Intelligent Wave Inc. (4847) AI Stock Analysis

• Market Cap: ¥28.13B
• Dividend Yield: 3.27%
• Average Volume (3M): 39.06K
• Price to Earnings (P/E): 20.8
• Beta (1Y): 0.68
• Revenue Growth: 7.42%
• EPS Growth: -4.90%
• Country: JP
• Employees: 476
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Infrastructure
• EPS (TTM): 12.42
• Shares Outstanding: 26,340,000
• 10 Day Avg. Volume: 23,610
• 30 Day Avg. Volume: 39,060
• 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: ¥1,193.00
• Price Target Upside: 11.50% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: ¥1,193.00 ▲(11.50% Upside)

Intelligent Wave Inc. demonstrates strong financial performance, which is the most significant factor contributing to its overall score. The company's solid balance sheet and effective cash flow management provide a stable foundation. Technical analysis indicates a neutral trend, with no clear momentum direction. The valuation is fair, with an attractive dividend yield. The absence of earnings call data and corporate events does not impact the score.

Intelligent Wave Inc. Business Overview & Revenue Model

Company Description

Intelligent Wave Inc. (4847) is a Japanese-based company specializing in the development and provision of information technology solutions, focusing primarily on the financial sector. The company's core offerings include payment processing systems, cybersecurity solutions, and enterprise software tailored to the needs of financial institutions. Intelligent Wave is committed to delivering innovative and reliable technology solutions that enhance the efficiency and security of financial transactions.

How the Company Makes Money

Intelligent Wave Inc. generates revenue through the sale and licensing of its proprietary software products, which are designed to meet the specific needs of the financial services industry. The company earns income by providing payment processing systems that facilitate secure and efficient transactions for banks and financial institutions. Additionally, Intelligent Wave offers cybersecurity solutions that help protect these entities from fraud and data breaches. The company also engages in consulting and support services, providing ongoing maintenance and customization of its software solutions, which constitutes another significant revenue stream. Strategic partnerships with key players in the technology and finance sectors also contribute to the company's earnings, fostering collaborative development and expansion opportunities.

Intelligent Wave Inc. Financial Statement Overview

Summary

Intelligent Wave Inc. exhibits strong financial health with consistent revenue and profit growth, efficient operations, and a solid balance sheet. The company demonstrates effective cash flow management, although some fluctuations in free cash flow growth require attention. The low leverage and strong equity position provide a stable financial foundation.

Income Statement

Intelligent Wave Inc. has demonstrated consistent revenue growth over the years, with a recent growth rate of 3.201%. The company maintains strong profitability metrics, including a healthy gross profit margin and net profit margin. The EBIT and EBITDA margins are also robust, indicating efficient operational management. However, the slight decline in gross profit from the previous year suggests potential cost pressures.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio, indicating minimal leverage and financial risk. The return on equity is strong, showcasing effective utilization of shareholder funds. The equity ratio is healthy, suggesting a stable capital structure. However, the slight increase in total debt warrants monitoring.

Cash Flow

The cash flow statement shows impressive free cash flow growth, highlighting the company's ability to generate cash. The operating cash flow to net income ratio is strong, indicating efficient cash conversion. The free cash flow to net income ratio is also favorable, suggesting good cash management. However, the previous year's negative free cash flow growth indicates potential volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.30B	15.60B	14.52B	13.37B	11.49B	11.19B
Gross Profit	4.76B	4.67B	4.71B	4.27B	3.70B	3.16B
EBITDA	2.92B	3.33B	3.17B	2.53B	2.35B	1.92B
Net Income	1.42B	1.35B	1.42B	1.17B	1.06B	840.97M
Balance Sheet
Total Assets	18.03B	18.69B	16.85B	13.68B	12.74B	11.14B
Cash, Cash Equivalents and Short-Term Investments	4.88B	6.43B	4.82B	4.69B	4.23B	4.31B
Total Debt	77.51M	8.83M	2.21M	3.42M	6.06M	15.85M
Total Liabilities	8.90B	9.22B	7.62B	4.88B	4.70B	3.57B
Stockholders Equity	9.13B	9.48B	9.22B	8.80B	8.04B	7.57B
Cash Flow
Free Cash Flow	0.00	3.94B	1.21B	1.13B	-52.04M	961.30M
Operating Cash Flow	0.00	4.26B	3.82B	3.12B	1.49B	1.70B
Investing Cash Flow	0.00	-1.60B	-2.68B	-1.91B	-1.52B	-742.98M
Financing Cash Flow	0.00	-1.05B	-1.02B	-448.99M	-350.92M	-292.12M

Intelligent Wave Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1070.00
• 50DMA: Negative
• 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:4847, the sentiment is Positive. The current price of 1070 is above the 20-day moving average (MA) of 1064.80, below the 50-day MA of 1078.10, and above the 200-day MA of 1061.19, indicating a neutral trend. The MACD of -4.36 indicates Negative momentum. The RSI at 50.05 is Neutral, neither overbought nor oversold. The STOCH value of 43.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4847.

Intelligent Wave Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4847	73 Outperform	¥28.13B	20.75		3.27%	7.42%	-4.90%
4493	70 Outperform	¥17.69B	32.50		0.17%	28.56%	-13.56%
3741	67 Neutral	¥22.46B	17.19		2.32%	17.22%	10.53%
3694	66 Neutral	¥31.19B	26.04		―	4.86%	7.22%
3915	64 Neutral	¥27.64B	25.90		―	23.85%	138.81%
Sector *	61 Neutral	$35.55B	8.88	-11.05%	1.87%	8.55%	-8.14%
3778	53 Neutral	¥117.70B	45.80		0.14%	45.51%	292.77%

Intelligent Wave Inc. Corporate Events

Intelligent Wave Inc. Reports Deferred Tax Benefit in Q3

Intelligent Wave Inc. announced a significant recording of income taxes – deferred benefit amounting to 591 million yen for the nine months ending March 31, 2025. This adjustment, due to an increase in deferred tax assets, has been incorporated into their financial results, reflecting a strategic financial maneuver that could impact their fiscal positioning.

Intelligent Wave Inc. Reports Mixed Financial Results with Positive Outlook

Intelligent Wave Inc. reported its non-consolidated financial results for the nine months ending March 31, 2025, showing a 7.2% increase in net sales compared to the previous year. However, operating and ordinary profits decreased by 3.4% and 2.9%, respectively. The company maintains a stable equity-to-asset ratio and has announced a forecast for increased net sales and profits for the fiscal year ending June 30, 2025, indicating a positive outlook despite recent profit declines.