TeamSpirit, Inc. (4397) AI Stock Analysis

• Market Cap: ¥10.65B
• Dividend Yield: N/A
• Average Volume (3M): 98.01K
• Price to Earnings (P/E): 130.4
• Beta (1Y): 0.78
• Revenue Growth: 9.91%
• EPS Growth: N/A
• Country: JP
• Employees: 208
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 7.01
• Shares Outstanding: 16,509,500
• 10 Day Avg. Volume: 95,810
• 30 Day Avg. Volume: 98,006
• 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: 46 Neutral
• Price Target: ―

TeamSpirit, Inc. exhibits revenue growth but struggles with profitability and declining equity, impacting its financial performance score. The bearish technical indicators and negative P/E ratio further underscore the challenges. Despite a strong liquidity position, the company needs to address operational inefficiencies to improve its stock outlook.

TeamSpirit, Inc. Business Overview & Revenue Model

Company Description

TeamSpirit, Inc. (4397) is a Japanese company specializing in developing and providing cloud-based business management software solutions. The company's core product, TeamSpirit, is a cloud-based platform that integrates various enterprise functions such as time management, expense management, and work-style management to enhance productivity and streamline operations. TeamSpirit, Inc. mainly serves the sectors of financial services, manufacturing, and information technology, offering solutions that cater to the needs of both large enterprises and small to medium-sized businesses.

How the Company Makes Money

TeamSpirit, Inc. generates revenue primarily through subscription fees for its cloud-based software solutions. The company's revenue model is based on a Software as a Service (SaaS) model, where clients pay a recurring subscription fee to access and use the TeamSpirit platform. Key revenue streams include subscription fees from enterprise clients who utilize the platform for time tracking, expense reporting, and work management. Additionally, the company may generate income through implementation services, customer support, and training services to help clients effectively integrate and use their solutions. Strategic partnerships with other technology providers and system integrators may also contribute to the company's earnings by expanding its reach and enhancing its product offerings.

TeamSpirit, Inc. Financial Statement Overview

Summary

TeamSpirit, Inc. shows promising revenue growth in the software application industry, but persistent losses and declining equity highlight financial challenges. The company maintains a strong liquidity position, but improving profitability is crucial for long-term viability.

Income Statement

The company experienced consistent revenue growth, with a 15.9% increase from 2023 to 2024. However, gross profit margin decreased slightly from 35.8% in 2023 to 37.4% in 2024. Despite this growth, the company continues to report negative EBIT and net income, leading to negative profit margins and indicating ongoing operational challenges.

Balance Sheet

The balance sheet shows a strong liquidity position with a high level of cash compared to total liabilities. The debt-to-equity ratio remains low due to minimal debt, and the equity ratio stands at a stable 33.3%. However, declining stockholders' equity raises concerns about ongoing financial sustainability.

Cash Flow

There was significant improvement in operating cash flow, turning positive in 2024 from negative in 2023. Free cash flow also improved, showing growth and better cash management. However, the free cash flow to net income ratio indicates operational losses, which need addressing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.61B	4.42B	3.81B	3.26B	2.90B	2.45B
Gross Profit	1.79B	1.65B	1.37B	1.11B	1.51B	1.49B
EBITDA	135.25M	-197.36M	-164.00M	-107.00M	191.86M	301.31M
Net Income	-6.87M	-180.10M	-189.19M	-90.35M	122.84M	255.38M
Balance Sheet
Total Assets	3.96B	3.69B	3.52B	3.36B	3.17B	2.81B
Cash, Cash Equivalents and Short-Term Investments	2.72B	2.54B	2.36B	2.41B	2.45B	2.17B
Total Debt	32.15M	0.00	0.00	0.00	0.00	0.00
Total Liabilities	2.60B	2.46B	2.12B	1.83B	1.59B	1.37B
Stockholders Equity	1.36B	1.23B	1.39B	1.53B	1.58B	1.45B
Cash Flow
Free Cash Flow	0.00	63.93M	-7.40M	-7.71M	264.21M	313.09M
Operating Cash Flow	0.00	68.25M	-6.69M	-4.45M	265.01M	395.49M
Investing Cash Flow	0.00	107.44M	-49.72M	-55.94M	-549.00K	-86.38M
Financing Cash Flow	0.00	-628.00K	-790.00K	6.03M	7.34M	-41.53M

TeamSpirit, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 634.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4397, the sentiment is Positive. The current price of 634 is above the 20-day moving average (MA) of 571.25, above the 50-day MA of 544.78, and above the 200-day MA of 446.31, indicating a bullish trend. The MACD of 20.73 indicates Negative momentum. The RSI at 72.19 is Negative, neither overbought nor oversold. The STOCH value of 93.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4397.

TeamSpirit, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4384	72 Outperform	71.94B	25.13	―	0.25%	21.18%	28.48%
4475	66 Neutral	55.25B	47.26	―	0.18%	30.64%	33.06%
4477	64 Neutral	39.00B	113.29	―	―	30.45%	56.35%
3994	56 Neutral	334.21B	-55.57	-16.91%	―	20.96%	-6.20%
4397	46 Neutral	¥10.65B	130.44	―	―	9.91%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

TeamSpirit, Inc. Corporate Events

TeamSpirit Inc. Reports Strong Financial Turnaround for H1 2025

TeamSpirit Inc. reported a significant improvement in its financial performance for the six months ending February 28, 2025, with net sales increasing by 9.1% year-on-year. The company achieved an operating profit of 134 million yen, reversing the previous year’s loss, and is projecting further growth for the fiscal year ending August 31, 2025. The inclusion and exclusion of WorkLifeLog Inc. in its consolidation scope and changes in accounting policies are notable shifts that may impact future results.