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PIALA INC. (JP:7044)
:7044
Japanese Market

PIALA INC. (7044) AI Stock Analysis

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JP:7044

PIALA INC.

(7044)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
¥538.00
▼(-4.27% Downside)
Action:ReiteratedDate:02/18/26
The score is primarily held back by high leverage and very thin operating margins despite a 2025 earnings and cash flow rebound. Technical indicators also point to a weak trend below major moving averages, while valuation is only moderately supportive given a mid-range P/E and no dividend yield.
Positive Factors
Improved Cash Generation
The shift to positive operating and free cash flow in 2025, with FCF roughly matching net income, indicates better cash conversion and higher earnings quality. Over the next 2–6 months this durable improvement supports reinvestment, working capital management and reduces immediate refinancing pressure.
Negative Factors
Elevated Leverage
A debt-to-equity ratio near 2.6x leaves limited financial flexibility and raises interest burden risk. With thin margins and historically volatile cash flow, high leverage increases vulnerability to demand or cost shocks and constrains the company's ability to invest or pursue strategic opportunities.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved Cash Generation
The shift to positive operating and free cash flow in 2025, with FCF roughly matching net income, indicates better cash conversion and higher earnings quality. Over the next 2–6 months this durable improvement supports reinvestment, working capital management and reduces immediate refinancing pressure.
Read all positive factors

PIALA INC. (7044) vs. iShares MSCI Japan ETF (EWJ)

PIALA INC. Business Overview & Revenue Model

Company Description
PIALA Inc. provides marketing services in Asia. It offers a range of services, such as marketing, event, system/apps development, design, etc., as well as develops various services as a general support for its clients, such as solution for real/We...
How the Company Makes Money
PIALA INC. generates revenue primarily through a subscription-based model for its software solutions, allowing clients to access its platforms for a recurring fee. Additionally, the company earns income from consulting services that help businesse...

PIALA INC. Financial Statement Overview

Summary
A rebound in 2025 with a return to positive net income and improved free cash flow supports the score, but operating profitability remains extremely thin and the balance sheet is highly leveraged (debt-to-equity ~2.6x), leaving limited margin for error. Cash flow has also been volatile across recent years.
Income Statement
46
Neutral
Balance Sheet
34
Negative
Cash Flow
55
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue15.90B15.73B13.49B9.06B11.78B12.66B
Gross Profit2.33B2.42B2.09B1.77B2.16B1.96B
EBITDA330.83M83.01M-51.96M-763.88M-114.98M-127.96M
Net Income219.46M199.29M-114.16M-982.82M-232.58M-259.81M
Balance Sheet
Total Assets4.13B4.22B4.26B3.54B4.86B5.03B
Cash, Cash Equivalents and Short-Term Investments1.55B1.63B1.36B1.95B2.14B1.96B
Total Debt1.37B1.47B1.48B1.78B1.97B1.75B
Total Liabilities3.43B3.57B3.76B2.96B3.25B3.10B
Stockholders Equity610.71M572.00M441.00M534.05M1.52B1.85B
Cash Flow
Free Cash Flow0.00271.96M-241.53M-114.66M6.88M-705.27M
Operating Cash Flow0.00275.01M-160.73M1.85M157.26M-430.20M
Investing Cash Flow0.0018.10M-117.52M1.17M-190.57M-396.58M
Financing Cash Flow0.00-3.66M-284.51M-184.31M204.01M515.06M

PIALA INC. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price562.00
Price Trends
50DMA
516.70
Positive
100DMA
551.25
Negative
200DMA
579.88
Negative
Market Momentum
MACD
6.18
Negative
RSI
58.65
Neutral
STOCH
87.88
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7044, the sentiment is Neutral. The current price of 562 is above the 20-day moving average (MA) of 510.50, above the 50-day MA of 516.70, and below the 200-day MA of 579.88, indicating a neutral trend. The MACD of 6.18 indicates Negative momentum. The RSI at 58.65 is Neutral, neither overbought nor oversold. The STOCH value of 87.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7044.

PIALA INC. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
¥1.56B62.941.00%5.79%-30.56%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
60
Neutral
¥3.18B7.59-4.44%
55
Neutral
¥5.42B-5.4134.64%8.49%
51
Neutral
¥3.57B563.919.93%-81.98%
48
Neutral
¥3.89B20.1642.12%
46
Neutral
¥3.30B-2.103.02%16.63%324.42%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:7044
PIALA INC.
533.00
297.00
125.85%
JP:2656
Vector HOLDINGS Inc.
191.00
116.00
154.67%
JP:4196
NEO MARKETING Inc.
1,446.00
415.00
40.25%
JP:7036
eMnet Japan Co., Ltd.
843.00
125.24
17.45%
JP:7067
Branding Technology, Inc.
990.00
166.33
20.19%
JP:7069
CyberBuzz, Inc.
790.00
145.00
22.48%
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: Feb 18, 2026