SocialWire Co., Ltd. (3929) AI Stock Analysis

• Market Cap: ¥3.06B
• Dividend Yield: N/A
• Average Volume (3M): 144.54K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.89
• Revenue Growth: -10.99%
• EPS Growth: N/A
• Country: JP
• Employees: 170
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 1.78
• Shares Outstanding: 11,844,800
• 10 Day Avg. Volume: 15,600
• 30 Day Avg. Volume: 144,543
• PEG Ratio: -0.08
• Price to Book (P/B): 1.52
• Price to Sales (P/S): 0.81
• P/FCF Ratio: 15.74
• 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: ¥280.00
• Price Target Upside: 7.28% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 65 Neutral
• Price Target: ¥280.00 ▲(7.28% Upside)

SocialWire Co., Ltd. demonstrates a solid financial recovery and stability, which is the most significant factor in its overall score. The technical analysis suggests short-term bearish momentum, but the oversold condition could present a buying opportunity. The valuation is attractive with a reasonable P/E ratio, supporting a positive outlook despite the lack of dividend yield.

SocialWire Co., Ltd. Business Overview & Revenue Model

Company Description

SocialWire Co., Ltd. is a Japan-based company primarily engaged in the provision of social media and digital marketing services. The company operates in sectors such as media monitoring, press release distribution, and influencer marketing. Its core products and services include social media analysis, online advertising solutions, and content distribution platforms. SocialWire aims to help businesses enhance their online presence and improve their digital marketing strategies.

How the Company Makes Money

SocialWire Co., Ltd. generates revenue through a variety of digital marketing services catered to businesses seeking to improve their online visibility and engagement. The company earns money by providing media monitoring services, which involve tracking and analyzing social media and online content to provide insights to clients. Additionally, SocialWire offers press release distribution services, enabling companies to disseminate their news and updates across a wide network. Another key revenue stream is influencer marketing, where SocialWire connects brands with social media influencers to promote products and services. The company may also engage in partnerships with other media or technology firms to expand its service offerings and enhance its revenue potential.

SocialWire Co., Ltd. Financial Statement Overview

Summary

SocialWire Co., Ltd. shows signs of financial recovery with improved profitability margins and a robust balance sheet. The income statement reveals a rebound in EBIT and EBITDA margins, though revenue growth is a challenge. The balance sheet is stable with low leverage and improved return metrics, indicating a strong financial position. Cash flow analysis highlights effective cash generation, supporting operational needs and future investments.

Income Statement

SocialWire Co., Ltd. has experienced mixed revenue trends with a significant decline in the latest period, showing a revenue growth rate of -20.87% from 2024 to 2025. Gross profit margin remains strong at 63.46% in 2025, indicating efficient production processes, but the net profit margin has improved to 5.85% from negative values in prior years, reflecting significant volatility in net income. The company has shown improvements in EBIT and EBITDA margins, with EBIT margin at 4.72% and EBITDA margin at 11.80% in 2025, up from negative figures in 2024, indicating a recovery in operational efficiency.

Balance Sheet

The company's balance sheet indicates a stable financial structure with a debt-to-equity ratio at 0.13, showing low leverage and increased financial flexibility. Return on equity has improved to 11.02% in 2025 from negative values, displaying enhanced profitability relative to shareholder equity. The equity ratio of 61.17% suggests a solid equity base relative to total assets, reinforcing the company's financial stability and potential for long-term growth.

Cash Flow

SocialWire Co., Ltd. has demonstrated strong cash flow management with a free cash flow to net income ratio of 0.88, indicating efficient conversion of net income into free cash flow. The operating cash flow to net income ratio is 0.93, showing that the company generates substantial operating cash relative to net income. However, the free cash flow growth rate is not applicable due to previous negative values, but the positive free cash flow in 2025 marks a notable recovery.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.89B	2.91B	3.67B	4.77B	4.63B	4.57B
Gross Profit	1.82B	1.84B	1.90B	1.96B	2.16B	2.06B
EBITDA	304.59M	342.92M	131.27M	-274.89M	523.34M	380.22M
Net Income	195.58M	170.04M	-146.42M	-876.87M	28.67M	-143.67M
Balance Sheet
Total Assets	2.53B	2.52B	1.34B	4.72B	4.98B	5.17B
Cash, Cash Equivalents and Short-Term Investments	1.45B	1.41B	354.31M	1.01B	898.72M	942.91M
Total Debt	233.42M	194.20M	454.69M	2.41B	1.98B	2.23B
Total Liabilities	926.79M	945.86M	1.25B	4.51B	3.91B	4.09B
Stockholders Equity	1.57B	1.54B	78.42M	198.83M	1.05B	1.07B
Cash Flow
Free Cash Flow	0.00	148.93M	-51.94M	-266.32M	296.13M	280.64M
Operating Cash Flow	0.00	158.66M	126.30M	100.03M	557.51M	659.13M
Investing Cash Flow	0.00	-188.56M	1.18B	-414.10M	-260.97M	-817.23M
Financing Cash Flow	0.00	1.10B	-1.98B	413.85M	-353.30M	164.00M

SocialWire Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 261.00
• 50DMA: Negative
• 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:3929, the sentiment is Negative. The current price of 261 is below the 20-day moving average (MA) of 268.50, below the 50-day MA of 264.22, and above the 200-day MA of 243.34, indicating a neutral trend. The MACD of -0.38 indicates Positive momentum. The RSI at 46.01 is Neutral, neither overbought nor oversold. The STOCH value of 26.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3929.

SocialWire Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4308	78 Outperform	¥10.02B	18.31	―	3.52%	5.98%	87.95%
5125	66 Neutral	¥3.24B	13.44	―	―	-2.75%	-2.15%
3929	65 Neutral	¥3.06B	13.35	―	―	-10.99%	―
4347	62 Neutral	¥12.79B	33.96	―	2.30%	2.98%	-22.92%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
4650	53 Neutral	¥2.61B	657.28	―	―	17.90%	-96.58%
3686	43 Neutral	¥5.60B	―	―	―	1.74%	51.02%