unerry, Inc. (5034) AI Stock Analysis

• Market Cap: ¥9.08B
• Dividend Yield: N/A
• Average Volume (3M): 24.15K
• Price to Earnings (P/E): 29.7
• Beta (1Y): 0.78
• Revenue Growth: 25.45%
• EPS Growth: 138.14%
• Country: JP
• Employees: 72
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): N/A
• Shares Outstanding: 3,777,950
• 10 Day Avg. Volume: 17,090
• 30 Day Avg. Volume: 24,146
• PEG Ratio: 0.07
• Price to Book (P/B): 4.51
• Price to Sales (P/S): 2.44
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: ¥2,586.00 ▲(1.49% Upside)
• Action: Reiterated Date: 02/14/26
• Date: Action: Reiterated 02/14/26

The score is driven by improved profitability and a strong, debt-free balance sheet, partially offset by weak cash conversion and an inconsistent free cash flow profile. Technically, the stock is in a pronounced downtrend with negative momentum, which meaningfully lowers the score, while valuation (P/E ~26) is not notably cheap without dividend support.

Positive Factors

Debt-free Balance Sheet

A zero-debt balance sheet provides durable financial flexibility: it reduces default and interest-rate risk, enables funding of growth or acquisitions from equity/cash, and supports capital allocation choices in downturns without near-term refinancing constraints.

Improving Profitability & Margins

Sustained improvement in gross and operating margins signals structural progress in pricing, cost control, or product mix. Higher margins enhance operating leverage and resilience, supporting reinvestment, better returns on incremental revenue and improved long-term profitability.

Rising Operating Cash Flow

Increasing operating cash flow strengthens core cash generation capacity, validating earnings quality. Over the medium term this supports internal investment, reduces reliance on external funding, and can underpin capex, R&D or shareholder returns if conversion trends continue.

Negative Factors

Weak Cash Conversion

Low cash conversion is a persistent operational risk: if profits do not translate to cash, the company may struggle to fund capex, sustain dividends or build reserves. This limits financial optionality and increases sensitivity to working-capital swings over the medium term.

Inconsistent Free Cash Flow

An inconsistent free cash flow profile creates uncertainty about the firm's capacity to self-fund growth or return capital. Periods of zero or volatile FCF can force external financing or deferred investments, undermining long-term strategic execution and shareholder returns.

Earnings Volatility Historically

Historical swings in profitability indicate structural sensitivity to demand, pricing or cost drivers. Such cyclicality reduces predictability of earnings and return on equity, making long-term planning, valuation stability and investor confidence more challenging if volatility recurs.

unerry, Inc. Business Overview & Revenue Model

Company Description

unerry,Inc. operates real behavior data platforms in Japan. It offers Shopper Miel, a shopper analytics tool; Shopping congestion map, a tool that provides congestion tendency by day of the week and time zone near stores, such as supermarkets and drug stores; and Customized congestion map, a tool that automatically estimates store/event congestion. The company also provides Beacon Bank AD, a tool that optimizes advertising by identifying targets, timings, and locations that are likely to be visited; Beacon Bank 1to1, a build integrated marketing platform; and Real behavior data visualization/analysis, a tool that provides AI analysis of accumulated monthly big data of approximately 30 billion people, and visualization and analysis. In addition, it offers advertising services. The company was incorporated in 2015 and is based in Tokyo, Japan.

How the Company Makes Money

unerry, Inc. generates revenue primarily through subscription fees and service charges for its data analytics platform. The company offers its platform to businesses on a subscription basis, allowing clients to access and utilize their location data and AI-driven insights. Additionally, unerry, Inc. partners with other technology companies and service providers to enhance its offerings and expand its market reach, which also contributes to its revenue streams. These partnerships may involve revenue-sharing agreements or collaborations that enhance the value of their analytics solutions. Furthermore, the company may also earn from consulting services provided to businesses seeking to optimize their operations using location-based data insights.

unerry, Inc. Financial Statement Overview

Summary

Strong profitability improvement into 2025 (higher EBIT and net margins) and a conservative, debt-free balance sheet with improving ROE. Main weakness is cash flow quality: operating cash flow covers only ~38% of net income and free cash flow is not consistently positive (reported as 0 in 2025).

Income Statement

Profitability and scale have improved meaningfully into 2025: revenue rose to 3.73B (annual) with solid gross margin (~39%) and materially higher operating profitability (EBIT margin ~8% vs ~4.8% in 2024 and ~1.7% in 2023). Net margin rebounded to ~8.9% in 2025 from ~2.4% in 2024, showing strong earnings momentum. Offsetting this, results have been volatile over the cycle (losses in 2020–2021 and a sharp net margin swing from ~9.9% in 2022 to ~0.5% in 2023), and recent revenue growth slowed in 2025 versus the prior high-growth years.

Balance Sheet

The balance sheet looks conservative and increasingly well-capitalized: total debt is 0 in 2024 and 2025 (debt-to-equity 0), while equity has grown to ~2.02B against ~2.62B in assets. Returns improved sharply with return on equity rising to ~16.5% in 2025 (from ~4.2% in 2024), consistent with the stronger profitability profile. The main watch item is historical variability in returns (negative ROE in 2020–2021 and low ROE in 2023), indicating the business has not been consistently compounding equity through the cycle.

Cash Flow

Operating cash flow is positive and improving in absolute terms (229.7M in 2025 vs 180.3M in 2024), which supports earnings quality after earlier negative years (2020–2021). However, cash conversion remains a key weakness: operating cash flow covers only ~38% of net income in both 2024 and 2025, suggesting profits are not fully translating into cash in the near term. Free cash flow visibility is mixed—2024 shows positive free cash flow (180.3M), while 2025 reports free cash flow as 0, creating uncertainty around underlying reinvestment needs and sustainable cash generation.

Breakdown	Jun 2024	Jun 2023	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	3.73B	2.83B	2.08B	1.45B	783.02M
Gross Profit	1.47B	1.07B	702.75M	545.84M	220.55M
EBITDA	315.01M	135.02M	35.16M	72.00M	-161.86M
Net Income	331.86M	68.27M	9.36M	143.53M	-162.88M
Balance Sheet
Total Assets	2.62B	2.10B	1.51B	1.20B	945.83M
Cash, Cash Equivalents and Short-Term Investments	1.83B	1.66B	1.13B	900.69M	800.33M
Total Debt	0.00	0.00	104.99M	125.00M	140.00M
Total Liabilities	599.35M	474.19M	413.46M	382.95M	286.70M
Stockholders Equity	2.02B	1.63B	1.10B	820.84M	659.13M
Cash Flow
Free Cash Flow	0.00	180.32M	28.04M	68.83M	-174.24M
Operating Cash Flow	229.67M	180.32M	28.04M	68.83M	-174.24M
Investing Cash Flow	-59.56M	-5.88M	-42.50M	30.11M	-10.00K
Financing Cash Flow	2.58M	357.10M	239.38M	1.43M	762.70M

unerry, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2548.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5034, the sentiment is Neutral. The current price of 2548 is above the 20-day moving average (MA) of 2363.05, below the 50-day MA of 2552.00, and below the 200-day MA of 2859.20, indicating a neutral trend. The MACD of -72.00 indicates Negative momentum. The RSI at 50.45 is Neutral, neither overbought nor oversold. The STOCH value of 90.22 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5034.

unerry, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6180	75 Outperform	¥7.63B	12.37	―	3.29%	7.47%	55.61%
6185	64 Neutral	¥6.33B	13.41	―	―	8.77%	―
5034	63 Neutral	¥9.08B	29.65	―	―	25.45%	138.14%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
6562	60 Neutral	¥12.38B	13.69	―	―	33.34%	-25.08%
2489	57 Neutral	¥11.22B	44.82	―	1.09%	-5.70%	-215.73%

unerry, Inc. Corporate Events

Unerry Details AI Data Strategy and Blogwatcher Deal in Investor Q&A

Unerry has released a detailed Q&A addressing shareholder and investor inquiries following its second-quarter results for the fiscal year ending June 30, 2026, as part of a broader effort to improve transparency and fair disclosure. Management reaffirmed that high-quality data will increase in strategic importance as generative AI advances, and the company is emphasizing an “AI Ready” approach by cleansing and formatting its data so clients can easily integrate it into their own AI systems and internal dashboards.

The company also highlighted that it views generative AI providers as collaborative partners rather than simple customers, noting that joint data solution initiatives with such firms have recently become more active. Regarding its acquisition of Blogwatcher Inc., Unerry stated that the integration will expand its data volume and improve the likelihood of achieving its ¥10 billion net sales target for the fiscal year ending June 2028, while stressing that this move does not represent a shift away from its underlying organic growth goals.

The most recent analyst rating on (JP:5034) stock is a Hold with a Yen2301.00 price target. To see the full list of analyst forecasts on unerry, Inc. stock, see the JP:5034 Stock Forecast page.

Unerry Posts Higher Sales but Lower Profit, Keeps Aggressive Full-Year Outlook

Unerry reported non-consolidated results for the six months ended Dec. 31, 2025, with net sales rising 24.8% year on year to ¥2,164 million, while operating profit fell 39.6% to ¥62 million and net income dropped 38.4% to ¥41 million, translating into basic earnings per share of ¥11.20. The company’s total assets stood at ¥2,727 million and equity ratio at 76.0%, it maintained a zero-dividend policy for the current and prior fiscal years, and kept its full-year forecast unchanged, projecting strong top-line growth of 34.3% and a 60.4% rise in operating profit to ¥500 million.

Management signaled confidence in the medium-term outlook by leaving its earnings guidance intact despite profit compression in the first half, suggesting expectations of a profit ramp-up in the second half supported by higher-margin business or operating leverage. For shareholders, the absence of dividends indicates a continued focus on reinvestment and balance-sheet strength, while the stable equity base and improving full-year profit forecast may support the company’s positioning in its niche within Japan’s tech-oriented services sector.

The most recent analyst rating on (JP:5034) stock is a Buy with a Yen2899.00 price target. To see the full list of analyst forecasts on unerry, Inc. stock, see the JP:5034 Stock Forecast page.

Unerry Posts Record Sales and Moves to Acquire Blogwatcher to Fuel AI-Driven Growth

Unerry, Inc. reported record quarterly net sales of ¥1,155 million for the second quarter ended June 2026, up 23% year-on-year, with 12-month rolling revenue rising 22% to ¥4,156 million. Recurring revenue accounted for 94% of sales, supported by a 35% year-on-year increase in recurring clients to 171 companies, while operating profit grew 17% to ¥65 million as the firm began realizing returns on earlier strategic investments.

The company also highlighted its planned 100% acquisition of Blogwatcher in May 2026, aiming to strengthen confidence in reaching a ¥10 billion net sales target for fiscal 2028. By combining Unerry’s Retail DX capabilities with Blogwatcher’s expertise in urban development and advertising, and by processing 1 trillion domestic location data points annually on an AI-optimized platform, management plans to drive synergies through post-merger initiatives focused on business growth, infrastructure, AI utilization, and profitability improvement.

The most recent analyst rating on (JP:5034) stock is a Buy with a Yen2899.00 price target. To see the full list of analyst forecasts on unerry, Inc. stock, see the JP:5034 Stock Forecast page.

Unerry to Make Blogwatcher a Wholly Owned Subsidiary to Build Trillion-Point Location Data Platform

Unerry Inc. has resolved to acquire all shares of Blogwatcher Inc., operator of the location data platform “Profile Passport,” making it a wholly owned subsidiary in a move to significantly scale its location data business and strengthen its competitive position in Japan’s data-driven marketing and urban development markets. By integrating Blogwatcher’s broad client base, regional agency network, real estate media alliances, and tourism and construction consulting track record with Unerry’s expertise in multi-source data integration and advanced analytics, the group expects to handle roughly 1 trillion location data points annually in Japan, enabling more granular analysis, expanded service offerings, and an AI-ready foundation for generative AI and AI agent–based services, while also improving development efficiency, cost optimization, and future data-collaboration initiatives such as Data Clean Rooms.

The most recent analyst rating on (JP:5034) stock is a Buy with a Yen2845.00 price target. To see the full list of analyst forecasts on unerry, Inc. stock, see the JP:5034 Stock Forecast page.