Feedforce Group Inc. (7068) AI Stock Analysis

• Market Cap: ¥17.13B
• Dividend Yield: 1.43%
• Average Volume (3M): 97.40K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 0.52
• Revenue Growth: 7.24%
• EPS Growth: 215.65%
• Country: JP
• Employees: 229
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 13.68
• Shares Outstanding: 24,432,158
• 10 Day Avg. Volume: 65,430
• 30 Day Avg. Volume: 97,403
• PEG Ratio: 0.11
• Price to Book (P/B): 3.83
• Price to Sales (P/S): 2.91
• P/FCF Ratio: 9.27
• 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: 76 Outperform
• Price Target: ¥774.00 ▲(5.88% Upside)

Feedforce Group Inc. demonstrates strong financial performance with consistent revenue growth and solid profitability, which is the most significant factor in the overall score. Technical analysis supports a positive outlook with bullish momentum, though caution is advised due to potential overbought signals. The valuation is reasonable, providing a balanced risk-reward profile. The absence of earnings call and corporate events data did not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective business strategies, supporting long-term financial stability.

Cash Generation

Strong cash generation enhances financial flexibility, allowing for reinvestment in growth opportunities and debt management.

Profitability

High profitability margins reflect operational efficiency and pricing power, supporting sustainable business growth.

Negative Factors

Debt Levels

High debt levels can constrain financial options and increase vulnerability to economic downturns, impacting long-term resilience.

Net Profit Margin Fluctuation

Fluctuating net profit margins can indicate volatility in cost management or pricing strategies, affecting predictability of earnings.

Free Cash Flow Volatility

Volatility in free cash flow can hinder long-term planning and investment, impacting growth and shareholder returns.

Feedforce Group Inc. Business Overview & Revenue Model

Company Description

Feedforce Group Inc. (7068) is a leading provider in the digital marketing and advertising sector, specializing in data-driven marketing solutions. The company operates primarily in the technology and software sectors, offering a suite of products and services designed to optimize online marketing strategies for businesses. Its core offerings include digital advertising platforms, data analytics tools, and automated marketing solutions that help clients enhance their online presence and reach target audiences more effectively.

How the Company Makes Money

Feedforce Group Inc. generates revenue through a diversified model that includes subscription fees for its software solutions, performance-based advertising services, and consulting fees for digital marketing strategies. The company primarily earns money by charging clients for access to its marketing platforms, where businesses pay based on the level of service and features utilized. Key revenue streams include monthly or annual subscriptions, commission on advertising spend, and fees for customized analytics and reporting services. Additionally, strategic partnerships with major technology firms and digital marketing agencies enhance its market reach and contribute to its earnings by expanding the client base and providing integrated solutions.

Feedforce Group Inc. Financial Statement Overview

Summary

Feedforce Group Inc. exhibits strong financial health with consistent revenue growth, solid profitability, and effective cash flow management. The company has improved its leverage position over time, though maintaining a watchful eye on debt levels is crucial. The financial statements reflect a well-managed company with a positive growth trajectory, though attention to potential risks from past fluctuations is advisable.

Income Statement

Feedforce Group Inc. has demonstrated consistent revenue growth over the years, with a notable increase of 4.87% in the latest year. The company maintains strong profitability, evidenced by a high gross profit margin and a significant improvement in net profit margin from the previous year. The EBIT and EBITDA margins are robust, indicating efficient operational management. However, the net profit margin has fluctuated in past years, which could pose a risk if not stabilized.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio, which has improved over the years. The return on equity is strong, suggesting effective use of equity to generate profits. The equity ratio indicates a healthy proportion of equity financing. However, the total debt remains substantial, which could impact financial flexibility if not managed carefully.

Cash Flow

The cash flow statement shows impressive growth in free cash flow, particularly in the most recent year, indicating strong cash generation capabilities. The operating cash flow to net income ratio is healthy, suggesting good cash conversion from earnings. The free cash flow to net income ratio is also favorable, highlighting efficient cash management. Nonetheless, past fluctuations in free cash flow growth suggest potential volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.52B	4.37B	4.23B	3.97B	3.00B	2.59B
Gross Profit	3.25B	3.12B	2.81B	2.62B	2.10B	1.78B
EBITDA	1.84B	1.67B	1.24B	724.00M	1.13B	1.06B
Net Income	1.14B	1.00B	473.00M	112.00M	602.00M	472.00M
Balance Sheet
Total Assets	7.45B	7.65B	7.56B	7.12B	8.02B	6.47B
Cash, Cash Equivalents and Short-Term Investments	3.54B	4.23B	3.52B	2.60B	3.64B	3.19B
Total Debt	2.00B	2.20B	2.24B	1.74B	2.51B	1.68B
Total Liabilities	4.33B	4.33B	4.67B	4.23B	4.87B	4.07B
Stockholders Equity	3.12B	3.32B	2.89B	2.87B	3.06B	2.40B
Cash Flow
Free Cash Flow	0.00	1.37B	788.00M	151.00M	613.00M	1.32B
Operating Cash Flow	0.00	1.41B	862.00M	175.00M	623.00M	1.33B
Investing Cash Flow	0.00	-43.00M	74.00M	-115.00M	-880.00M	-11.72M
Financing Cash Flow	0.00	-651.00M	-10.00M	-1.05B	699.00M	-312.76M

Feedforce Group Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 731.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 731 is above the 20-day moving average (MA) of 684.10, above the 50-day MA of 666.51, and above the 200-day MA of 565.26, indicating a bullish trend. The MACD of 16.01 indicates Negative momentum. The RSI at 66.51 is Neutral, neither overbought nor oversold. The STOCH value of 83.41 is Negative, 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	76 Outperform	¥17.13B	15.36	―	1.43%	7.24%	215.65%
9554	73 Outperform	¥12.55B	22.48	―	―	38.56%	72.44%
7050	73 Outperform	¥12.67B	11.44	―	4.08%	51.26%	296.98%
7354	70 Outperform	¥14.24B	10.95	―	1.51%	7.96%	―
9162	61 Neutral	¥7.25B	16.49	―	―	26.73%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
6094	46 Neutral	¥9.37B	-35.37	―	―	-2.68%	91.68%

Feedforce Group Inc. Corporate Events

Feedforce Group Inc. Reports Strong First Quarter Financial Results

Feedforce Group Inc. reported a strong financial performance for the first quarter of the fiscal year ending May 31, 2026, with significant year-over-year growth in revenue and profits. The company’s revenue increased by 13.9%, while profit attributable to owners of the parent rose by 70.8%, indicating a robust start to the fiscal year. This growth reflects the company’s effective strategies in the digital marketing industry, positioning it well for continued success and providing positive implications for stakeholders.