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DreamArts Corp. (JP:4811)
:4811
Japanese Market
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DreamArts Corp. (4811) AI Stock Analysis

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JP:4811

DreamArts Corp.

(4811)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
¥859.00
▼(-77.80% Downside)
Action:Reiterated
Date:03/24/26
The score is driven primarily by strong financial performance—material margin expansion, debt-free balance sheet, and good cash conversion. This is offset by weak technicals (price below all major moving averages and negative MACD), while valuation is broadly reasonable with a moderate P/E and ~2.6% dividend yield.
Positive Factors
Debt-free balance sheet
Zero reported debt and materially higher equity (¥710m to ~¥2.92bn) reduce financial risk and increase strategic optionality. With mid‑20% ROE in recent years, the company can fund organic growth, M&A, or shareholder returns without leverage, enhancing resilience.
Negative Factors
Moderating revenue growth
Top‑line deceleration to mid‑single digits constrains the runway for scale economies and long‑term earnings upside. In software infrastructure, weaker revenue growth can limit market share gains, pressure future margin expansion, and reduce reinvestment payback over 2–6 months.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-free balance sheet
Zero reported debt and materially higher equity (¥710m to ~¥2.92bn) reduce financial risk and increase strategic optionality. With mid‑20% ROE in recent years, the company can fund organic growth, M&A, or shareholder returns without leverage, enhancing resilience.
Read all positive factors

DreamArts Corp. (4811) vs. iShares MSCI Japan ETF (EWJ)

DreamArts Corp. Business Overview & Revenue Model

Company Description
DreamArts Corporation focuses on crafting, developing, and marketing cloud-based software solutions tailored for major enterprises. Its portfolio features SmartDB, a software-as-a-service (SaaS) no-code development platform, coupled with specializ...

DreamArts Corp. Financial Statement Overview

Summary
Strong multi-year improvement in profitability (net margin ~0.4% in 2021 to ~13.4% in 2025; EBIT margin to ~17.2%) and meaningfully higher gross margin (~62.5% in 2025). Balance sheet is a major strength with debt reduced to ¥0 and equity growth supporting strong ROE (~26% in 2025). Cash conversion is solid (FCF ~97% of net income in 2025), though operating cash flow covers less than half of total liabilities (~0.49 in 2025) and revenue growth has moderated (~4.2% in 2025).
Income Statement
86
Very Positive
Balance Sheet
93
Very Positive
Cash Flow
82
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue5.68B5.65B5.03B4.44B3.67B2.94B
Gross Profit3.57B3.53B2.87B2.37B1.84B1.35B
EBITDA1.11B1.18B947.61M742.46M366.32M122.63M
Net Income688.87M757.53M551.34M424.29M127.13M10.88M
Balance Sheet
Total Assets5.22B5.31B4.74B3.95B2.43B2.02B
Cash, Cash Equivalents and Short-Term Investments3.95B4.14B3.57B2.84B1.27B924.69M
Total Debt0.000.00300.00M300.00M300.00M450.00M
Total Liabilities2.30B2.40B2.43B2.13B1.58B1.31B
Stockholders Equity2.92B2.92B2.31B1.82B853.92M710.07M
Cash Flow
Free Cash Flow0.001.06B976.00M1.02B485.50M3.51M
Operating Cash Flow0.001.09B1.00B1.18B721.30M132.09M
Investing Cash Flow0.00-71.47M-201.00M-162.39M-235.61M-132.58M
Financing Cash Flow0.00-454.99M-77.00M538.27M-149.98M-205.04M

DreamArts Corp. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3870.00
Price Trends
50DMA
760.48
Positive
100DMA
795.90
Negative
200DMA
1037.76
Negative
Market Momentum
MACD
1.13
Negative
RSI
58.71
Neutral
STOCH
58.98
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 3870 is above the 20-day moving average (MA) of 747.00, above the 50-day MA of 760.48, and above the 200-day MA of 1037.76, indicating a neutral trend. The MACD of 1.13 indicates Negative momentum. The RSI at 58.71 is Neutral, neither overbought nor oversold. The STOCH value of 58.98 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

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥9.40B14.470.47%17.60%71.29%
72
Outperform
¥9.50B13.371.01%8.34%-5.27%
71
Outperform
¥6.70B13.281.18%12.84%24.85%
69
Neutral
¥8.14B8.873.06%22.74%6.75%
68
Neutral
¥15.77B-24.8312.01%-191.13%
65
Neutral
¥8.98B10.572.16%-1.76%25.65%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4811
DreamArts Corp.
796.00
-297.26
-27.19%
JP:3623
Billing System Corporation
1,051.00
12.61
1.21%
JP:3633
GMO Pepabo, Inc.
1,698.00
241.45
16.58%
JP:4374
ROBOT PAYMENT INC.
2,428.00
-145.35
-5.65%
JP:4430
TOKAI SOFT CO.,LTD.
1,660.00
162.75
10.87%
JP:4434
Serverworks Co., Ltd.
1,987.00
-313.47
-13.63%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Mar 24, 2026