Commerce One Holdings, Inc. (4496) AI Stock Analysis

• Market Cap: ¥6.11B
• Dividend Yield: 2.35%
• Average Volume (3M): 2.70K
• Price to Earnings (P/E): 42.4
• Beta (1Y): 0.57
• Revenue Growth: 3.82%
• EPS Growth: -78.15%
• Country: JP
• Employees: 176
• Sector: Technology
• Sector Strength: 94
• Industry: Software - Infrastructure
• EPS (TTM): 13.10
• Shares Outstanding: 7,193,400
• 10 Day Avg. Volume: 4,470
• 30 Day Avg. Volume: 2,696
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥841.00
• Price Target Upside: -1.06% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: ¥859.00 ▲(1.06% Upside)

Commerce One Holdings, Inc. has a strong financial foundation with consistent revenue growth and a robust balance sheet. However, the high P/E ratio suggests potential overvaluation, and recent declines in profit margins and cash flow growth pose risks. Technical indicators show moderate strength, with stable price trends and neutral momentum.

Commerce One Holdings, Inc. Business Overview & Revenue Model

Company Description

Commerce One Holdings, Inc. (4496) is a technology company focused on providing innovative e-commerce solutions, primarily serving businesses looking to enhance their online sales and supply chain management. The company operates within the digital commerce sector, offering a suite of products and services, including marketplace platforms, payment processing, and logistics support. By leveraging advanced technology and data analytics, Commerce One Holdings aims to streamline the purchasing process and improve efficiency for its clients across various industries.

How the Company Makes Money

Commerce One Holdings generates revenue through multiple streams, primarily by charging businesses for access to its e-commerce platforms and services. This includes subscription fees for using its marketplace solutions, transaction fees on processed payments, and service fees for logistics and supply chain management. Additionally, the company may engage in strategic partnerships with financial institutions and logistics providers, allowing it to expand its service offerings and enhance its value proposition. These partnerships often include revenue-sharing agreements that contribute to the company’s overall earnings, while also providing clients with integrated solutions to meet their e-commerce needs.

Commerce One Holdings, Inc. Financial Statement Overview

Summary

Commerce One Holdings, Inc. presents a strong financial profile with consistent revenue growth and a solid balance sheet. The company's low leverage and high equity ratio provide financial stability, while its ability to generate cash enhances liquidity. However, challenges remain with a relatively low net profit margin and ROE, suggesting room for improvement in cost management and profitability.

Income Statement

Commerce One Holdings, Inc. exhibits strong performance in terms of revenue growth and profitability. The company has achieved consistent revenue growth over the years, with a notable increase of 3.8% from the previous year. The gross profit margin stands at 56.9%, indicating efficient production processes. However, the net profit margin is significantly lower at 2.5%, suggesting high operational costs or other expenses impacting the bottom line. Despite this, the EBIT margin of 17.3% demonstrates effective management of operating expenses.

Balance Sheet

The balance sheet of Commerce One Holdings, Inc. reveals a robust financial position with a low debt-to-equity ratio of 0.02, highlighting minimal leverage and financial risk. The equity ratio is strong at 72.7%, indicating a solid capital structure with a high proportion of assets funded by equity. Return on Equity (ROE) is relatively low at 3.6%, suggesting that the company might not be fully utilizing its equity to generate profits. This could be a point of concern for potential investors looking for higher returns.

Cash Flow

The company's cash flow statement reflects a stable cash generation capacity. The operating cash flow to net income ratio is healthy at 5.88, indicating efficient cash conversion from earnings. However, the free cash flow has decreased by 27.6% compared to the previous year, which could impact future investments or debt repayments. The free cash flow to net income ratio remains robust at 5.29, showing that the company maintains a strong ability to generate cash relative to its net earnings.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.69B	3.56B	3.20B	2.94B	2.52B
Gross Profit	2.10B	2.02B	1.80B	1.70B	1.47B
EBITDA	483.08M	846.67M	699.02M	752.18M	669.64M
Net Income	90.63M	414.86M	441.36M	495.98M	393.33M
Balance Sheet
Total Assets	3.47B	3.88B	3.51B	3.11B	2.59B
Cash, Cash Equivalents and Short-Term Investments	1.86B	1.73B	1.61B	1.64B	1.23B
Total Debt	54.44M	47.00M	47.00M	14.15M	17.76M
Total Liabilities	948.30M	1.04B	889.59M	822.17M	780.93M
Stockholders Equity	2.52B	2.84B	2.62B	2.29B	1.81B
Cash Flow
Free Cash Flow	479.30M	661.63M	54.65M	398.37M	363.99M
Operating Cash Flow	532.78M	778.61M	163.97M	515.51M	466.62M
Investing Cash Flow	-182.39M	-367.76M	-56.40M	-111.19M	-102.05M
Financing Cash Flow	-213.37M	-307.41M	-142.77M	-3.68M	92.84M

Commerce One Holdings, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 850.00
• 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:4496, the sentiment is Positive. The current price of 850 is above the 20-day moving average (MA) of 803.45, above the 50-day MA of 789.48, and above the 200-day MA of 775.99, indicating a bullish trend. The MACD of 13.54 indicates Negative momentum. The RSI at 71.72 is Negative, neither overbought nor oversold. The STOCH value of 90.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4496.

Commerce One Holdings, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3623	78 Outperform	¥7.27B	18.72		1.10%	9.41%	21.49%
173A	73 Outperform	¥6.50B	11.07		1.94%	―	―
7351	73 Outperform	¥7.70B	20.15		―	17.72%	844.91%
4496	69 Neutral	¥6.11B	42.43		2.35%	3.82%	-78.15%
3680	54 Neutral	¥4.69B	―		1.00%	-22.88%	-441.25%
Sector *	50 Neutral	AU$1.63B	3.37	-0.63%	3.31%	16.47%	-4.12%