Jedat Inc. (3841) AI Stock Analysis

• Market Cap: ¥5.05B
• Dividend Yield: 2.95%
• Average Volume (3M): 2.54K
• Price to Earnings (P/E): 22.4
• Beta (1Y): -0.17
• Revenue Growth: -1.09%
• EPS Growth: -14.08%
• Country: JP
• Employees: 106
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.27
• Shares Outstanding: 3,909,800
• 10 Day Avg. Volume: 1,280
• 30 Day Avg. Volume: 2,540
• PEG Ratio: -0.70
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 2.52
• P/FCF Ratio: 42.68
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: ―

Jedat Inc. demonstrates robust financial strength with notable revenue and margin growth, supported by a debt-free balance sheet. Positive technical indicators suggest potential price appreciation. Valuation metrics are reasonable, offering a balanced investment case. However, the decline in cash flow warrants attention for potential liquidity issues.

Jedat Inc. Business Overview & Revenue Model

Company Description

Jedat Inc. develops, distributes, and sells electronic design automation (EDA) software for circuit and layout design worldwide. The company provides LSI design, flat panel display design, fine pattern design, and PCB and package design services; and SX-Meister, an EDA system, as well as EDA tools for SoC design. It also offers analog and display solutions. The company was founded in 1980 and is headquartered in Chuo, Japan.

How the Company Makes Money

Jedat Inc. makes money by selling its electronic design automation (EDA) software tools to semiconductor manufacturers, design houses, and other companies involved in the electronics and semiconductor industries. The company's revenue model primarily involves the sale of software licenses, which can be on a perpetual or subscription basis, providing a steady stream of income. Additionally, Jedat Inc. may generate revenue through maintenance and support services associated with their software products, offering updates and technical assistance. The company may also engage in strategic partnerships or collaborations that enhance its market reach and product offerings, contributing to its revenue growth.

Jedat Inc. Financial Statement Overview

Summary

Jedat Inc. demonstrates strong financial health with consistent revenue growth, high profitability margins, and a solid balance sheet devoid of debt. The company's equity position provides financial security. However, the recent decline in cash flow is a concern, signaling potential short-term liquidity challenges.

Income Statement

Jedat Inc. has shown consistent revenue growth with a notable revenue increase of 2.13% from 2023 to 2024. The gross profit margin is robust at approximately 62.5% in 2024, indicating strong cost management. Net profit margin improved significantly to around 15.95% in 2024, reflecting enhanced profitability. EBIT margin and EBITDA margin remain strong, illustrating operational efficiency. However, a slight decline in gross profit in 2024 requires attention.

Balance Sheet

The company maintains a strong balance sheet with zero debt, resulting in a debt-to-equity ratio of 0. The equity ratio is high at around 78.3%, indicating strong financial stability. Return on Equity (ROE) is impressive at 9.3% for 2024, showcasing effective utilization of equity. The substantial cash position further enhances financial resilience. Nonetheless, the decline in cash reserves in 2024 is a point to monitor.

Cash Flow

Jedat Inc. experienced a significant decrease in free cash flow in 2024, primarily due to negative operating cash flow, affecting the free cash flow to net income ratio. The operating cash flow to net income ratio has turned negative, which could indicate cash flow management issues. Despite this, previous years show a history of robust cash flow generation, suggesting this may be a temporary dip.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.06B	2.06B	2.02B	1.97B	1.82B
Gross Profit	1.31B	1.29B	1.31B	1.26B	1.14B
EBITDA	321.86M	333.10M	347.11M	238.93M	173.55M
Net Income	213.43M	328.69M	266.38M	169.27M	101.46M
Balance Sheet
Total Assets	4.27B	4.52B	4.49B	4.33B	3.35B
Cash, Cash Equivalents and Short-Term Investments	2.55B	3.49B	3.64B	3.46B	2.71B
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	679.11M	981.36M	1.19B	1.22B	424.63M
Stockholders Equity	3.59B	3.53B	3.30B	3.11B	2.93B
Cash Flow
Free Cash Flow	121.94M	-68.12M	281.57M	785.74M	37.14M
Operating Cash Flow	137.87M	-65.18M	311.15M	795.93M	62.73M
Investing Cash Flow	13.99M	-3.36M	-52.08M	-19.74M	-33.66M
Financing Cash Flow	-153.97M	-96.23M	-74.92M	-37.53M	-36.77M

Jedat Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1297.00
• 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:3841, the sentiment is Negative. The current price of 1297 is below the 20-day moving average (MA) of 1338.20, below the 50-day MA of 1377.04, and below the 200-day MA of 1333.81, indicating a bearish trend. The MACD of -17.72 indicates Positive momentum. The RSI at 39.51 is Neutral, neither overbought nor oversold. The STOCH value of 7.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3841.

Jedat Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3841	77 Outperform	¥5.05B	22.39	―	2.95%	-1.09%	-14.08%
4491	69 Neutral	¥5.39B	13.38	―	1.89%	6.18%	29.79%
4447	62 Neutral	¥3.35B	17.30	―	3.81%	42.88%	-5.21%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
3909	51 Neutral	¥3.09B	10.25	―	―	-8.20%	―
3936	44 Neutral	¥5.67B	-30.94	―	―	33.37%	53.98%