Signpost Corporation (3996) AI Stock Analysis

• Market Cap: ¥4.13B
• Dividend Yield: N/A
• Average Volume (3M): 47.31K
• Price to Earnings (P/E): 20.1
• Beta (1Y): 0.92
• Revenue Growth: -1.23%
• EPS Growth: 2.92%
• Country: JP
• Employees: 171
• Sector: Technology
• Sector Strength: 91
• Industry: Information Technology Services
• EPS (TTM): -1.92
• Shares Outstanding: 12,796,195
• 10 Day Avg. Volume: 31,310
• 30 Day Avg. Volume: 47,310
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• 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: ¥356.00
• Price Target Upside: 10.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: ¥356.00 ▲(10.22% Upside)

Signpost Corporation's strong financial performance is the most significant factor driving its overall score, supported by robust profitability and cash flow metrics. The technical analysis suggests a neutral market momentum, while the valuation indicates a fair market price. The absence of earnings call data and corporate events means these factors do not influence the score.

Signpost Corporation Business Overview & Revenue Model

Company Description

Signpost Corporation (3996) is a technology company that specializes in providing innovative AI-based solutions aimed at enhancing customer engagement and operational efficiency for businesses across various sectors. The company focuses on developing and deploying customer interaction platforms and data analytics tools designed to optimize business processes and improve customer experience.

How the Company Makes Money

Signpost Corporation generates revenue primarily through the sale of its software solutions and subscription-based services. The company's key revenue streams include licensing fees for its AI-powered platforms, subscription fees for ongoing access and support, and consulting services offered to businesses looking to integrate Signpost's solutions into their operations. The company also partners with other technology firms to expand its market reach and enhance its product offerings, contributing to its earnings.

Signpost Corporation Financial Statement Overview

Summary

Signpost Corporation exhibits strong financial health, with robust profitability and cash generation. The company benefits from effective revenue growth and prudent financial leverage, although there is room for operational efficiency improvements and a more flexible capital structure.

Income Statement

Signpost Corporation demonstrated strong revenue growth with a Revenue Growth Rate of 3.20% from the previous year. The Gross Profit Margin improved to 30.90%, and the Net Profit Margin increased significantly to 8.51%, indicating improved profitability. Despite these strengths, the company's EBIT Margin of 6.61% and EBITDA Margin of 6.59% suggest room for operational efficiency improvements.

Balance Sheet

The company maintains a solid financial position with a low Debt-to-Equity Ratio of 0.28, reflecting prudent financial leverage. The Return on Equity rose to 14.27%, showcasing effective equity utilization. However, the Equity Ratio of 62.23% indicates a high reliance on equity financing, potentially limiting capital flexibility.

Cash Flow

Signpost Corporation's cash flow performance is robust, with Free Cash Flow Growth Rate soaring by 780.69%. The Operating Cash Flow to Net Income Ratio is 1.23, indicating healthy cash generation relative to earnings. Additionally, the Free Cash Flow to Net Income Ratio of 1.21 underscores strong cash conversion capabilities.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.02B	2.93B	2.57B	2.12B	2.04B
Gross Profit	934.30M	802.94M	699.05M	588.69M	501.44M
EBITDA	199.31M	81.39M	-119.46M	-279.63M	-723.66M
Net Income	257.17M	128.78M	-132.64M	-291.85M	-786.86M
Balance Sheet
Total Assets	2.90B	2.60B	2.40B	2.30B	2.15B
Cash, Cash Equivalents and Short-Term Investments	1.72B	1.39B	1.33B	1.34B	1.12B
Total Debt	511.63M	484.45M	438.75M	263.05M	380.89M
Total Liabilities	1.09B	1.06B	979.04M	760.93M	840.30M
Stockholders Equity	1.80B	1.55B	1.42B	1.54B	1.31B
Cash Flow
Free Cash Flow	312.34M	35.58M	-185.04M	-460.01M	-647.47M
Operating Cash Flow	316.80M	49.22M	-184.57M	-360.40M	-601.24M
Investing Cash Flow	-16.09M	-26.84M	-1.18M	202.75M	-360.74M
Financing Cash Flow	27.04M	41.95M	169.80M	390.22M	1.04B

Signpost Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 323.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3996, the sentiment is Neutral. The current price of 323 is above the 20-day moving average (MA) of 312.55, above the 50-day MA of 322.32, and below the 200-day MA of 383.73, indicating a neutral trend. The MACD of -0.09 indicates Negative momentum. The RSI at 56.51 is Neutral, neither overbought nor oversold. The STOCH value of 92.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3996.

Signpost Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4386	75 Outperform	¥4.47B	9.66		3.22%	27.51%	68.04%
3996	73 Outperform	¥4.13B	20.07		―	-1.23%	2.92%
7060	63 Neutral	¥5.63B	53.71		1.83%	8.86%	―
3682	63 Neutral	¥4.01B	18.26		3.26%	2.04%	-3.43%
Sector *	61 Neutral	$36.02B	6.70	-7.25%	1.99%	8.63%	-7.76%
2493	52 Neutral	¥4.09B	35.59		0.55%	18.43%	22.38%
4260	50 Neutral	¥4.36B	108.15		―	-4.94%	-135.39%