Akatsuki, Inc. (3932) AI Stock Analysis

• Market Cap: ¥38.22B
• Dividend Yield: 4.09%
• Average Volume (3M): 61.17K
• Price to Earnings (P/E): 50.9
• Beta (1Y): 0.38
• Revenue Growth: -15.30%
• EPS Growth: 39.61%
• Country: JP
• Employees: 539
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 209.50
• Shares Outstanding: 14,519,300
• 10 Day Avg. Volume: 39,880
• 30 Day Avg. Volume: 61,166
• PEG Ratio: 2.76
• Price to Book (P/B): 1.08
• Price to Sales (P/S): 1.90
• P/FCF Ratio: 13.63
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: ¥2,670.00 ▼(-0.63% Downside)

Akatsuki, Inc.'s overall stock score is driven by its strong financial health and attractive dividend yield. However, the bearish technical indicators and revenue challenges weigh on the score. The company needs to stabilize revenues and improve cash flow to enhance its market position.

Positive Factors

Balance Sheet Health

A low debt-to-equity ratio indicates financial stability and low leverage, providing Akatsuki with flexibility to invest in growth opportunities and withstand economic downturns.

Profitability Margins

Improved profitability margins suggest better cost management and pricing strategies, enhancing the company's ability to generate profits from its core operations over the long term.

Cash Flow Improvement

Turning free cash flow positive indicates improved financial health and operational efficiency, providing Akatsuki with the resources to reinvest in its business and reduce reliance on external financing.

Negative Factors

Revenue Contraction

A declining revenue trend suggests challenges in maintaining market share and growth, potentially impacting long-term sustainability unless reversed through strategic initiatives.

Cash Flow Volatility

Inconsistent cash flow ratios highlight potential operational inefficiencies or revenue recognition issues, which could affect the company's ability to fund operations and growth consistently.

Earnings Decline

A significant decline in EPS growth reflects potential profitability challenges, possibly due to increased costs or reduced sales, which could hinder investor confidence and future earnings potential.

Akatsuki, Inc. Business Overview & Revenue Model

Company Description

Akatsuki Inc. engages in the mobile game and live experience businesses primarily in Japan. It develops mobiles games. The company also operates Asobuild, an entertainment facility service site; Pong!Pong!, a ping pong table activity and projection mapping service site; Sotoasobi, a service site to provide reservations for outdoor and leisure activities; and Daigomi, a Cheese restaurants. In addition, it provides Crayon, an app development support services to artists, creators, and athletes; a media franchise project of both music and audio drama CDs on themes of Jazz; and operates Kumarba Channel, an education and entertainment channel distributed through YouTube platform. The company was founded in 2010 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Akatsuki, Inc. generates revenue primarily through its mobile gaming segment, which includes in-app purchases, advertising, and licensing deals. The company develops and publishes free-to-play games that monetize through the sale of virtual items and premium features. Additionally, Akatsuki partners with entertainment companies to create games based on popular intellectual properties, leveraging these partnerships to reach a wider audience. The company also earns revenue from collaborations in the entertainment and media sector, providing digital content and services that complement its gaming business.

Akatsuki, Inc. Financial Statement Overview

Summary

Akatsuki, Inc. shows a mixed financial profile with improved profitability margins and a strong balance sheet, but faces challenges with revenue contraction and cash flow volatility. The low debt burden and solid equity position provide a stable foundation.

Income Statement

Akatsuki, Inc. has demonstrated a declining revenue trend over the past few years, with the most recent annual report showing a total revenue of ¥23.65 billion, down from ¥31.10 billion in 2021. Gross profit margin improved slightly to 57.9% in 2025 from 56.3% in 2024, and the net profit margin increased to 7.0% from 5.4%. Despite these improvements, EBIT and EBITDA margins have shown volatility, indicating operational challenges.

Balance Sheet

The company maintains a strong balance sheet with a debt-to-equity ratio of 0.15, reflecting low leverage. Equity ratio stands at 75.9%, showcasing a solid equity base. Return on equity has been stable, although it slightly decreased to 4.0% in 2025. Overall, Akatsuki, Inc. exhibits financial stability, with ample cash reserves and manageable debt levels.

Cash Flow

Akatsuki, Inc. experienced significant improvement in cash flow, with free cash flow turning positive in 2025 at ¥3.80 billion, up from negative free cash flow in the previous year. However, the operating cash flow to net income ratio indicates some inconsistency, and the free cash flow to net income ratio shows potential for improvement. While the cash flow situation has improved, it remains a point of focus for future stability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	21.83B	23.65B	23.97B	24.34B	26.27B	31.10B
Gross Profit	12.37B	13.70B	13.49B	14.35B	15.50B	18.94B
EBITDA	3.47B	4.74B	2.43B	3.99B	7.46B	9.35B
Net Income	750.00M	1.65B	1.29B	1.34B	5.19B	6.34B
Balance Sheet
Total Assets	50.98B	54.63B	52.04B	53.16B	46.08B	46.06B
Cash, Cash Equivalents and Short-Term Investments	28.31B	33.30B	30.96B	34.07B	25.72B	30.99B
Total Debt	6.10B	6.10B	7.10B	10.20B	4.21B	5.31B
Total Liabilities	10.56B	13.18B	11.83B	14.40B	7.84B	10.28B
Stockholders Equity	40.40B	41.44B	40.19B	38.75B	38.24B	35.77B
Cash Flow
Free Cash Flow	0.00	3.29B	-325.00M	4.99B	4.35B	9.93B
Operating Cash Flow	0.00	3.64B	-84.00M	5.05B	4.79B	10.01B
Investing Cash Flow	0.00	-1.24B	-77.00M	1.19B	-3.01B	-4.77B
Financing Cash Flow	0.00	-2.14B	-3.24B	4.92B	-4.19B	-3.53B

Akatsuki, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2687.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3932, the sentiment is Positive. The current price of 2687 is above the 20-day moving average (MA) of 2637.35, above the 50-day MA of 2671.14, and below the 200-day MA of 2885.18, indicating a neutral trend. The MACD of -5.36 indicates Negative momentum. The RSI at 54.27 is Neutral, neither overbought nor oversold. The STOCH value of 78.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3932.

Akatsuki, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3723	68 Neutral	¥15.20B	23.09	―	1.33%	3.50%	6.04%
4393	62 Neutral	¥29.30B	33.51	―	―	-9.17%	51.84%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
3932	60 Neutral	¥38.22B	50.95	―	4.09%	-15.30%	39.61%
3911	48 Neutral	¥10.23B	5.66	―	―	11.15%	―
3903	46 Neutral	¥21.91B	6.25	―	―	-39.08%	―