LaKeel,Inc (4074) AI Stock Analysis

• Market Cap: ¥5.51B
• Dividend Yield: N/A
• Average Volume (3M): 39.37K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 1.24
• Revenue Growth: -3.20%
• EPS Growth: -39.38%
• Country: JP
• Employees: 453
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -11.02
• Shares Outstanding: 7,672,500
• 10 Day Avg. Volume: 69,930
• 30 Day Avg. Volume: 39,366
• PEG Ratio: -0.46
• Price to Book (P/B): 1.54
• Price to Sales (P/S): 0.69
• P/FCF Ratio: 8.99
• 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: 69 Neutral
• Price Target: ¥784.00 ▲(0.51% Upside)

Score is supported primarily by strong financial performance (good margins, prudent leverage, and robust cash generation). It is held back by very weak technicals (downtrend versus all major moving averages and negative MACD), while valuation appears reasonable but not compelling without dividend yield data.

Positive Factors

Cash Generation Ability

LaKeel's strong cash generation relative to net income indicates high operational efficiency, providing a solid foundation for reinvestment and growth.

Balance Sheet Health

The conservative leverage and strong equity base suggest financial stability, allowing LaKeel to weather economic fluctuations and invest in strategic initiatives.

Revenue Growth

Consistent revenue growth reflects LaKeel's ability to expand its market reach and enhance product adoption, supporting long-term business sustainability.

Negative Factors

Net Profit Margin Pressure

The decline in net profit margin suggests challenges in maintaining profitability, which could impact LaKeel's ability to reinvest in growth and innovation.

Elevated Capital Expenditures

Increased capex can strain free cash flow, potentially limiting LaKeel's financial flexibility and ability to pursue new growth opportunities without additional financing.

Earnings Decline

A significant drop in EPS growth indicates potential operational challenges, which could affect investor confidence and LaKeel's long-term earnings potential.

LaKeel,Inc Business Overview & Revenue Model

Company Description

LaKeel, Inc. operates as a cloud computing and IT consulting company. It offers LaKeel DX, a cloud platform that digitizes the enterprise and effectuates strategic IT; LaKeel BI, a self service-service business intelligence (BI) tool; LaKeel DataInsight, an enterprise data management solution; and LaKeel VisualMosaic, an enterprise contents management solution. The company also provides LaKeel SynergyLogic solution that performs data collaboration between systems, data expansion, data processing, and abstraction of legacy systems; LaKeel Commerce, an e-commerce solution; LaKeel Messenger, an enterprise messaging/chatbot tool; and LaKeel OnlineMediaService, a video distribution system of short movies. LaKeel, Inc. was founded in 2005 and is headquartered in Tokyo, Japan.

How the Company Makes Money

LaKeel, Inc. generates revenue through multiple streams. The primary source of income comes from subscription fees for its cloud-based software solutions, which provide clients with ongoing access to its services and regular updates. Additionally, the company earns revenue from one-time project fees for customized software development and consulting services, catering to specific client needs. LaKeel also has strategic partnerships with key players in the healthcare and financial industries, allowing it to expand its market reach and enhance its service offerings, which further contributes to its earnings. Revenue from data analytics services and training programs for clients on utilizing its software effectively also play a significant role in the company’s overall financial performance.

LaKeel,Inc Financial Statement Overview

Summary

LaKeel, Inc. demonstrates strong financial performance with robust revenue growth and operational efficiency. The balance sheet is solid with prudent leverage, and cash flows are strong, enhancing financial flexibility. However, there is some pressure on net profitability margins.

Income Statement

LaKeel, Inc. has demonstrated strong revenue growth, with a substantial increase of 4.11% from the previous year. The gross profit margin for 2024 is healthy at 30.6%, reflecting efficient cost management. However, the net profit margin decreased to 4.54%, indicating some pressure on profitability. EBIT and EBITDA margins remain robust at 7.03% and 12.95% respectively, highlighting strong operational performance.

Balance Sheet

The balance sheet is solid with a debt-to-equity ratio of 0.29, indicating a conservative use of leverage. The equity ratio stands at 59.55%, suggesting financial stability and a strong equity base. Return on equity (ROE) is 10.13%, which is decent but shows room for improvement in generating profit from shareholders' equity.

Cash Flow

Cash flow analysis shows a positive trend with a significant increase in free cash flow to JPY 1.091 billion, albeit lower compared to last year due to high capital expenditures. The operating cash flow to net income ratio is very strong at 3.12, indicating excellent cash generation relative to net income. This suggests high operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.09B	7.97B	7.65B	6.88B	5.83B	5.33B
Gross Profit	2.68B	2.44B	2.56B	2.40B	2.05B	1.77B
EBITDA	1.24B	1.03B	1.17B	1.06B	719.01M	432.67M
Net Income	491.81M	362.22M	539.58M	467.05M	317.04M	139.62M
Balance Sheet
Total Assets	6.79B	6.00B	6.41B	5.79B	5.44B	3.74B
Cash, Cash Equivalents and Short-Term Investments	2.38B	2.55B	2.70B	3.23B	2.57B	1.32B
Total Debt	969.03M	1.02B	1.14B	1.22B	1.43B	1.64B
Total Liabilities	2.80B	2.41B	2.58B	2.52B	2.63B	2.61B
Stockholders Equity	3.97B	3.57B	3.81B	3.25B	2.80B	1.11B
Cash Flow
Free Cash Flow	0.00	613.60M	166.10M	959.29M	107.70M	148.90M
Operating Cash Flow	0.00	1.13B	668.48M	1.24B	409.82M	486.19M
Investing Cash Flow	0.00	-562.76M	-1.10B	-359.36M	-301.15M	-493.94M
Financing Cash Flow	0.00	-738.67M	-94.86M	-205.41M	1.11B	583.64M

LaKeel,Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 780.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4074, the sentiment is Negative. The current price of 780 is above the 20-day moving average (MA) of 767.15, below the 50-day MA of 886.48, and below the 200-day MA of 988.90, indicating a bearish trend. The MACD of -58.63 indicates Negative momentum. The RSI at 29.71 is Positive, neither overbought nor oversold. The STOCH value of 52.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4074.

LaKeel,Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4074	69 Neutral	¥5.51B	15.43	―	―	-3.20%	-39.38%
4397	68 Neutral	¥8.61B	23.27	―	―	11.32%	―
4412	67 Neutral	¥19.33B	166.19	―	―	39.66%	―
153A	66 Neutral	¥8.40B	25.49	―	―	14.92%	2.55%
4019	66 Neutral	¥6.73B	34.69	―	0.49%	41.47%	104.50%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
3853	61 Neutral	¥16.63B	14.36	―	0.82%	―	―