Yuke's Co., Ltd. (4334) AI Stock Analysis

• Market Cap: ¥3.71B
• Dividend Yield: 2.76%
• Average Volume (3M): 8.66K
• Price to Earnings (P/E): 17.1
• Beta (1Y): 0.78
• Revenue Growth: -6.55%
• EPS Growth: N/A
• Country: JP
• Employees: 265
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 0.51
• Shares Outstanding: 11,096,000
• 10 Day Avg. Volume: 5,380
• 30 Day Avg. Volume: 8,656
• PEG Ratio: -0.14
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.97
• P/FCF Ratio: 4.11
• 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: 74 Outperform
• Price Target: ―

Yuke's Co., Ltd. demonstrates strong financial stability with a robust balance sheet and improved cash flow, despite some revenue growth challenges. The technical indicators suggest mixed signals, with potential overbought conditions. The stock is reasonably valued, offering a decent dividend yield. Overall, the stock presents a moderate investment opportunity with a solid foundation but requires attention to revenue growth and technical signals.

Positive Factors

Balance Sheet Health

A strong equity ratio and zero debt highlight Yuke's financial stability, providing flexibility for future investments and resilience against economic downturns.

Cash Flow Improvement

Improved free cash flow indicates enhanced operational efficiency and cash management, allowing Yuke's to reinvest in growth opportunities and sustain operations.

Profitability Rebound

The rebound in profitability demonstrates Yuke's ability to manage costs effectively and improve margins, enhancing its long-term financial health and competitive position.

Negative Factors

Revenue Decline

A significant revenue decline suggests challenges in market demand or competition, which could impact Yuke's ability to sustain growth and profitability over time.

Low Return on Equity

Low return on equity indicates inefficiencies in utilizing shareholder funds to generate profits, potentially limiting Yuke's attractiveness to investors seeking higher returns.

Volatile Financial Performance

Volatility in financial performance can create uncertainty, impacting investor confidence and the company's ability to plan and execute long-term strategies effectively.

Yuke's Co., Ltd. Business Overview & Revenue Model

Company Description

Yuke's Co., Ltd. (4334) is a Japanese company primarily engaged in the development of video games. Known for its work in the gaming industry, Yuke's specializes in creating sports entertainment games, particularly wrestling-themed titles. The company has developed several popular franchises and is recognized for its expertise in producing immersive gaming experiences that cater to a global audience.

How the Company Makes Money

Yuke's Co., Ltd. makes money through the development and sale of video games, focusing on wrestling-themed games. The company generates revenue by partnering with major publishers to distribute its titles across various gaming platforms, including consoles and PC. Additionally, Yuke's may earn income from licensing deals, where it licenses its game engines or technology to other developers. The company could also explore digital sales and downloadable content (DLC) as additional revenue streams. Partnerships with major wrestling organizations and gaming companies significantly contribute to its earnings by providing brand recognition and access to a larger customer base.

Yuke's Co., Ltd. Financial Statement Overview

Summary

Yuke's Co., Ltd. has shown resilience with a rebound in profitability and a strong balance sheet characterized by high equity and zero debt. Despite challenges in revenue growth, the company has enhanced its cash flow position, providing a solid foundation for future investments.

Income Statement

Yuke's Co., Ltd. has demonstrated a volatile financial performance over the years with significant fluctuations in revenue and profitability. The latest annual report shows a gross profit margin of 25.35% and a notable recovery in net profit, moving from a net loss to a net profit margin of 6.08%. This indicates an improvement in cost management and profitability. However, revenue has decreased by 20.39% compared to the previous year, indicating potential challenges in maintaining market share or demand.

Balance Sheet

The balance sheet reflects a strong equity position with an equity ratio of 80.01%, indicating financial stability and low leverage due to zero total debt. Return on equity is relatively low at 7.87%, suggesting that while the company has a strong equity base, it could improve on generating returns from its equity. The solid cash position enhances the company's flexibility to invest in growth opportunities.

Cash Flow

The cash flow statement shows a significant improvement in free cash flow, moving from negative to positive, reflecting better operational efficiency. The operating cash flow to net income ratio is robust at 4.00, indicating strong cash generation relative to net income. However, the free cash flow growth rate is not calculable due to the previous negative base, but the current free cash flow position is positive, suggesting improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.43B	3.26B	4.09B	4.30B	3.63B	2.65B
Gross Profit	868.52M	825.53M	1.18B	1.55B	1.20B	544.95M
EBITDA	306.76M	307.74M	-1.32B	1.10B	978.84M	-399.41M
Net Income	211.32M	198.41M	-1.35B	883.45M	921.02M	-415.81M
Balance Sheet
Total Assets	3.07B	3.14B	3.25B	4.76B	4.13B	7.47B
Cash, Cash Equivalents and Short-Term Investments	1.77B	1.89B	1.18B	1.89B	1.97B	6.21B
Total Debt	0.00	0.00	300.00M	0.00	0.00	4.15B
Total Liabilities	592.14M	626.59M	820.00M	713.08M	661.49M	4.87B
Stockholders Equity	2.48B	2.52B	2.43B	4.05B	3.47B	2.60B
Cash Flow
Free Cash Flow	0.00	772.10M	-646.65M	129.95M	-238.52M	-289.01M
Operating Cash Flow	0.00	791.46M	-29.41M	634.82M	168.90M	-281.36M
Investing Cash Flow	0.00	93.77M	-657.26M	-511.43M	-429.84M	33.18M
Financing Cash Flow	0.00	-383.53M	-56.48M	-316.71M	-4.24B	-1.43B

Yuke's Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 431.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4334, the sentiment is Positive. The current price of 431 is below the 20-day moving average (MA) of 431.05, below the 50-day MA of 431.36, and above the 200-day MA of 405.69, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 54.13 is Neutral, neither overbought nor oversold. The STOCH value of 52.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4334.

Yuke's Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3935	76 Outperform	¥5.95B	15.47	―	0.75%	26.95%	84.92%
4334	74 Outperform	¥3.71B	17.06	―	2.76%	-6.55%	―
3928	65 Neutral	¥1.96B	14.96	―	―	-10.80%	-64.63%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
3851	51 Neutral	¥4.13B	-17.78	―	0.61%	-13.35%	-258.79%
3672	41 Neutral	¥3.98B	-3.75	―	―	-17.60%	37.30%
3667	37 Underperform	¥3.31B	-3.14	―	―	-22.21%	32.20%