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gumi, Inc. (JP:3903)
:3903
Japanese Market

gumi, Inc. (3903) AI Stock Analysis

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JP:3903

gumi, Inc.

(3903)

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Neutral 46 (OpenAI - 4o)
Rating:46Neutral
Price Target:
¥402.00
▲(13.24% Upside)
The overall stock score is primarily influenced by financial performance challenges, including declining revenues and cash flow issues. Technical analysis indicates bearish momentum, further weighing down the score. The low P/E ratio suggests potential undervaluation, but the lack of a dividend yield reduces its appeal. The absence of earnings call data and corporate events limits additional insights.
Positive Factors
Profit Margin Improvement
Improved profit margins indicate better cost management, which can enhance long-term profitability and operational efficiency.
Low Debt-to-Equity Ratio
A low debt-to-equity ratio suggests conservative leverage, providing financial stability and flexibility for future investments.
Return on Equity Improvement
Improved ROE indicates enhanced profitability relative to shareholders' equity, reflecting efficient use of investor capital.
Negative Factors
Declining Revenue
Declining revenue suggests challenges in market demand or competitive positioning, potentially impacting long-term growth prospects.
Negative Operating Cash Flow
Negative operating cash flow indicates potential liquidity issues, which could constrain the company's ability to fund operations and growth.
Volatile EBIT and EBITDA Margins
Inconsistent margins can lead to unpredictable earnings, affecting investor confidence and long-term financial planning.

gumi, Inc. (3903) vs. iShares MSCI Japan ETF (EWJ)

gumi, Inc. Business Overview & Revenue Model

Company Descriptiongumi Inc. provides mobile online games in Japan and internationally. It also engages in block chain, and XR business. The company was incorporated in 2007 and is headquartered in Tokyo, Japan.
How the Company Makes Moneygumi generates revenue primarily through in-app purchases within its mobile games, allowing players to buy virtual goods, currency, and premium content that enhance their gaming experience. Additionally, the company earns revenue from advertisements displayed within its games and through partnerships with other developers and publishers for co-development and distribution of mobile titles. gumi also explores collaborations with established franchises to create themed games, which further contribute to its revenue streams by attracting fans of those franchises. Furthermore, the company may receive licensing fees from third-party developers who utilize its proprietary technology or intellectual property.

gumi, Inc. Financial Statement Overview

Summary
The company faces challenges with declining revenues and cash flow issues, despite some improvements in profitability margins and leverage. The income statement shows a significant decline in revenue, and the cash flow statement highlights negative operating cash flow. However, there are improvements in gross and net profit margins and a low debt-to-equity ratio.
Income Statement
The income statement shows a significant decline in revenue over the years, with a negative revenue growth rate of -23.65% in the most recent year. Despite this, the company has managed to improve its gross and net profit margins to 23.37% and 23.07%, respectively, indicating better cost management. However, the historical volatility in EBIT and EBITDA margins suggests inconsistent operational efficiency.
Balance Sheet
The balance sheet reflects a relatively low debt-to-equity ratio of 0.24, indicating a conservative leverage position. The return on equity has improved to 12.16%, showcasing better profitability relative to shareholders' equity. However, the equity ratio is not explicitly provided, which limits a full assessment of asset financing.
Cash Flow
The cash flow statement highlights significant challenges, with a drastic decline in free cash flow growth and negative operating cash flow. The free cash flow to net income ratio is high at 2.88, suggesting that cash generation is not aligned with reported earnings, potentially due to non-cash adjustments or working capital changes.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.45B8.94B12.07B16.01B18.94B18.63B
Gross Profit2.04B2.09B-1.56B3.43B1.90B5.00B
EBITDA1.90B2.59B-3.79B265.48M-5.40B4.68B
Net Income3.48B2.06B-5.93B445.93M-6.27B1.84B
Balance Sheet
Total Assets24.85B23.88B19.33B26.55B18.36B25.01B
Cash, Cash Equivalents and Short-Term Investments4.86B6.08B4.78B10.46B6.30B8.49B
Total Debt3.76B4.03B4.24B4.94B5.42B4.50B
Total Liabilities5.41B6.00B7.09B7.89B8.28B7.82B
Stockholders Equity18.44B16.97B12.24B18.51B9.61B16.51B
Cash Flow
Free Cash Flow84.48M-2.54B-6.49B-2.00B-4.19B201.02M
Operating Cash Flow84.67M-881.11M-5.15B-171.36M-2.47B2.81B
Investing Cash Flow-666.01M-1.66B-271.09M-2.35B398.64M-2.16B
Financing Cash Flow1.84B3.77B-898.94M6.71B-248.46M1.92B

gumi, Inc. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price355.00
Price Trends
50DMA
385.08
Negative
100DMA
478.00
Negative
200DMA
518.54
Negative
Market Momentum
MACD
-5.14
Negative
RSI
50.94
Neutral
STOCH
59.48
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3903, the sentiment is Neutral. The current price of 355 is below the 20-day moving average (MA) of 355.55, below the 50-day MA of 385.08, and below the 200-day MA of 518.54, indicating a neutral trend. The MACD of -5.14 indicates Negative momentum. The RSI at 50.94 is Neutral, neither overbought nor oversold. The STOCH value of 59.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3903.

gumi, Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
¥2.62B20.68-10.80%-64.63%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
60
Neutral
¥38.39B18.384.06%-15.30%39.61%
48
Neutral
¥10.70B5.9211.15%
46
Neutral
¥19.50B6.52-37.68%
42
Neutral
¥2.71B-1.96-22.21%32.20%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3903
gumi, Inc.
378.00
-8.00
-2.07%
JP:3667
enish, Inc.
63.00
-70.00
-52.63%
JP:3911
Aiming, Inc.
227.00
18.00
8.61%
JP:3928
Mynet, Inc.
302.00
-6.00
-1.95%
JP:3932
Akatsuki, Inc.
2,661.00
-61.19
-2.25%

gumi, Inc. Corporate Events

gumi Reports December Exercise of 26th Series Stock Acquisition Rights
Jan 5, 2026

gumi Inc. reported the December 2025 monthly exercise status of its 26th Series of Stock Acquisition Rights, which include an exercise price adjustment clause and were allotted to SBI SECURITIES in October 2025. During the month, 15,627 units of these rights were exercised—representing 14.60% of the total issued—resulting in the delivery of 1,562,700 shares and reducing the number of unexercised rights from 92,389 to 76,762 units, while staying within Tokyo Stock Exchange and industry exercise restriction rules. The ongoing conversion of these rights into shares modestly increases gumi’s outstanding share base and signals continued progress in the staged financing structure, with potential implications for existing shareholder dilution and the company’s capital-raising flexibility.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen402.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Reports Large-Scale Exercise of 26th Series Stock Acquisition Rights
Dec 26, 2025

gumi Inc. has reported the large-scale exercise status of its 26th Series of Stock Acquisition Rights with an exercise price adjustment clause, allotted to SBI SECURITIES Co., Ltd. in October 2025. Between December 1 and December 26, 2025, 15,627 units of these rights, corresponding to 1,562,700 shares and 14.60% of the total rights issued, were exercised, reducing the remaining unexercised rights from 92,389 units at the end of the previous month to 76,762 units. The exercised rights have resulted in a notable increase in the number of shares delivered during the month, which could lead to equity dilution for existing shareholders but also strengthens the company’s capital base and financial flexibility as it continues to pursue its business strategy.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen402.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Reports Significant Crypto Asset Revaluation Gain
Dec 12, 2025

gumi Inc. announced a significant non-operating income gain due to the revaluation of its crypto assets, amounting to 1,683 million yen for the second quarter of the fiscal year ending April 2026. This financial adjustment reflects the company’s strategic positioning in the cryptocurrency market and is expected to impact its consolidated financial results positively.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen402.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Announces Resignation of Director Amid New Shareholding Developments
Dec 12, 2025

gumi Inc. announced the resignation of its outside director, Daisuke Okazaki, due to his new role as a major shareholder in AltPlus Inc., a competitor in certain business areas. Although no conflicts of interest were identified, the resignation was approved to preemptively avoid potential risks, ensuring compliance with corporate governance standards.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen402.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Reports November 2025 Stock Acquisition Rights Exercise Status
Dec 1, 2025

gumi Inc. announced the exercise status for November 2025 of its 26th Series of Stock Acquisition Rights, initially allotted to SBI SECURITIES Co., Ltd. A total of 1,084,600 shares were delivered, with 10.14% of the stock acquisition rights exercised. This development reflects the company’s ongoing financial strategies and impacts its stock market activities, potentially influencing investor confidence and market positioning.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen402.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Announces Large-Scale Exercise of Stock Acquisition Rights
Nov 28, 2025

gumi Inc. announced the large-scale exercise of its 26th Series of Stock Acquisition Rights, initially issued on October 20, 2025, and allocated to SBI SECURITIES Co., Ltd. This exercise, which took place throughout November 2025, involved the delivery of 1,084,600 shares and the exercise of 10,846 stock acquisition rights, representing 10.14% of the total issued. The announcement indicates a significant movement in the company’s stock acquisition activities, potentially impacting its financial strategy and market positioning.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen402.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Launches Joint Crypto Asset Fund with SBI Holdings
Nov 6, 2025

gumi Inc. has announced the establishment of the SBI Crypto Fund I TK, a joint venture with SBI Holdings, to manage listed crypto assets. The fund aims to bridge Japanese enterprises with Web3 innovation and achieve significant returns through strategic investments in Bitcoin and major altcoins. This initiative is part of gumi’s broader collaboration with SBI to create new value in finance and blockchain, although the immediate financial impact is expected to be minimal.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen461.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Reports October Exercise of Stock Acquisition Rights
Nov 4, 2025

gumi Inc. announced the exercise status for its 26th Series of Stock Acquisition Rights for October 2025, revealing that 3.52% of the rights were exercised, resulting in the delivery of 376,500 shares. This activity indicates a strategic financial maneuver to adjust the company’s capital structure, potentially impacting its market positioning and shareholder value.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen461.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

gumi Inc. Completes Payment for Stock Acquisition Rights Issuance
Oct 20, 2025

gumi Inc. has completed the payment for the issuance of its 26th series of stock acquisition rights through a third-party allotment to SBI SECURITIES Co., Ltd. This strategic financial move, involving a total issue price of 54,035,000 yen, is expected to raise significant funds, potentially impacting the company’s market positioning and providing capital for future growth initiatives.

The most recent analyst rating on (JP:3903) stock is a Hold with a Yen461.00 price target. To see the full list of analyst forecasts on gumi, Inc. stock, see the JP:3903 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 15, 2025