Birdman Inc. (7063) AI Stock Analysis

• Market Cap: ¥3.46B
• Dividend Yield: N/A
• Average Volume (3M): 307.87K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.44
• Revenue Growth: -83.17%
• EPS Growth: 91.97%
• Country: JP
• Employees: 34
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): -2.75
• Shares Outstanding: 27,053,500
• 10 Day Avg. Volume: 431,710
• 30 Day Avg. Volume: 307,866
• PEG Ratio: 0.05
• Price to Book (P/B): 12.54
• Price to Sales (P/S): 10.03
• P/FCF Ratio: -10.81
• 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: 44 Neutral
• Price Target: ¥121.00 ▼(-11.68% Downside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

The score is primarily pressured by very weak financial performance (steep revenue contraction, persistent losses, high leverage concerns, and negative cash flow). Technical signals are mixed with some short-term strength but negative trend indicators, while valuation is not supportive due to losses and no dividend data.

Positive Factors

Business model diversification

Birdman operates across live events and content projects, giving it multiple revenue channels and opportunities to reuse IP and cross-promote offerings. That structural diversification supports resilience versus a single product line and can sustain revenue sources as markets recover.

Recent improvement in equity position

The move back to positive equity in the latest period indicates a meaningful balance-sheet inflection versus prior negative equity. This improvement, if maintained, materially reduces insolvency risk, improves lender and supplier confidence, and increases strategic optionality over the medium term.

Lean operating footprint (small headcount)

A small employee base implies a low fixed-cost structure and operational agility. That lean footprint helps preserve cash during prolonged demand weakness and allows management to re-scale activities without bearing large permanent overhead, aiding survivability in recovery phases.

Negative Factors

Severe revenue contraction

A nearly 70% revenue decline is structurally damaging: it erodes scale, reduces bargaining power with venues/partners, and makes fixed costs proportionally heavier. Sustained declines at this magnitude threaten long-term viability unless new demand or revenue streams are secured.

Persistent negative operating and free cash flow

Ongoing negative operating and free cash flow means the business cannot self-fund working capital or investment needs. Over months this forces reliance on external financing, heightens refinancing risk, and limits the company's ability to invest in content or events that would drive sustainable recovery.

High leverage and prior negative equity

Heavy reliance on debt and a recent history of negative equity raise solvency and interest-service concerns. High leverage constrains strategic choices, increases vulnerability to slower cash inflows, and can force asset sales or dilutive financing that impair long-term competitive positioning.

Birdman Inc. Business Overview & Revenue Model

Company Description

Birdman Inc. engages in the marketing transformation business in Japan and internationally. It operates through two segments: MX business, and EX business. The company plans and executes advertising campaigns and strategic PR; communication aimed at solving social issues; metaverse virtual platform, SP, PR, and creative services, etc. It also involved in the artist management and production; merchandising, planning, production and management of concerts and events; management of fan clubs; and planning, production, sale, and distribution of digital content. In addition, the company offers cross border consulting services. The company was formerly known as a dot co.,ltd and changed its name to Birdman Inc. in February 2021. Birdman Inc. was incorporated in 2012 and is headquartered in Tokyo, Japan.

How the Company Makes Money

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Birdman Inc. Financial Statement Overview

Summary

Very weak fundamentals: sharp revenue decline (-69.3%), ongoing losses with negative margins, high leverage with prior negative equity, and consistently negative operating/free cash flow indicating liquidity strain.

Income Statement

Birdman Inc. has experienced a significant decline in revenue, with a negative revenue growth rate of -69.3% in the latest period. The company has been consistently unprofitable, with negative net profit margins and EBIT margins over the past years. This indicates severe challenges in generating profits and managing operational costs.

Balance Sheet

The company has a high debt-to-equity ratio, indicating a heavy reliance on debt financing. The negative stockholders' equity in the previous year highlights financial instability. Although there was a positive equity in the latest period, the overall financial leverage remains a concern.

Cash Flow

Birdman Inc. has consistently reported negative operating and free cash flows, indicating poor cash generation from operations. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, suggesting liquidity issues.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	319.06M	2.09B	4.48B	3.37B	1.76B
Gross Profit	18.64M	-459.05M	708.73M	831.39M	436.89M
EBITDA	-569.76M	-1.82B	70.06M	248.52M	-227.23M
Net Income	-715.85M	-3.03B	-7.86M	187.08M	-49.62M
Balance Sheet
Total Assets	1.89B	375.94M	2.91B	1.84B	1.36B
Cash, Cash Equivalents and Short-Term Investments	1.73B	115.84M	1.20B	705.48M	495.89M
Total Debt	987.15M	1.47B	1.48B	880.58M	708.69M
Total Liabilities	1.63B	1.82B	2.40B	1.32B	1.03B
Stockholders Equity	255.04M	-1.45B	512.55M	526.72M	332.14M
Cash Flow
Free Cash Flow	-296.05M	-2.12B	-167.88M	66.42M	-144.34M
Operating Cash Flow	-296.05M	-2.12B	-157.30M	70.07M	-123.21M
Investing Cash Flow	18.50M	51.40M	35.74M	-36.68M	-60.75M
Financing Cash Flow	1.89B	990.37M	612.94M	176.20M	79.31M

Birdman Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 137.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7063, the sentiment is Negative. The current price of 137 is above the 20-day moving average (MA) of 124.40, above the 50-day MA of 127.42, and below the 200-day MA of 202.04, indicating a neutral trend. The MACD of 1.23 indicates Negative momentum. The RSI at 51.01 is Neutral, neither overbought nor oversold. The STOCH value of 58.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7063.

Birdman Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7068	75 Outperform	¥13.10B	11.18	―	1.27%	7.24%	215.65%
6069	72 Outperform	¥5.79B	10.27	―	2.65%	12.66%	-36.71%
7354	65 Neutral	¥14.05B	10.92	―	1.51%	7.96%	―
9466	63 Neutral	¥3.18B	8.14	―	6.49%	-13.21%	103.94%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
7069	60 Neutral	¥3.07B	7.59	―	―	-4.44%	―
7063	44 Neutral	¥3.46B	-9.91	―	―	-83.17%	91.97%