Revenue GrowthSustained revenue growth (reported at ~23.6%) indicates continuing market demand and expanding customer traction. Over a 2–6 month horizon this supports scale economies, recurring sales potential, and the ability to invest in product or service improvements despite near-term margin pressure.

Equity Financing CushionAn equity ratio of ~20.25% provides a measurable equity cushion on the balance sheet. This proportion of equity financing, while not high, reduces absolute reliance on creditors relative to a zero-equity case and offers some capital base to absorb losses and support restructuring or refinancing options.

Operational ScaleA workforce of 262 employees signals operating scale and delivery capacity in IT services. That headcount underpins client relationships, product/service delivery, and knowledge retention, supporting durable revenue generation and execution of strategic initiatives over the medium term.

Bears Say

High LeverageA debt-to-equity ratio near 2.95 reflects heavy reliance on debt financing, increasing fixed interest obligations and refinancing risk. Over months this constrains financial flexibility, amplifies sensitivity to revenue shocks, and limits capacity to fund growth or absorb operating losses without deleveraging.

Negative Free Cash FlowPersistently negative free cash flow and poor operating cash conversion indicate the company struggles to convert earnings into liquidity. This erodes buffer for capital expenditures, debt servicing, and working capital needs, raising the probability of liquidity stress or the need for external financing.

Ongoing Losses & Margin PressureNegative net margin (~-12.9%) and losses at EBIT/EBITDA levels show structural profitability challenges. Sustained negative margins limit retained earnings, hinder reinvestment, and increase dependence on financing to operate, making long-term improvement contingent on either cost restructuring or material revenue mix shifts.

5618 FAQ

What was Nyle Inc.’s price range in the past 12 months?

Nyle Inc. lowest stock price was ¥212.00 and its highest was ¥718.00 in the past 12 months.

What is Nyle Inc.’s market cap?

Nyle Inc.’s market cap is ¥2.68B.

When is Nyle Inc.’s upcoming earnings report date?

Nyle Inc.’s upcoming earnings report date is May 20, 2026 which is in 93 days.

How were Nyle Inc.’s earnings last quarter?

Nyle Inc. released its earnings results on Feb 13, 2026. The company reported ¥4.69 earnings per share for the quarter, beating the consensus estimate of N/A by ¥4.69.

Is Nyle Inc. overvalued?

According to Wall Street analysts Nyle Inc.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Nyle Inc. pay dividends?

Nyle Inc. does not currently pay dividends.

What is Nyle Inc.’s EPS estimate?

Nyle Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Nyle Inc. have?

Nyle Inc. has 8,536,800 shares outstanding.

What happened to Nyle Inc.’s price movement after its last earnings report?

Nyle Inc. reported an EPS of ¥4.69 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.29%.

Which hedge fund is a major shareholder of Nyle Inc.?

Currently, no hedge funds are holding shares in JP:5618

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Nyle Inc.

Nyle Inc is a Japan-based company engaged in the horizontal digital transformation (DX) business and automotive industry DX business. The Company operates two segments. The Horizontal DX segment consists of DX & Marketing business and Media & Solutions business. In the DX & Marketing business, the Company supports customer companies' sales and profit growth using the Internet. In the Media & Solutions business, the Company supports customers' business growth by developing and operating multiple media, provides solutions related to digital advertising, as well as operates the application information site Appliv. In the automotive industry DX business, the Company handles new and used cars of all Japanese manufacturer models for individuals, with the business operation of Otokuni My Car Teikaku Carmo-kun, being the mainstay of the business, sells new/used cars of all models from Japanese manufacturers for individuals, with monthly payments in the 10000 yen range with no down payment.