Fuva Brain Ltd. (3927) AI Stock Analysis

• Market Cap: ¥4.97B
• Dividend Yield: N/A
• Average Volume (3M): 94.81K
• Price to Earnings (P/E): 13.9
• Beta (1Y): 1.02
• Revenue Growth: 43.49%
• EPS Growth: 1613.43%
• Country: JP
• Employees: 186
• Sector: Technology
• Sector Strength: 87
• Industry: Software - Infrastructure
• EPS (TTM): 45.90
• Shares Outstanding: 5,604,200
• 10 Day Avg. Volume: 140,390
• 30 Day Avg. Volume: 94,813
• 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: ¥1,142.00
• Price Target Upside: 22.80% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 79 Outperform
• Price Target: ¥1,142.00 ▲(22.80% Upside)

Fuva Brain Ltd. is well-positioned with strong financial performance and bullish technical indicators. The stock's reasonable valuation supports its growth potential. However, attention to cash flow management and monitoring of overbought technical signals is advised.

Fuva Brain Ltd. Business Overview & Revenue Model

Company Description

Fuva Brain Ltd. (3927) is a technology company specializing in artificial intelligence and machine learning solutions. The company operates primarily in the software development sector, focusing on creating innovative platforms and tools that enhance data processing and analytics for businesses across various industries. Fuva Brain Ltd. offers a range of products, including AI-driven analytics software, data management solutions, and customizable machine learning frameworks designed to optimize operational efficiency and drive decision-making.

How the Company Makes Money

Fuva Brain Ltd. generates revenue through multiple streams, including software licensing fees, subscription-based services, and consulting contracts. The company sells its AI and machine learning software licenses to enterprises, allowing them to integrate advanced analytics into their existing systems. Additionally, Fuva Brain offers subscription services for ongoing access to its platforms, including updates and support. Consulting contracts with businesses seeking to implement AI solutions further contribute to its revenue, as the company provides expertise in customizing its products to fit specific operational needs. Strategic partnerships with other tech firms and industry leaders also enhance the company's market presence and create additional revenue opportunities through collaborative projects.

Fuva Brain Ltd. Financial Statement Overview

Summary

Fuva Brain Ltd. demonstrates strong revenue growth and profitability improvements, supported by a robust balance sheet with low leverage. However, cash flow management requires attention to ensure sustainable financial health. Overall, the company is on a positive trajectory but should focus on enhancing operational efficiency and cash flow stability.

Income Statement

Fuva Brain Ltd. has shown impressive revenue growth over the past years, with a significant increase from 2024 to 2025. The gross profit margin is strong, indicating efficient cost management. The net profit margin has improved substantially, reflecting enhanced profitability. However, EBIT and EBITDA margins suggest room for improvement in operational efficiency.

Balance Sheet

The company maintains a solid equity position with a favorable debt-to-equity ratio, indicating low leverage. The equity ratio is healthy, reflecting a strong balance sheet. However, the return on equity, while positive, could be improved to enhance shareholder value.

Cash Flow

Cash flow management appears mixed. While the company has experienced fluctuations in free cash flow, the operating cash flow to net income ratio indicates potential challenges in converting income into cash. The recent decline in free cash flow growth rate is a concern, suggesting the need for more consistent cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.37B	4.37B	3.08B	2.34B	1.68B	1.08B
Gross Profit	1.30B	1.30B	1.01B	901.63M	745.99M	572.27M
EBITDA	226.11M	226.11M	68.20M	80.01M	-25.17M	-151.68M
Net Income	108.62M	109.46M	27.01M	26.79M	-29.42M	-174.21M
Balance Sheet
Total Assets	5.60B	5.60B	4.35B	3.23B	2.23B	2.03B
Cash, Cash Equivalents and Short-Term Investments	1.67B	1.67B	1.43B	1.42B	1.34B	1.53B
Total Debt	363.00M	363.00M	67.50M	84.00M	0.00	50.00M
Total Liabilities	3.87B	3.87B	2.98B	1.80B	838.98M	799.52M
Stockholders Equity	1.54B	1.54B	1.34B	1.41B	1.38B	1.23B
Cash Flow
Free Cash Flow	0.00	-26.85M	203.04M	26.22M	-98.36M	-83.38M
Operating Cash Flow	0.00	-14.29M	208.00M	36.26M	-92.02M	-79.68M
Investing Cash Flow	0.00	-147.98M	-112.33M	37.68M	-123.88M	-6.84M
Financing Cash Flow	0.00	281.24M	-118.58M	-8.99M	29.99M	993.11M

Fuva Brain Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 930.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• 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 Positive. The current price of 930 is above the 20-day moving average (MA) of 906.30, above the 50-day MA of 898.42, and above the 200-day MA of 748.38, indicating a bullish trend. The MACD of 15.47 indicates Negative momentum. The RSI at 54.38 is Neutral, neither overbought nor oversold. The STOCH value of 43.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3927.

Fuva Brain Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3927	79 Outperform	¥4.97B	13.86		―	43.49%	1613.43%
4391	71 Outperform	¥3.82B	13.93		1.51%	10.09%	8.89%
4494	68 Neutral	¥3.64B	10.49		―	1.13%	-1.12%
3680	63 Neutral	¥4.83B	―		0.97%	-22.88%	-441.25%
Sector *	61 Neutral	$35.48B	7.63	-10.11%	1.88%	8.73%	-9.23%
3858	58 Neutral	¥3.72B	86.45		―	12.98%	―
6662	45 Neutral	¥3.71B	―		―	21.60%	-43.31%