AKIBA Holdings Co. Ltd. (6840) AI Stock Analysis

• Market Cap: ¥4.39B
• Dividend Yield: N/A
• Average Volume (3M): 92.20K
• Price to Earnings (P/E): 5.3
• Beta (1Y): 1.33
• Revenue Growth: 20.86%
• EPS Growth: N/A
• Country: JP
• Employees: 241
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): 18.68
• Shares Outstanding: 9,192,560
• 10 Day Avg. Volume: 89,640
• 30 Day Avg. Volume: 92,196
• PEG Ratio: -0.33
• Price to Book (P/B): 0.64
• Price to Sales (P/S): 0.12
• P/FCF Ratio: -4.80
• 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: 66 Neutral
• Price Target: ¥516.00 ▲(29.65% Upside)
• Action: Downgraded Date: 02/13/26
• Date: Action: Downgraded 02/13/26

The score is driven mainly by mixed financial quality: strong revenue growth is offset by shrinking margins, negative operating/free cash flow, and higher leverage. Technicals are supportive with a strong uptrend, but overbought signals add near-term risk. Valuation is moderate on P/E, with no dividend yield data to bolster the case.

Positive Factors

Sustained Revenue Growth

Consistent double-digit top-line growth indicates durable demand for AKIBA's IT products and services across its customer base. Over 2-6 months this revenue momentum supports scale advantages, capacity to invest in operations, and the ability to pursue strategic initiatives that can improve long-term profitability.

Integrated IT value-chain model

Operating via subsidiaries across product distribution and IT services creates diversified revenue streams and cross-selling opportunities. This structural business model reduces single-market exposure, supports customer stickiness with business/reseller clients, and provides resilience across industry cycles.

Slight gross margin improvement

An improving gross margin suggests better pricing or procurement efficiency at the product level. If sustained, this trend provides a structural lever to restore operating profitability, absorb SG&A, and improve earnings conversion as management focuses on operational efficiencies.

Negative Factors

Eroding Net Profitability

A sharply lower net margin signals persistent pressure on the company's bottom line, reducing retained earnings and financial flexibility. Over the medium term this constrains reinvestment, weakens return metrics like ROE, and increases sensitivity to cost shocks or revenue slowdowns.

Negative operating and free cash flow

Sustained negative operating and free cash flow undermines the firm's ability to fund growth internally and forces reliance on external financing. Over months this limits capital expenditure, strategic investments, and margin improvement programs, and raises refinancing and liquidity risk.

High leverage

A debt-to-equity ratio above 2 indicates significant reliance on debt financing, increasing interest and covenant risk. Structurally, high leverage reduces resilience to earnings volatility, limits strategic flexibility, and raises the cost of capital for any future investments or restructuring.

AKIBA Holdings Co. Ltd. Business Overview & Revenue Model

Company Description

AKIBA Holdings Co.,Ltd. manufactures and sells electronic equipment and communication-related products. It develops, designs, and manufactures memory products, IoT products and services, and custom power supplies; sells peripheral computer equipment, industrial computers and servers, and workstations and network equipment; and designs, develops, and manufactures electronic circuits. The company also engages in the engineering, contact center, telecommunication consulting, BPO, system development and contracting, and temporary employment and recruiting agency businesses. In addition, it develops, manufactures, and sells high-performance computers; and plans, manufactures, imports, and sells pet products. Further, the company is involved in the IT, event, and real estate businesses. The company was formerly known as ADTEC Corporation and changed its name to AKIBA Holdings Co.,Ltd. in October 2015. AKIBA Holdings Co.,Ltd. was incorporated in 1968 and is headquartered in Tokyo, Japan.

How the Company Makes Money

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AKIBA Holdings Co. Ltd. Financial Statement Overview

Summary

Revenue growth is strong (15.3% in 2025), but profitability is deteriorating (net margin down to 0.6%) and operating/free cash flow are negative, with higher leverage (debt-to-equity 2.08) adding balance-sheet risk.

Income Statement

AKIBA Holdings has shown a consistent increase in revenue over the years, with a notable revenue growth rate of 15.3% in 2025. However, the net profit margin has decreased from 1.8% in 2024 to 0.6% in 2025, indicating pressure on profitability. The gross profit margin has improved slightly, but the EBIT and EBITDA margins have declined, suggesting increased operational costs or inefficiencies.

Balance Sheet

The company's debt-to-equity ratio has increased over the years, reaching 2.08 in 2025, which indicates a higher reliance on debt financing. The return on equity has decreased to 3.2% in 2025 from 8.6% in 2024, reflecting reduced profitability. The equity ratio remains stable, suggesting a balanced asset structure, but the increasing liabilities pose a risk.

Cash Flow

AKIBA Holdings has faced challenges with negative operating cash flow in recent years, with a significant decline in free cash flow. The operating cash flow to net income ratio is negative, indicating cash flow issues despite reported profits. The free cash flow to net income ratio is also negative, highlighting the company's struggle to generate cash from operations.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	19.00B	18.27B	15.85B	15.01B	16.17B	14.74B
Gross Profit	3.94B	3.85B	3.62B	3.56B	2.75B	2.32B
EBITDA	916.47M	825.60M	956.61M	1.13B	765.62M	728.74M
Net Income	149.51M	112.27M	292.57M	702.08M	382.35M	345.84M
Balance Sheet
Total Assets	13.35B	13.63B	11.47B	10.14B	9.18B	8.38B
Cash, Cash Equivalents and Short-Term Investments	5.84B	5.37B	4.17B	3.44B	3.75B	3.75B
Total Debt	7.09B	7.34B	5.25B	4.27B	4.02B	3.76B
Total Liabilities	9.30B	9.65B	7.68B	6.71B	6.50B	6.13B
Stockholders Equity	3.60B	3.53B	3.42B	3.13B	2.43B	2.04B
Cash Flow
Free Cash Flow	0.00	-468.89M	-122.11M	-55.33M	-222.28M	883.76M
Operating Cash Flow	0.00	-374.34M	-40.66M	-20.47M	-147.25M	948.65M
Investing Cash Flow	0.00	-108.88M	-212.90M	-393.66M	-112.09M	-183.35M
Financing Cash Flow	0.00	1.70B	971.04M	81.52M	253.34M	396.25M

AKIBA Holdings Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 398.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6840, the sentiment is Negative. The current price of 398 is below the 20-day moving average (MA) of 515.80, below the 50-day MA of 503.12, and above the 200-day MA of 374.44, indicating a neutral trend. The MACD of -6.61 indicates Positive momentum. The RSI at 44.90 is Neutral, neither overbought nor oversold. The STOCH value of 56.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6840.

AKIBA Holdings Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6670	80 Outperform	¥219.32B	8.54	―	2.70%	10.23%	8.78%
6750	79 Outperform	¥149.98B	2.97	12.77%	2.84%	4.48%	22.39%
6727	72 Outperform	¥101.53B	8.23	22.46%	4.06%	-8.93%	48.98%
6737	69 Neutral	¥87.77B	11.91	―	4.76%	1.81%	9.07%
6724	67 Neutral	¥624.61B	9.47	6.07%	3.69%	0.48%	6.92%
6840	66 Neutral	¥4.39B	5.33	―	―	20.86%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%