ZUU Co., Ltd. (4387) AI Stock Analysis

• Market Cap: ¥3.37B
• Dividend Yield: N/A
• Average Volume (3M): 5.76K
• Price to Earnings (P/E): 28.0
• Beta (1Y): 0.66
• Revenue Growth: 3.25%
• EPS Growth: N/A
• Country: JP
• Employees: 149
• Sector: Technology
• Sector Strength: 79
• Industry: Software - Application
• EPS (TTM): 72.58
• Shares Outstanding: 4,749,860
• 10 Day Avg. Volume: 3,260
• 30 Day Avg. Volume: 5,756
• PEG Ratio: -0.39
• Price to Book (P/B): 3.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.06
• 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: 58 Neutral
• Price Target: ¥735.00 ▲(3.67%Upside)

ZUU Co., Ltd.'s stock score is primarily influenced by its stable financial performance, though weakened by low profitability and cash flow challenges. Technical indicators suggest a bearish trend, impacting the score negatively. The valuation is moderate, without dividend support. The absence of recent earnings call data and notable corporate events leaves the financial performance as the dominant factor.

ZUU Co., Ltd. Business Overview & Revenue Model

Company Description

ZUU Co., Ltd. is a Japan-based company primarily engaged in the provision of financial technology services. It operates in the digital transformation of the finance sector, offering a range of services such as financial advisory platforms, online media for financial information, and investment management tools. The company caters to individual investors and financial institutions seeking to enhance their financial literacy and investment strategies.

How the Company Makes Money

ZUU Co., Ltd. generates revenue through a combination of subscription fees, advertising, and partnerships. It charges subscription fees to individual users and financial institutions for premium access to its financial advisory platforms and investment tools. Additionally, it earns advertising revenue by offering advertising space on its online media platforms, which are visited by users seeking financial information and advice. The company also engages in strategic partnerships with financial institutions, providing tailored services and solutions, which contribute to its revenue streams.

ZUU Co., Ltd. Financial Statement Overview

Summary

ZUU Co., Ltd. shows solid revenue growth and efficient cost management, with a strong balance sheet and low leverage. However, profitability margins are low, and the cash flow is weak, with negative free cash flow posing a risk to liquidity.

Income Statement

ZUU Co., Ltd. exhibited a positive revenue growth rate with an increase in total revenue from the previous year. The gross profit margin remains healthy, indicating efficient cost management. However, the net profit margin and EBIT margin are relatively low, suggesting challenges in converting revenue into actual profit. The EBITDA margin improved significantly, indicating better operational efficiency compared to previous periods.

Balance Sheet

The company maintains a strong equity position with a favorable equity ratio, indicating financial stability and lower reliance on debt. The debt-to-equity ratio is low, which is a positive sign for leverage management. Return on equity has improved, reflecting better utilization of equity to generate profits. However, the overall asset base has grown rapidly, which may impact future returns.

Cash Flow

ZUU Co., Ltd. faced negative free cash flow growth, which is a concern for cash generation capability. The operating cash flow to net income ratio is negative, indicating that the company is not effectively converting its earnings into cash. Additionally, while the free cash flow to net income ratio is also negative, it reflects the challenges in maintaining liquidity despite operational improvements.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
3.03B	2.99B	2.90B	3.40B	3.38B	2.79B
	Gross Profit
2.08B	1.96B	1.90B	2.43B	2.43B	2.10B
	EBIT
95.30M	14.47M	115.01M	210.63M	-244.94M	14.39M
	EBITDA
41.05M	727.89M	33.41M	190.21M	-252.45M	-169.44M
	Net Income Common Stockholders
-168.29M	120.10M	-45.16M	90.03M	-230.72M	-300.09M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.53B	2.62B	1.72B	1.49B	1.04B	1.25B
	Total Assets
11.75B	9.65B	9.33B	3.07B	2.01B	2.05B
	Total Debt
392.00M	297.18M	260.48M	125.67M	19.17M	19.17M
	Net Debt
-1.95B	-2.33B	-1.46B	-1.37B	-1.02B	-1.23B
	Total Liabilities
5.20B	3.35B	4.41B	1.71B	811.05M	657.02M
	Stockholders Equity
1.07B	1.39B	1.30B	1.34B	1.19B	1.39B
Cash Flow		Free Cash Flow
0.00	-773.81M	87.93M	399.88M	-194.26M	211.11M
	Operating Cash Flow
0.00	-737.65M	120.56M	409.85M	-186.42M	231.06M
	Investing Cash Flow
0.00	2.70B	-3.09B	-106.64M	-88.56M	-275.00K
	Financing Cash Flow
0.00	-1.19B	3.31B	154.28M	56.60M	691.20M

ZUU Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 709.00
• 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:4387, the sentiment is Negative. The current price of 709 is below the 20-day moving average (MA) of 712.40, below the 50-day MA of 722.42, and below the 200-day MA of 754.42, indicating a bearish trend. The MACD of -9.36 indicates Negative momentum. The RSI at 45.24 is Neutral, neither overbought nor oversold. The STOCH value of 51.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4387.

ZUU Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4447	66 Neutral	¥3.23B	15.56		1.98%	-0.64%	-36.11%
Sector *	62 Neutral	$11.80B	10.10	-7.47%	2.99%	7.37%	-8.16%
4484	61 Neutral	¥3.36B	19.01		―	-1.85%	122.23%
4387	58 Neutral	¥3.37B	28.04		―	3.25%	―
4014	57 Neutral	¥3.31B	51.41		―	-33.91%	90.57%
4174	54 Neutral	¥3.67B	77.18		1.83%	9.30%	-109.29%
3909	53 Neutral	¥3.31B	13.38		―	13.97%	―