Asterisk Inc. (6522) AI Stock Analysis

• Market Cap: ¥6.66B
• Dividend Yield: N/A
• Average Volume (3M): 58.77K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.54
• Revenue Growth: 5.57%
• EPS Growth: 56.29%
• Country: JP
• Employees: 79
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): -1.24
• Shares Outstanding: 7,796,800
• 10 Day Avg. Volume: 46,640
• 30 Day Avg. Volume: 58,770
• PEG Ratio: 0.31
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 1.89
• P/FCF Ratio: 19.70
• 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: 54 Neutral
• Price Target: ¥872.00 ▲(127.68% Upside)
• Action: Reiterated Date: 03/20/26
• Date: Action: Reiterated 03/20/26

The score is primarily constrained by weak financial performance driven by declining revenue and continued losses, despite better cash flow and reduced leverage. Technicals are supportive due to strong trend strength versus moving averages but are tempered by very overbought momentum indicators. Valuation remains a headwind because losses drive a negative P/E and no dividend yield is available.

Positive Factors

Operating & Free Cash Flow Recovery

Turning positive operating and free cash flow in 2025 indicates the business has begun generating internal funding for operations and investment. This durable cash generation reduces reliance on external financing, improves liquidity and supports strategic initiatives over the next several quarters.

Reduced Leverage / Stronger Balance Sheet Flexibility

An improving debt-to-equity trend signals materially reduced leverage and greater financial flexibility. Lower leverage decreases interest burden and bankruptcy risk, enabling the company to better withstand industry cycles and fund growth or restructuring without immediate capital raises.

Improving Gross Margin

A rising gross profit margin suggests improved unit economics, better cost control or pricing power. Sustained margin improvement strengthens profitability potential as revenue stabilizes and supports longer-term margin sustainability even if top-line recovery is gradual.

Negative Factors

Sharp Revenue Decline

A pronounced and persistent revenue decline undermines scale economics and makes margin recovery harder. Structural top-line weakness indicates demand loss or competitive pressure, constraining long-term growth and placing reliance on operational fixes rather than organic expansion.

Ongoing Net Losses / Negative Profitability

Continued net losses and negative operating margins limit reinvestment capacity and shareholder returns. Persistent unprofitability depresses ROE and forces dependence on cash reserves or financing, which can erode strategic optionality and hamper sustained recovery.

Cash Metrics Distorted by Losses

A high free cash flow to net income ratio driven by accounting losses can mask underlying earnings weakness. While FCF is improving, the disconnect reduces clarity on durable profitability, risking misinterpretation of cash strength if one-time or timing items reverse.

Asterisk Inc. Business Overview & Revenue Model

Company Description

Asterisk Inc. provides sensors, barcode readers, and RFID reader writer. It also provides infrared, wireless communication, and image recognition products and accessories; and mobile POS systems, logistics systems, and inspection work systems. The company was incorporated in 2006 and is headquartered in Osaka, Japan.

How the Company Makes Money

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Asterisk Inc. Financial Statement Overview

Summary

Income statement weakness (declining revenue and ongoing losses) weighs on results, partially offset by improved gross margin, reduced leverage on the balance sheet, and a meaningful improvement in operating and free cash flow (turning positive in 2025).

Income Statement

Asterisk Inc. has experienced declining revenue growth over the past few years, with a significant drop in 2025. The company is currently operating at a loss, as indicated by negative net profit margins and EBIT margins. However, there has been an improvement in gross profit margin from 2024 to 2025, suggesting some operational efficiency gains.

Balance Sheet

The company's debt-to-equity ratio has improved over the years, indicating reduced leverage. However, the return on equity remains negative due to consistent net losses. The equity ratio is relatively stable, suggesting a balanced asset structure.

Cash Flow

Asterisk Inc. has shown a positive trend in operating cash flow, turning positive in 2025 after negative figures in previous years. The free cash flow has also improved significantly, indicating better cash management. However, the free cash flow to net income ratio remains high due to ongoing net losses.

Breakdown	Aug 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	1.67B	1.58B	1.76B	2.41B	1.79B
Gross Profit	621.58M	533.67M	566.16M	1.09B	837.24M
EBITDA	-103.14M	-210.92M	-127.65M	493.30M	311.69M
Net Income	-182.29M	-389.74M	-170.07M	322.54M	173.86M
Balance Sheet
Total Assets	2.78B	2.66B	2.72B	2.52B	1.48B
Cash, Cash Equivalents and Short-Term Investments	932.26M	467.29M	251.72M	936.09M	349.32M
Total Debt	721.68M	756.67M	460.00M	0.00	498.23M
Total Liabilities	1.05B	1.12B	789.59M	451.09M	1.01B
Stockholders Equity	1.73B	1.54B	1.93B	2.07B	472.92M
Cash Flow
Free Cash Flow	159.55M	-99.58M	-1.06B	-104.37M	76.80M
Operating Cash Flow	184.35M	-74.15M	-687.50M	300.05M	380.38M
Investing Cash Flow	-24.68M	-27.67M	-491.04M	-518.67M	-303.63M
Financing Cash Flow	320.65M	298.93M	491.05M	780.59M	16.72M

Asterisk Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 383.00
• 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:6522, the sentiment is Positive. The current price of 383 is below the 20-day moving average (MA) of 440.65, below the 50-day MA of 415.60, and below the 200-day MA of 399.23, indicating a bullish trend. The MACD of 48.93 indicates Negative momentum. The RSI at 91.54 is Negative, neither overbought nor oversold. The STOCH value of 94.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6522.

Asterisk Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6718	81 Outperform	¥43.85B	71.35	―	4.43%	0.63%	-24.87%
6820	70 Outperform	¥43.20B	14.45	―	2.93%	-0.90%	-13.24%
6703	70 Outperform	¥231.31B	6.34	12.24%	2.31%	-2.36%	-61.50%
6835	68 Neutral	¥28.88B	9.33	14.95%	0.77%	6.43%	368.06%
6778	63 Neutral	¥5.94B	5.26	―	3.54%	19.28%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6522	54 Neutral	¥6.66B	-73.07	―	―	5.57%	56.29%

Asterisk Inc. Corporate Events

Asterisk Inc. Narrows Quarterly Loss and Projects Full-Year Turnaround for FY2026

Asterisk Inc. reported consolidated net sales of ¥389 million for the three months ended November 30, 2025, a slight year-on-year decline of 0.5%, and remained in the red with an operating loss of ¥38 million and a net loss attributable to owners of the parent of ¥9 million, though the per-share loss narrowed compared with the prior-year period. The company’s financial position stayed relatively solid with an equity ratio of 61.5%, it continues to forgo dividends for the current and prior fiscal years, and management forecasts a return to profitability for the full year ending August 31, 2026, with net sales expected to rise 37.5% to ¥2,291 million and profit attributable to owners of the parent projected at ¥65 million, indicating a planned turnaround despite near-term losses.

The most recent analyst rating on (JP:6522) stock is a Hold with a Yen400.00 price target. To see the full list of analyst forecasts on Asterisk Inc. stock, see the JP:6522 Stock Forecast page.