Dream Incubator Inc. (4310) AI Stock Analysis

• Market Cap: ¥25.71B
• Dividend Yield: 17.4%
• Average Volume (3M): 63.92K
• Price to Earnings (P/E): 26.0
• Beta (1Y): 1.38
• Revenue Growth: 15.20%
• EPS Growth: N/A
• Country: JP
• Employees: 220
• Sector: Financial
• Sector Strength: 76
• Industry: Asset Management
• EPS (TTM): -10.93
• Shares Outstanding: 9,534,316
• 10 Day Avg. Volume: 38,970
• 30 Day Avg. Volume: 63,916
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 33 Underperform
• Price Target: ―

Dream Incubator Inc. faces substantial financial difficulties, primarily due to declining revenues and net losses. The technical analysis reinforces a negative outlook with the stock trading well below key moving averages. The lack of earnings data and absence of dividends further diminishes its investment appeal.

Dream Incubator Inc. Business Overview & Revenue Model

Company Description

Dream Incubator Inc. is a venture capital and private equity firm specializing in incubation and investments in all business stages. It seeks to invest in Japan and Vietnam including other part of Asia. The firm offers assistance in formulating capital policies and business plans to venture companies, as well as provides support required to meet the needs of companies in hi-tech and IT fields. Dream Incubator Inc. was founded in 2000 and is based in Tokyo, Japan, with additional offices in China, Singapore and Vietnam.

How the Company Makes Money

Dream Incubator Inc. generates revenue through a combination of consulting fees, investment returns, and incubation services. The core of its revenue model involves providing strategic consulting services to businesses seeking to innovate or expand, for which it charges fees based on the scope and duration of projects. Additionally, the company invests in promising startups and business ventures, earning returns from equity stakes or successful exits. Its incubation services support emerging businesses by offering resources and expertise in exchange for equity or service fees. Strategic partnerships with corporations and industry leaders also enhance its ability to generate revenue through collaborative projects and co-investment opportunities.

Dream Incubator Inc. Financial Statement Overview

Summary

Dream Incubator Inc. is facing significant financial challenges. Despite a strong balance sheet with minimal debt, the company struggles with declining revenues and persistent net losses. Liquidity issues are evident in recent cash flow statements, necessitating strategic changes to stabilize financial health and return to profitability.

Income Statement

Dream Incubator Inc. has experienced a significant decline in revenue and profitability in recent periods. The TTM data shows a negative EBIT and EBITDA, indicating operational challenges. Gross profit margins have deteriorated, and the company has reported consistent net losses, reflecting a declining trend in financial performance.

Balance Sheet

The balance sheet is relatively strong with no total debt, indicating a conservative financing structure. The equity ratio is high, suggesting financial stability. However, the declining equity and asset base could pose future risks if not addressed.

Cash Flow

Cash flow metrics show a concerning trend with zero operating and free cash flow in the TTM period, indicating liquidity challenges. The company previously relied on significant cash reserves, but recent cash flow deficits highlight an urgent need to improve operating efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.18B	6.18B	5.38B	30.13B	35.57B	27.78B
Gross Profit	2.93B	2.93B	453.00M	13.39B	14.72B	10.99B
EBITDA	347.00M	364.00M	-1.92B	17.96B	557.00M	-1.99B
Net Income	171.00M	171.00M	-1.85B	11.55B	7.00M	-2.10B
Balance Sheet
Total Assets	15.86B	15.86B	17.45B	31.31B	33.57B	29.55B
Cash, Cash Equivalents and Short-Term Investments	13.37B	13.37B	11.73B	29.66B	22.23B	19.19B
Total Debt	0.00	0.00	0.00	50.00M	3.14B	2.73B
Total Liabilities	2.70B	2.70B	2.27B	9.40B	21.12B	16.36B
Stockholders Equity	13.02B	13.02B	15.02B	21.44B	9.78B	9.25B
Cash Flow
Free Cash Flow	0.00	478.00M	-7.71B	3.48B	7.35B	-1.56B
Operating Cash Flow	0.00	496.00M	-7.46B	3.67B	7.82B	-700.00M
Investing Cash Flow	0.00	346.00M	8.16B	-5.15B	317.00M	-1.51B
Financing Cash Flow	0.00	-2.27B	-4.75B	-1.39B	955.00M	1.82B

Dream Incubator Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2691.00
• 50DMA: Positive
• 100DMA: Positive
• 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:4310, the sentiment is Neutral. The current price of 2691 is above the 20-day moving average (MA) of 2650.90, above the 50-day MA of 2481.50, and below the 200-day MA of 2940.34, indicating a neutral trend. The MACD of 51.57 indicates Positive momentum. The RSI at 52.77 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4310.

Dream Incubator Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$17.79B	11.64	10.28%	3.76%	9.64%	1.17%
4310	33 Underperform	¥25.71B	26.00		17.40%	15.20%	―
JAF	―	€810.96M	12.49	8.05%	―	―	―
SRXXF	―	$324.93M	10.89	18.36%	5.07%	―	―
7347	68 Neutral	¥16.53B	239.85		2.51%	11.20%	-93.41%
2998	66 Neutral	¥40.62B	41.00		0.47%	30.12%	-10.51%
3772	64 Neutral	¥20.94B	13.53		1.82%	-30.94%	26.14%

Dream Incubator Inc. Corporate Events

Dream Incubator Subsidiary Rebrands to Reflect Southeast Asia Expansion

Dream Incubator Inc. announced that its subsidiary in Vietnam will change its trade name to Dream Incubator Southeast Asia Joint Stock Company. This change, effective around June 2025, aims to enhance marketing and rebranding efforts as the subsidiary expands its business scope across Southeast Asia.