RaQualia Pharma Inc. (4579) AI Stock Analysis

• Market Cap: ¥25.70B
• Dividend Yield: N/A
• Average Volume (3M): 352.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: 9.87%
• EPS Growth: -24.41%
• Country: JP
• Employees: 64
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -8.80
• Shares Outstanding: 24,457,672
• 10 Day Avg. Volume: 795,170
• 30 Day Avg. Volume: 352,926
• PEG Ratio: -0.32
• Price to Book (P/B): 1.49
• Price to Sales (P/S): 2.67
• P/FCF Ratio: 98.67
• 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): 4,070.49
• Revenue Forecast (FY): ¥601.37B

• Rating: 58 Neutral
• Price Target: ¥1,358.00 ▲(29.21% Upside)

RaQualia Pharma Inc.'s stock score is primarily influenced by strong technical momentum, which is offset by significant financial performance challenges and an unattractive valuation. The lack of earnings call data and corporate events means these factors were not considered.

Positive Factors

Innovative Drug Development

The company's focus on innovative drug development in niche areas like gastrointestinal and CNS disorders positions it well for long-term growth, leveraging proprietary platforms to address unmet medical needs.

Strategic Partnerships

Strategic partnerships and collaborations enhance resource access and market reach, providing a stable revenue stream through royalties and milestone payments, crucial for sustainable earnings.

Moderate Debt Levels

A moderate debt-to-equity ratio indicates prudent financial management, providing flexibility for future investments and reducing financial risk.

Negative Factors

Negative Cash Flow

Negative operating cash flow suggests challenges in cash management, potentially impacting the company's ability to fund operations and growth initiatives without external financing.

Declining Revenue

Declining revenue growth indicates potential market share loss or product demand issues, which could hinder long-term profitability and market positioning.

Profitability Challenges

Ongoing profitability challenges, indicated by negative margins, may limit the company's ability to reinvest in R&D and compete effectively, impacting long-term growth prospects.

RaQualia Pharma Inc. Business Overview & Revenue Model

Company Description

RaQualia Pharma Inc. is a biopharmaceutical company focused on the development and commercialization of innovative drugs primarily in the fields of gastrointestinal and central nervous system disorders. The company operates within the pharmaceutical sector, leveraging its proprietary drug development platforms to create new therapeutic options. Its core products include novel compounds that target unmet medical needs, particularly in areas such as pain management and digestive health.

How the Company Makes Money

RaQualia Pharma Inc. generates revenue through a combination of product sales, licensing agreements, and partnerships with larger pharmaceutical companies. The company markets its proprietary drugs directly or through collaborations, receiving royalties on sales from licensed products. Additionally, strategic partnerships and collaborations with research institutions and other biotech firms provide funding and resources for drug development, contributing to revenue through milestone payments and profit-sharing arrangements. The company's ability to innovate and bring new therapies to market is crucial for sustaining its earnings.

RaQualia Pharma Inc. Financial Statement Overview

Summary

RaQualia Pharma Inc. is facing significant financial challenges, particularly in terms of profitability and cash flow generation. While the company maintains a strong gross profit margin and a balanced debt-to-equity ratio, negative revenue growth and net losses are areas of concern. The company needs to focus on improving its cash flow and profitability to enhance its financial stability.

Income Statement

RaQualia Pharma Inc. has experienced a decline in revenue growth, with a negative growth rate of -5.6% in the TTM period. The company is facing challenges in profitability, as indicated by negative net profit and EBIT margins. However, the gross profit margin remains relatively strong at 74.9%, suggesting efficient cost management at the production level.

Balance Sheet

The company's debt-to-equity ratio is moderate at 0.61, indicating a balanced approach to leveraging. However, the return on equity is negative, reflecting challenges in generating returns for shareholders. The equity ratio is healthy, indicating a strong equity base relative to total assets.

Cash Flow

RaQualia Pharma Inc. is experiencing negative free cash flow growth, which is concerning for liquidity. The operating cash flow to net income ratio is low, indicating inefficiencies in converting income into cash. Despite these challenges, the free cash flow to net income ratio is relatively high, suggesting some ability to cover net losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.05B	3.11B	1.90B	2.92B	2.78B	1.11B
Gross Profit	2.07B	2.48B	1.66B	2.69B	2.46B	969.29M
EBITDA	-17.24M	188.27M	-111.80M	1.00B	1.02B	-403.25M
Net Income	-724.12M	-495.03M	-323.66M	723.39M	755.79M	-606.99M
Balance Sheet
Total Assets	9.52B	9.66B	6.87B	6.26B	5.23B	4.25B
Cash, Cash Equivalents and Short-Term Investments	3.54B	3.34B	3.76B	3.93B	2.66B	2.11B
Total Debt	3.05B	3.45B	367.72M	222.34M	39.07M	45.52M
Total Liabilities	3.48B	4.08B	752.00M	760.67M	446.19M	240.11M
Stockholders Equity	6.04B	5.57B	6.12B	5.50B	4.79B	4.01B
Cash Flow
Free Cash Flow	-286.19M	84.24M	-940.80M	1.45B	260.61M	-445.56M
Operating Cash Flow	-222.86M	180.94M	-718.60M	1.48B	366.03M	-289.21M
Investing Cash Flow	328.55M	-3.67B	-135.37M	-47.65M	-279.25M	225.47M
Financing Cash Flow	461.25M	2.98B	793.45M	-29.56M	-16.44M	-6.96M

RaQualia Pharma Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1051.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4579, the sentiment is Neutral. The current price of 1051 is below the 20-day moving average (MA) of 1118.05, above the 50-day MA of 775.92, and above the 200-day MA of 574.03, indicating a neutral trend. The MACD of 110.37 indicates Positive momentum. The RSI at 52.07 is Neutral, neither overbought nor oversold. The STOCH value of 16.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4579.

RaQualia Pharma Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4579	58 Neutral	¥25.70B	-29.68	―	―	9.87%	-24.41%
4588	52 Neutral	¥26.77B	-10.47	―	―	-9.04%	13.09%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
4880	51 Neutral	¥7.71B	750.93	―	1.29%	-14.78%	-95.53%
4978	49 Neutral	¥13.27B	-47.59	―	―	1.24%	-33.41%
4599	47 Neutral	¥15.80B	-8.75	―	―	―	11.34%
4888	45 Neutral	¥7.05B	-40.45	―	―	248.15%	76.92%

RaQualia Pharma Inc. Corporate Events

RaQualia Pharma Reports Financial Results for First Nine Months of 2025

RaQualia Pharma Inc. reported a decrease in net sales by 2.5% for the first nine months of 2025 compared to the same period in 2024, with a net loss of 568 million yen. Despite the decline in sales and profitability, the company maintained a strong equity ratio of 63.0% as of September 2025, indicating a stable financial position. The company has not announced any changes to its dividend forecasts, and it plans to hold a financial results briefing via webcast, reflecting its commitment to transparency with stakeholders.