CrowdWorks, Inc. (3900) AI Stock Analysis

• Market Cap: ¥15.87B
• Dividend Yield: 1.79%
• Average Volume (3M): 111.76K
• Price to Earnings (P/E): 22.0
• Beta (1Y): 0.78
• Revenue Growth: 36.09%
• EPS Growth: -39.80%
• Country: JP
• Employees: 483
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 14.31
• Shares Outstanding: 15,795,459
• 10 Day Avg. Volume: 105,950
• 30 Day Avg. Volume: 111,756
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,119.00
• Price Target Upside: 11.34% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 64 Neutral
• Price Target: ¥1,119.00 ▲(11.34% Upside)

CrowdWorks, Inc. has a strong financial foundation with impressive revenue growth and a solid balance sheet. However, concerns about cash flow management and a lack of technical momentum weigh on the stock's overall attractiveness. The valuation is reasonable, but not compelling enough to offset these concerns.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for the platform's services, enhancing market position and potential for future expansion.

Balance Sheet Health

A solid balance sheet with low debt levels provides financial stability and flexibility to invest in growth opportunities.

Profit Margins

Improving profit margins reflect operational efficiency and pricing power, contributing to sustainable profitability.

Negative Factors

Cash Flow Management

Zero free cash flow suggests challenges in cash management, potentially limiting the ability to fund growth and operational needs.

Return on Equity

Declining ROE indicates potential inefficiencies in generating shareholder returns, which may affect investor confidence.

Net Profit Margin

A decrease in net profit margin could signal rising costs or competitive pressures, impacting overall profitability.

CrowdWorks, Inc. Business Overview & Revenue Model

Company Description

CrowdWorks, Inc. operates as a leading online crowdsourcing platform primarily in Japan, enabling businesses to connect with freelancers and remote workers across various industries. The company facilitates a wide array of services such as software development, design, writing, and other specialized freelance tasks, catering to companies in need of flexible and scalable workforce solutions.

How the Company Makes Money

CrowdWorks, Inc. generates revenue primarily through its online platform by charging service fees for successful transactions between clients and freelancers. The company earns a commission on each project completed through its platform, typically by taking a percentage of the agreed project fee. Additionally, CrowdWorks may offer premium subscription plans for freelancers and businesses, providing enhanced features and visibility for a fee. The company also benefits from strategic partnerships with corporations seeking to utilize its platform for large-scale outsourcing projects, further diversifying its revenue streams.

CrowdWorks, Inc. Financial Statement Overview

Summary

CrowdWorks, Inc. exhibits strong revenue growth and a healthy balance sheet with stable profit margins and low debt levels. However, the company's cash flow management is a concern, as indicated by zero free cash flow in the TTM, which could impact its ability to sustain growth.

Income Statement

CrowdWorks, Inc. demonstrates strong revenue and profit growth, with a Revenue Growth Rate of 40.72% from 2023 to 2024 and a consistent increase in Gross Profit Margin to 44.27% for the TTM. EBIT and EBITDA margins are healthy, at 7.19% and 8.73% respectively. However, Net Profit Margin slightly decreased to 4.66% for the TTM.

Balance Sheet

The company maintains a solid financial position with a Debt-to-Equity Ratio of 0.77 and a strong Equity Ratio of 40.97% for the TTM. However, the Return on Equity (ROE) decreased to 12.15% for the TTM, indicating potential inefficiencies in generating returns for shareholders.

Cash Flow

CrowdWorks, Inc. faces challenges in cash flow management, with a Free Cash Flow of zero in the TTM. Despite this, historical data shows positive operating and free cash flow in previous years. The Operating Cash Flow to Net Income Ratio and Free Cash Flow to Net Income Ratio are not calculable for the TTM due to zero cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.19B	17.11B	13.21B	10.57B	7.77B	5.46B
Gross Profit	8.80B	7.85B	6.14B	4.81B	3.48B	3.32B
EBITDA	1.74B	1.67B	1.33B	972.89M	673.31M	-20.62M
Net Income	736.18M	910.76M	1.10B	802.87M	622.42M	-105.17M
Balance Sheet
Total Assets	17.54B	13.54B	10.00B	7.64B	6.22B	5.11B
Cash, Cash Equivalents and Short-Term Investments	7.01B	5.96B	5.73B	5.15B	4.25B	3.29B
Total Debt	5.33B	2.03B	696.90M	123.28M	100.00M	100.00M
Total Liabilities	10.11B	6.23B	3.96B	2.97B	2.41B	1.98B
Stockholders Equity	7.30B	7.20B	6.02B	4.67B	3.79B	3.15B
Cash Flow
Free Cash Flow	0.00	1.68B	1.35B	1.15B	854.52M	-34.19M
Operating Cash Flow	0.00	1.68B	1.35B	1.15B	868.79M	-989.00K
Investing Cash Flow	0.00	-2.44B	-1.17B	-262.36M	-95.37M	536.58M
Financing Cash Flow	0.00	960.63M	436.34M	8.34M	5.09M	-383.12M

CrowdWorks, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1005.00
• 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:3900, the sentiment is Negative. The current price of 1005 is below the 20-day moving average (MA) of 1046.35, below the 50-day MA of 1064.00, and below the 200-day MA of 1177.97, indicating a bearish trend. The MACD of -15.76 indicates Positive momentum. The RSI at 34.24 is Neutral, neither overbought nor oversold. The STOCH value of 26.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3900.

CrowdWorks, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6539	79 Outperform	¥25.02B	24.01		5.63%	38.75%	-3.18%
3991	72 Outperform	¥12.77B	10.58		1.49%	4.81%	29.97%
6070	68 Neutral	¥28.43B	15.07		4.94%	-4.87%	-14.53%
2410	67 Neutral	¥12.32B	11.72		3.79%	4.17%	12.22%
3900	64 Neutral	¥15.87B	21.98		1.79%	36.09%	-39.80%
Sector *	63 Neutral	$10.84B	15.52	7.40%	2.00%	2.86%	-14.57%
4433	58 Neutral	¥20.07B	52.36		3.29%	4.12%	38.91%

CrowdWorks, Inc. Corporate Events

CrowdWorks, Inc. Reports Strong Sales Growth Amid Profitability Challenges

CrowdWorks, Inc. reported a significant increase in net sales and gross profit for the nine months ending June 30, 2025, with net sales rising by 36.8% year-on-year. Despite the growth in sales, the company’s comprehensive income decreased by 23.8%, and profit attributable to owners of the parent fell by 25%. The company also experienced changes in its consolidation scope, adding two companies and excluding one. These financial results indicate a strong operational performance but highlight challenges in maintaining profitability.