payment processing and financial services in Japan and other Asian markets. The company specializes in offering comprehensive payment solutions, including credit card payment processing, electronic money, and other financial services such as payment-related outsourcing and security services. GMO Payment Gateway serves a diverse range of clients from small businesses to large enterprises across various sectors, helping them facilitate secure and efficient transactions.

How the Company Makes Money

GMO Payment Gateway makes money primarily through transaction fees charged to merchants for processing payments. This includes fees for credit card transactions, electronic money services, and other payment methods. Additionally, the company generates revenue from payment-related outsourcing services, which involve managing the entire payment process for businesses, thereby allowing them to focus on core operations. GMO Payment Gateway also earns from providing security services, ensuring safe and reliable transactions for their clients. The company benefits from strategic partnerships with financial institutions and technology providers, which enhance its service offerings and expand its reach in the market.

GMO Payment Gateway Financial Statement Overview

Summary

GMO Payment Gateway demonstrates strong financial performance with impressive revenue growth, high profit margins, and robust cash generation. The balance sheet indicates a stable financial position with moderate leverage. While the decrease in free cash flow growth is noted, overall financial health remains solid.

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	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	78.44B	73.79B	63.12B	50.30B	41.67B	33.05B
Gross Profit	52.38B	48.10B	39.99B	33.64B	28.10B	23.85B
EBITDA	32.56B	31.47B	23.22B	20.62B	15.98B	12.72B
Net Income	20.23B	18.71B	13.48B	24.15B	8.82B	7.62B
Balance Sheet
Total Assets	244.00B	344.70B	292.35B	273.41B	215.46B	192.02B
Cash, Cash Equivalents and Short-Term Investments	102.96B	174.76B	134.31B	126.89B	104.98B	96.99B
Total Debt	38.14B	53.10B	49.11B	42.68B	34.75B	35.75B
Total Liabilities	188.08B	238.88B	197.54B	184.15B	157.64B	158.57B
Stockholders Equity	53.97B	102.90B	92.27B	87.12B	55.85B	31.73B
Cash Flow
Free Cash Flow	41.23B	45.03B	1.50B	4.69B	-8.27B	47.25B
Operating Cash Flow	42.42B	49.47B	6.13B	7.66B	-6.34B	49.19B
Investing Cash Flow	-12.76B	-5.23B	17.76B	-2.44B	2.23B	-4.49B
Financing Cash Flow	-10.96B	-3.73B	-6.42B	2.64B	12.78B	-785.11M

GMO Payment Gateway Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9432.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3769, the sentiment is Positive. The current price of 9432 is above the 20-day moving average (MA) of 9162.10, above the 50-day MA of 8938.78, and above the 200-day MA of 8428.97, indicating a bullish trend. The MACD of 124.73 indicates Negative momentum. The RSI at 60.99 is Neutral, neither overbought nor oversold. The STOCH value of 81.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3769.

GMO Payment Gateway Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2428	80 Outperform	¥13.53B	12.19		3.89%	10.87%	49.45%
3623	78 Outperform	¥6.78B	16.67		1.13%	11.52%	35.61%
4374	76 Outperform	¥9.50B	26.45		0.56%	24.77%	116.47%
4180	75 Outperform	¥164.06B	56.28		0.12%	27.60%	165.28%
3769	70 Outperform	$715.35B	35.37	20.05%	1.31%	14.07%	29.02%
Sector *	69 Neutral	¥231.71B	14.67	7.64%	2.71%	9.09%	8.52%
3778	66 Neutral	¥178.71B	59.42		0.09%	43.92%	302.88%

GMO Payment Gateway Corporate Events

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.