Transaction Media Networks Inc. (5258) AI Stock Analysis

• Market Cap: ¥18.20B
• Dividend Yield: N/A
• Average Volume (3M): 557.35K
• Price to Earnings (P/E): 220.6
• Beta (1Y): 1.42
• Revenue Growth: 18.62%
• EPS Growth: -216.40%
• Country: JP
• Employees: 362
• Sector: Technology
• Sector Strength: 88
• Industry: Financial - Credit Services
• EPS (TTM): -5.47
• Shares Outstanding: 36,991,500
• 10 Day Avg. Volume: 497,480
• 30 Day Avg. Volume: 557,353
• PEG Ratio: -0.22
• Price to Book (P/B): 8.10
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 28.14
• 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

• Rating: 65 Neutral
• Price Target: ¥526.00 ▲(6.91%Upside)

The overall stock score of 65 is driven primarily by strong technical performance, suggesting bullish momentum. However, valuation concerns due to negative profitability metrics significantly weigh down the score. The solid financial structure and improved cash flow provide some support but are countered by ongoing profitability challenges.

Transaction Media Networks Inc. Business Overview & Revenue Model

Company Description

Transaction Media Networks Inc. (5258) operates in the digital media and transaction processing sectors. The company specializes in providing cutting-edge digital transaction solutions, focusing on payment processing systems that enhance the efficiency and security of financial transactions for businesses across various industries. It offers a suite of services that include transaction processing, digital advertising, and data analytics to help businesses optimize their operations and improve customer engagement.

How the Company Makes Money

Transaction Media Networks Inc. generates revenue primarily through transaction fees charged for processing payments. The company partners with financial institutions and merchants to facilitate secure and efficient payment processing solutions, earning a percentage of each transaction processed through its platforms. Additionally, the company monetizes its digital advertising services by offering targeted advertising solutions that leverage its transaction data analytics capabilities to deliver personalized marketing campaigns for businesses. Key partnerships with banks and retail companies enhance its revenue streams by expanding its customer base and increasing transaction volumes.

Transaction Media Networks Inc. Financial Statement Overview

Summary

The company demonstrates strong revenue growth and a solid balance sheet with low leverage. However, it faces challenges in profitability with negative net profit and EBIT margins. Cash flow has improved significantly, indicating strong cash generation capabilities.

Income Statement

The company shows a mixed performance with strong revenue growth of 18.6% in the latest year, but profitability metrics like EBIT and Net Income have declined, resulting in negative net profit and EBIT margins. Despite the increase in total revenue, the company is experiencing challenges in converting revenues into profits.

Balance Sheet

The balance sheet reflects a solid equity base with a debt-to-equity ratio of 0.16, indicating low leverage. However, the return on equity is negative due to negative net income. The equity ratio is strong at 37.5%, suggesting a stable financial structure with substantial shareholder funding.

Cash Flow

The company exhibits a significant improvement in free cash flow, turning positive in the latest year, with a free cash flow growth rate of 146.1%. The operating cash flow to net income ratio is favorable, indicating robust cash generation relative to earnings. However, the free cash flow to net income ratio is negative due to the net loss.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	11.73B	12.30B	10.37B	7.83B	7.14B	6.45B
Gross Profit	3.48B	3.40B	3.32B	2.56B	2.28B	1.92B
EBITDA	1.27B	1.35B	2.39B	2.14B	2.18B	1.37B
Net Income	-323.22M	-682.43M	585.35M	672.52M	-385.79M	98.64M
Balance Sheet
Total Assets	16.90B	26.99B	25.53B	9.81B	10.37B	9.64B
Cash, Cash Equivalents and Short-Term Investments	4.00B	14.07B	13.17B	2.86B	3.42B	2.17B
Total Debt	1.65B	1.64B	1.73B	8.12M	515.16M	1.03B
Total Liabilities	6.58B	16.86B	14.70B	4.85B	4.61B	2.33B
Stockholders Equity	10.33B	10.13B	10.83B	4.96B	5.77B	7.31B
Cash Flow
Free Cash Flow	0.00	1.11B	-2.40B	1.43B	765.44M	-1.27B
Operating Cash Flow	0.00	3.62B	533.23M	2.80B	2.11B	1.04B
Investing Cash Flow	0.00	-2.64B	4.59B	-1.38B	-1.34B	-2.31B
Financing Cash Flow	0.00	-83.28M	5.19B	-1.98B	485.94M	905.50M

Transaction Media Networks Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 492.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5258, the sentiment is Positive. The current price of 492 is above the 20-day moving average (MA) of 471.90, above the 50-day MA of 394.46, and above the 200-day MA of 390.01, indicating a bullish trend. The MACD of 22.21 indicates Positive momentum. The RSI at 56.18 is Neutral, neither overbought nor oversold. The STOCH value of 51.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5258.

Transaction Media Networks Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7191	72 Outperform	¥20.20B	14.85		2.77%	20.61%	15.24%
7183	70 Outperform	¥2.95B	31.80		1.83%	9.70%	-38.92%
7383	69 Neutral	¥58.21B	43.71		―	10.47%	―
7172	66 Neutral	¥102.88B	12.86		5.05%	23.09%	27.56%
5258	65 Neutral	¥18.20B	220.60		―	18.62%	-216.40%
Sector *	63 Neutral	$33.26B	5.86	-11.55%	1.91%	5.52%	-20.13%
5590	56 Neutral	¥15.73B	93.67		―	―	―