DM Solutions Co.,Ltd (6549) AI Stock Analysis

• Market Cap: ¥4.42B
• Dividend Yield: 1.46%
• Average Volume (3M): 1.00K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.39
• Revenue Growth: 14.61%
• EPS Growth: 13.42%
• Country: JP
• Employees: 293
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 26.07
• Shares Outstanding: 2,849,000
• 10 Day Avg. Volume: 1,100
• 30 Day Avg. Volume: 1,003
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,703.00
• Price Target Upside: 8.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: ¥1,703.00 ▲(8.13% Upside)

The overall stock score is primarily driven by strong financial performance and attractive valuation. The company's consistent revenue growth and improving profitability are significant strengths. The low P/E ratio suggests potential undervaluation, enhancing the stock's appeal. Technical analysis indicates a neutral trend with some bearish momentum, which slightly offsets the positive financial and valuation aspects.

DM Solutions Co.,Ltd Business Overview & Revenue Model

Company Description

DM Solutions Co.,Ltd, a communications company, provides solutions for shipping agency and Internet advertisement. The company offers direct mail solutions, such as shipment agency and logistics solutions, enclosed/bundled services, Web and advertisement design, and printing services. It also provides digital marketing solutions, including SEO consulting, content marketing, Website production, and operation advertisement services. The company was founded in 2004 and is headquartered in Musashino, Japan.

How the Company Makes Money

DM Solutions Co., Ltd generates revenue through multiple streams, primarily by offering its digital marketing and software development services on a project basis. The company charges clients for project-based work, ongoing maintenance contracts, and subscription services for its software solutions. Key revenue streams include fees from digital marketing campaigns, commissions on e-commerce sales facilitated through its platforms, and licensing fees for proprietary software. Additionally, DM Solutions has established strategic partnerships with various technology firms and marketing agencies, which enhance its service offerings and expand its client base, further contributing to its earnings.

DM Solutions Co.,Ltd Financial Statement Overview

Summary

DM Solutions Co., Ltd demonstrates strong financial health with consistent revenue growth and improving profitability. The balance sheet is stable with manageable leverage, and cash flows are strengthening, indicating robust operational and financial management. The company is well-positioned for future growth, although maintaining positive free cash flow will be crucial for sustained financial stability.

Income Statement

The company has shown consistent revenue growth over the years, with a significant increase from 2024 to 2025. Gross profit margin remains healthy, indicating efficient cost management. The net profit margin has improved, reflecting better profitability. EBIT and EBITDA margins are stable, suggesting strong operational performance.

Balance Sheet

The balance sheet shows a stable financial position with a reasonable debt-to-equity ratio, indicating manageable leverage. Return on equity has improved, reflecting better utilization of shareholder funds. The equity ratio is healthy, suggesting a strong capital structure.

Cash Flow

Cash flow from operations has improved significantly, indicating strong cash generation capabilities. Free cash flow has turned positive, reflecting better capital expenditure management. The operating cash flow to net income ratio is robust, suggesting efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.16B	21.16B	18.21B	17.86B	16.68B	14.62B
Gross Profit	3.28B	3.26B	3.18B	2.99B	2.77B	3.16B
EBITDA	934.48M	943.33M	738.52M	603.03M	247.59M	798.15M
Net Income	495.89M	496.11M	402.22M	315.06M	5.50M	427.27M
Balance Sheet
Total Assets	8.19B	8.19B	7.14B	5.60B	5.19B	4.93B
Cash, Cash Equivalents and Short-Term Investments	1.36B	1.36B	1.29B	1.32B	1.08B	1.11B
Total Debt	2.31B	2.31B	2.16B	972.43M	1.24B	774.96M
Total Liabilities	4.84B	4.84B	4.23B	3.12B	3.03B	2.77B
Stockholders Equity	3.35B	3.35B	2.91B	2.48B	2.16B	2.16B
Cash Flow
Free Cash Flow	0.00	37.21M	-1.28B	522.86M	-279.28M	651.90M
Operating Cash Flow	0.00	746.42M	441.79M	609.42M	-194.93M	740.65M
Investing Cash Flow	0.00	-767.45M	-1.69B	-92.76M	-167.47M	-121.51M
Financing Cash Flow	0.00	89.92M	1.22B	-272.15M	331.67M	-374.64M

DM Solutions Co.,Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1575.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6549, the sentiment is Positive. The current price of 1575 is above the 20-day moving average (MA) of 1535.85, above the 50-day MA of 1537.78, and above the 200-day MA of 1455.23, indicating a bullish trend. The MACD of 8.63 indicates Negative momentum. The RSI at 62.51 is Neutral, neither overbought nor oversold. The STOCH value of 96.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6549.

DM Solutions Co.,Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2411	79 Outperform	¥5.11B	11.55	8.52%	4.59%	5.98%	421.55%
6549	74 Outperform	¥4.42B	9.46	―	1.46%	14.61%	13.42%
9159	73 Outperform	¥6.94B	39.21	11.01%	―	-0.81%	-48.42%
7044	53 Neutral	¥4.86B	21.35	-25.89%	―	57.85%	―
7078	48 Neutral	¥4.93B	-4.15	-60.83%	―	-8.33%	-462.10%
7063	40 Underperform	¥5.21B	-3.32	-280.69%	―	-84.70%	86.28%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%