Fuva Brain Ltd. (3927) AI Stock Analysis

• Market Cap: ¥4.61B
• Dividend Yield: N/A
• Average Volume (3M): 184.81K
• Price to Earnings (P/E): 42.1
• Beta (1Y): 1.10
• Revenue Growth: 42.19%
• EPS Growth: 296.12%
• Country: JP
• Employees: 186
• Sector: Technology
• Sector Strength: 94
• Industry: Software - Infrastructure
• EPS (TTM): 16.78
• Shares Outstanding: 5,604,200
• 10 Day Avg. Volume: 91,500
• 30 Day Avg. Volume: 184,806
• PEG Ratio: 1.40
• Price to Book (P/B): 3.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥1,146.00
• Price Target Upside: 30.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥1,019.00 ▲(16.06%Upside)

Fuva Brain Ltd. shows strong financial performance, particularly in revenue growth and profitability, which significantly contributes to its stock score. Technical analysis indicates a generally positive trend, supporting a favorable outlook. However, the relatively high P/E ratio suggests potential overvaluation, which tempers the overall score. The absence of recent earnings call insights and corporate events reduces the available data for a comprehensive analysis.

Fuva Brain Ltd. Business Overview & Revenue Model

Company Description

Fuva Brain Limited engages in the development and sale of cyber security solutions in Japan. The company offers gateway network, endpoint security, internal fraud countermeasures, and productivity improvement solutions. It provides Eye "247" Work Smart for supporting productivity improvement for business visualization analysis and information leakage countermeasures; Eye "247" Work Smart Server, a model file server for small and medium-sized businesses; Eye "247" AntiMalware for protection against known, subspecies, and unknown threats; SecureSphere, integrated security solution for web applications and database servers; and Incapsula for cloud-based web security. The company was formerly known as Ahkun Co., Ltd. and changed its name to Fuva Brain Limited in October 2018. Fuva Brain Limited was incorporated in 2001 and is based in Tokyo, Japan.

How the Company Makes Money

Fuva Brain Ltd. Financial Statement Overview

Summary

Fuva Brain Ltd. exhibits strong financial performance with robust revenue growth and improved profitability metrics. The company successfully transitioned from losses to profitability, supported by efficient cost management. Although the balance sheet is stable with low leverage, cash flow fluctuations, particularly the negative operating cash flow in 2025, indicate areas for improvement in liquidity management.

Income Statement

Fuva Brain Ltd. has demonstrated strong revenue growth over the years, with notable increases in total revenue from ¥1.68 billion in 2022 to ¥4.37 billion in 2025. The gross profit margin has improved significantly, indicating efficient cost management. The company turned profitable in recent years, with a net profit margin of approximately 2.5% in 2025, up from negative profitability in earlier years. EBIT and EBITDA margins have also shown positive trajectories, reflecting enhanced operational efficiency.

Balance Sheet

The balance sheet of Fuva Brain Ltd. shows a strong equity position with a healthy equity ratio, which signifies financial stability. The debt-to-equity ratio remains low, indicating low leverage and reduced financial risk. Return on equity has improved alongside profitability, although there is room for further enhancement. The increasing cash reserves suggest a solid liquidity position.

Cash Flow

The cash flow statement reveals some volatility, with operating cash flow turning negative in 2025. Despite this, the company has maintained free cash flow in previous years, indicating efficient capital management. The negative free cash flow in 2025 is a concern that needs addressing to ensure long-term sustainability. Operating cash flow and free cash flow to net income ratios show room for improvement.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.37B	3.08B	2.34B	1.68B	1.08B
Gross Profit	1.30B	1.01B	901.63M	745.99M	572.27M
EBITDA	226.11M	68.20M	80.01M	-25.17M	-151.68M
Net Income	109.46M	27.01M	26.79M	-29.42M	-174.21M
Balance Sheet
Total Assets	5.60B	4.35B	3.23B	2.23B	2.03B
Cash, Cash Equivalents and Short-Term Investments	1.67B	1.43B	1.42B	1.34B	1.53B
Total Debt	363.00M	67.50M	84.00M	0.00	50.00M
Total Liabilities	3.87B	2.98B	1.80B	838.98M	799.52M
Stockholders Equity	1.54B	1.34B	1.41B	1.38B	1.23B
Cash Flow
Free Cash Flow	-26.85M	203.04M	26.22M	-98.36M	-83.38M
Operating Cash Flow	-14.29M	208.00M	36.26M	-92.02M	-79.68M
Investing Cash Flow	-147.98M	-112.33M	37.68M	-123.88M	-6.84M
Financing Cash Flow	281.24M	-118.58M	-8.99M	29.99M	993.11M

Fuva Brain Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 878.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3927, the sentiment is Neutral. The current price of 878 is below the 20-day moving average (MA) of 912.15, above the 50-day MA of 855.20, and above the 200-day MA of 714.49, indicating a neutral trend. The MACD of -1.30 indicates Positive momentum. The RSI at 45.70 is Neutral, neither overbought nor oversold. The STOCH value of 49.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3927.

Fuva Brain Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4494	76 Outperform	¥3.46B	9.95		―	1.13%	-1.12%
3927	74 Outperform	¥4.61B	42.10		―	42.19%	296.12%
4391	71 Outperform	¥3.85B	11.59		1.50%	9.28%	73.57%
3858	69 Neutral	¥3.88B	42.95		―	18.96%	176.86%
3680	63 Neutral	¥4.82B	―		1.00%	-15.90%	-388.21%
Sector *	50 Neutral	C$2.94B	2.11	-63.12%	2.50%	11.24%	-12.42%
6662	45 Neutral	¥3.85B	―		―	6.87%	4.96%