W-SCOPE Corporation. (6619) AI Stock Analysis

• Market Cap: ¥13.25B
• Dividend Yield: N/A
• Average Volume (3M): 794.00K
• Price to Earnings (P/E): 10.0
• Beta (1Y): 1.49
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: 314
• Sector: Industrials
• Sector Strength: 88
• Industry: Electrical Equipment & Parts
• EPS (TTM): -51.87
• Shares Outstanding: 55,225,600
• 10 Day Avg. Volume: 822,560
• 30 Day Avg. Volume: 793,996
• PEG Ratio: <0.01
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥214.00
• Price Target Upside: -10.83% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: ¥235.00 ▼(-2.08%Downside)

The most significant factor in the stock's score is the weak financial performance, marked by declining revenue, negative profitability, and cash flow challenges. Technical analysis indicates neutral to slightly bearish momentum. Valuation is poor given the negative P/E ratio and lack of dividends.

W-SCOPE Corporation. Business Overview & Revenue Model

Company Description

W-SCOPE Corporation is a company that operates in the chemicals sector, focusing primarily on the production and sale of separators for lithium-ion secondary batteries. These separators are critical components used in rechargeable batteries, which are widely used in consumer electronics, electric vehicles, and energy storage systems. The company is known for its advanced technology and production capabilities in manufacturing high-quality battery separators.

How the Company Makes Money

W-SCOPE Corporation generates revenue primarily through the manufacturing and sales of battery separators. These separators are sold to battery manufacturers who incorporate them into lithium-ion batteries. The demand for such components is driven by the growing market for electric vehicles, portable electronics, and renewable energy storage solutions. W-SCOPE benefits from strategic partnerships with battery and automotive manufacturers, which ensure a steady demand for its products. Additionally, the company's focus on innovation and capacity expansion allows it to cater to the increasing global demand for high-performance battery materials.

W-SCOPE Corporation. Financial Statement Overview

Summary

W-SCOPE Corporation's financial performance is concerning with declining revenue, negative net income, and cash flow challenges. While the balance sheet shows stability with a strong equity position, the overall financial health is undermined by operational inefficiencies and historical high leverage.

Income Statement

The income statement reveals a concerning trend of declining revenue, with a significant drop from 2024 to 2025. Gross profit margin is weak, and the company is operating at a loss with negative net income and EBIT margins. The turn from positive to negative EBITDA and EBIT indicates deteriorating operational efficiency and profitability.

Balance Sheet

The balance sheet shows a strong equity position relative to total assets, indicating stability. However, the debt-to-equity ratio has improved significantly from previous periods due to reduced total debt, which is positive, but historical high leverage poses a risk. ROE has been negative due to recurring net losses, which is concerning.

Cash Flow

Cash flow analysis shows negative free cash flow, signaling cash outflow challenges. Operating cash flow is insufficient to cover capital expenditures, indicating reliance on external financing. The free cash flow to net income ratio is unfavorable, reflecting difficulties in converting profits into cash.

Breakdown	Mar 2025	Mar 2024	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	31.05B	44.35B	45.10B	29.97B	18.48B
Gross Profit	1.09B	5.84B	9.91B	4.70B	-1.03B
EBITDA	2.25B	10.60B	14.92B	4.19B	-5.26B
Net Income	-3.71B	866.77M	7.56B	-3.16B	-11.18B
Balance Sheet
Total Assets	60.08B	171.00B	139.53B	83.37B	70.23B
Cash, Cash Equivalents and Short-Term Investments	262.00M	12.01B	32.84B	11.48B	6.54B
Total Debt	8.31B	34.86B	17.62B	20.41B	46.79B
Total Liabilities	10.41B	47.20B	26.26B	32.94B	60.29B
Stockholders Equity	49.67B	53.63B	50.41B	30.61B	9.94B
Cash Flow
Free Cash Flow	-24.15B	-34.46B	-21.60B	-4.41B	-10.46B
Operating Cash Flow	4.01B	12.20B	6.60B	2.26B	85.00M
Investing Cash Flow	-28.75B	-47.08B	-28.33B	-2.37B	-14.62B
Financing Cash Flow	17.28B	13.86B	41.69B	8.88B	4.53B

W-SCOPE Corporation. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 240.00
• 50DMA: Negative
• 100DMA: Negative
• 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:6619, the sentiment is Neutral. The current price of 240 is above the 20-day moving average (MA) of 234.45, below the 50-day MA of 251.42, and below the 200-day MA of 270.67, indicating a neutral trend. The MACD of -1.24 indicates Negative momentum. The RSI at 50.27 is Neutral, neither overbought nor oversold. The STOCH value of 76.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6619.

W-SCOPE Corporation. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6763	81 Outperform	¥23.60B	11.71		2.98%	10.29%	50.74%
6637	75 Outperform	¥50.29B	11.30		0.82%	8.33%	10.87%
6654	61 Neutral	¥5.86B	27.74		2.96%	2.75%	-22.26%
Sector *	58 Neutral	HK$13.96B	4.77	-2.71%	5.86%	3.74%	-52.98%
6521	50 Neutral	¥21.05B	―		―	32.53%	-248.26%
6619	45 Neutral	¥13.25B	9.97		―	―	―

W-SCOPE Corporation. Corporate Events

W-SCOPE Corporation Reports Non-Operating Expenses for Q1 FY2026

W-SCOPE Corporation has reported non-operating expenses for the first quarter of the fiscal year ending January 2026, amounting to 1,347 million yen due to equity losses from its affiliate, W-SCOPE CHUNGJU PLANT CO., LTD. This financial development may impact the company’s financial results and has been detailed in their consolidated financial results announcement.