Sun Asterisk, Inc. (4053) AI Stock Analysis

• Market Cap: ¥18.46B
• Dividend Yield: N/A
• Average Volume (3M): 107.45K
• Price to Earnings (P/E): 21.7
• Beta (1Y): 0.63
• Revenue Growth: 6.24%
• EPS Growth: -46.11%
• Country: JP
• Employees: 2,048
• Sector: Technology
• Sector Strength: 89
• Industry: Information Technology Services
• EPS (TTM): 6.10
• Shares Outstanding: 38,458,820
• 10 Day Avg. Volume: 146,170
• 30 Day Avg. Volume: 107,446
• PEG Ratio: -1.59
• Price to Book (P/B): 6.29
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 77.30
• 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: 69 Neutral
• Price Target: ¥554.00 ▲(15.42%Upside)

The overall stock score of 69 reflects a strong financial performance, which is the most significant factor. Technical analysis suggests bearish trends, and the stock is trading at a relatively high valuation without dividend support. The lack of significant earnings call data and corporate events also plays a role in the final score.

Sun Asterisk, Inc. Business Overview & Revenue Model

Company Description

Sun Asterisk, Inc. is a digital creative studio that operates primarily in the technology and digital transformation sectors. The company specializes in providing a range of services including software development, IT consulting, and digital marketing solutions. With a focus on innovation and creativity, Sun Asterisk collaborates with clients to develop customized digital products and services that enhance business processes and drive digital transformation.

How the Company Makes Money

Sun Asterisk, Inc. generates revenue through multiple streams. The primary source of income is its software development services, where it collaborates with clients to create bespoke software solutions tailored to their business needs. Additionally, the company offers IT consulting services, advising businesses on digital transformation strategies and implementation. Another significant revenue stream comes from digital marketing solutions, where Sun Asterisk helps clients enhance their online presence and optimize their digital marketing strategies. The company often partners with other technology firms and leverages these relationships to expand its service offerings and reach new markets, contributing to its overall earnings.

Sun Asterisk, Inc. Financial Statement Overview

Summary

Sun Asterisk, Inc. displays strong financial performance with consistent revenue growth and profitability. The balance sheet shows low leverage and solid equity, supporting long-term sustainability. While cash flow remains healthy, recent dips in Operating Cash Flow and EBIT Margin indicate areas for improvement.

Income Statement

Sun Asterisk, Inc. has demonstrated impressive revenue growth with a consistent upward trend from 2019 to 2024. The Gross Profit Margin and Net Profit Margin are strong, reflecting efficient cost control and profitability. However, a decline in EBIT Margin in 2024 warrants monitoring.

Balance Sheet

The company's balance sheet exhibits strong equity and a low Debt-to-Equity Ratio, highlighting financial stability. The Equity Ratio is robust, indicating a healthy capital structure. However, a slight increase in total debt in 2024 needs attention.

Cash Flow

Operating and Free Cash Flows have been solid, though there was a decline in Operating Cash Flow in 2024. The Free Cash Flow to Net Income ratio remains strong, supporting the company's ability to generate cash from operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.57B	12.52B	10.74B	8.03B	5.37B
Gross Profit	6.97B	6.54B	5.08B	4.06B	2.85B
EBITDA	1.65B	2.31B	998.00M	1.64B	998.19M
Net Income	1.02B	1.57B	823.00M	1.30B	804.39M
Balance Sheet
Total Assets	13.98B	11.86B	9.68B	8.40B	6.22B
Cash, Cash Equivalents and Short-Term Investments	9.79B	7.95B	6.26B	5.73B	5.07B
Total Debt	1.25B	44.00M	279.00M	359.35M	362.46M
Total Liabilities	3.68B	2.36B	1.94B	1.81B	1.20B
Stockholders Equity	10.29B	9.50B	7.74B	6.59B	5.02B
Cash Flow
Free Cash Flow	934.00M	1.79B	630.00M	1.14B	829.37M
Operating Cash Flow	1.01B	1.88B	807.00M	1.19B	862.84M
Investing Cash Flow	-260.00M	-326.00M	-1.29B	-1.39B	-981.60M
Financing Cash Flow	720.00M	-224.00M	-62.00M	-180.73M	1.98B

Sun Asterisk, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 480.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4053, the sentiment is Negative. The current price of 480 is below the 20-day moving average (MA) of 501.45, below the 50-day MA of 522.26, and below the 200-day MA of 581.14, indicating a bearish trend. The MACD of -9.69 indicates Positive momentum. The RSI at 35.12 is Neutral, neither overbought nor oversold. The STOCH value of 1.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4053.

Sun Asterisk, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3925	82 Outperform	¥21.14B	11.81		3.85%	12.15%	23.91%
2349	77 Outperform	¥25.92B	10.77		1.20%	11.94%	14.10%
4053	69 Neutral	¥18.46B	21.73		―	6.24%	-46.11%
3676	67 Neutral	¥20.79B	34.02		2.19%	2.47%	255.70%
3837	67 Neutral	¥20.77B	17.75		1.50%	11.03%	14.63%
3788	65 Neutral	¥23.35B	32.29		1.80%	7.60%	-6.99%
Sector *	57 Neutral	$935.42M	14.77	-16.47%	9.74%	10.76%	-36.64%

Sun Asterisk, Inc. Corporate Events

Sun* Inc. Acquires Global Gear to Expand Casual Gaming Portfolio

Sun* Inc. has announced its acquisition of Global Gear Co. Ltd., a company specializing in the development of casual smartphone games. This strategic move aims to enhance Sun* Inc.’s presence in the casual gaming market by leveraging synergies in game production and human resources, thereby accelerating growth in its entertainment sector.

Sun* Inc. Forms Strategic Alliance with KLab Inc. to Boost Growth

Sun* Inc. has entered into a business alliance with KLab Inc., aiming to leverage synergies between their respective growth strategies. This partnership is expected to enhance business development and maximize corporate value by combining resources and expertise in digital creative and mobile online games, positioning both companies for further growth.

Sun Asterisk Acquires Global Gear to Boost Gaming Segment

Sun Asterisk, Inc. has announced the acquisition of Global Gear Co., Ltd., a company specializing in smartphone game applications, from KLab Inc. for JPY 1.1 billion. This strategic move aims to strengthen Sun Asterisk’s position in the casual-gaming segment and establish a new revenue base in the entertainment sector. The acquisition is expected to create synergies through the mutual utilization of human resources, sharing of game development expertise, and leveraging industry knowledge.

Sun* Inc. Announces Correction to Q1 Financial Results

Sun* Inc. announced a correction to its previously released consolidated financial results for the first quarter ending March 31, 2025. The correction addresses calculation errors but does not impact the financial statements, ensuring stakeholders that the overall financial health remains unaffected.

Sun Asterisk, Inc. Exceeds Q1 Forecasts Amid Strategic Investments

Sun Asterisk, Inc. reported its first quarter financial results for FY2025, showing sales and profits exceeding initial forecasts despite a decrease in gross profit due to the use of external partners. The company is focusing on managing revenue and optimizing costs while continuing to invest in AI and incubation fields to drive growth. The continuation of certain projects into the third quarter may impact gross profit margins, but the company remains committed to recruiting key personnel and streamlining operations.

Sun* Inc. Reports Q1 2025 Financial Results with Mixed Performance

Sun* Inc. reported its consolidated financial results for the three months ending March 31, 2025, showing a slight increase in net sales by 3.6% compared to the previous year. However, the company experienced significant declines in operating income, ordinary income, and net income attributable to shareholders, indicating challenges in maintaining profitability. The equity ratio decreased slightly, and no cash dividends were declared. The financial forecast for the fiscal year ending December 31, 2025, predicts growth in net sales and income, suggesting an optimistic outlook despite current setbacks.

Sun* Inc. Achieves Compliance with Prime Market Listing Standards

Sun* Inc. has successfully met the Tokyo Stock Exchange’s Prime Market listing maintenance standards as of March 31, 2025, after previously failing to meet the tradable market value criterion. The company has implemented various initiatives to improve business performance, enhance shareholder returns, and strengthen investor relations, resulting in a tradable market value surpassing 10 billion yen. These efforts have solidified its position as a Prime Market-listed company, with a focus on sustainable growth and corporate value enhancement.