BlueMeme Inc. (4069) AI Stock Analysis

• Market Cap: ¥7.96B
• Dividend Yield: N/A
• Average Volume (3M): 9.47K
• Price to Earnings (P/E): 76.1
• Beta (1Y): 0.62
• Revenue Growth: 13.47%
• EPS Growth: 30.33%
• Country: JP
• Employees: 135
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 20.65
• Shares Outstanding: 3,603,946
• 10 Day Avg. Volume: 6,300
• 30 Day Avg. Volume: 9,473
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,442.00
• Price Target Upside: -37.49% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: ¥1,442.00 ▼(-37.49% Downside)

The overall stock score is primarily influenced by strong technical momentum, offset by weak financial performance and valuation concerns. The company's operational challenges and cash flow issues are significant risks that weigh on the stock's attractiveness. The technical analysis provides some positive outlook, but the valuation and financial health raise substantial concerns.

BlueMeme Inc. Business Overview & Revenue Model

Company Description

BlueMeme Inc. is a Japanese technology company specializing in providing innovative IT solutions and services. The company focuses on digital transformation, offering low-code development platforms, agile software development, and IT consulting services to help businesses enhance their digital capabilities and improve operational efficiency.

How the Company Makes Money

BlueMeme Inc. generates revenue primarily through its IT services and solutions. The company offers low-code development platforms that enable businesses to build custom applications with minimal coding, thereby accelerating digital transformation processes. Additionally, BlueMeme provides agile software development services, which involve working closely with clients to deliver tailored software solutions. Consulting services also contribute to its revenue, where the company advises on digital strategy and implementation. BlueMeme may partner with other technology firms to expand its service offerings and leverage complementary technologies, enhancing its market position and revenue potential.

BlueMeme Inc. Financial Statement Overview

Summary

BlueMeme Inc. is facing operational and financial headwinds with declining revenues and net profitability. The balance sheet remains strong with low leverage, but negative cash flows and net losses are significant concerns.

Income Statement

BlueMeme Inc. shows a declining trend in total revenue and net income over the past year, with the latest year experiencing a significant net loss. Gross profit margin remains solid at around 50.7% for the latest period, indicating efficient cost management. However, the net profit margin has turned negative due to decreased revenues and increased expenses, which poses a concern for profitability. EBIT and EBITDA margins have also contracted significantly, reflecting operational challenges.

Balance Sheet

The company's balance sheet indicates a strong equity position with a substantial equity ratio of approximately 64.6%, suggesting financial stability. The debt-to-equity ratio is low at about 0.03, indicating minimal leverage risk. However, a decrease in total assets coupled with increased liabilities suggests potential liquidity concerns. The decline in stockholders' equity year-over-year reflects potential risks in maintaining financial health.

Cash Flow

The cash flow statement highlights significant challenges, with negative operating cash flow and free cash flow indicating cash burn issues. The operating cash flow to net income ratio has declined, suggesting difficulties in converting revenue into cash. The company needs to address its cash flow management to support long-term operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.35B	2.35B	2.51B	2.29B	1.94B	2.10B
Gross Profit	1.19B	1.19B	1.27B	1.11B	1.04B	691.02M
EBITDA	39.72M	45.04M	270.13M	362.54M	376.45M	194.40M
Net Income	-17.72M	-17.14M	174.87M	259.68M	253.22M	130.24M
Balance Sheet
Total Assets	3.90B	3.90B	3.73B	3.02B	2.96B	1.39B
Cash, Cash Equivalents and Short-Term Investments	1.71B	1.71B	2.23B	2.22B	2.36B	645.49M
Total Debt	69.94M	69.94M	5.43M	4.74M	100.51M	212.24M
Total Liabilities	1.36B	1.36B	1.12B	429.48M	601.81M	862.40M
Stockholders Equity	2.52B	2.52B	2.61B	2.59B	2.35B	523.79M
Cash Flow
Free Cash Flow	-287.00M	-355.84M	183.81M	90.79M	329.54M	161.78M
Operating Cash Flow	-273.00M	-348.03M	252.37M	94.84M	338.36M	182.59M
Investing Cash Flow	-15.00M	-65.50M	-106.82M	-46.99M	-9.58M	-21.11M
Financing Cash Flow	-85.00M	-107.73M	-141.57M	-179.28M	1.38B	-100.10M

BlueMeme Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2307.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4069, the sentiment is Positive. The current price of 2307 is above the 20-day moving average (MA) of 2142.70, above the 50-day MA of 1848.74, and above the 200-day MA of 1358.07, indicating a bullish trend. The MACD of 101.41 indicates Negative momentum. The RSI at 62.07 is Neutral, neither overbought nor oversold. The STOCH value of 82.23 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4069.

BlueMeme Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5257	72 Outperform	¥3.56B	11.14	17.67%	―	12.35%	-4.38%
5596	69 Neutral	¥4.34B	12.37	―	―	―	―
4069	62 Neutral	¥7.96B	76.15	―	―	13.47%	30.33%
2345	49 Neutral	¥4.08B	-1.07	-136.90%	―	―	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

BlueMeme Inc. Corporate Events

BlueMeme Inc. Reports Financial Downturn but Anticipates Strong Recovery

BlueMeme Inc. reported a decline in financial performance for the fiscal year ending March 31, 2025, with net sales decreasing by 6.3% and significant drops in operating and ordinary profits. Despite the downturn, the company forecasts a strong recovery for the next fiscal year with substantial growth in net sales and profits, indicating a potential positive shift in its market positioning.