MRT Inc. (6034) AI Stock Analysis

• Market Cap: ¥4.29B
• Dividend Yield: N/A
• Average Volume (3M): 13.63K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.03
• Revenue Growth: -7.73%
• EPS Growth: -303.99%
• Country: JP
• Employees: 304
• Sector: Healthcare
• Sector Strength: 58
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -18.72
• Shares Outstanding: 5,718,600
• 10 Day Avg. Volume: 22,250
• 30 Day Avg. Volume: 13,626
• PEG Ratio: 0.02
• Price to Book (P/B): 2.08
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.06
• 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: 59 Neutral
• Price Target: ¥825.00 ▲(7.14%Upside)

The stock's overall score reflects significant financial challenges, particularly in profitability, despite a strong balance sheet. Technical analysis shows positive market momentum, which is a strong counterbalance. However, valuation concerns due to negative earnings impact the score negatively.

MRT Inc. Business Overview & Revenue Model

Company Description

MRT Inc. (6034) is a technology company that specializes in the development and production of advanced optical components and systems. The company operates in the sectors of telecommunications, data centers, and consumer electronics, offering a range of products including optical transceivers, optical modules, and related accessories. MRT Inc. is committed to innovation and high-quality manufacturing standards, catering to the increasing demand for efficient and reliable optical communication solutions.

How the Company Makes Money

MRT Inc. makes money primarily through the sale of its optical components and systems to businesses in the telecommunications and data center industries. Its revenue streams include direct sales to large corporations and original equipment manufacturers (OEMs), as well as through distribution partnerships with key players in the technology sector. The company benefits from long-term contracts with major clients, providing a stable and recurring revenue base. Strategic partnerships with leading technology firms also enhance its market reach and contribute significantly to its earnings. Additionally, MRT Inc. invests in research and development to continuously improve its product offerings, thereby maintaining a competitive edge in the rapidly evolving optical technology market.

MRT Inc. Financial Statement Overview

Summary

MRT Inc. faces significant challenges in its income statement with negative EBIT and net income, indicating operating losses. The balance sheet shows strength with a low debt-to-equity ratio, suggesting financial stability. Cash flow management is effective, with positive cash flow from operations, but the company faces risks from income volatility and a declining asset base.

Income Statement

MRT Inc. has faced significant challenges in its income statement over the recent periods. The TTM data shows negative EBIT and net income, indicating substantial operating losses. The gross profit margin remains relatively stable but is overshadowed by the declining revenue and profitability. The revenue has shown volatility, with a marked decrease from previous highs, and the net profit margin is negative, reflecting ongoing difficulties in achieving profit.

Balance Sheet

The balance sheet of MRT Inc. displays some positive aspects, such as a strong equity position and a low debt-to-equity ratio, indicating financial stability. The equity ratio is healthy, suggesting that the company has a solid asset base. However, the consistent decrease in total assets and stockholders' equity over recent periods could be cause for concern if the trend continues.

Cash Flow

Cash flow from operations is positive in TTM, reflecting some operational resilience despite challenges in profitability. The free cash flow has grown, indicating effective management of capital expenditures. However, the operating cash flow to net income ratio is skewed due to negative net income, and fluctuations in cash flow from financing and investing activities may impact future liquidity.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
4.23B	4.17B	5.41B	8.74B	4.47B	2.56B
	Gross Profit
2.72B	2.74B	3.27B	5.60B	3.55B	1.76B
	EBIT
-139.33M	-93.00M	967.00M	2.98B	1.27B	264.36M
	EBITDA
84.76M	139.00M	1.10B	3.16B	1.45B	420.18M
	Net Income Common Stockholders
-348.94M	-309.16M	517.00M	2.16B	774.49M	131.81M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.85B	2.62B	3.78B	4.90B	1.03B	1.59B
	Total Assets
6.10B	6.75B	6.47B	8.16B	4.98B	3.31B
	Total Debt
693.48M	1.05B	641.00M	875.86M	1.04B	1.11B
	Net Debt
-1.16B	-1.56B	-3.14B	-4.01B	31.47M	-474.43M
	Total Liabilities
1.69B	2.12B	1.76B	3.67B	2.69B	1.75B
	Stockholders Equity
4.32B	4.52B	4.58B	4.39B	2.22B	1.52B
Cash Flow		Free Cash Flow
488.87M	462.00M	-208.00M	4.43B	-405.64M	183.97M
	Operating Cash Flow
521.49M	503.04M	-193.00M	4.51B	-298.89M	294.97M
	Investing Cash Flow
-1.92B	-1.84B	-243.61M	-431.11M	-206.51M	-64.61M
	Financing Cash Flow
-136.99M	161.77M	-669.19M	-203.98M	-67.49M	-397.41M

MRT Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 770.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6034, the sentiment is Positive. The current price of 770 is above the 20-day moving average (MA) of 739.25, above the 50-day MA of 703.82, and above the 200-day MA of 736.87, indicating a bullish trend. The MACD of 23.24 indicates Negative momentum. The RSI at 57.11 is Neutral, neither overbought nor oversold. The STOCH value of 54.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6034.

MRT Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3671	86 Outperform	¥5.88B	9.08		3.07%	16.07%	72.83%
6545	83 Outperform	¥3.74B	14.53		1.73%	4.08%	94.18%
6034	59 Neutral	¥4.29B	―		―	-7.73%	-303.99%
Sector *	54 Neutral	$5.37B	3.26	-45.10%	3.30%	16.81%	0.02%
3628	52 Neutral	¥6.44B	―		―	-9.71%	-484.01%
4438	48 Neutral	¥3.00B	―		―	-4.68%	-62.31%
3902	43 Neutral	¥15.36B	4,465.71		1.65%	-7.98%	-181.00%