Global Communication Planning Co.Ltd. (4073) AI Stock Analysis

• Market Cap: ¥1.59B
• Dividend Yield: N/A
• Average Volume (3M): 31.02K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.57
• Revenue Growth: -3.49%
• EPS Growth: -2246.63%
• Country: JP
• Employees: 112
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 8.34
• Shares Outstanding: 2,519,360
• 10 Day Avg. Volume: 29,700
• 30 Day Avg. Volume: 31,023
• PEG Ratio: 0.03
• Price to Book (P/B): 5.45
• Price to Sales (P/S): 0.80
• P/FCF Ratio: -5.91
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: ¥624.00 ▲(2.97% Upside)

The overall stock score is primarily impacted by the company's weak financial performance, characterized by declining profitability and high leverage. Technical analysis provides some support with mixed signals, but poor valuation metrics further weigh down the score. The absence of earnings call insights and notable corporate events leaves the financial and technical aspects as the main determinants of the score.

Positive Factors

Revenue Growth

Positive revenue growth indicates expanding market reach and effective service offerings, which can contribute to long-term business sustainability.

Business Model

A diversified revenue model with multiple streams enhances resilience and provides stability against market fluctuations.

Industry Position

Operating in high-demand sectors like telecommunications and technology positions the company for sustained growth as these industries expand.

Negative Factors

Profitability Challenges

Negative profit margins indicate challenges in cost management, which could hinder long-term financial health if not addressed.

High Leverage

High leverage can strain financial stability and limit the company's ability to invest in growth opportunities.

Cash Flow Issues

Weak cash flow generation limits the company's ability to fund operations and invest in future growth, posing a risk to sustainability.

Global Communication Planning Co.Ltd. Business Overview & Revenue Model

Company Description

Global Communication Planning Co. Ltd. (4073) is a leading firm specializing in strategic communication and marketing solutions. Operating primarily in the telecommunications and technology sectors, the company offers a wide range of services including media planning, public relations, digital marketing, and brand management. By leveraging advanced analytics and market insights, Global Communication Planning Co. Ltd. assists businesses in enhancing their communication strategies and reaching their target audiences effectively.

How the Company Makes Money

The company generates revenue through multiple streams, including service fees for its consultancy and strategic planning services, project-based contracts with clients, and retainer agreements for ongoing communication management. Key revenue streams include media buying and placement, where the company earns commissions from media outlets, and performance-based marketing initiatives that provide additional revenue based on client success metrics. Significant partnerships with major advertising platforms and technology providers further enhance its service offerings and contribute to earnings by expanding its client base and improving service efficiency.

Global Communication Planning Co.Ltd. Financial Statement Overview

Summary

The company faces significant financial challenges with declining profitability, high leverage, and weak cash flow generation. The negative net profit margins, high debt-to-equity ratio, and negative operating cash flow highlight the need for improved cost management, debt reduction, and enhanced cash flow.

Income Statement

The company has experienced a decline in profitability with negative net profit margins and EBIT margins in the most recent year. Revenue growth is positive, but gross profit margins have decreased over time, indicating pressure on cost management. The company needs to address its declining profitability to improve its financial health.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, indicating significant leverage, which poses a risk to financial stability. Return on equity is negative, reflecting poor profitability. The equity ratio is low, suggesting limited financial flexibility. The company needs to manage its debt levels to improve its financial position.

Cash Flow

Cash flow analysis reveals negative operating cash flow and free cash flow, indicating challenges in generating cash from operations. The free cash flow to net income ratio is positive, but overall cash flow performance is weak, highlighting the need for improved cash management and operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.84B	1.84B	1.74B	1.55B	1.59B	2.08B
Gross Profit	581.61M	582.00M	654.56M	493.29M	633.36M	874.37M
EBITDA	-57.59M	-47.00M	59.35M	-701.96M	-2.59M	257.31M
Net Income	-145.49M	-146.00M	72.60M	-773.82M	-91.66M	126.58M
Balance Sheet
Total Assets	2.00B	2.00B	1.76B	1.57B	1.51B	1.34B
Cash, Cash Equivalents and Short-Term Investments	815.00M	815.00M	769.22M	790.99M	447.26M	560.79M
Total Debt	1.48B	1.48B	956.26M	844.89M	65.28M	155.19M
Total Liabilities	1.73B	1.73B	1.35B	1.23B	376.40M	555.30M
Stockholders Equity	270.00M	270.00M	415.45M	340.28M	1.14B	781.57M
Cash Flow
Free Cash Flow	0.00	-249.00M	-142.56M	-390.26M	-454.20M	80.88M
Operating Cash Flow	0.00	-229.00M	63.49M	-251.28M	-273.86M	214.08M
Investing Cash Flow	0.00	-234.00M	-190.77M	-143.78M	-189.38M	-136.80M
Financing Cash Flow	0.00	505.00M	101.94M	735.20M	346.05M	-670.70M

Global Communication Planning Co.Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 606.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4073, the sentiment is Negative. The current price of 606 is below the 20-day moving average (MA) of 617.40, below the 50-day MA of 616.64, and above the 200-day MA of 597.97, indicating a bearish trend. The MACD of -11.54 indicates Positive momentum. The RSI at 41.59 is Neutral, neither overbought nor oversold. The STOCH value of 21.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4073.

Global Communication Planning Co.Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2351	62 Neutral	¥2.66B	12.14	―	0.90%	-4.77%	42.04%
3042	62 Neutral	¥2.65B	25.41	―	0.55%	25.37%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4378	58 Neutral	¥1.48B	-12.50	―	―	-3.24%	-298.72%
4288	54 Neutral	¥2.01B	-5.65	―	―	20.46%	37.56%
4073	45 Neutral	¥1.59B	-10.81	―	―	-3.49%	-2246.63%