Globalway, Inc. (3936) AI Stock Analysis

• Market Cap: ¥7.77B
• Dividend Yield: N/A
• Average Volume (3M): 2.86M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.69
• Revenue Growth: 25.06%
• EPS Growth: -60.67%
• Country: JP
• Employees: 139
• Sector: Technology
• Sector Strength: 91
• Industry: Software - Application
• EPS (TTM): 1.28
• Shares Outstanding: 36,462,400
• 10 Day Avg. Volume: 693,860
• 30 Day Avg. Volume: 2,857,533
• PEG Ratio: -0.67
• Price to Book (P/B): 10.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥261.00
• Price Target Upside: 22.54% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: ¥208.00 ▼(-2.35%Downside)

The overall score reflects Globalway, Inc.'s mixed financial performance, with strong revenue growth overshadowed by profitability and cash flow challenges. Valuation is further weakened by a negative P/E ratio. Technical indicators suggest a bearish outlook, aligning with the financial challenges.

Globalway, Inc. Business Overview & Revenue Model

Company Description

Globalway, Inc. (3936) operates primarily in the information technology sector, focusing on developing comprehensive digital solutions and services. The company offers a wide range of products and services, including software development, IT consulting, and systems integration. Globalway, Inc. caters to various industries, providing tailored solutions to meet specific business needs and improve operational efficiency.

How the Company Makes Money

Globalway, Inc. generates revenue through multiple streams, primarily by offering IT consulting services and custom software development projects. The company earns money by designing and implementing technology solutions for businesses, charging fees for their expertise, project management, and ongoing support. Additionally, Globalway, Inc. may partner with other technology firms to expand its service offerings and reach larger client bases, enhancing its revenue potential.

Globalway, Inc. Financial Statement Overview

Summary

Globalway, Inc. shows positive revenue growth but faces significant profitability and cash flow challenges. The stable gross margin is overshadowed by negative net income and EBIT margins. A solid balance sheet with low leverage is a positive, but declining stockholders' equity and negative free cash flow are concerning.

Income Statement

Globalway, Inc. has shown a positive revenue growth trend, with a year-over-year increase in total revenue. However, the company is struggling with profitability, as evidenced by negative net income and EBIT margins. The gross profit margin remains stable, but the inability to convert revenue into profit is concerning. This reflects challenges in controlling costs and achieving operational efficiency.

Balance Sheet

The balance sheet shows a solid equity base with a relatively low debt-to-equity ratio, indicating lower leverage risk. However, the company has a decreasing trend in stockholders' equity over time, which could signal challenges in sustaining financial stability. The equity ratio is healthy, suggesting that assets are primarily financed by equity rather than debt.

Cash Flow

The cash flow statement reveals significant negative free cash flow, indicating that the company is spending more cash than it generates. The operating cash flow to net income ratio is unfavorable, showing inefficiencies in converting revenue into cash. There is a concerning trend of declining operating cash flows, which could impact the company's liquidity position.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.07B	2.46B	1.75B	1.82B	1.22B
Gross Profit	1.57B	1.24B	782.15M	1.09B	534.39M
EBITDA	-282.47M	-367.38M	-425.68M	523.18M	-332.39M
Net Income	-320.05M	-199.14M	-218.94M	419.21M	-187.68M
Balance Sheet
Total Assets	1.77B	1.95B	1.71B	1.75B	631.65M
Cash, Cash Equivalents and Short-Term Investments	559.01M	917.49M	946.95M	1.31B	207.19M
Total Debt	241.64M	51.10M	63.31M	89.99M	142.33M
Total Liabilities	596.62M	467.10M	378.65M	484.60M	430.67M
Stockholders Equity	716.89M	1.04B	1.12B	1.15B	196.75M
Cash Flow
Free Cash Flow	-542.98M	-520.88M	-688.49M	274.52M	-434.54M
Operating Cash Flow	-542.78M	-505.91M	-635.78M	280.70M	-429.19M
Investing Cash Flow	23.80M	53.06M	-210.97M	301.65M	50.52M
Financing Cash Flow	191.43M	488.70M	476.43M	507.22M	258.73M

Globalway, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 213.00
• 50DMA: Negative
• 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:3936, the sentiment is Positive. The current price of 213 is above the 20-day moving average (MA) of 208.75, below the 50-day MA of 218.42, and above the 200-day MA of 143.35, indicating a neutral trend. The MACD of -2.50 indicates Negative momentum. The RSI at 50.67 is Neutral, neither overbought nor oversold. The STOCH value of 45.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3936.

Globalway, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4492	80 Outperform	¥5.93B	13.91		3.51%	13.66%	0.93%
4440	78 Outperform	¥5.83B	12.49		1.00%	59.60%	353.05%
4060	77 Outperform	¥5.86B	21.84		0.59%	10.58%	29.96%
3841	77 Outperform	¥5.18B	24.66		3.00%	14.90%	-1.40%
Sector *	69 Neutral	¥234.01B	14.95	7.54%	2.58%	9.26%	5.89%
4446	61 Neutral	¥4.89B	49.13		―	51.83%	-62.04%
3936	47 Neutral	¥7.77B	―		―	25.06%	-60.67%