AVILEN Inc. (5591) AI Stock Analysis

• Market Cap: ¥8.31B
• Dividend Yield: N/A
• Average Volume (3M): 30.92K
• Price to Earnings (P/E): 41.8
• Beta (1Y): 1.34
• Revenue Growth: 35.46%
• EPS Growth: 59.47%
• Country: JP
• Employees: 63
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 8.32
• Shares Outstanding: 6,107,493
• 10 Day Avg. Volume: 33,550
• 30 Day Avg. Volume: 30,916
• PEG Ratio: 53.10
• Price to Book (P/B): 9.99
• Price to Sales (P/S): 4.45
• P/FCF Ratio: 27.04
• 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: 65 Neutral
• Price Target: ¥1,435.00 ▲(7.49% Upside)

The score is primarily supported by strong growth and improved cash generation, but is held back by increased leverage and a high P/E valuation. Technically, the stock shows improving short-term momentum while still below key longer-term moving averages.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion.

Cash Flow Improvement

Improved cash flow enhances financial flexibility and ability to invest in growth opportunities, supporting sustainable operations.

Equity Base Growth

A growing equity base strengthens financial stability and provides a buffer against potential economic downturns.

Negative Factors

Margin Compression

Margin compression could indicate rising costs or increased competition, potentially impacting profitability and long-term growth.

Increased Leverage

Increased leverage raises financial risk and reduces flexibility, potentially affecting the company's ability to navigate economic challenges.

Volatile Cash Flow History

Volatile cash flow history raises concerns about consistency in cash generation, which is crucial for long-term financial health.

AVILEN Inc. Business Overview & Revenue Model

Company Description

AVILEN Inc. provides AI software and data solutions in Japan. The company also offers support for organizational transformation through strategic planning of digital organization development and DX/AI human resource development. In addition, it engages in the development, provision, and implementation support of SaaS products utilizing AI technology. The company was incorporated in 2018 and is based in Chuo, Japan.

How the Company Makes Money

AVILEN Inc. generates revenue through multiple channels, primarily by offering AI-based software solutions and consulting services. The company licenses its proprietary AI platforms to businesses, allowing them to integrate advanced AI capabilities into their operations. Additionally, AVILEN provides consulting services to help organizations implement and customize AI solutions to suit their specific needs. The company may also engage in strategic partnerships with other technology firms to expand its reach and enhance its product offerings, contributing to its revenue growth.

AVILEN Inc. Financial Statement Overview

Summary

AVILEN Inc. exhibits a strong financial performance across all verticals, with impressive revenue growth and profitability metrics. The balance sheet reflects a stable financial structure with manageable leverage, and cash flow analysis shows robust cash generation and utilization.

Income Statement

AVILEN Inc. shows strong revenue growth with a notable increase from 2023 to 2024 at 33.53%, indicating a robust expansion. The gross profit margin stands at 69.85% for 2024, reflecting efficient cost management. The net profit margin of 9.34% is solid but could benefit from further enhancement. EBIT and EBITDA margins are also healthy at 15.23% and 17.17%, respectively, showcasing operational efficiency.

Balance Sheet

The company maintains a solid equity base with an equity ratio of 44.77%, indicating a stable financial structure. The debt-to-equity ratio is 0.74, suggesting moderate leverage and manageable financial risk. Return on equity (ROE) is 21.01% for 2024, reflecting effective use of shareholders' funds to generate profits.

Cash Flow

AVILEN Inc. demonstrates impressive free cash flow growth and a positive operating cash flow to net income ratio of 1.92, indicating strong cash generation relative to profit. The free cash flow to net income ratio is 1.86, highlighting efficient cash utilization. The positive cash flow position supports further investment and growth opportunities.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.24B	929.59M	732.09M	477.65M
Gross Profit	868.03M	651.81M	493.62M	308.88M
EBITDA	198.99M	179.85M	116.95M	89.97M
Net Income	116.01M	114.72M	79.14M	58.83M
Balance Sheet
Total Assets	1.23B	624.95M	415.72M	367.05M
Cash, Cash Equivalents and Short-Term Investments	566.33M	282.50M	228.00M	212.60M
Total Debt	408.75M	0.00	0.00	0.00
Total Liabilities	680.90M	209.25M	211.34M	243.18M
Stockholders Equity	552.59M	415.70M	204.39M	123.87M
Cash Flow
Free Cash Flow	204.26M	-32.66M	17.82M	95.70M
Operating Cash Flow	223.37M	12.81M	24.22M	97.26M
Investing Cash Flow	-359.37M	-45.47M	-9.96M	-14.21M
Financing Cash Flow	421.62M	87.30M	930.00K	1.40M

AVILEN Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1335.00
• 50DMA: Positive
• 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:5591, the sentiment is Negative. The current price of 1335 is above the 20-day moving average (MA) of 1303.15, above the 50-day MA of 1274.74, and below the 200-day MA of 1412.53, indicating a neutral trend. The MACD of 23.32 indicates Negative momentum. The RSI at 53.18 is Neutral, neither overbought nor oversold. The STOCH value of 63.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5591.

AVILEN Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5591	65 Neutral	¥8.31B	41.84	―	―	35.46%	59.47%
4011	62 Neutral	¥11.92B	67.94	―	―	34.56%	4.59%
4477	62 Neutral	¥39.12B	67.21	―	―	27.97%	-5.25%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4447	61 Neutral	¥3.16B	35.47	―	4.17%	-15.23%	-65.39%
5572	56 Neutral	¥9.55B	69.37	―	―	60.41%	-27.67%
4192	41 Neutral	¥10.88B	-27.21	―	―	22.18%	28.27%