BASE, Inc. (4477) AI Stock Analysis

• Market Cap: ¥39.12B
• Dividend Yield: N/A
• Average Volume (3M): 1.27M
• Price to Earnings (P/E): 67.2
• Beta (1Y): 1.03
• Revenue Growth: 27.97%
• EPS Growth: -5.25%
• Country: JP
• Employees: 304
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 3.99
• Shares Outstanding: 117,821,655
• 10 Day Avg. Volume: 1,114,520
• 30 Day Avg. Volume: 1,270,080
• PEG Ratio: -0.71
• Price to Book (P/B): 2.76
• Price to Sales (P/S): 2.35
• P/FCF Ratio: 10.34
• 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: 62 Neutral
• Price Target: ¥350.00 ▲(6.06% Upside)

The score is primarily supported by improved 2024 fundamentals (return to profitability, strong cash flow rebound, and low leverage). It is held back by a still-soft technical backdrop versus longer-term averages and a stretched valuation (high P/E with no dividend).

Positive Factors

Revenue Growth

The re-acceleration in revenue growth indicates a recovery in market demand and effective business strategies, supporting long-term expansion.

Cash Flow Improvement

Strong cash flow generation enhances financial flexibility and supports future investments, contributing to sustainable growth.

Strategic Acquisition

The acquisition is likely to enhance market position and operational synergies, driving long-term profitability and competitive advantage.

Negative Factors

Operating Profitability

Persistent pressure on operating profitability suggests challenges in cost management and efficiency, potentially limiting earnings growth.

Cash Flow Volatility

Volatile cash flow history raises concerns about the sustainability of cash generation, impacting long-term financial stability.

Modest Returns on Equity

While positive, modest returns on equity indicate challenges in generating strong profitability from the capital base, affecting investor confidence.

BASE, Inc. Business Overview & Revenue Model

Company Description

BASE, Inc. engages in the planning, development, and operation of web services in Japan. It operates through three segments: BASE Business, PAY Business, and Other Business. The company offers an online shop creation service under the BASE name; and YELL BANK, a financial service that allows shop owners who use the online shop opening service BASE to raise funds. It also provides PAY.JP, an online payment service for developers to integrate credit card payments to web services and online stores; and PAY ID, a shopping service that can be used at any shop using BASE. BASE, Inc. was incorporated in 2012 and is headquartered in Tokyo, Japan.

How the Company Makes Money

BASE, Inc. generates revenue primarily through transaction fees and subscription services. The company charges merchants a percentage fee on sales processed through its e-commerce platform. Additionally, it offers premium subscription plans that provide advanced features and functionalities for online store management. BASE also earns income from payment processing services and value-added services such as marketing tools and analytics. Strategic partnerships with financial institutions and technology providers further enhance its revenue streams by integrating additional services and expanding its customer base.

BASE, Inc. Financial Statement Overview

Summary

BASE, Inc. has shown strong financial performance in 2024, with impressive revenue growth of 36.83%, positive net income, and robust cash flow generation. The balance sheet is solid with low leverage and improved ROE. Some operational challenges are reflected in the low EBIT margin, but overall financial health is positive.

Income Statement

BASE, Inc. has shown impressive revenue growth, with a significant increase of 36.83% from 2023 to 2024. The company's gross profit margin for 2024 was 44.84%, indicating strong profitability at the operational level. Additionally, the net income turned positive in 2024, resulting in a net profit margin of 2.13%. The EBITDA margin improved significantly to 5.03%. However, the EBIT margin was relatively low at 4.83%, suggesting some operational challenges.

Balance Sheet

BASE, Inc. maintains a robust balance sheet with a debt-to-equity ratio of 0.05, reflecting low leverage and financial stability. The company has a strong equity ratio of 29.38%, indicating a solid capital structure. Return on Equity (ROE) improved to 2.50% in 2024 from negative values in previous years, highlighting improved profitability.

Cash Flow

The company's cash flow statement shows a remarkable turnaround with a significant increase in free cash flow to ¥3.63 billion in 2024, from a negative position in 2023. The operating cash flow to net income ratio of 10.76 signifies robust cash generation relative to net income. Free cash flow to net income ratio also indicates strong cash flow performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.80B	15.98B	11.68B	9.74B	9.93B	8.29B
Gross Profit	8.10B	7.17B	5.03B	4.74B	5.62B	4.99B
EBITDA	17.00M	-36.00M	-601.00M	-1.69B	-1.17B	790.45M
Net Income	335.00M	340.00M	-606.00M	-1.73B	-1.19B	584.00M
Balance Sheet
Total Assets	42.78B	46.29B	37.30B	31.28B	31.99B	28.51B
Cash, Cash Equivalents and Short-Term Investments	19.23B	25.73B	22.23B	22.41B	24.05B	22.27B
Total Debt	407.00M	727.00M	0.00	0.00	0.00	0.00
Total Liabilities	29.37B	32.69B	24.30B	17.78B	16.89B	12.29B
Stockholders Equity	13.41B	13.60B	13.00B	13.50B	15.10B	16.22B
Cash Flow
Free Cash Flow	0.00	3.63B	-133.00M	-1.73B	1.76B	3.09B
Operating Cash Flow	0.00	3.66B	-80.00M	-1.71B	1.78B	3.13B
Investing Cash Flow	0.00	-159.00M	-53.00M	-28.00M	-21.00M	-471.70M
Financing Cash Flow	0.00	3.00M	16.00M	26.00M	21.00M	12.42B

BASE, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 330.00
• 50DMA: Positive
• 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:4477, the sentiment is Neutral. The current price of 330 is above the 20-day moving average (MA) of 321.52, above the 50-day MA of 323.48, and below the 200-day MA of 365.16, indicating a neutral trend. The MACD of 3.74 indicates Negative momentum. The RSI at 54.36 is Neutral, neither overbought nor oversold. The STOCH value of 50.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4477.

BASE, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3663	80 Outperform	¥58.63B	32.55	―	2.06%	15.45%	-9.67%
4481	79 Outperform	¥61.96B	14.08	―	3.34%	11.81%	18.17%
4323	73 Outperform	¥60.24B	20.81	―	1.50%	13.48%	35.63%
4477	62 Neutral	¥39.12B	67.21	―	―	27.97%	-5.25%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4165	59 Neutral	¥35.48B	31.61	―	―	21.87%	240.21%
4375	52 Neutral	¥50.49B	-199.58	―	―	29.56%	86.66%

BASE, Inc. Corporate Events

BASE, Inc. Revises Earnings and Dividend Forecasts Following Strategic Acquisition

BASE, Inc. has revised its consolidated earnings and dividend forecasts for the fiscal year ending December 2025, following the acquisition of Estore Corporation as a consolidated subsidiary. This strategic move is expected to significantly boost the company’s financial performance, with notable increases in net sales and profits, reflecting positively on its market positioning and stakeholder value.

The most recent analyst rating on (JP:4477) stock is a Hold with a Yen290.00 price target. To see the full list of analyst forecasts on BASE, Inc. stock, see the JP:4477 Stock Forecast page.

BASE, Inc. Reports Strong Financial Growth and Positive Outlook for 2025

BASE, Inc. reported a significant increase in its financial performance for the nine months ending September 30, 2025, with net sales rising by 24.4% and profit attributable to owners increasing by 31.8% compared to the previous year. The company also announced a revision in its dividend forecast, indicating a positive outlook for the fiscal year ending December 31, 2025, with expected growth in net sales and profits.

The most recent analyst rating on (JP:4477) stock is a Hold with a Yen290.00 price target. To see the full list of analyst forecasts on BASE, Inc. stock, see the JP:4477 Stock Forecast page.