Mirai Works, Inc. (6563) AI Stock Analysis

• Market Cap: ¥3.33B
• Dividend Yield: N/A
• Average Volume (3M): 8.88K
• Price to Earnings (P/E): 35.8
• Beta (1Y): 0.82
• Revenue Growth: 5.06%
• EPS Growth: 37.14%
• Country: JP
• Employees: 138
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 9.69
• Shares Outstanding: 5,417,400
• 10 Day Avg. Volume: 10,130
• 30 Day Avg. Volume: 8,880
• PEG Ratio: -1.34
• Price to Book (P/B): 4.56
• Price to Sales (P/S): 0.56
• P/FCF Ratio: 8.22
• 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: 67 Neutral
• Price Target: ―

Mirai Works, Inc. demonstrates strong financial performance with robust revenue growth and efficient cash flow management. However, the technical analysis indicates weak momentum, and the valuation suggests potential overvaluation with a relatively high P/E ratio. The lack of a dividend yield further impacts its attractiveness for income investors.

Positive Factors

Revenue Growth

Consistent revenue growth indicates successful market penetration and demand for services, supporting long-term business expansion.

Cash Flow Management

Strong cash flow management enhances financial flexibility, enabling reinvestment in growth opportunities and stability during economic fluctuations.

Balance Sheet Strength

A strong balance sheet with no debt provides resilience against economic downturns and supports sustainable growth through self-financing.

Negative Factors

Net Profit Margin Decline

Declining net profit margins suggest rising costs or inefficiencies, which could pressure profitability if not addressed.

Operational Costs

Increasing operational costs can erode profit margins, necessitating cost control measures to maintain financial health.

Absence of Dividend Yield

Without dividends, the company may be less appealing to income investors, potentially limiting its investor base and share price support.

Mirai Works, Inc. Business Overview & Revenue Model

Company Description

Mirai Works, Inc. operates in the human resources sector, specializing in providing professional freelance and side job matching services. The company facilitates connections between skilled professionals and businesses seeking flexible staffing solutions, primarily through its online platforms. Mirai Works aims to bridge the gap in the gig economy by offering a wide range of opportunities for individuals seeking freelance work and businesses looking to leverage specialized talent on a project basis.

How the Company Makes Money

Mirai Works, Inc. generates revenue by charging fees for its matchmaking services between freelancers and client companies. The company earns money primarily through subscription fees paid by businesses to access its platform and by taking a commission from the payments processed for freelance work facilitated through its service. Additionally, Mirai Works may offer premium services or features for both freelancers and businesses, contributing further to its revenue streams. Partnerships with other businesses and platforms in the gig economy space could also enhance its offerings and revenue potential.

Mirai Works, Inc. Financial Statement Overview

Summary

Mirai Works, Inc. exhibits solid financial performance with strong revenue growth and effective cash flow management. Despite a decrease in net profit margin, the company's balance sheet remains strong with no debt and a high equity ratio, positioning it well for future growth and stability.

Income Statement

Mirai Works, Inc. shows strong revenue growth with a 26.7% increase in 2024. The gross profit margin stands at 25.7%, indicating effective cost management. However, net profit margin decreased from 1.5% to 0.6%, suggesting rising operational costs or other expenses impacting net income. The EBIT margin improved to 5.4%, reflecting better operating efficiency.

Balance Sheet

The company's balance sheet is robust with a high equity ratio of 39.2%, indicating strong capitalization with no debt. The return on equity (ROE) is at a healthy 5.1%, showcasing effective utilization of equity to generate profits.

Cash Flow

Mirai Works, Inc. demonstrates impressive cash flow management with a significant increase in free cash flow by 167% in 2024. The operating cash flow to net income ratio is strong at 11.3, indicating efficient cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.33B	10.61B	8.37B	6.35B	4.91B	4.16B
Gross Profit	2.44B	2.73B	2.18B	1.59B	1.25B	870.40M
EBITDA	337.90M	333.55M	417.73M	168.45M	247.58M	75.79M
Net Income	186.59M	66.51M	192.71M	39.25M	142.76M	41.77M
Balance Sheet
Total Assets	3.19B	3.32B	2.70B	2.19B	1.82B	1.55B
Cash, Cash Equivalents and Short-Term Investments	1.11B	1.57B	881.90M	824.73M	1.13B	912.32M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	1.91B	2.02B	1.55B	1.25B	850.86M	731.45M
Stockholders Equity	1.28B	1.30B	1.15B	936.93M	973.18M	813.62M
Cash Flow
Free Cash Flow	0.00	720.92M	269.94M	114.13M	204.32M	31.27M
Operating Cash Flow	0.00	748.31M	310.91M	210.97M	218.32M	76.53M
Investing Cash Flow	0.00	-80.40M	-285.37M	-525.82M	-13.25M	-82.34M
Financing Cash Flow	0.00	18.90M	36.00M	-76.04M	16.80M	23.12M

Mirai Works, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 636.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6563, the sentiment is Positive. The current price of 636 is above the 20-day moving average (MA) of 615.20, above the 50-day MA of 609.96, and below the 200-day MA of 701.61, indicating a neutral trend. The MACD of 4.23 indicates Negative momentum. The RSI at 59.96 is Neutral, neither overbought nor oversold. The STOCH value of 37.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6563.

Mirai Works, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6538	76 Outperform	¥6.22B	21.79	―	1.53%	12.73%	―
7361	72 Outperform	¥3.83B	9.85	―	2.04%	24.84%	2.29%
6551	68 Neutral	¥6.85B	19.56	―	1.77%	11.47%	46.06%
6563	67 Neutral	¥3.33B	35.83	―	―	5.06%	37.14%
9344	66 Neutral	¥4.44B	13.70	―	3.78%	13.47%	-108.63%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6198	56 Neutral	¥2.19B	―	―	2.43%	-10.61%	-160.10%