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TRaaS On Product Inc. (JP:6696)
:6696
Japanese Market
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TRaaS On Product Inc. (6696) AI Stock Analysis

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JP:6696

TRaaS On Product Inc.

(6696)

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Neutral 45 (OpenAI - 5.2)
Rating:45Neutral
Price Target:
¥303.00
▼(-0.33% Downside)
Action:Reiterated
Date:07/09/26
The score is mainly constrained by weak financial performance, led by a return to operating/net losses and a shift back to negative operating and free cash flow, which raises execution and funding-risk concerns. Technicals are mixed (below longer-term averages but neutral RSI), providing limited support. Valuation is also pressured because the company is loss-making (negative P/E) and no dividend yield data is available.
Positive Factors
Healthy gross margin
A 45.7% gross margin indicates solid unit economics and some pricing or cost advantage at the product level. Over a multi-month horizon this cushion can absorb SG&A variability and supports a path back to operating profitability if management controls operating costs.
Negative Factors
Return to losses
Reverting to negative net and operating margins shows core operations are not yet sustainable. Persisting losses erode equity, constrain reinvestment, and force choices between cost cuts, asset sales, or external funding — structural risks that matter across a 2–6 month horizon.
Read all positive and negative factors
Positive Factors
Negative Factors
Healthy gross margin
A 45.7% gross margin indicates solid unit economics and some pricing or cost advantage at the product level. Over a multi-month horizon this cushion can absorb SG&A variability and supports a path back to operating profitability if management controls operating costs.
Read all positive factors

TRaaS On Product Inc. (6696) vs. iShares MSCI Japan ETF (EWJ)

TRaaS On Product Inc. Business Overview & Revenue Model

Company Description
TRaaS On Product Inc. specializes in the development and sale of various devices that leverage artificial intelligence (AI) and the Internet of Things (IoT) to establish digital connections between people and physical objects. Among its diverse pr...
How the Company Makes Money
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TRaaS On Product Inc. Financial Statement Overview

Summary
Revenue rebounded (+18.1%) but results remain volatile, with profitability deteriorating back to losses (net margin -12.7%, EBIT margin -7.4%) despite a still-healthy gross margin (45.7%). Balance sheet leverage is manageable (debt-to-equity ~0.43) but has risen sharply, and ROE is negative (-17.6%). The biggest drag is cash flow: operating cash flow and free cash flow turned negative again (about -¥29.9M OCF, -¥33.3M FCF), increasing funding/execution risk.
Income Statement
46
Neutral
Balance Sheet
62
Positive
Cash Flow
38
Negative
BreakdownJan 2026Jan 2025Jan 2024Jan 2023Jan 2022
Income Statement
Total Revenue485.94M411.49M310.96M496.49M404.57M
Gross Profit222.10M237.74M169.16M235.23M81.21M
EBITDA3.19M29.51M-67.32M-8.14M-436.91M
Net Income-61.63M2.35M-85.81M-16.80M-517.84M
Balance Sheet
Total Assets564.30M542.47M513.34M527.91M298.88M
Cash, Cash Equivalents and Short-Term Investments279.25M314.85M330.10M388.68M120.10M
Total Debt151.67M60.00M60.23M158.62M61.98M
Total Liabilities213.39M130.40M105.23M200.01M89.71M
Stockholders Equity350.92M412.07M408.11M327.90M209.17M
Cash Flow
Free Cash Flow-33.25M24.39M-128.24M-1.29M-301.06M
Operating Cash Flow-29.89M28.02M-72.56M18.13M-263.08M
Investing Cash Flow-97.85M-45.20M-53.96M24.25M89.46M
Financing Cash Flow92.15M1.39M67.83M225.22M-40.08M

TRaaS On Product Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price304.00
Price Trends
50DMA
309.00
Positive
100DMA
347.98
Negative
200DMA
349.76
Negative
Market Momentum
MACD
4.11
Negative
RSI
61.33
Neutral
STOCH
48.81
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6696, the sentiment is Positive. The current price of 304 is above the 20-day moving average (MA) of 275.05, below the 50-day MA of 309.00, and below the 200-day MA of 349.76, indicating a neutral trend. The MACD of 4.11 indicates Negative momentum. The RSI at 61.33 is Neutral, neither overbought nor oversold. The STOCH value of 48.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6696.

TRaaS On Product Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
¥292.28B13.6112.24%2.31%-6.81%72.29%
68
Neutral
¥26.57B7.8014.95%0.77%1.57%-2.93%
68
Neutral
¥43.97B18.524.43%-0.53%-31.86%
67
Neutral
¥47.65B17.882.93%-1.36%-9.69%
63
Neutral
¥6.45B27.913.54%-11.02%8.86%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
45
Neutral
¥1.59B-14.39-11.16%-669.77%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6696
TRaaS On Product Inc.
330.00
-232.00
-41.28%
JP:6835
Allied Telesis Holdings KK
253.00
94.93
60.05%
JP:6703
OKI Electric Industry Company
3,375.00
1,826.51
117.95%
JP:6718
Aiphone Co., Ltd.
2,790.00
143.84
5.44%
JP:6778
Artiza Networks, Inc.
696.00
48.15
7.43%
JP:6820
Icom Incorporated
3,320.00
488.99
17.27%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 09, 2026