SHARINGTECHNOLOGY. INC (3989) AI Stock Analysis

• Market Cap: ¥29.25B
• Dividend Yield: 3.31%
• Average Volume (3M): 228.22K
• Price to Earnings (P/E): 20.0
• Beta (1Y): 0.47
• Revenue Growth: 14.35%
• EPS Growth: -6.62%
• Country: JP
• Employees: 173
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): 19.19
• Shares Outstanding: 24,429,800
• 10 Day Avg. Volume: 374,500
• 30 Day Avg. Volume: 228,220
• PEG Ratio: -2.79
• Price to Book (P/B): 4.61
• Price to Sales (P/S): 2.77
• P/FCF Ratio: 14.52
• 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: 77 Outperform
• Price Target: ¥1,354.00 ▲(15.04% Upside)

SHARINGTECHNOLOGY. INC demonstrates strong financial performance and technical momentum, with a reasonable valuation. The stock's bullish momentum is supported by its position above key moving averages and positive technical indicators. While the valuation is fair, the attractive dividend yield adds to its appeal. Minor concerns about net profit margin and free cash flow growth slightly temper the overall score.

Positive Factors

Revenue Growth

The company's robust revenue growth indicates a strong market position and effective business model, supporting long-term sustainability.

Profitability Margins

High profitability margins reflect efficient cost management and strong pricing power, contributing to sustained financial performance.

Balance Sheet Health

A strong balance sheet with low leverage enhances financial stability and flexibility, supporting long-term growth initiatives.

Negative Factors

Net Profit Margin Decline

A decline in net profit margin may indicate rising costs or competitive pressures, potentially impacting future profitability.

Free Cash Flow Growth

Declining free cash flow growth could constrain liquidity and limit the company's ability to invest in growth opportunities.

Return on Equity Decline

A declining ROE suggests reduced efficiency in generating profits from equity, potentially affecting investor confidence and future returns.

SHARINGTECHNOLOGY. INC Business Overview & Revenue Model

Company Description

Sharingtechnology, Inc. operates platforms for solving problems in daily life in Japan. The company operates Life 110, a platform that enables users to search, compare, and inquire about the most suitable specialists for users from approximately 150 service genres related to daily life in order to solve problems that occur in your daily life. It also operates a vertical media site to deliver useful information to users who are interested in a specific theme, which include 250 sites that solve daily problems that occur, such as Pet Funeral 110 and Replacement 110; mochiya, a platform to select and reserve living services by word of mouth; and Information media that disseminate information in easy-to-understand and easy-to-understand expressions in areas, such as finance and job changes. The company was founded in 2006 and is headquartered in Nagoya, Japan.

How the Company Makes Money

SHARINGTECHNOLOGY. INC generates revenue through a combination of service fees, subscription models, and transaction-based commissions. The company earns money by charging service providers a fee to list their offerings on its platforms, as well as taking a commission from each transaction facilitated through its systems. Additionally, it may offer premium subscriptions or advertising opportunities to enhance visibility and attract more customers for service providers. Key partnerships with industry players and technology providers further bolster its revenue streams, contributing to a robust earnings model.

SHARINGTECHNOLOGY. INC Financial Statement Overview

Summary

SHARINGTECHNOLOGY. INC exhibits strong financial health with robust revenue growth, high profitability margins, and a solid balance sheet with low leverage. Minor concerns include a slight decrease in net profit margin and free cash flow growth, but overall financial position remains strong.

Income Statement

SHARINGTECHNOLOGY. INC has demonstrated strong revenue growth with a TTM (Trailing-Twelve-Months) increase of 3.75% and consistent profitability, evidenced by a high gross profit margin of 91.6% and a solid net profit margin of 17.18%. The EBIT and EBITDA margins are also robust at 24.52% and 26.95% respectively, indicating efficient operational management. However, the net profit margin has slightly decreased from the previous year, suggesting some pressure on net earnings.

Balance Sheet

The company's balance sheet shows a healthy debt-to-equity ratio of 0.07, reflecting low leverage and a strong equity position. The return on equity (ROE) is impressive at 34.88%, indicating effective use of equity to generate profits. The equity ratio stands at 69.31%, suggesting a stable financial structure. However, the decrease in ROE from the previous year indicates a slight decline in profitability relative to equity.

Cash Flow

The cash flow statement reveals a slight decline in free cash flow growth at -10.82%, which could be a concern for future liquidity. The operating cash flow to net income ratio is strong at 0.90, indicating good cash generation relative to net income. The free cash flow to net income ratio is nearly 1, suggesting efficient conversion of net income into free cash flow. Despite the decline in free cash flow growth, the company maintains solid cash flow metrics overall.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	8.58B	8.58B	7.50B	6.23B	4.43B	3.53B
Gross Profit	7.85B	7.85B	6.87B	5.82B	4.26B	3.45B
EBITDA	2.27B	2.27B	2.01B	1.48B	715.90M	-685.99M
Net Income	1.41B	1.41B	1.49B	1.36B	472.68M	-1.12B
Balance Sheet
Total Assets	7.44B	7.44B	6.32B	4.13B	2.33B	3.08B
Cash, Cash Equivalents and Short-Term Investments	5.43B	5.43B	4.11B	1.85B	1.09B	1.84B
Total Debt	311.75M	311.75M	448.06M	664.14M	763.56M	2.28B
Total Liabilities	2.24B	2.24B	2.41B	1.94B	1.66B	2.89B
Stockholders Equity	5.16B	5.16B	3.89B	2.18B	669.87M	190.92M
Cash Flow
Free Cash Flow	1.64B	1.64B	2.26B	1.47B	705.38M	351.85M
Operating Cash Flow	1.98B	1.98B	2.27B	1.48B	725.25M	449.08M
Investing Cash Flow	-365.28M	-366.24M	-14.17M	16.21M	5.48M	427.38M
Financing Cash Flow	-293.15M	-293.90M	572.00K	-597.93M	-1.52B	-1.32B

SHARINGTECHNOLOGY. INC Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1177.00
• 50DMA: Positive
• 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:3989, the sentiment is Positive. The current price of 1177 is above the 20-day moving average (MA) of 1138.60, above the 50-day MA of 1025.22, and above the 200-day MA of 1032.73, indicating a bullish trend. The MACD of 50.12 indicates Negative momentum. The RSI at 64.03 is Neutral, neither overbought nor oversold. The STOCH value of 77.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3989.

SHARINGTECHNOLOGY. INC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3989	77 Outperform	¥29.25B	20.03	―	3.31%	14.35%	-6.62%
3901	77 Outperform	¥20.50B	13.30	―	3.14%	9.20%	2.32%
5139	75 Outperform	¥21.62B	23.52	―	―	28.90%	29.06%
2477	73 Outperform	¥20.48B	18.86	―	1.20%	8.09%	8.53%
5243	73 Outperform	¥28.68B	96.57	―	―	22.37%	655.34%
7047	70 Outperform	¥28.27B	12.55	―	0.12%	31.33%	34.22%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%