NCXX Group, Inc. (6634) AI Stock Analysis

• Market Cap: ¥5.17B
• Dividend Yield: N/A
• Average Volume (3M): 140.90K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: 165.52%
• EPS Growth: 17.61%
• Country: JP
• Employees: 34
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): 5.24
• Shares Outstanding: 38,114,227
• 10 Day Avg. Volume: 105,170
• 30 Day Avg. Volume: 140,903
• PEG Ratio: 0.19
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 1.62
• P/FCF Ratio: -9.47
• 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: ¥144.00
• Price Target Upside: 13.39% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 49 Neutral
• Price Target: ¥144.00 ▲(13.39% Upside)

The overall stock score is primarily impacted by significant financial challenges, including consistent net losses and declining revenues. Technical analysis indicates weak momentum, with the stock trading below key moving averages. Valuation concerns are highlighted by a negative P/E ratio and lack of dividend yield. These factors collectively result in a low overall stock score.

NCXX Group, Inc. Business Overview & Revenue Model

Company Description

NCXX Group, Inc. (6634) is a diversified technology company that operates primarily in the information technology and software development sectors. The company focuses on providing innovative solutions that enhance business efficiency and productivity, offering a range of core products and services including cloud computing solutions, data analytics tools, and customized software applications tailored to meet the specific needs of various industries.

How the Company Makes Money

NCXX Group, Inc. generates revenue through multiple streams including subscription fees for its cloud services, licensing agreements for its software products, and consulting services for businesses looking to implement technology solutions. The company also earns income from long-term contracts with enterprise clients for ongoing support and maintenance of its software. Key partnerships with technology firms and strategic collaborations in research and development further bolster its revenue by expanding its market reach and enhancing product offerings.

NCXX Group, Inc. Financial Statement Overview

Summary

NCXX Group, Inc. faces significant financial challenges, particularly in revenue and profitability. The company has struggled with consistent net losses and declining revenues. While the balance sheet shows a strong equity position and reduced debt levels, cash flow challenges persist. The overall financial health is weakened by operational difficulties and cash flow constraints.

Income Statement

The income statement shows a significant decline in revenue and profitability over the years. Revenue growth has been negative, with the company experiencing a decrease from 2019 to 2024. The gross profit margin has also declined, and the company has been operating at a net loss consistently. The EBIT and EBITDA margins are negative, indicating operational challenges. These factors contribute to the low score.

Balance Sheet

The balance sheet shows a relatively strong equity position with the stockholders' equity covering a substantial portion of total assets, resulting in a high equity ratio. However, there is a noticeable fluctuation in total debt over the years, with recent improvements in reducing debt. The debt-to-equity ratio is relatively low, indicating manageable leverage, but consistent losses impact ROE negatively, limiting the score improvement.

Cash Flow

The cash flow statement indicates challenges with negative operating cash flow and free cash flow over the years. There is a lack of free cash flow growth, and the free cash flow to net income ratio is unfavorable due to consistent net losses. Despite some capital management efforts, cash flow issues remain a concern, resulting in a moderate score.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.94B	2.13B	866.69M	2.76B	4.85B	6.56B
Gross Profit	759.77M	599.71M	371.21M	1.70B	2.70B	3.07B
EBITDA	-1.03B	-79.01M	-514.84M	913.26M	416.90M	-1.19B
Net Income	-1.32B	-289.69M	-657.69M	806.69M	303.94M	-1.36B
Balance Sheet
Total Assets	98.55B	5.94B	3.08B	3.53B	4.54B	4.78B
Cash, Cash Equivalents and Short-Term Investments	86.52B	1.15B	587.17M	508.96M	740.36M	1.02B
Total Debt	3.22B	326.88M	11.00M	78.12M	1.48B	1.62B
Total Liabilities	95.52B	1.61B	118.65M	227.33M	3.59B	3.96B
Stockholders Equity	3.03B	4.33B	2.96B	3.31B	844.98M	117.74M
Cash Flow
Free Cash Flow	0.00	-364.20M	-196.56M	-308.67M	-225.72M	-311.94M
Operating Cash Flow	0.00	-352.81M	-98.55M	-292.60M	-176.24M	-285.45M
Investing Cash Flow	0.00	-296.93M	188.93M	-354.59M	637.79M	680.28M
Financing Cash Flow	0.00	28.21M	-66.77M	308.36M	-735.57M	-297.32M

NCXX Group, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 127.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6634, the sentiment is Negative. The current price of 127 is below the 20-day moving average (MA) of 143.00, below the 50-day MA of 147.48, and below the 200-day MA of 143.06, indicating a bearish trend. The MACD of -3.79 indicates Positive momentum. The RSI at 28.25 is Positive, neither overbought nor oversold. The STOCH value of 6.59 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6634.

NCXX Group, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6822	82 Outperform	¥5.21B	3.91	―	0.51%	1.33%	13.09%
1724	71 Outperform	¥3.21B	6.66	―	4.10%	11.82%	7.52%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6778	57 Neutral	¥5.56B	40.45	―	3.33%	-4.92%	―
6771	52 Neutral	¥3.84B	30.34	―	2.00%	0.35%	―
6696	51 Neutral	¥1.80B	92.92	―	―	41.44%	―
6634	49 Neutral	¥5.17B	―	―	―	165.52%	17.61%