Fisco Ltd. (3807) AI Stock Analysis

• Market Cap: ¥6.19B
• Dividend Yield: N/A
• Average Volume (3M): 358.30K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.03
• Revenue Growth: 34.00%
• EPS Growth: 99.28%
• Country: JP
• Employees: 29
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Data & Stock Exchanges
• EPS (TTM): 1.44
• Shares Outstanding: 45,908,222
• 10 Day Avg. Volume: 283,360
• 30 Day Avg. Volume: 358,303
• PEG Ratio: 0.21
• Price to Book (P/B): 30.48
• Price to Sales (P/S): 8.45
• P/FCF Ratio: -95.40
• 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: 41 Neutral
• Price Target: ¥128.00 ▼(-5.88% Downside)

Fisco Ltd. faces significant financial challenges, with consistent losses and negative cash flow impacting its financial performance score. Technical indicators suggest a bearish trend, further weighing down the stock's attractiveness. The negative P/E ratio and absence of a dividend yield also contribute to a low valuation score. Overall, the stock's outlook is concerning, with financial instability being the most significant factor.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding business operations and market demand, which can lead to improved financial performance over time.

Business Model Diversification

Diversification across fintech, cryptocurrency, and media sectors provides multiple revenue streams, reducing dependency on a single market and enhancing resilience.

Strategic Partnerships

Strategic partnerships with tech and financial institutions expand service offerings and customer base, strengthening competitive position and potential for growth.

Negative Factors

Consistent Losses

Persistent losses undermine profitability and can strain resources, limiting the company's ability to invest in growth and innovation.

Negative Cash Flow

Negative cash flow from operations indicates challenges in sustaining business operations without external financing, posing liquidity risks.

Declining Equity

A declining equity ratio signals rising liabilities relative to assets, which can impact financial stability and investor confidence.

Fisco Ltd. Business Overview & Revenue Model

Company Description

FISCO Ltd. provides investment support services. It analyzes Japanese and overseas stocks; foreign exchanges; rates and bonds, including Japanese government, overseas, and corporate bonds; commodities; emerging markets; and market movements. The company also provides information from market participants, market topics, and speculations on a real-time basis; and operates website platforms that offer various financial information. In addition, it offers IR consulting services, communication tools, English and multilingual translations, and IR professional services; corporate reports; and brand communication, interactive, sales promotion support, and advertisement consultation services. Further, the company offers CLUB FISCO, an information sales service for club members; and FISCO AI that provides automated predictions for share prices. FISCO Ltd. was founded in 1994 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Fisco Ltd. generates revenue through multiple streams primarily related to its financial services offerings. The company earns management fees from the assets it manages in various investment funds and portfolios. Additionally, it collects advisory fees for providing investment advice and financial planning services to clients. Transaction fees from buying and selling securities, as well as performance-based fees linked to the success of its investment strategies, also contribute to its earnings. Significant partnerships with financial institutions and technology providers enhance its service offerings and client reach, thereby boosting its revenue potential.

Fisco Ltd. Financial Statement Overview

Summary

Fisco Ltd. exhibits a troubled financial position with consistent losses affecting profitability metrics. While revenue showed a recent upturn, significant challenges remain in managing costs and generating positive cash flows. The balance sheet reflects moderate leverage but declining equity, indicating increased financial risk.

Income Statement

Fisco Ltd. has experienced significant revenue fluctuations, with a sharp decline from 2019 to 2023. The latest annual revenue growth is robust, but consistent losses are reflected in negative net profit margins. The EBIT and EBITDA margins are negative, indicating challenges in cost management and profitability.

Balance Sheet

The company maintains a relatively balanced debt-to-equity ratio, indicating moderate leverage. However, the declining equity ratio suggests increasing liabilities relative to assets, which could pose stability risks. Return on equity is negative due to persistent losses, which is a concern for investors.

Cash Flow

Cash flow from operations is negative, signaling challenges in generating cash from core activities. Although free cash flow has improved recently, it remains negative, indicating potential liquidity issues. The ratios to net income are not favorable due to negative net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	720.44M	867.88M	450.74M	1.18B	1.25B	1.12B
Gross Profit	264.98M	208.55M	19.38M	714.22M	774.89M	722.90M
EBITDA	-3.05B	-685.92M	-1.55B	-2.64B	5.37B	36.52M
Net Income	-3.14B	-530.70M	-1.59B	-2.76B	3.80B	66.62M
Balance Sheet
Total Assets	3.02B	1.78B	2.09B	3.81B	5.38B	2.72B
Cash, Cash Equivalents and Short-Term Investments	149.01M	235.61M	528.93M	1.08B	1.13B	187.39M
Total Debt	122.93M	8.00M	109.70M	50.51M	83.51M	168.64M
Total Liabilities	1.83B	1.54B	1.80B	1.76B	1.76B	1.42B
Stockholders Equity	1.19B	240.50M	289.91M	2.05B	3.62B	1.30B
Cash Flow
Free Cash Flow	0.00	-76.84M	-66.82M	134.91M	298.59M	-173.93M
Operating Cash Flow	0.00	-39.92M	-40.10M	170.77M	321.92M	-41.37M
Investing Cash Flow	0.00	90.36M	-46.93M	-40.28M	45.15M	172.15M
Financing Cash Flow	0.00	-102.04M	-78.08M	-163.97M	-221.79M	-89.52M

Fisco Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 136.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3807, the sentiment is Negative. The current price of 136 is below the 20-day moving average (MA) of 139.35, below the 50-day MA of 138.22, and below the 200-day MA of 148.49, indicating a bearish trend. The MACD of 0.12 indicates Positive momentum. The RSI at 44.86 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3807.

Fisco Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7325	73 Outperform	¥8.32B	17.99	―	2.79%	12.33%	-15.46%
7175	71 Outperform	¥6.01B	8.60	―	4.38%	-10.65%	-19.65%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8700	65 Neutral	¥6.49B	12.35	―	3.65%	4.48%	19.69%
4765	62 Neutral	€81.40B	29.53	9.32%	3.80%	20.36%	9.29%
3807	41 Neutral	¥6.19B	-13.77	―	―	34.00%	99.28%
8798	38 Underperform	¥8.06B	-1.82	―	―	-16.91%	34.50%