Akatsuki, Inc. (3932) AI Stock Analysis

• Market Cap: ¥42.52B
• Dividend Yield: 3.73%
• Average Volume (3M): 66.39K
• Price to Earnings (P/E): 25.8
• Beta (1Y): 0.43
• Revenue Growth: -1.33%
• EPS Growth: 5.97%
• Country: JP
• Employees: 539
• Sector: Communication Services
• Sector Strength: 85
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 63.10
• Shares Outstanding: 14,517,100
• 10 Day Avg. Volume: 45,880
• 30 Day Avg. Volume: 66,393
• PEG Ratio: 0.31
• Price to Book (P/B): 3.76
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.07
• 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

• Rating: 64 Neutral
• Price Target: ¥3,186.00 ▲(8.04%Upside)

Akatsuki, Inc.'s overall stock score is driven by strong financial stability and profitability improvements despite revenue declines and cash flow volatility. Technical indicators show bearish trends, and the valuation is relatively high compared to earnings, tempered slightly by a decent dividend yield.

Akatsuki, Inc. Business Overview & Revenue Model

Company Description

Akatsuki, Inc. (3932) is a Japanese entertainment and technology company that operates in various sectors, including mobile gaming, entertainment, and media. The company is known for developing and publishing a range of mobile games that cater to a global audience, as well as engaging in other entertainment-related ventures. Akatsuki aims to create innovative and enjoyable experiences for its users through its diverse portfolio of products and services.

How the Company Makes Money

Akatsuki, Inc. generates revenue primarily through its mobile gaming segment. The company develops and publishes free-to-play mobile games that monetize through in-game purchases, such as virtual goods and currency, which enhance the user experience. In addition to microtransactions, the company may generate income through advertising partnerships within its games, where advertisers pay to reach Akatsuki's user base. Additionally, Akatsuki expands its revenue streams through strategic collaborations and partnerships in the entertainment and media sectors, which may include licensing deals, co-productions, and distribution agreements. These efforts help diversify its income sources beyond mobile gaming.

Akatsuki, Inc. Financial Statement Overview

Summary

Akatsuki, Inc. demonstrates a mixed financial profile with improved profitability margins and a strong balance sheet. However, challenges remain due to declining revenue and cash flow volatility. The company is well-positioned to address these issues due to low leverage and strong equity.

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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
23.30B	23.65B	23.97B	24.34B	26.27B	31.10B
	Gross Profit
12.67B	13.70B	13.49B	14.35B	15.50B	18.94B
	EBIT
2.54B	3.92B	2.68B	5.70B	7.45B	11.29B
	EBITDA
2.54B	4.74B	2.43B	5.85B	7.71B	11.41B
	Net Income Common Stockholders
1.35B	1.65B	1.29B	1.34B	5.19B	6.34B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
34.33B	28.38B	30.96B	34.07B	25.72B	30.99B
	Total Assets
52.10B	54.63B	52.04B	53.16B	46.08B	46.05B
	Total Debt
7.10B	6.10B	7.10B	10.20B	4.21B	5.31B
	Net Debt
-27.23B	-22.28B	-23.86B	-23.87B	-21.52B	-22.68B
	Total Liabilities
12.08B	13.18B	11.83B	14.41B	7.84B	10.28B
	Stockholders Equity
40.00B	41.44B	40.19B	38.73B	38.23B	35.77B
Cash Flow		Free Cash Flow
0.00	3.80B	-325.00M	4.63B	3.90B	9.93B
	Operating Cash Flow
0.00	3.87B	-84.00M	5.05B	4.79B	10.01B
	Investing Cash Flow
0.00	-1.47B	-77.00M	1.19B	-3.01B	-4.77B
	Financing Cash Flow
0.00	-2.14B	-3.23B	4.94B	-4.19B	-3.53B

Akatsuki, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2949.00
• 50DMA: Negative
• 100DMA: Negative
• 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:3932, the sentiment is Negative. The current price of 2949 is below the 20-day moving average (MA) of 2958.90, below the 50-day MA of 3105.94, and above the 200-day MA of 2635.87, indicating a neutral trend. The MACD of -36.12 indicates Negative momentum. The RSI at 44.67 is Neutral, neither overbought nor oversold. The STOCH value of 51.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3932.

Akatsuki, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4393	70 Outperform	¥40.70B	75.45		―	-18.69%	-48.21%
3723	68 Neutral	¥11.54B	21.40		1.78%	-21.03%	-42.64%
3932	64 Neutral	¥42.52B	25.83		3.73%	-1.33%	5.97%
Sector *	61 Neutral	$14.56B	5.82	-4.02%	6.41%	2.72%	-31.67%
3911	52 Neutral	¥12.19B	33.16		―	<0.01%	―
3903	48 Neutral	¥34.79B	17.12		―	-12.61%	-314.92%