Sharing Innovations Inc. (4178) AI Stock Analysis

• Market Cap: ¥2.92B
• Dividend Yield: N/A
• Average Volume (3M): 1.29K
• Price to Earnings (P/E): 43.3
• Beta (1Y): 0.33
• Revenue Growth: -3.54%
• EPS Growth: -41.26%
• Country: JP
• Employees: 257
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.50
• Shares Outstanding: 3,793,300
• 10 Day Avg. Volume: 1,040
• 30 Day Avg. Volume: 1,293
• 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: ¥857.00
• Price Target Upside: 10.01% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 67 Neutral
• Price Target: ¥857.00 ▲(10.01% Upside)

Sharing Innovations Inc. demonstrates strong financial performance with robust cash flow and a solid balance sheet, which are the primary drivers of its stock score. However, technical indicators suggest a bearish trend, and the high P/E ratio indicates potential overvaluation, which weigh down the overall score.

Sharing Innovations Inc. Business Overview & Revenue Model

Company Description

Sharing Innovations, Inc. engages in the digital transformation and platform businesses. The company offers salesforce implementation consulting services, as well as sales support, contract management, billing management, analysis support, etc. It is also involved in the system development, such as financial and medical system solutions; and planning, development, and operation of the in-house developed applications. The company was founded in 2008 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sharing Innovations Inc. generates revenue through a diversified model that includes subscription fees for its cloud-based software solutions, licensing fees for its proprietary technology, and professional services such as consulting and technical support. The company also partners with other technology firms to expand its market reach and offer integrated solutions, enhancing its value proposition to clients. Additionally, Sharing Innovations Inc. capitalizes on strategic alliances and co-development agreements to drive innovation and create new revenue streams. The company's ability to continually develop and deploy cutting-edge technology solutions significantly contributes to its earnings.

Sharing Innovations Inc. Financial Statement Overview

Summary

Sharing Innovations Inc. exhibits strong financial health with consistent revenue growth and improved profitability. The balance sheet reflects a solid financial position with low leverage and strong equity. Cash flow generation is robust, supporting future growth and operational needs.

Income Statement

Sharing Innovations Inc. has demonstrated strong revenue growth with a 2.2% increase from the previous year, and a significant improvement in net profit margin from 0.67% to 2.65%. The gross profit margin remains healthy at 21.27%, indicating efficient cost management. However, the EBIT margin, while improved, is still relatively low at 4.63%, suggesting room for operational efficiency improvements.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.15, indicating low financial leverage. The equity ratio is strong at 64.68%, reflecting a robust capital structure. Return on equity has improved to 8.64%, showcasing enhanced profitability. The company's liquidity position is strong, supported by substantial cash reserves.

Cash Flow

Cash flow performance is impressive, with a notable increase in free cash flow by 324.9%. The operating cash flow to net income ratio is robust at 1.95, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also strong at 1.91, highlighting effective cash management practices.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.11B	5.17B	5.06B	5.19B	4.48B	3.78B
Gross Profit	1.02B	1.10B	1.02B	1.02B	1.06B	808.15M
EBITDA	305.06M	359.00M	200.06M	261.13M	456.96M	350.00M
Net Income	101.08M	137.02M	34.01M	96.52M	243.18M	176.69M
Balance Sheet
Total Assets	2.31B	2.45B	2.32B	2.03B	2.10B	1.58B
Cash, Cash Equivalents and Short-Term Investments	1.04B	1.09B	822.76M	752.53M	952.75M	462.77M
Total Debt	218.38M	239.82M	238.08M	0.00	0.00	0.00
Total Liabilities	728.50M	866.40M	870.04M	614.99M	604.85M	532.37M
Stockholders Equity	1.58B	1.59B	1.45B	1.41B	1.50B	1.04B
Cash Flow
Free Cash Flow	0.00	262.26M	61.70M	82.62M	312.47M	136.44M
Operating Cash Flow	0.00	267.56M	64.23M	96.62M	313.71M	137.61M
Investing Cash Flow	0.00	-4.41M	-231.77M	-119.20M	-28.50M	-3.23M
Financing Cash Flow	0.00	1.74M	237.32M	-179.17M	202.97M	9.00M

Sharing Innovations Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 779.00
• 50DMA: Negative
• 100DMA: Negative
• 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:4178, the sentiment is Negative. The current price of 779 is below the 20-day moving average (MA) of 788.60, below the 50-day MA of 802.00, and above the 200-day MA of 760.51, indicating a neutral trend. The MACD of -6.54 indicates Positive momentum. The RSI at 43.34 is Neutral, neither overbought nor oversold. The STOCH value of 11.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4178.

Sharing Innovations Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2351	80 Outperform	3.13B	12.81	8.53%	0.76%	-8.23%	60.52%
5126	77 Outperform	3.14B	12.68	―	―	14.11%	-1.49%
4178	67 Neutral	¥2.92B	43.27	―	―	-3.54%	-41.26%
3042	58 Neutral	2.54B	24.30	―	0.61%	13.74%	-55.69%
6659	47 Neutral	4.41B	-6.92	-23.00%	―	-10.13%	-30.85%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%