Unite & Grow Inc. (4486) AI Stock Analysis

• Market Cap: ¥5.67B
• Dividend Yield: 1.64%
• Average Volume (3M): 11.78K
• Price to Earnings (P/E): 15.8
• Beta (1Y): 0.64
• Revenue Growth: 11.92%
• EPS Growth: -16.48%
• Country: JP
• Employees: 244
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 13.10
• Shares Outstanding: 7,952,400
• 10 Day Avg. Volume: 10,110
• 30 Day Avg. Volume: 11,783
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥783.00 ▲(9.21% Upside)

Unite & Grow Inc. demonstrates strong financial health with robust revenue growth, profitability, and cash flow generation, contributing significantly to its overall score. However, technical indicators suggest a bearish trend, which slightly offsets the financial strengths. The valuation is fair, providing a balanced view of the stock's potential. The absence of earnings call data and corporate events does not impact the score.

Unite & Grow Inc. Business Overview & Revenue Model

Company Description

Unite & Grow Inc. (4486) is a company that specializes in offering comprehensive IT solutions, including managed services, IT consulting, and system integration. The company caters to various sectors, providing tailored technology strategies and support to enhance operational efficiency for its clients.

How the Company Makes Money

Unite & Grow Inc. generates revenue primarily through its managed IT services, where businesses outsource their IT operations and infrastructure management to the company. Additional income streams include consulting services, where the company advises clients on IT strategy and implementation, and system integration projects that involve combining various subsystems into a cohesive and efficient IT infrastructure. Unite & Grow Inc. may also engage in strategic partnerships with technology providers to enhance its service offerings and expand its customer base.

Unite & Grow Inc. Financial Statement Overview

Summary

Unite & Grow Inc. exhibits a strong financial position with consistent revenue growth, high profitability margins, and a solid balance sheet characterized by low leverage and high equity. The company's cash flow generation is robust, providing ample liquidity and flexibility for future investments and growth opportunities. The financial health of the company is excellent, with minimal risks observed.

Income Statement

Unite & Grow Inc. has demonstrated strong revenue growth with a 11.22% increase from the previous year. The company maintains healthy profitability with a gross profit margin of 46.48% and a net profit margin of 12.95%. The EBIT margin is solid at 13.32%, and the EBITDA margin is 18.73%, indicating efficient operations and cost management.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.002, showcasing minimal leverage and financial risk. The return on equity is impressive at 18.82%, reflecting efficient use of equity capital. The equity ratio stands at 66.33%, indicating a strong capital structure with significant equity financing.

Cash Flow

Cash flow performance is strong, with a substantial free cash flow growth rate of 148.61%. The operating cash flow to net income ratio is 1.47, and the free cash flow to net income ratio is 1.47, highlighting excellent cash generation relative to net income, supporting the company's liquidity and operational flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	770.16M	2.97B	2.67B	2.34B	2.08B	1.73B
Gross Profit	361.74M	1.33B	1.31B	1.12B	1.01B	804.93M
EBITDA	140.73M	555.79M	395.11M	338.29M	308.62M	240.69M
Net Income	91.17M	384.34M	305.71M	238.37M	198.34M	159.27M
Balance Sheet
Total Assets	2.90B	3.08B	2.61B	2.37B	2.11B	1.77B
Cash, Cash Equivalents and Short-Term Investments	2.55B	2.70B	2.27B	2.14B	1.91B	1.57B
Total Debt	2.83M	3.36M	5.95M	50.00M	10.54M	7.32M
Total Liabilities	860.94M	1.04B	765.75M	767.06M	730.00M	580.95M
Stockholders Equity	2.04B	2.04B	1.85B	1.60B	1.38B	1.19B
Cash Flow
Free Cash Flow	0.00	563.40M	226.61M	173.40M	366.50M	225.31M
Operating Cash Flow	0.00	566.25M	374.32M	213.25M	432.75M	235.54M
Investing Cash Flow	0.00	-12.15M	-118.92M	-489.95M	-66.25M	-38.40M
Financing Cash Flow	0.00	-86.11M	-111.26M	29.52M	-18.08M	-24.72M

Unite & Grow Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 717.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4486, the sentiment is Positive. The current price of 717 is below the 20-day moving average (MA) of 730.65, below the 50-day MA of 724.80, and above the 200-day MA of 618.22, indicating a neutral trend. The MACD of -3.21 indicates Positive momentum. The RSI at 47.95 is Neutral, neither overbought nor oversold. The STOCH value of 56.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4486.

Unite & Grow Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4076	80 Outperform	¥4.94B	9.35	―	4.41%	8.71%	23.46%
3920	79 Outperform	¥5.56B	13.63	―	1.19%	7.38%	515.19%
4486	76 Outperform	¥5.67B	15.83	―	1.64%	11.92%	-16.48%
9219	65 Neutral	¥5.55B	―	―	5.27%	13.26%	-213.33%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6942	57 Neutral	¥5.57B	52.11	―	―	-5.20%	133.74%
2375	44 Neutral	¥4.76B	―	―	0.43%	-11.66%	-137.22%

Unite & Grow Inc. Corporate Events

Unite & Grow Inc. Reports Q2 FY2025 Financial Results

Unite & Grow Inc. has announced its Q2 FY2025 financial results, highlighting its unique business model that increases profitability by aggregating knowledge and experience. The company’s approach of involving all employees in indirect operations, such as recruitment and training, enhances organizational strength and nurtures proactive individuals, setting it apart in the industry.