Feedforce Group Inc. (7068) AI Stock Analysis

• Market Cap: ¥14.00B
• Dividend Yield: 1.69%
• Average Volume (3M): 31.92K
• Price to Earnings (P/E): 14.5
• Beta (1Y): 0.70
• Revenue Growth: 3.41%
• EPS Growth: 117.22%
• Country: JP
• Employees: 229
• Sector: Communication Services
• Sector Strength: 93
• Industry: Advertising Agencies
• EPS (TTM): 11.81
• Shares Outstanding: 24,309,158
• 10 Day Avg. Volume: 27,320
• 30 Day Avg. Volume: 31,916
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥612.00
• Price Target Upside: 6.25% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 79 Outperform
• Price Target: ¥612.00 ▲(6.25% Upside)

Feedforce Group Inc. demonstrates strong financial fundamentals, with consistent growth and profitability, supported by effective cash flow management. The technical indicators suggest a positive trend, although some caution is advised due to the approaching overbought territory. The stock is reasonably valued, offering a good investment opportunity with a moderate dividend yield.

Feedforce Group Inc. Business Overview & Revenue Model

Company Description

Feedforce Group Inc. (7068) is a leading technology company specializing in digital marketing and e-commerce solutions. The company primarily serves businesses by providing tools and services that enhance their online presence and optimize their digital advertising strategies. Feedforce Group Inc. is known for its innovative approach in the digital marketing sector, offering a range of products that cater to different aspects of online advertising, including social media marketing, search engine advertising, and data analytics.

How the Company Makes Money

Feedforce Group Inc. generates revenue through a variety of channels, primarily by offering subscription-based services and solutions to businesses seeking to enhance their digital marketing efforts. The company leverages its advanced technology platforms to provide clients with effective tools for managing and optimizing their online marketing campaigns. Key revenue streams include service fees from subscription packages, licensing of proprietary software, and consulting services. Additionally, the company benefits from strategic partnerships with major digital advertising platforms and e-commerce players, which help expand its reach and enhance its service offerings.

Feedforce Group Inc. Financial Statement Overview

Summary

Feedforce Group Inc. presents a strong financial position with consistent revenue growth, solid profitability, and effective cash flow management. While the debt levels are notable, the robust cash flow generation mitigates potential risks, making it a financially sound entity in the advertising agency industry.

Income Statement

Feedforce Group Inc. has demonstrated strong revenue growth with an increase of 6.63% from the previous year. The company also maintains healthy profitability margins, with a gross profit margin of 66.32% and a net profit margin of 11.19%. The EBIT margin stands at 29.25%, indicating effective cost management. Overall, the income statement reflects robust growth and profitability.

Balance Sheet

The company has a solid equity ratio of 38.21%, highlighting financial stability. However, the debt-to-equity ratio of 0.77 suggests moderate leverage, which could pose a risk if not managed carefully. Return on equity is strong at 16.37%, indicating efficient use of equity to generate profits.

Cash Flow

Feedforce Group Inc. shows a strong free cash flow growth rate of 421.85%, alongside a commendable operating cash flow to net income ratio of 1.82. The free cash flow to net income ratio of 1.67 further reflects the company's ability to convert profits into cash, supporting continued investment and financial flexibility.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	4.23B	3.97B	3.00B	2.59B	1.53B
Gross Profit	2.81B	2.62B	2.10B	1.78B	1.00B
EBITDA	1.24B	724.00M	1.13B	1.06B	453.43M
Net Income	473.00M	112.00M	602.00M	472.00M	163.30M
Balance Sheet
Total Assets	7.56B	7.12B	8.02B	6.47B	5.22B
Cash, Cash Equivalents and Short-Term Investments	3.52B	2.60B	3.64B	3.19B	2.18B
Total Debt	2.24B	1.74B	2.51B	1.68B	2.03B
Total Liabilities	4.67B	4.23B	4.87B	4.07B	3.39B
Stockholders Equity	2.89B	2.87B	3.06B	2.40B	957.55M
Cash Flow
Free Cash Flow	788.00M	151.00M	613.00M	1.32B	148.53M
Operating Cash Flow	862.00M	175.00M	623.00M	1.33B	424.11M
Investing Cash Flow	74.00M	-115.00M	-880.00M	-11.72M	-232.44M
Financing Cash Flow	-10.00M	-1.05B	699.00M	-312.76M	1.81B

Feedforce Group Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 576.00
• 50DMA: Positive
• 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:7068, the sentiment is Positive. The current price of 576 is above the 20-day moving average (MA) of 568.45, above the 50-day MA of 557.50, and above the 200-day MA of 499.00, indicating a bullish trend. The MACD of 6.80 indicates Positive momentum. The RSI at 55.52 is Neutral, neither overbought nor oversold. The STOCH value of 30.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7068.

Feedforce Group Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7068	79 Outperform	¥14.00B	14.52		1.69%	3.41%	117.22%
7354	73 Outperform	¥13.52B	12.41		1.71%	-12.93%	―
9554	72 Outperform	¥13.63B	29.88		―	23.13%	54.75%
7050	66 Neutral	¥10.18B	11.43		4.43%	20.01%	79.47%
Sector *	60 Neutral	$44.16B	2.09	-11.99%	4.01%	2.29%	-39.41%
9162	50 Neutral	¥10.29B	33.70		―	3.95%	-178.93%
6094	49 Neutral	¥9.21B	228.95		―	13.70%	94.10%

Feedforce Group Inc. Corporate Events

Feedforce Group Inc. Reports Strong Q3 Financial Performance

Feedforce Group Inc. reported its consolidated financial results for the third quarter of the fiscal year ending May 31, 2025, showing a significant year-on-year increase in profits. The company’s net sales rose by 2.6%, while profit attributable to owners of the parent surged by 150.8%. This growth reflects strong operational performance and improved market positioning, with expectations of continued financial strength as indicated by their earnings forecast for the fiscal year.