GMO Media, Inc. (6180) AI Stock Analysis

• Market Cap: ¥9.79B
• Dividend Yield: 3.41%
• Average Volume (3M): 5.12K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.54
• Revenue Growth: 4.74%
• EPS Growth: 54.18%
• Country: JP
• Employees: 214
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): 103.24
• Shares Outstanding: 1,868,839
• 10 Day Avg. Volume: 9,510
• 30 Day Avg. Volume: 5,116
• PEG Ratio: 0.25
• Price to Book (P/B): 2.79
• Price to Sales (P/S): 1.19
• P/FCF Ratio: 19.21
• 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: ¥5,447.00
• Price Target Upside: -4.61% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥5,447.00 ▼(-4.61% Downside)

GMO Media, Inc. scores well due to its strong financial performance and reasonable valuation. While the technical analysis shows neutral momentum, the company's robust financials and attractive dividend yield support a positive outlook. Continued focus on liability management will be key to sustaining this position.

GMO Media, Inc. Business Overview & Revenue Model

Company Description

GMO Media, Inc. (6180) is a leading Japanese company operating in the digital content and online gaming sectors. The company specializes in developing and publishing a wide range of mobile and PC games, as well as providing various internet-related services. With a strong focus on innovation and user engagement, GMO Media aims to enhance the digital entertainment experience for its users through high-quality game development and strategic partnerships within the industry.

How the Company Makes Money

GMO Media generates revenue primarily through the sale of in-game purchases, subscriptions, and advertising within its gaming platforms. The company also earns income from partnerships with other gaming developers and publishers, as well as through licensing agreements for its intellectual properties. Additionally, revenue is supplemented by the provision of digital marketing and advertising services, leveraging its extensive user base to attract advertisers seeking to reach a targeted audience. Strategic collaborations with technology companies further enhance its product offerings and revenue potential.

GMO Media, Inc. Financial Statement Overview

Summary

GMO Media, Inc. demonstrates strong financial performance with consistent revenue and profit growth, robust margins, and a healthy balance sheet characterized by low leverage and effective cash flow management. However, attention to liability management remains important.

Income Statement

GMO Media, Inc. has shown robust financial performance with consistent revenue growth, increasing from ¥4.15 billion in 2019 to ¥6.61 billion in 2024. The gross profit margin improved significantly, reaching 44.94% in 2024. Net profit margin has also improved, with a notable increase to 8.64% in 2024. The company's EBIT and EBITDA margins are solid, reflecting strong operational performance. This trend indicates effective cost management and profitability improvement over the years.

Balance Sheet

The balance sheet of GMO Media, Inc. reflects a strong equity position with an equity ratio of 47.97% in 2024, indicating financial stability. The debt-to-equity ratio remains low at 0.01, showcasing minimal reliance on debt financing. The return on equity has improved to 20.29% in 2024, demonstrating effective utilization of shareholders' funds. However, the modest increase in total liabilities warrants cautious monitoring.

Cash Flow

The cash flow statements reveal a healthy increase in free cash flow, which grew to ¥408.47 million in 2024. The operating cash flow to net income ratio is strong, highlighting efficient cash generation relative to earnings. The free cash flow to net income ratio further supports a positive cash flow outlook. Despite fluctuations in investing and financing cash flows, the company maintains a solid cash position.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.93B	6.61B	6.27B	5.59B	8.58B	5.00B
Gross Profit	3.24B	2.97B	2.78B	2.30B	2.16B	1.22B
EBITDA	977.47M	813.03M	573.96M	313.66M	98.39M	-283.94M
Net Income	698.36M	571.35M	361.33M	183.03M	7.20M	-408.67M
Balance Sheet
Total Assets	6.12B	5.86B	5.47B	4.98B	4.63B	3.62B
Cash, Cash Equivalents and Short-Term Investments	3.11B	3.20B	1.78B	2.87B	2.64B	2.20B
Total Debt	68.02M	24.61M	7.45M	14.44M	17.71M	21.22M
Total Liabilities	3.22B	3.05B	3.07B	2.89B	2.74B	1.73B
Stockholders Equity	2.90B	2.81B	2.40B	2.09B	1.89B	1.88B
Cash Flow
Free Cash Flow	0.00	408.47M	503.17M	248.87M	447.22M	134.78M
Operating Cash Flow	0.00	500.64M	592.13M	395.18M	510.77M	168.20M
Investing Cash Flow	0.00	-399.04M	-111.68M	-171.31M	-54.05M	-106.54M
Financing Cash Flow	0.00	-176.05M	-71.21M	2.10M	-11.17M	-170.71M

GMO Media, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5710.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6180, the sentiment is Positive. The current price of 5710 is above the 20-day moving average (MA) of 5346.50, above the 50-day MA of 5157.20, and above the 200-day MA of 4758.49, indicating a bullish trend. The MACD of 139.53 indicates Negative momentum. The RSI at 70.22 is Negative, neither overbought nor oversold. The STOCH value of 91.23 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6180.

GMO Media, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6180	76 Outperform	¥9.79B	14.56	―	3.41%	4.74%	54.18%
6026	76 Outperform	―	―	―	―	-11.55%	-13.99%
7082	75 Outperform	¥12.60B	26.45	―	―	1.45%	41.89%
4176	74 Outperform	¥9.35B	29.71	―	―	42.83%	28.23%
3981	74 Outperform	¥7.52B	6.53	―	1.84%	-9.46%	43.67%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
4436	41 Neutral	¥6.82B	―	―	―	7.38%	-317.56%