COVER Corporation (5253) AI Stock Analysis

• Market Cap: ¥92.44B
• Dividend Yield: N/A
• Average Volume (3M): 1.51M
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.84
• Revenue Growth: 37.31%
• EPS Growth: 13.66%
• Country: JP
• Employees: 537
• Sector: Technology
• Sector Strength: 88
• Industry: Media & Entertainment
• EPS (TTM): 29.36
• Shares Outstanding: 65,650,100
• 10 Day Avg. Volume: 1,165,330
• 30 Day Avg. Volume: 1,509,356
• PEG Ratio: 0.87
• Price to Book (P/B): 8.87
• Price to Sales (P/S): 3.46
• P/FCF Ratio: 32.23
• 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: ¥1,650.00
• Price Target Upside: -13.43% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 118.3
• Revenue Forecast (FY): ¥59.53B

• Rating: 73 Outperform
• Price Target: ¥1,573.00 ▼(-17.47% Downside)
• Action: Reiterated Date: 03/24/26
• Date: Action: Reiterated 03/24/26

The score is driven primarily by strong fundamentals (rapid growth, solid margins, and a zero-debt balance sheet), supported by a reasonable P/E valuation. Offsetting these positives, the stock’s technical picture is weak with the price below major moving averages and negative MACD, and cash-flow consistency remains a key risk to monitor.

Positive Factors

Zero-debt balance sheet

A zero-debt balance sheet materially lowers financial risk and increases strategic optionality. It enables durable investment in content, events and IP, supports M&A or buybacks without leverage, and provides resilience to cyclical revenue dips over the next 2–6 months.

Negative Factors

Volatile free cash flow conversion

Free cash flow conversion has swung widely, reducing predictability of cash available for reinvestment or shareholder returns. This variability increases reliance on timing of events, merchandise cycles and licensing receipts, complicating capital allocation and stress planning over the next several months.

COVER Corporation Business Overview & Revenue Model

Company Description

COVER Corporation is a Japanese technology and entertainment company primarily known for its virtual YouTuber agency, Hololive Production. The company operates in the digital entertainment, virtual reality, and live streaming sectors, providing in...

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COVER Corporation is a Japanese technology and entertainment company primarily known for its virtual YouTuber agency, Hololive Production. The company operates in the digital entertainment, virtual reality, and live streaming sectors, providing in...

How the Company Makes Money

COVER generates revenue primarily by monetizing the intellectual property (IP) and fan engagement around its VTuber talents under hololive production. Key revenue streams include: (1) Merchandise sales: direct sales of character/talent-branded goo...

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COVER generates revenue primarily by monetizing the intellectual property (IP) and fan engagement around its VTuber talents under hololive production. Key revenue streams include: (1) Merchandise sales: direct sales of character/talent-branded goo...

COVER Corporation Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	46.61B	43.40B	30.17B	20.45B	13.66B	5.72B
Gross Profit	23.39B	21.80B	13.99B	9.40B	5.27B	2.78B
EBITDA	8.74B	8.41B	6.01B	3.53B	1.95B	1.72B
Net Income	5.63B	5.56B	4.14B	2.51B	1.24B	1.22B
Balance Sheet
Total Assets	31.39B	33.33B	22.71B	15.90B	8.24B	3.52B
Cash, Cash Equivalents and Short-Term Investments	11.75B	11.50B	8.67B	7.79B	4.64B	1.90B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	13.75B	16.38B	11.57B	8.89B	4.78B	1.30B
Stockholders Equity	17.64B	16.95B	11.14B	7.01B	3.46B	2.21B
Cash Flow
Free Cash Flow	0.00	4.66B	1.07B	2.50B	3.05B	1.19B
Operating Cash Flow	0.00	5.29B	4.76B	4.87B	3.54B	1.42B
Investing Cash Flow	0.00	-2.70B	-3.89B	-2.76B	-793.94M	-402.59M
Financing Cash Flow	0.00	244.00M	0.00	1.04B	0.00	526.88M

COVER Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1906.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5253, the sentiment is Negative. The current price of 1906 is above the 20-day moving average (MA) of 1441.05, above the 50-day MA of 1549.92, and above the 200-day MA of 1818.91, indicating a bearish trend. The MACD of -37.92 indicates Negative momentum. The RSI at 47.05 is Neutral, neither overbought nor oversold. The STOCH value of 43.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5253.

COVER Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4481	78 Outperform	¥62.06B	13.98	―	3.34%	11.81%	18.17%
5253	73 Outperform	¥92.44B	12.85	―	―	37.31%	13.66%
6727	72 Outperform	¥102.86B	8.23	22.46%	4.06%	-8.93%	48.98%
5243	69 Neutral	¥56.20B	58.36	―	―	22.37%	655.34%
6638	66 Neutral	¥47.07B	6.70	―	3.07%	1.56%	1.72%
3663	63 Neutral	¥47.11B	30.20	―	2.06%	15.45%	-9.67%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%