Toyokumo, Inc. (4058) AI Stock Analysis

• Market Cap: ¥31.33B
• Dividend Yield: 0.52%
• Average Volume (3M): 47.26K
• Price to Earnings (P/E): 28.0
• Beta (1Y): 0.85
• Revenue Growth: 50.92%
• EPS Growth: 46.61%
• Country: JP
• Employees: 73
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 26.29
• Shares Outstanding: 11,008,000
• 10 Day Avg. Volume: 80,240
• 30 Day Avg. Volume: 47,256
• PEG Ratio: 0.95
• Price to Book (P/B): 7.72
• Price to Sales (P/S): 7.47
• P/FCF Ratio: 17.66
• 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: 72 Outperform
• Price Target: ¥3,056.00 ▲(9.89% Upside)

The score is driven primarily by very strong financial performance (high and expanding profitability, conservative zero-debt balance sheet, and generally supportive cash generation). Offsetting this, technical indicators are mixed with weaker intermediate-term momentum, and valuation is not cheap given a ~27 P/E and low dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth reflects strong market demand and effective business strategy, enhancing long-term competitive positioning.

Margin Expansion

Steady margin expansion indicates operational efficiency and pricing power, supporting sustainable profitability.

Debt-Free Balance Sheet

A zero-debt balance sheet reduces financial risk and provides flexibility for future investments and growth opportunities.

Negative Factors

Operating Cash Flow Concerns

Lower operating cash flow relative to net income suggests potential working capital inefficiencies, which could impact liquidity.

Growth Deceleration

Slowing growth rates may indicate market saturation or increased competition, potentially affecting future revenue expansion.

Cash Flow Volatility

Volatile cash flow can complicate financial planning and may signal underlying business unpredictability, affecting investor confidence.

Toyokumo, Inc. Business Overview & Revenue Model

Company Description

Toyokumo, Inc., a service company, engages in the development and provision of cloud services for businesses. It offers safety confirmation service 2, an automatic safety confirmation system; Form Bridge, a service to create forms to be published on the web; Print Creator, a service that uses the data registered in the kintone application to print out forms; kViewer, a linked service for publishing; kMailer, an email sending system that works with kintone; Data collect, a kintone collaboration service; kBackup, a service for data preservation; and Timestamp, a service to save electronic books. The company was founded in 2010 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Toyokumo, Inc. generates revenue through the sale of its cloud-based software services. The company offers subscription-based models where clients pay recurring fees for access to its software applications. These applications often include business management tools, productivity enhancers, and other IT solutions tailored to various industry requirements. Key revenue streams include subscription fees, service fees for customization and integration, and support and maintenance charges. The company may also engage in strategic partnerships with other technology firms to expand its service offerings and reach new markets, further contributing to its earnings.

Toyokumo, Inc. Financial Statement Overview

Summary

Toyokumo, Inc. exhibits strong financial health across all verticals. The income statement reveals impressive growth and profitability, the balance sheet showcases stability with zero debt and strong equity, and the cash flow statement underscores robust cash generation and liquidity. The company is well-positioned for future growth with minimal financial risks.

Income Statement

Toyokumo, Inc. demonstrates strong financial performance with substantial revenue growth, reflected by a significant increase in total revenue from ¥2,434 million to ¥3,146 million, marking a 29.2% growth year-over-year. The gross profit margin is exceptionally high at 97.2%, indicating efficient cost management and pricing strategies. Net profit margin stands robust at 26.7%, showcasing profitability. EBIT and EBITDA margins are also strong at 37.0% and 37.5% respectively, highlighting operational efficiency.

Balance Sheet

The company's balance sheet is extremely robust with no debt, resulting in a debt-to-equity ratio of 0. The equity ratio is high at 65.2%, indicating strong financial stability and low leverage. Return on equity is impressive at 27.6%, reflecting effective use of equity to generate profits. The cash position is strong, providing ample liquidity to support operations and growth.

Cash Flow

Cash flow performance is solid, with a significant operating cash flow to net income ratio of 1.59, indicating high-quality earnings. Free cash flow to net income ratio is also high at 1.58, showing strong cash generation. Free cash flow growth rate is substantial at 73.2%, reflecting improved operational cash management and investment efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.94B	3.15B	2.43B	1.94B	1.58B	1.10B
Gross Profit	3.69B	3.06B	2.38B	1.88B	1.40B	948.18M
EBITDA	1.59B	1.18B	891.13M	656.75M	441.63M	253.03M
Net Income	1.02B	841.00M	631.45M	427.04M	286.81M	150.24M
Balance Sheet
Total Assets	5.80B	4.66B	3.35B	2.61B	2.21B	1.72B
Cash, Cash Equivalents and Short-Term Investments	3.63B	4.20B	2.94B	2.30B	1.90B	1.62B
Total Debt	82.00M	0.00	0.00	0.00	0.00	0.00
Total Liabilities	2.26B	1.61B	1.11B	975.36M	746.91M	552.56M
Stockholders Equity	3.52B	3.04B	2.24B	1.63B	1.46B	1.17B
Cash Flow
Free Cash Flow	0.00	1.33B	768.50M	645.48M	367.32M	375.45M
Operating Cash Flow	0.00	1.34B	770.91M	650.14M	443.37M	378.23M
Investing Cash Flow	0.00	-70.00M	-87.41M	-4.66M	-162.46M	-2.77M
Financing Cash Flow	0.00	-107.00M	-40.89M	-250.82M	469.00K	633.09M

Toyokumo, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2781.00
• 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:4058, the sentiment is Positive. The current price of 2781 is above the 20-day moving average (MA) of 2705.40, above the 50-day MA of 2747.36, and below the 200-day MA of 2883.69, indicating a neutral trend. The MACD of 21.53 indicates Negative momentum. The RSI at 60.47 is Neutral, neither overbought nor oversold. The STOCH value of 84.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4058.

Toyokumo, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3763	82 Outperform	¥49.31B	17.13	―	1.92%	20.81%	68.06%
3771	77 Outperform	¥33.62B	13.79	―	2.93%	11.53%	23.23%
3835	75 Outperform	¥21.05B	17.85	―	3.14%	0.50%	-2.92%
4058	72 Outperform	¥31.33B	28.03	―	0.52%	50.92%	46.61%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4259	61 Neutral	¥54.03B	-28.98	―	―	8.98%	-581.59%
5254	58 Neutral	¥22.75B	42.79	―	―	40.99%	-36.76%

Toyokumo, Inc. Corporate Events

Toyokumo, Inc. Revises 2025 Financial Forecast Upwards

Toyokumo, Inc. has revised its full-year financial forecast for 2025, reflecting an optimistic outlook with increased net sales and profits. The revised forecast indicates a 4.3% increase in net sales and a 15% rise in EBITDA, suggesting strong performance and potential growth, which could positively impact stakeholders and enhance the company’s market position.

Toyokumo, Inc. Reports Strong Financial Growth for 2025

Toyokumo, Inc. reported a substantial increase in its financial performance for the nine months ending September 30, 2025, with net sales rising by 56.1% year-on-year. The company’s strong financial results indicate a robust operational performance and a positive outlook for stakeholders, as reflected in their forecasted growth and increased dividend projections.