Mynet, Inc. (3928) AI Stock Analysis

• Market Cap: ¥2.48B
• Dividend Yield: N/A
• Average Volume (3M): 24.17K
• Price to Earnings (P/E): 19.6
• Beta (1Y): 1.17
• Revenue Growth: -10.80%
• EPS Growth: -64.63%
• Country: JP
• Employees: 260
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 4.80
• Shares Outstanding: 8,710,334
• 10 Day Avg. Volume: 20,020
• 30 Day Avg. Volume: 24,170
• PEG Ratio: 0.16
• Price to Book (P/B): 1.99
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 21.97
• 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: 65 Neutral
• Price Target: ¥330.00 ▲(17.44% Upside)

Mynet, Inc. shows strong financial performance with effective cost management and stable leverage. Technical indicators suggest short-term bullish momentum, but overbought conditions could lead to a pullback. The stock is reasonably valued, though the lack of a dividend yield may deter income-focused investors.

Positive Factors

Diversified revenue model

Mynet's multi-channel monetization (in-app purchases, ads, partnerships, subscriptions) reduces reliance on any single title or ad cycle. That diversification supports steadier revenue and allows resource allocation across product development, user acquisition, and long-term retention investments.

Improving profitability and cost control

Reported recovery in profitability driven by effective cost management indicates management can extract more margin from existing revenue bases. Sustained cost discipline improves resilience to revenue volatility and funds reinvestment in product development and marketing over the medium term.

Balanced leverage and stable balance sheet

A reasonable debt-to-equity profile and stable equity ratios reduce refinancing risk and provide financial flexibility for content investment or M&A. This balance supports steady operations through game cycles and allows strategic spending without compromising solvency.

Negative Factors

Declining revenue trend

A roughly 11% recent revenue decline signals challenges in user engagement or monetization that can erode scale economics. For a games/social platform, sustaining growth is crucial to amortize content costs; ongoing revenue erosion can pressure margins and limit reinvestment capacity.

Margin and earnings volatility

Volatile operating margins and earnings make future profitability unpredictable, complicating planning for content refreshes and marketing. Margin swings increase the risk that short-term hits or failed titles materially impact annual results and capital allocation decisions.

Inconsistent free cash flow

While operating cash generation shows strength, inconsistent free cash flow limits the firm's ability to consistently fund new game development or large user-acquisition campaigns from internal resources, possibly forcing reliance on external financing during investment cycles.

Mynet, Inc. Business Overview & Revenue Model

Company Description

Mynet Inc. provides game services in Japan. It develops various games; and provides sports DX, marketing, and AI/data services. The company was incorporated in 2006 and is based in Tokyo, Japan.

How the Company Makes Money

Mynet, Inc. generates revenue through multiple streams, primarily from in-app purchases within its mobile games and applications, which allow users to enhance their gaming experience and access exclusive content. Additionally, the company earns money through advertising revenues, partnering with brands to display ads within its platforms. Mynet also explores strategic partnerships and collaborations with other tech firms and advertisers to expand its reach and monetization capabilities. Furthermore, subscription services for premium content or features contribute to its overall income, creating a diverse revenue model that capitalizes on the growing demand for mobile entertainment.

Mynet, Inc. Financial Statement Overview

Summary

Mynet, Inc. demonstrates a strong recovery in profitability with effective cost control. The balance sheet is stable, with balanced leverage and improving equity returns. Cash flow variability is a concern but operational cash flow remains robust.

Income Statement

Mynet, Inc. has shown a mixed revenue trend with a recent uptick in growth. The gross profit margin has been fairly stable, indicating effective cost management. The net profit margin improved significantly, reflecting better profitability. However, historical volatility in EBIT and EBITDA margins suggests some operational challenges.

Balance Sheet

The balance sheet reflects a reasonable debt-to-equity ratio, highlighting balanced leverage. The return on equity has improved, indicating efficient use of shareholder funds. The equity ratio declined slightly, but remains within acceptable limits, suggesting stability.

Cash Flow

Operating cash flow has seen growth, but free cash flow remains inconsistent. The positive operating cash flow to net income ratio underlines strong operational cash generation. However, variability in free cash flow growth could signal potential liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.11B	8.85B	8.72B	10.54B	10.57B	11.53B
Gross Profit	3.44B	3.55B	3.33B	3.70B	4.29B	5.13B
EBITDA	248.35M	490.00M	219.49M	-1.15B	693.98M	1.23B
Net Income	125.91M	245.63M	143.00M	-1.63B	229.27M	1.13B
Balance Sheet
Total Assets	4.69B	4.84B	3.74B	4.36B	5.81B	5.05B
Cash, Cash Equivalents and Short-Term Investments	2.45B	2.39B	1.53B	1.98B	3.50B	2.76B
Total Debt	2.13B	2.39B	1.47B	2.09B	1.90B	1.49B
Total Liabilities	2.99B	3.32B	2.49B	3.36B	3.00B	2.53B
Stockholders Equity	1.57B	1.39B	1.15B	995.86M	2.82B	2.52B
Cash Flow
Free Cash Flow	0.00	126.40M	195.47M	-277.14M	499.40M	1.85B
Operating Cash Flow	0.00	329.00M	249.00M	-148.63M	527.96M	1.85B
Investing Cash Flow	0.00	-190.06M	-247.97M	-1.36B	-14.97M	-178.71M
Financing Cash Flow	0.00	720.00M	-415.00M	-26.28M	210.10M	-1.11B

Mynet, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 281.00
• 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:3928, the sentiment is Neutral. The current price of 281 is below the 20-day moving average (MA) of 294.30, above the 50-day MA of 275.80, and above the 200-day MA of 252.87, indicating a neutral trend. The MACD of 1.46 indicates Positive momentum. The RSI at 48.67 is Neutral, neither overbought nor oversold. The STOCH value of 35.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3928.

Mynet, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3928	65 Neutral	¥2.48B	19.58	―	―	-10.80%	-64.63%
3907	64 Neutral	¥1.94B	9.41	―	1.36%	2.33%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
3639	47 Neutral	¥1.81B	57.89	―	―	-17.76%	-15.23%
3672	45 Neutral	¥3.73B	-3.41	―	―	-17.60%	37.30%
3667	42 Neutral	¥2.53B	-1.75	―	―	-22.21%	32.20%
3664	39 Underperform	¥3.05B	-4.51	―	―	-9.66%	-55.87%