Kaizen Platform, Inc. (4170) AI Stock Analysis

• Market Cap: ¥3.20B
• Dividend Yield: N/A
• Average Volume (3M): 531.65K
• Price to Earnings (P/E): 217.4
• Beta (1Y): 0.78
• Revenue Growth: 2.73%
• EPS Growth: -28115.76%
• Country: JP
• Employees: 127
• Sector: Communication Services
• Sector Strength: 87
• Industry: Advertising Agencies
• EPS (TTM): 1.17
• Shares Outstanding: 17,000,230
• 10 Day Avg. Volume: 175,560
• 30 Day Avg. Volume: 531,650
• PEG Ratio: 0.01
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 63 Neutral
• Price Target: ¥219.00 ▲(16.49%Upside)

The overall stock score of 63 reflects strong technical momentum as a significant positive factor, suggesting bullish investor sentiment. However, the score is tempered by valuation concerns due to a negative P/E ratio and lack of dividends, alongside ongoing profitability challenges.

Kaizen Platform, Inc. Business Overview & Revenue Model

Company Description

Kaizen Platform, Inc. is a technology company focused on providing digital marketing solutions. Based in Japan, the company specializes in improving online user experiences and optimizing digital content performance. Its core services include digital marketing strategies, web content optimization, and user experience enhancements for businesses aiming to increase their digital engagement and conversion rates.

How the Company Makes Money

Kaizen Platform, Inc. generates revenue primarily through offering its suite of digital marketing and optimization services. The company provides a platform that businesses can use to analyze and enhance their web content, which helps in boosting user engagement and conversion rates. Revenue streams include subscription fees for access to its platform, consulting services for digital strategy development, and performance-based pricing models where fees are linked to the success of implemented marketing strategies. Key partnerships with digital agencies and enterprises also contribute to its revenue by expanding its client base and enhancing service offerings.

Kaizen Platform, Inc. Financial Statement Overview

Summary

Kaizen Platform, Inc. shows strong revenue growth and improved cash flow management. However, persistent profitability issues, as evidenced by negative net income and EBIT, pose challenges. The balance sheet indicates low leverage but increasing debt reliance. Overall, while there are positive trends in revenue and cash flow, profitability remains a key concern.

Income Statement

Kaizen Platform, Inc. shows strong revenue growth, increasing from 1,354 million JPY in 2019 to 4,523 million JPY in 2024. The gross profit margin remains healthy, but the company struggles with profitability, as indicated by negative EBIT and net income. The EBITDA margin has seen improvements, but the net profit margin remains negative, highlighting ongoing profitability challenges.

Balance Sheet

The company maintains a strong equity base with a high equity ratio, indicating low financial leverage. However, the debt-to-equity ratio has increased over the years, suggesting a growing reliance on debt financing. ROE is negative due to consistent net losses, which is a concern for equity returns.

Cash Flow

Free cash flow has improved significantly from negative values in previous years to a positive 200 million JPY in 2024, indicating better cash management. The operating cash flow to net income ratio indicates strong cash flow generation relative to net income. However, historical fluctuations in free cash flow highlight potential cash flow volatility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.52B	4.34B	2.67B	2.26B	1.69B
Gross Profit	1.37B	1.33B	955.06M	934.20M	822.19M
EBITDA	112.27M	280.15M	49.38M	156.76M	128.44M
Net Income	-171.97M	-21.70M	-277.96M	-96.03M	107.38M
Balance Sheet
Total Assets	4.42B	4.37B	5.24B	4.36B	3.39B
Cash, Cash Equivalents and Short-Term Investments	2.91B	2.54B	3.34B	3.01B	2.66B
Total Debt	914.71M	598.79M	1.34B	671.00M	250.00M
Total Liabilities	1.46B	1.18B	1.96B	1.01B	534.16M
Stockholders Equity	2.96B	3.15B	3.18B	3.28B	2.85B
Cash Flow
Free Cash Flow	167.52M	-19.41M	-90.16M	-249.03M	-88.64M
Operating Cash Flow	216.62M	78.49M	127.64M	16.45M	120.02M
Investing Cash Flow	-129.46M	-819.05M	-446.69M	-580.89M	-265.00M
Financing Cash Flow	110.94M	-908.60M	505.19M	852.04M	1.89B

Kaizen Platform, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 188.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4170, the sentiment is Neutral. The current price of 188 is below the 20-day moving average (MA) of 196.70, above the 50-day MA of 185.84, and above the 200-day MA of 176.09, indicating a neutral trend. The MACD of 1.03 indicates Positive momentum. The RSI at 45.04 is Neutral, neither overbought nor oversold. The STOCH value of 18.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4170.

Kaizen Platform, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7036	66 Neutral	¥3.75B	34.34		3.54%	6.89%	187.15%
4170	63 Neutral	¥3.20B	217.42		―	2.73%	-28115.76%
3690	61 Neutral	¥3.36B	76.57		1.43%	13.67%	-63.44%
Sector *	55 Neutral	AU$3.56B	17.18	-1.37%	3.16%	4.07%	-17.03%
7359	53 Neutral	¥3.73B	―		―	-4.55%	-45.82%
7078	52 Neutral	¥5.08B	12.72		―	-8.62%	-442.57%
7069	50 Neutral	¥2.79B	36.62		―	1.11%	―

Kaizen Platform, Inc. Corporate Events

Kaizen Platform, Inc. Reports First Quarter Financial Results with Improved Profitability

Kaizen Platform, Inc. reported its consolidated financial results for the first quarter ending March 31, 2025, showing a slight decline in sales compared to the previous year. Despite the decrease in sales, the company managed to achieve a positive net income attributable to parent company shareholders, indicating an improvement in profitability. The financial position of the company remains stable with a high equity ratio, although there was a slight decrease in net assets. The company has maintained its dividend forecast, indicating no changes from previous expectations.