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GDEP ADVANCE,Inc. (JP:5885)
:5885
Japanese Market
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GDEP ADVANCE,Inc. (5885) AI Stock Analysis

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JP:5885

GDEP ADVANCE,Inc.

(5885)

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Outperform 75 (OpenAI - 5.2)
Rating:75Outperform
Price Target:
¥3,299.00
▲(10.30% Upside)
Action:Reiterated
Date:07/16/26
The score is driven primarily by strong fundamentals in profitability and balance-sheet conservatism (no debt, strong ROE), offset by a significant cash-flow risk from the 2026 negative operating/free cash flow. Technicals add modest support via a generally upward trend and positive MACD, while valuation is fair with a moderate P/E and a modest dividend yield.
Positive Factors
Conservative balance sheet / no debt
Effectively zero debt materially lowers financial leverage and reduces refinancing risk, giving management flexibility to fund operations or absorb shocks over the next several quarters. A stronger equity base (¥3.54B in 2026) supports investments and makes the company resilient to cyclical pressures.
Negative Factors
2026 negative operating and free cash flow
A large disconnect between positive net income and sharply negative operating/free cash flow highlights a material cash strain driven by working-capital or noncash items. If this persists over quarters, it can constrain investment, dividends and force external funding despite low leverage.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet / no debt
Effectively zero debt materially lowers financial leverage and reduces refinancing risk, giving management flexibility to fund operations or absorb shocks over the next several quarters. A stronger equity base (¥3.54B in 2026) supports investments and makes the company resilient to cyclical pressures.
Read all positive factors

GDEP ADVANCE,Inc. (5885) vs. iShares MSCI Japan ETF (EWJ)

GDEP ADVANCE,Inc. Business Overview & Revenue Model

Company Description
GDEP ADVANCE,Inc. engages in the system incubation business in Japan. The company distributes accelerator products, including NVIDIA graphics and computing boards, and XILINX FPGA boards; AI and GPU workstation products; Infiniband network product...

GDEP ADVANCE,Inc. Financial Statement Overview

Summary
Income statement and balance sheet are strong (accelerating revenue growth, improving margins, robust ROE, and effectively no debt), but the cash-flow profile is a material drag due to a sharp 2026 reversal to negative operating and free cash flow despite positive net income.
Income Statement
86
Very Positive
Balance Sheet
90
Very Positive
Cash Flow
55
Neutral
BreakdownMay 2025May 2024May 2023May 2023May 2022
Income Statement
Total Revenue6.95B6.63B4.42B3.78B3.49B
Gross Profit1.72B1.34B1.03B901.73M740.07M
EBITDA1.20B894.96M689.46M585.20M435.77M
Net Income786.57M536.80M432.30M378.29M283.18M
Balance Sheet
Total Assets5.79B4.61B4.34B2.73B2.15B
Cash, Cash Equivalents and Short-Term Investments1.77B3.33B3.01B1.88B1.35B
Total Debt0.000.000.000.000.00
Total Liabilities2.26B1.76B1.95B1.21B945.77M
Stockholders Equity3.54B2.85B2.39B1.52B1.20B
Cash Flow
Free Cash Flow-1.47B471.62M682.43M575.50M457.77M
Operating Cash Flow-1.45B596.34M757.57M581.66M465.58M
Investing Cash Flow-43.50M-126.87M-94.49M-6.97M-7.73M
Financing Cash Flow-108.97M-78.67M435.58M-56.63M-46.61M

GDEP ADVANCE,Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2991.00
Price Trends
50DMA
2814.58
Positive
100DMA
2858.62
Positive
200DMA
2848.87
Positive
Market Momentum
MACD
-14.20
Negative
RSI
59.09
Neutral
STOCH
95.71
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5885, the sentiment is Positive. The current price of 2991 is above the 20-day moving average (MA) of 2784.90, above the 50-day MA of 2814.58, and above the 200-day MA of 2848.87, indicating a bullish trend. The MACD of -14.20 indicates Negative momentum. The RSI at 59.09 is Neutral, neither overbought nor oversold. The STOCH value of 95.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5885.

GDEP ADVANCE,Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
¥103.93B10.5328.02%4.06%-2.58%145.63%
79
Outperform
¥118.50B14.204.76%5.48%127.51%
75
Outperform
¥14.87B18.700.86%4.80%44.54%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
52
Neutral
¥6.88B73.704.08%12.68%-47.54%
42
Neutral
¥550.71M-3.5326.47%22.31%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:5885
GDEP ADVANCE,Inc.
2,999.00
-341.87
-10.23%
JP:6727
Wacom Co
790.00
125.52
18.89%
JP:5871
SOLIZE Corporation
1,350.00
-318.73
-19.10%
JP:6737
EIZO Corp.
3,075.00
991.20
47.57%
JP:7709
Kubotek Corporation
47.00
-149.00
-76.02%

GDEP ADVANCE,Inc. Corporate Events

GDEP ADVANCE Hits Record Earnings and Lifts Dividend Outlook
Jul 14, 2026
GDEP ADVANCE, Inc. reported record net sales of 6,949 million yen and operating profit of 1,117 million yen for FYE2026, despite early-period order hesitancy tied to concerns over Trump-related tariffs. The company offset rising personnel and depr...
GDEP ADVANCE Posts Strong Profit Growth and Hikes Dividend on Solid FY2026 Results
Jul 14, 2026
GDEP ADVANCE reported non-consolidated net sales of ¥6.95 billion for the fiscal year ended May 31, 2026, up 4.8% year on year, with operating profit rising 33.0% to ¥1.12 billion and net profit surging 46.5% to ¥786 million. Profit...
GDEP ADVANCE Lifts Earnings Outlook and Hikes Year-End Dividend
Jun 15, 2026
GDEP ADVANCE, Inc. announced that it has revised upward its full-year forecast for the fiscal year ending May 31, 2026, with net sales, operating profit, ordinary profit, and profit all expected to exceed previous projections amid improved semicon...
GDEP ADVANCE Shares Gain Loan Margin Trading Status on TSE Standard Market
May 27, 2026
GDEP ADVANCE, Inc., listed on the Tokyo Stock Exchange Standard Market under code 5885, has expanded its capital-market profile as its shares shift from being solely a standardized margin trading issue to also being designated a loan margin tradin...
GDEP ADVANCE Wins ¥1.6 Billion AI Server Order for FY2027 Delivery
Apr 27, 2026
GDEP ADVANCE, Inc. announced it has secured a large-scale order for AI servers, related products, and solution services valued at 1.6 billion yen from a customer. The revenue from this contract is scheduled to be recognized in the fiscal year endi...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 16, 2026