Inclusive, Inc. (7078) AI Stock Analysis

• Market Cap: ¥5.57B
• Dividend Yield: N/A
• Average Volume (3M): 99.19K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 0.65
• Revenue Growth: -8.33%
• EPS Growth: -462.10%
• Country: JP
• Employees: 210
• Sector: Communication Services
• Sector Strength: 92
• Industry: Advertising Agencies
• EPS (TTM): -14.14
• Shares Outstanding: 10,053,189
• 10 Day Avg. Volume: 33,150
• 30 Day Avg. Volume: 99,193
• 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: ¥564.00
• Price Target Upside: 1.81% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 56 Neutral
• Price Target: ¥564.00 ▲(1.81% Upside)

The stock's overall score is primarily influenced by solid technical momentum, trading above key moving averages with positive MACD. However, significant financial performance issues, including negative margins and poor cash flow, weigh heavily. Valuation is challenging due to a negative P/E ratio, reflecting ongoing losses.

Inclusive, Inc. Business Overview & Revenue Model

Company Description

Inclusive, Inc. (7078) is a leading provider of innovative solutions aimed at enhancing accessibility and diversity across various sectors, including technology, education, and workplace environments. The company specializes in developing software tools, consulting services, and training programs that promote inclusivity, enabling organizations to better serve diverse populations and comply with accessibility regulations. Inclusive, Inc. is committed to creating a more equitable society through its core offerings, which include accessibility audits, inclusive design consulting, and tailored training modules focused on fostering a culture of diversity and inclusion.

How the Company Makes Money

Inclusive, Inc. generates revenue through multiple streams, primarily by offering subscription-based access to its software tools and resources, which help organizations assess and improve their accessibility practices. Additionally, the company earns income from consulting services, where it partners with businesses to conduct accessibility audits and develop customized strategies for inclusivity. Training programs are another significant revenue source, as organizations pay for workshops and sessions designed to educate their staff on best practices in diversity and inclusion. Strategic partnerships with educational institutions and corporate clients further enhance its earning potential, as these collaborations often lead to long-term contracts and recurring revenue through ongoing support and updates.

Inclusive, Inc. Financial Statement Overview

Summary

Inclusive, Inc. faces significant financial challenges, particularly in terms of profitability and cash flow generation. While the balance sheet remains relatively stable, operational inefficiencies and declining revenues are major concerns. The company needs to improve profitability to enhance financial health.

Income Statement

Inclusive, Inc.'s financial performance shows significant challenges in profitability. The company has experienced a decline in revenue from 2024 to 2025, indicating negative growth. Both EBIT and EBITDA margins are negative and worsening, reflecting operational inefficiencies. The net profit margin is also negative, highlighting overall losses. The company needs to address these issues to improve financial health.

Balance Sheet

The balance sheet reveals a moderate financial position for Inclusive, Inc. The company has a relatively low debt-to-equity ratio, indicating manageable leverage. However, the equity ratio has decreased, suggesting reduced shareholder equity relative to assets. Return on equity is negative, reflecting continued losses. Despite these challenges, the company's liquidity position remains strong with substantial cash reserves.

Cash Flow

Inclusive, Inc.'s cash flow performance is weak, with negative free cash flow growth indicating a decline in cash generation. The operating cash flow to net income ratio is negative, reflecting operating challenges. However, the company has managed to maintain some level of cash flow stability, suggesting potential for improvement if operational inefficiencies are addressed.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.90B	5.36B	4.80B	1.74B	1.38B
Gross Profit	1.89B	2.22B	1.92B	816.80M	681.36M
EBITDA	-1.15B	648.98M	-493.15M	12.67M	71.96M
Net Income	-1.08B	313.57M	-871.22M	-115.90M	22.83M
Balance Sheet
Total Assets	3.76B	5.30B	5.51B	3.22B	2.35B
Cash, Cash Equivalents and Short-Term Investments	2.15B	2.21B	1.78B	1.25B	1.65B
Total Debt	689.91M	780.43M	999.49M	614.56M	638.78M
Total Liabilities	1.64B	1.90B	2.44B	1.27B	845.82M
Stockholders Equity	1.77B	2.83B	2.46B	1.88B	1.50B
Cash Flow
Free Cash Flow	-121.19M	30.85M	26.66M	109.56M	-56.90M
Operating Cash Flow	-82.45M	88.32M	48.45M	113.89M	-27.08M
Investing Cash Flow	60.00M	468.78M	-579.83M	-838.22M	-248.30M
Financing Cash Flow	-16.00M	-138.77M	1.07B	321.30M	740.76M

Inclusive, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 554.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7078, the sentiment is Positive. The current price of 554 is above the 20-day moving average (MA) of 547.00, above the 50-day MA of 529.56, and above the 200-day MA of 503.32, indicating a bullish trend. The MACD of 6.59 indicates Negative momentum. The RSI at 56.21 is Neutral, neither overbought nor oversold. The STOCH value of 65.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7078.

Inclusive, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7804	76 Outperform	¥5.73B	12.35		2.41%	24.65%	41.72%
7370	73 Outperform	¥6.11B	10.91		4.54%	-10.63%	-27.02%
6038	71 Outperform	¥4.37B	14.22		2.47%	2.16%	1.40%
7857	70 Outperform	¥5.67B	25.31		1.84%	2.54%	-36.12%
9159	66 Neutral	¥5.30B	29.92		―	2.38%	-50.61%
Sector *	60 Neutral	$44.04B	1.92	-11.93%	4.00%	2.47%	-38.33%
7078	56 Neutral	¥5.57B	12.72		―	-8.33%	-462.10%