DreamArts Corp. (4811) AI Stock Analysis

• Market Cap: ¥14.03B
• Dividend Yield: 1.08%
• Average Volume (3M): 12.07K
• Price to Earnings (P/E): 20.3
• Beta (1Y): 0.63
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: 272
• Sector: Technology
• Sector Strength: 96
• Industry: Software - Infrastructure
• EPS (TTM): 78.65
• Shares Outstanding: 3,871,560
• 10 Day Avg. Volume: 13,570
• 30 Day Avg. Volume: 12,066
• 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: ¥4,415.00
• Price Target Upside: 16.03% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 77 Outperform
• Price Target: ¥4,415.00 ▲(16.03% Upside)

DreamArts Corp. demonstrates a strong financial performance with robust revenue growth and profitability, low leverage, and effective cash generation. The stock's positive technical indicators support a bullish outlook, though caution is advised as it approaches overbought conditions. Valuation metrics suggest the stock is fairly valued, with a moderate P/E ratio and a modest dividend yield.

DreamArts Corp. Business Overview & Revenue Model

Company Description

DreamArts Corp. (4811) is a technology company specializing in the development and provision of collaborative software solutions aimed at enhancing business productivity. The company focuses primarily on creating platforms that facilitate effective communication, data sharing, and project management within organizations. DreamArts serves a diverse clientele, ranging from small businesses to large enterprises, seeking to optimize their operational workflows through cloud-based and on-premise solutions.

How the Company Makes Money

DreamArts Corp. generates revenue primarily through the sale of software licenses and subscription-based services. The company's key revenue streams include licensing fees for its software products, which are offered on both a one-time purchase and a recurring subscription basis. Additionally, DreamArts offers various tiers of service plans that provide clients with ongoing support, updates, and additional features, contributing to a steady flow of recurring income. The company also engages in strategic partnerships with other technology firms to expand its reach and enhance its product offerings, which can lead to additional revenue through collaborative projects and cross-sales. DreamArts may also generate income through consulting services, assisting clients in implementing and customizing their software solutions to better fit their specific business needs.

DreamArts Corp. Financial Statement Overview

Summary

DreamArts Corp. shows strong revenue growth and profitability, with a robust Balance Sheet and efficient cash generation. The company maintains low leverage and a balanced capital structure, although there is a minor decline in free cash flow growth.

Income Statement

DreamArts Corp. shows strong revenue growth with a Revenue Growth Rate of 13.35% in the latest year. The Gross Profit Margin stands at 57.06%, indicating healthy profitability. The Net Profit Margin improved to 10.95%, showcasing effective cost management. With an EBIT Margin of 15.36% and EBITDA Margin of 18.91%, the company demonstrates solid operational efficiency.

Balance Sheet

The company's Balance Sheet reflects robustness with a Debt-to-Equity Ratio of 0.13, suggesting low leverage. Return on Equity is strong at 23.87%, highlighting efficient use of equity. An Equity Ratio of 48.79% suggests moderate reliance on equity financing, indicating a well-balanced capital structure.

Cash Flow

Operating Cash Flow shows a healthy generation at 1.82 times the Net Income, indicating effective cash conversion. Free Cash Flow to Net Income Ratio of 1.77 reflects ample free cash flow generation. However, the Free Cash Flow Growth Rate of -4.38% indicates a slight decline in free cash flow over the year.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.03B	4.44B	3.67B	2.94B
Gross Profit	2.87B	2.37B	1.84B	1.35B
EBITDA	947.61M	742.46M	366.32M	122.63M
Net Income	551.34M	424.29M	127.13M	10.88M
Balance Sheet
Total Assets	4.73B	3.95B	2.43B	2.02B
Cash, Cash Equivalents and Short-Term Investments	3.57B	2.84B	1.27B	924.69M
Total Debt	300.00M	300.00M	300.00M	450.00M
Total Liabilities	2.42B	2.13B	1.57B	1.31B
Stockholders Equity	2.31B	1.82B	853.92M	710.07M
Cash Flow
Free Cash Flow	976.00M	1.02B	485.50M	3.51M
Operating Cash Flow	1.00B	1.18B	721.30M	132.09M
Investing Cash Flow	-201.00M	-162.39M	-235.61M	-132.58M
Financing Cash Flow	-77.00M	538.27M	-149.98M	-205.04M

DreamArts Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3805.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4811, the sentiment is Positive. The current price of 3805 is above the 20-day moving average (MA) of 3688.25, above the 50-day MA of 3530.20, and above the 200-day MA of 2854.43, indicating a bullish trend. The MACD of 123.37 indicates Negative momentum. The RSI at 67.96 is Neutral, neither overbought nor oversold. The STOCH value of 75.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4811.

DreamArts Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4811	77 Outperform	¥14.03B	20.26		1.08%	―	―
5582	73 Outperform	¥12.04B	22.50		―	52.86%	1255.76%
Sector *	68 Neutral	¥241.23B	15.39	6.62%	2.45%	9.02%	-0.57%
3850	65 Neutral	¥19.14B	32.98		0.90%	22.72%	71.04%
4488	65 Neutral	¥16.24B	77.06		―	6.29%	-180.52%
3914	64 Neutral	¥16.55B	44.55		―	3.19%	-29.94%
3695	61 Neutral	¥10.18B	36.08		4.96%	14.59%	-53.37%