Asgent, Inc. (4288) AI Stock Analysis

• Market Cap: ¥2.46B
• Dividend Yield: N/A
• Average Volume (3M): 100.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.40
• Revenue Growth: 20.46%
• EPS Growth: 37.56%
• Country: JP
• Employees: 90
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 14.89
• Shares Outstanding: 3,815,734
• 10 Day Avg. Volume: 228,420
• 30 Day Avg. Volume: 100,783
• PEG Ratio: 2.58
• Price to Book (P/B): 5.72
• Price to Sales (P/S): 0.65
• P/FCF Ratio: -7.78
• 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: 49 Neutral
• Price Target: ¥620.00 ▼(-8.28% Downside)
• Action: Reiterated Date: 02/14/26
• Date: Action: Reiterated 02/14/26

The score is primarily held back by weak financial performance: ongoing losses, negative operating/free cash flow, and a sharp increase in leverage. Technicals are a relative positive with price above major moving averages and positive MACD, but valuation support is limited given the negative P/E.

Positive Factors

Top-line Recovery

A clear revenue rebound in FY2025 demonstrates the company's ability to restore demand and grow sales after prior declines. Sustained top-line recovery supports scale, improves the outlook for future margin recovery, and provides a platform for operational leverage if maintained.

Sector Exposure

Operating in software infrastructure aligns the business with structural digitization and cloud/automation spending trends. These secular tailwinds can support durable demand, recurring contracts and scalability advantages versus cyclical industries, aiding medium-term revenue durability.

Lean Operating Base

A relatively small headcount implies a lean cost base and potential for high incremental margins as revenue scales. For a software-infrastructure business, this structural lean setup can enable rapid scaling, lower fixed-cost drag and faster operating leverage when growth continues.

Negative Factors

Rising Leverage

Leverage increased sharply as equity declined, materially reducing financial flexibility. Higher debt relative to a thinner capital base raises refinancing and covenant risk, increases interest burden and limits the company's ability to invest or absorb further operating setbacks over the medium term.

Negative Cash Generation

The business consumed cash in FY2025, indicating it is not self-funding. Persistent negative operating and free cash flow increase reliance on external financing, elevate execution risk for growth initiatives, and materially constrain reinvestment or deleveraging prospects over multiple quarters.

Sustained Losses & Margin Pressure

Repeated operating losses and volatile, declining gross margins signal structural profitability challenges. Without durable margin improvement, returns on capital will remain negative, limiting the firm's ability to rebuild equity, fund growth internally or generate investor-aligned cash returns over the medium term.

Asgent, Inc. Business Overview & Revenue Model

Company Description

Asgent, Inc. develops and distributes network security solutions for enterprises and medium sized organizations in Japan. The company offers managed security, network design/construction, assessment, consulting/auditing, and maintenance services. It also provides security assessment and consulting services; social engineering penetration training services; and security products. The company was incorporated in 1997 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Asgent, Inc. generates revenue through the sale of its cybersecurity software and services. The company earns money by licensing its software products to enterprise clients and providing ongoing support and maintenance services. Additionally, Asgent, Inc. offers consulting and managed security services, which contribute to its revenue streams. Partnerships with other technology firms and resellers also play a crucial role in expanding its market presence and driving sales.

Asgent, Inc. Financial Statement Overview

Summary

Revenue rebounded strongly in FY2025 (+25% YoY), but profitability remains weak with a net loss and sustained negative operating profitability. Balance sheet risk increased materially as debt-to-equity rose to ~1.19 with sharply lower equity, and FY2025 operating/free cash flow were negative, increasing funding and execution risk.

Income Statement

Revenue rebounded in FY2025 (+25% YoY) after two consecutive down years, showing some top-line resilience. However, profitability remains weak: the company posted a net loss in FY2025 with a roughly -15% net margin, and operating profitability has been negative for several years (after a brief profit in FY2022). Gross margin is also volatile and stepped down in FY2025 versus FY2024, indicating ongoing pressure on cost structure and/or pricing.

Balance Sheet

Leverage has increased meaningfully: debt-to-equity rose to ~1.19 in FY2025 from ~0.26 in FY2024, driven by higher debt and a sharp drop in equity. Returns on equity are deeply negative in FY2025, consistent with sizable losses and a thinner capital base. While total debt is not extremely large in absolute terms, the rapid deterioration in equity and higher leverage increase financial risk and reduce flexibility.

Cash Flow

Cash generation is a key weakness: operating cash flow was negative in FY2025 and free cash flow was also materially negative, indicating the business is not currently self-funding. Cash flow performance has been inconsistent over time (positive in FY2022 and FY2020, negative in multiple other years), which elevates funding risk. While FY2025 free cash flow was less negative than net income (i.e., losses were not fully matched by cash burn), the company still consumed cash overall.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.97B	2.37B	2.83B	3.17B	2.80B
Gross Profit	1.02B	965.61M	1.01B	1.12B	1.15B
EBITDA	-331.10M	-309.98M	-19.72M	181.67M	98.34M
Net Income	-440.47M	-448.07M	-125.59M	76.56M	-51.71M
Balance Sheet
Total Assets	1.57B	1.66B	2.18B	2.53B	2.19B
Cash, Cash Equivalents and Short-Term Investments	663.99M	777.69M	862.74M	993.77M	897.75M
Total Debt	400.00M	200.00M	200.00M	200.00M	200.00M
Total Liabilities	1.23B	882.27M	945.18M	1.17B	696.41M
Stockholders Equity	336.48M	777.36M	1.24B	1.35B	1.49B
Cash Flow
Free Cash Flow	-247.02M	-85.79M	-155.55M	47.31M	-90.20M
Operating Cash Flow	-161.07M	-4.97M	-59.01M	119.32M	24.05M
Investing Cash Flow	-152.50M	-81.65M	-68.88M	-80.89M	-119.73M
Financing Cash Flow	199.93M	0.00	0.00	0.00	-3.00K

Asgent, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 676.00
• 50DMA: Negative
• 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:4288, the sentiment is Positive. The current price of 676 is above the 20-day moving average (MA) of 665.45, above the 50-day MA of 668.28, and above the 200-day MA of 587.17, indicating a neutral trend. The MACD of -5.69 indicates Positive momentum. The RSI at 46.33 is Neutral, neither overbought nor oversold. The STOCH value of 14.51 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4288.

Asgent, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3915	68 Neutral	¥23.06B	15.13	―	―	17.93%	91.21%
4475	68 Neutral	¥32.66B	24.33	―	0.39%	30.59%	65.14%
4493	67 Neutral	¥16.78B	20.22	―	0.17%	31.39%	13.12%
4417	65 Neutral	¥40.97B	31.12	―	0.90%	25.06%	37.24%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4434	61 Neutral	¥16.36B	-46.59	―	―	―	―
4288	49 Neutral	¥2.46B	-30.21	―	―	20.46%	37.56%