Broadmedia Corporation (4347) AI Stock Analysis

• Market Cap: ¥12.22B
• Dividend Yield: 2.32%
• Average Volume (3M): 17.68K
• Price to Earnings (P/E): 32.4
• Beta (1Y): 0.24
• Revenue Growth: 2.98%
• EPS Growth: -22.92%
• Country: JP
• Employees: 790
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 18.72
• Shares Outstanding: 7,500,000
• 10 Day Avg. Volume: 15,170
• 30 Day Avg. Volume: 17,680
• 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: ¥1,878.00
• Price Target Upside: 8.81% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 62 Neutral
• Price Target: ¥1,878.00 ▲(8.81% Upside)

The overall stock score of 62 reflects a stable financial position with strong cash flow generation but is offset by weak technical indicators and a high valuation. The company faces challenges in revenue growth and profitability, which are critical areas for improvement. The lack of significant earnings call data or corporate events further emphasizes the need for operational enhancements to drive future performance.

Broadmedia Corporation Business Overview & Revenue Model

Company Description

Broadmedia Corporation engages in information technology and content distribution business in Japan. The company operates through five segments: Studio/Contents, Broadcasting, Technology, Education, and Others. The Studio/Contents segment produces and distributes feature films; sells DVDs and Blu-ray discs; sells TV broadcasting rights; and produces video and audio for related subtitles, dubbing, trailers, and program advertisements. This segment also operates Crank In!, an entertainment information site; Crank In! Trend; Crank In! Video that provides video content; and Crank In! Comic, a digital comic service. The Broadcast segment produces broadcasts, and distributes programs; and delivers Fishing Vision VOD, a video distribution service. The Technology segment offers technology services, including the delivery of content through CDN; security services; CM online services that imports commercial materials online; electronic delivery services for digital cinema; and cloud gaming platforms and apps. This segment also engages in the provision of internet service to hotel guest rooms and conference rooms; monitoring of equipment; provision of maintenance services; provision of private network; provision of AI solutions; and developing software. The Education segment operates online and credit-based e-learning high schools with various courses for students comprising of eSports, entertainment, and beauty care; and provides Japanese language education program for non-Japanese people. The Others segment manages the CYCLOPS athlete gaming, a professional eSports team and promotes eSports business; and sells communication products for communication carriers. The company was incorporated in 1973 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Broadmedia Corporation makes money primarily through its media and entertainment services. Key revenue streams include subscription fees from its video on demand (VOD) services, advertising revenue generated from its broadcasting platforms, and fees for IT solutions and consultancy services provided to other media companies. The company also earns income from content licensing and distribution partnerships, leveraging its digital platforms to reach wider audiences. Significant partnerships with other media and technology companies help Broadmedia expand its offerings and enhance revenue potential.

Broadmedia Corporation Financial Statement Overview

Summary

Broadmedia Corporation shows solid revenue growth and a stable gross profit margin, supported by a strong balance sheet with low leverage. However, declining net profit margins and cash flow trends suggest potential areas for improvement, particularly in cost management and cash flow generation.

Income Statement

Broadmedia Corporation has demonstrated consistent revenue growth over the past five years, with a notable 9.6% increase in the latest year. Gross profit margin has remained stable, averaging around 39%, while EBIT and EBITDA margins suggest operational efficiency, standing at 4.6% and 5.1% for the latest year, respectively. However, net profit margin has declined recently, indicating potential challenges in controlling costs or other financial pressures.

Balance Sheet

The company's balance sheet reflects a strong equity position with an equity ratio of approximately 41%. The debt-to-equity ratio is conservative at 0.25, suggesting low leverage, which is a positive indicator of financial stability. Return on equity has been moderate at 7.2%, but a declining trend in equity over recent years could be a concern for future growth.

Cash Flow

Broadmedia Corporation's cash flow statements reveal a decrease in operating cash flow and free cash flow over the last year, indicating potential liquidity challenges. The free cash flow to net income ratio stands at 1.8, reflecting strong cash generation relative to profits, but the declining trend in free cash flow growth rate raises some concerns about future cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.26B	15.53B	14.18B	13.02B	12.34B	10.99B
Gross Profit	5.95B	6.06B	5.68B	5.03B	4.65B	4.06B
EBITDA	718.88M	785.85M	1.08B	1.15B	1.55B	630.63M
Net Income	374.26M	335.27M	680.12M	1.11B	1.01B	151.08M
Balance Sheet
Total Assets	10.08B	11.30B	11.89B	9.95B	8.94B	6.99B
Cash, Cash Equivalents and Short-Term Investments	4.49B	5.62B	5.83B	5.87B	5.30B	3.37B
Total Debt	958.32M	1.15B	1.50B	829.71M	924.05M	575.64M
Total Liabilities	4.87B	5.52B	5.98B	4.50B	4.33B	3.29B
Stockholders Equity	4.41B	4.63B	4.77B	4.30B	3.47B	2.75B
Cash Flow
Free Cash Flow	832.16M	601.54M	983.65M	1.15B	1.78B	372.50M
Operating Cash Flow	918.78M	710.59M	1.18B	1.43B	1.93B	558.50M
Investing Cash Flow	-22.69M	-30.80M	-915.92M	-331.46M	42.25M	-136.84M
Financing Cash Flow	-1.12B	-882.39M	-320.84M	-564.12M	-118.58M	-432.61M

Broadmedia Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1726.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4347, the sentiment is Negative. The current price of 1726 is below the 20-day moving average (MA) of 1740.00, below the 50-day MA of 1815.68, and below the 200-day MA of 1729.25, indicating a bearish trend. The MACD of -26.05 indicates Negative momentum. The RSI at 43.90 is Neutral, neither overbought nor oversold. The STOCH value of 31.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4347.

Broadmedia Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4308	74 Outperform	9.95B	18.17	5.21%	3.51%	5.98%	87.95%
4712	72 Outperform	14.07B	6.11	10.39%	1.34%	22.92%	65.63%
4772	66 Neutral	13.10B	15.08	10.67%	0.88%	1.62%	188.00%
4347	62 Neutral	¥12.22B	32.44		2.32%	2.98%	-22.92%
4650	62 Neutral	2.70B	684.10	5.92%	―	17.90%	-96.58%
3686	43 Neutral	6.30B	-16.40	-40.26%	―	1.74%	51.02%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%