Sansan, Inc. (4443) AI Stock Analysis

• Market Cap: ¥262.39B
• Dividend Yield: N/A
• Average Volume (3M): 604.95K
• Price to Earnings (P/E): 121.7
• Beta (1Y): 0.79
• Revenue Growth: 29.19%
• EPS Growth: N/A
• Country: JP
• Employees: 1,899
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Application
• EPS (TTM): 10.93
• Shares Outstanding: 126,516,450
• 10 Day Avg. Volume: 524,800
• 30 Day Avg. Volume: 604,953
• PEG Ratio: 13.02
• Price to Book (P/B): 16.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 67.52
• 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: ¥2,625.00
• Price Target Upside: 26.57% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 66 Neutral
• Price Target: ¥2,240.00 ▲(8.00%Upside)

Sansan, Inc.'s overall stock score reflects strong financial performance with notable revenue and cash flow growth, balanced by mixed technical indicators and high valuation concerns. The lack of recent earnings call data or significant corporate events means the score is heavily reliant on financial and technical factors.

Sansan, Inc. Business Overview & Revenue Model

Company Description

Sansan, Inc. engages in the planning, development, and selling of business database in Japan. It offers Sansan, a cloud-based contact management tool that enables to build a complete contact database; Eight, a personal business networking application centered on contacts and career management; and Bill One, a cloud-based solution to receive and digitizes invoices. The company was incorporated in 2007 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sansan, Inc. generates revenue through a subscription-based model for its cloud-based services. The company earns money from corporate clients who subscribe to its Sansan platform, which provides a comprehensive contact management solution, including data organization, sharing, and integration with other enterprise systems. Additionally, Sansan offers the Eight app, which monetizes through premium subscriptions and advertising. The company benefits from strong partnerships with various corporations that integrate Sansan's services into their business processes, further contributing to its revenue growth.

Sansan, Inc. Financial Statement Overview

Summary

Sansan, Inc. exhibits strong financial health characterized by impressive revenue growth, efficient operations, and healthy cash flow generation. The company's profitability metrics have improved significantly, and its balance sheet reflects stability with manageable debt levels. Maintaining growth and enhancing asset returns will be crucial for sustaining long-term success.

Income Statement

Sansan, Inc. has demonstrated strong revenue growth, with a 32.83% increase from 2023 to 2024. The gross profit margin is high at 85.05%, indicating strong operational efficiency. The net profit margin improved significantly to 2.81%, recovering from a loss in the previous year. EBIT and EBITDA margins are also positive, showing good profitability. However, the company needs to maintain this trajectory to ensure consistent profitability.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio of 0.31, suggesting moderate leverage. The equity ratio is 38.95%, indicating a healthy balance of debt and equity financing. Return on equity (ROE) is 6.51%, reflecting a satisfactory return on shareholders' investment. The strengths lie in its strong equity position and manageable debt levels, though there's room to improve asset utilization for higher returns.

Cash Flow

Operating cash flow has increased to JPY 5,483 million, supporting robust free cash flow of JPY 4,918 million. The free cash flow growth rate of 55.14% is impressive, showcasing effective cash management and operational efficiency. The operating cash flow to net income ratio of 5.75 indicates strong cash-generating ability relative to net income. This solid cash flow performance underpins the company's financial health, although continuous attention to capital expenditure efficiency is advisable.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	38.21B	33.88B	25.51B	20.42B	16.18B	13.36B
Gross Profit	32.73B	28.81B	21.83B	17.91B	14.19B	11.54B
EBITDA	1.89B	1.87B	856.00M	1.71B	1.10B	969.62M
Net Income	1.13B	953.00M	-141.00M	857.00M	182.00M	339.67M
Balance Sheet
Total Assets	38.86B	37.59B	31.20B	26.29B	24.31B	22.82B
Cash, Cash Equivalents and Short-Term Investments	23.64B	24.87B	21.11B	15.43B	12.39B	12.82B
Total Debt	4.03B	4.48B	3.40B	3.02B	2.16B	5.18B
Total Liabilities	23.17B	22.82B	18.01B	14.20B	11.73B	12.27B
Stockholders Equity	15.57B	14.64B	13.12B	12.09B	12.58B	10.55B
Cash Flow
Free Cash Flow	0.00	4.92B	3.17B	2.20B	2.10B	2.03B
Operating Cash Flow	0.00	5.48B	3.85B	3.12B	3.01B	2.82B
Investing Cash Flow	0.00	-3.18B	1.36B	-1.01B	-551.42M	-7.19B
Financing Cash Flow	0.00	1.43B	523.00M	909.00M	-2.90B	11.56B

Sansan, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2074.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4443, the sentiment is Negative. The current price of 2074 is below the 20-day moving average (MA) of 2106.45, above the 50-day MA of 2027.08, and below the 200-day MA of 2144.26, indicating a neutral trend. The MACD of 21.75 indicates Positive momentum. The RSI at 44.64 is Neutral, neither overbought nor oversold. The STOCH value of 14.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4443.

Sansan, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9759	80 Outperform	¥259.41B	23.29		2.43%	6.45%	15.31%
4432	76 Outperform	¥140.75B	23.75		2.06%	11.47%	8.73%
4776	72 Outperform	¥170.90B	40.21		0.80%	16.68%	43.49%
4443	66 Neutral	¥262.39B	121.72		―	29.19%	―
Sector *	63 Neutral	$33.61B	6.06	-11.53%	1.82%	5.53%	-18.79%
3994	53 Neutral	¥268.38B	―	-17.75%	―	28.35%	-2.49%
4478	47 Neutral	¥215.25B	―		―	29.79%	77.13%