Prored Partners Co., Ltd. (7034) AI Stock Analysis

• Market Cap: ¥6.68B
• Dividend Yield: N/A
• Average Volume (3M): 78.23K
• Price to Earnings (P/E): 31.8
• Beta (1Y): 1.10
• Revenue Growth: 283.85%
• EPS Growth: -35.61%
• Country: JP
• Employees: 249
• Sector: Industrials
• Sector Strength: 72
• Industry: Consulting Services
• EPS (TTM): 20.83
• Shares Outstanding: 11,201,800
• 10 Day Avg. Volume: 51,180
• 30 Day Avg. Volume: 78,233
• PEG Ratio: -0.83
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 0.50
• P/FCF Ratio: 1.18
• 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: 71 Outperform
• Price Target: ¥682.00 ▲(10.53% Upside)

Prored Partners Co., Ltd. scores well due to its strong financial performance, particularly in revenue growth and cash flow management. Technical analysis indicates bullish momentum, although caution is advised due to potential overbought conditions. The high P/E ratio suggests the stock may be overvalued, impacting its overall attractiveness.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust market demand and effective business strategies, enhancing long-term competitive positioning.

Cash Flow Management

Efficient cash flow management supports reinvestment opportunities and shareholder returns, ensuring financial stability and growth potential.

Balance Sheet Health

A low debt-to-equity ratio indicates conservative leverage, providing financial stability and flexibility for future strategic initiatives.

Negative Factors

Net Profit Margin

A low net profit margin suggests challenges in controlling costs or non-operating expenses, potentially impacting overall profitability.

Return on Equity

Low return on equity indicates inefficiencies in generating returns for shareholders, which may affect investor confidence and capital attraction.

Earnings Growth

Negative EPS growth reflects declining profitability, which could hinder future growth prospects and investor sentiment.

Prored Partners Co., Ltd. Business Overview & Revenue Model

Company Description

Prored Partners Co., Ltd. (7034) is a leading company in the financial services sector, primarily focused on providing comprehensive consulting and advisory services. The company specializes in risk management, asset management, and financial planning solutions tailored to individual and corporate clients. With a strong emphasis on leveraging technology and data analytics, Prored Partners aims to enhance client decision-making processes and drive sustainable financial growth.

How the Company Makes Money

Prored Partners generates revenue through a diversified model that includes consulting fees, asset management fees, and performance-based incentives. The company charges clients for its advisory services, which may include strategic financial planning, investment consulting, and risk assessment. In addition, Prored Partners earns recurring income from managing client assets, typically calculated as a percentage of assets under management (AUM). Performance-based incentives further augment revenue, as the company may receive bonuses tied to the investment returns it achieves for clients. Strategic partnerships with financial institutions and technology firms also play a crucial role in expanding its service offerings and enhancing operational efficiency, thereby contributing to its overall earnings.

Prored Partners Co., Ltd. Financial Statement Overview

Summary

Prored Partners Co., Ltd. shows a stable financial position with a strong balance sheet, evidenced by a low Debt-to-Equity Ratio and high Equity Ratio. However, the company faces challenges with profitability and cash flow, as indicated by negative operating and free cash flows and a negative EBIT Margin. Revenue growth is a positive aspect, but operational efficiency needs improvement.

Income Statement

The income statement shows mixed results with a recent year-over-year revenue growth rate of 18.04%, indicating a positive trend. However, profitability margins such as the Gross Profit Margin at 34.43% and a negative EBIT Margin of -2.83% highlight operational challenges. The Net Profit Margin stands at 9.98%, showing profitability but also reflecting volatility in earnings.

Balance Sheet

The balance sheet is strong with a low Debt-to-Equity Ratio of 0.16, indicating low leverage, and a high Equity Ratio of 48.79%, suggesting financial stability. The Return on Equity (ROE) at 5.00% is moderate, reflecting some degree of profitability but also room for improvement in generating returns from equity.

Cash Flow

Cash flow analysis reveals concerns with negative operating and free cash flows, leading to an Operating Cash Flow to Net Income Ratio of -0.73 and a Free Cash Flow to Net Income Ratio of -0.74. These figures suggest cash flow challenges despite reported net income, requiring attention to cash management strategies.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.13B	12.30B	3.21B	2.72B	2.72B	3.65B
Gross Profit	5.19B	7.53B	1.10B	763.07M	1.36B	2.18B
EBITDA	2.95B	5.10B	1.35B	4.66B	-912.39M	631.37M
Net Income	-114.73M	205.84M	319.68M	818.41M	-871.19M	533.05M
Balance Sheet
Total Assets	14.58B	14.43B	13.11B	11.98B	9.32B	8.89B
Cash, Cash Equivalents and Short-Term Investments	12.06B	12.06B	5.52B	5.40B	4.73B	4.57B
Total Debt	831.80M	777.00M	996.20M	1.10B	887.60M	390.80M
Total Liabilities	2.06B	2.53B	1.79B	1.91B	1.80B	1.03B
Stockholders Equity	7.01B	6.90B	6.40B	6.05B	5.17B	6.04B
Cash Flow
Free Cash Flow	1.92B	5.15B	-236.71M	-583.15M	-812.33M	2.40M
Operating Cash Flow	1.92B	5.41B	-231.90M	-579.00M	-186.91M	307.98M
Investing Cash Flow	-212.00M	-4.74B	424.58M	3.25B	-1.11B	-2.68B
Financing Cash Flow	-697.54M	-345.77M	-77.75M	-2.00B	1.46B	985.38M

Prored Partners Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 617.00
• 50DMA: Positive
• 100DMA: Negative
• 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:7034, the sentiment is Positive. The current price of 617 is above the 20-day moving average (MA) of 600.30, above the 50-day MA of 570.26, and above the 200-day MA of 563.64, indicating a bullish trend. The MACD of 6.92 indicates Positive momentum. The RSI at 58.48 is Neutral, neither overbought nor oversold. The STOCH value of 58.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7034.

Prored Partners Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6578	76 Outperform	¥3.27B	-25.92	―	2.07%	49.99%	142.46%
6560	73 Outperform	¥10.19B	13.41	―	1.34%	5.97%	-5.60%
9644	72 Outperform	¥25.34B	22.93	―	3.50%	15.91%	36.39%
7034	71 Outperform	¥6.68B	31.83	―	―	283.85%	-35.61%
7033	66 Neutral	¥23.45B	12.67	―	2.18%	17.87%	5.31%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Prored Partners Co., Ltd. Corporate Events

Prored Partners Sets Terms for New Employee Stock Option Issuance

Prored Partners Co., Ltd. has approved the detailed terms for issuing stock options in the form of share acquisition rights to 12 of its employees, based on a board resolution passed on December 19, 2025. The program covers 1,537 share acquisition rights tied to a total of 153,700 common shares, with a total issue value of ¥87,301,600 and an exercise price equivalent to ¥568 per share, signaling the company’s use of equity-based compensation to incentivize and retain talent and align employee interests with shareholder value.

The most recent analyst rating on (JP:7034) stock is a Buy with a Yen682.00 price target. To see the full list of analyst forecasts on Prored Partners Co., Ltd. stock, see the JP:7034 Stock Forecast page.

Prored Partners Issues New Employee Stock Options to Strengthen Long-Term Incentives

Prored Partners has approved the issuance of its seventh series of stock options, in the form of share acquisition rights, to employees as a performance-linked incentive aimed at enhancing the company’s corporate value. The options, which will be granted free of charge and without the need for shareholder approval since they are not considered favorable issuances, cover up to 1,537 rights (each initially for 100 common shares) with an exercise period from December 2027 to December 2035, and include detailed adjustment mechanisms for stock splits, consolidations, and certain equity transactions, underscoring a structured, long-term commitment to employee retention and alignment with shareholder interests.

The most recent analyst rating on (JP:7034) stock is a Hold with a Yen563.00 price target. To see the full list of analyst forecasts on Prored Partners Co., Ltd. stock, see the JP:7034 Stock Forecast page.

Prored Partners Forecasts 700 Million Yen in Net Sales from Dividend Income

Prored Partners Co., Ltd. has announced it anticipates consolidated net sales of 700 million yen due to dividend income from an investee of a limited partnership. While a detailed impact on full-year financial results is under review, this development reflects potential growth in their investment business and may affect stakeholders, particularly in terms of non-controlling interest dynamics.

The most recent analyst rating on (JP:7034) stock is a Hold with a Yen563.00 price target. To see the full list of analyst forecasts on Prored Partners Co., Ltd. stock, see the JP:7034 Stock Forecast page.

Prored Partners Reports Strong Financial Growth Amidst Strategic Adjustments

Prored Partners Co., Ltd. reported a significant increase in its financial performance for the fiscal year ending October 31, 2025, with net sales rising by 158.7% and operating profit surging by 395.1%. Despite these gains, the profit attributable to owners of the parent decreased by 35.6%. The company has adjusted its accounting policies, impacting the presentation of net sales and operating profits. The financial results indicate a strong operational performance, although the lack of dividend payments and the absence of a forecast for the next fiscal year suggest caution in future financial planning.

The most recent analyst rating on (JP:7034) stock is a Hold with a Yen563.00 price target. To see the full list of analyst forecasts on Prored Partners Co., Ltd. stock, see the JP:7034 Stock Forecast page.

Prored Partners Reports Gains from Investment Securities Sale

Prored Partners Co., Ltd. has announced the posting of gains and losses from the sale of operational investment securities managed by its subsidiary, Bluepass Capital Inc. The sale resulted in a non-consolidated gain of 379 million yen and contributed to consolidated net sales of 2,792 million yen, with an operating profit of 2,338 million yen and a profit attributable to owners of the parent amounting to 625 million yen. This financial outcome reflects the company’s strategic management of its investment portfolio and could influence its market positioning and stakeholder confidence.

The most recent analyst rating on (JP:7034) stock is a Hold with a Yen563.00 price target. To see the full list of analyst forecasts on Prored Partners Co., Ltd. stock, see the JP:7034 Stock Forecast page.

Prored Partners Projects Significant Net Sales from Investment Securities Sale

Prored Partners Co., Ltd. anticipates recording consolidated net sales of 2,792 million yen in the fourth quarter of the fiscal year ending October 31, 2025, due to the partial sale of operational investment securities. The proceeds from this sale, which include interests of other limited partnership investors, will be reflected in the company’s net sales, with profits attributable to non-controlling interests deducted. The company is evaluating the impact on its full-year financial results and will announce any necessary forecast revisions.

The most recent analyst rating on (JP:7034) stock is a Hold with a Yen660.00 price target. To see the full list of analyst forecasts on Prored Partners Co., Ltd. stock, see the JP:7034 Stock Forecast page.