GEOCODE CO.,Ltd. (7357) AI Stock Analysis

• Market Cap: ¥3.62B
• Dividend Yield: 2.35%
• Average Volume (3M): 7.46K
• Price to Earnings (P/E): 356.8
• Beta (1Y): 0.56
• Revenue Growth: 5.91%
• EPS Growth: -64.01%
• Country: JP
• Employees: 118
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 3.80
• Shares Outstanding: 2,793,100
• 10 Day Avg. Volume: 3,440
• 30 Day Avg. Volume: 7,460
• PEG Ratio: 6.90
• Price to Book (P/B): 1.61
• Price to Sales (P/S): 1.19
• P/FCF Ratio: 14.61
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ¥1,400.00 ▲(4.17% Upside)

The overall stock score is primarily influenced by the company's solid financial foundation and positive technical indicators, suggesting potential for growth. However, the extremely high P/E ratio raises concerns about overvaluation, which significantly impacts the score.

Positive Factors

Financial Resilience

The company's strong equity base and improving cash flow operations indicate solid financial health, providing a stable foundation for future growth.

Cash Generation

Efficient cash generation from operations suggests the company can sustain its operations and invest in growth without relying heavily on external financing.

Strong Gross Profit Margins

Strong gross profit margins reflect effective cost management and pricing strategies, which can support profitability and competitive positioning.

Negative Factors

Declining Profitability Margins

Decreasing profitability margins highlight challenges in managing costs and sustaining earnings, which could impact long-term financial performance.

Fluctuating Revenues

Inconsistent revenue growth suggests challenges in market demand or execution, potentially affecting the company's ability to plan and invest for the future.

Declining Total Assets

A decline in total assets may indicate underinvestment or asset management issues, potentially limiting the company's growth and operational capacity.

GEOCODE CO.,Ltd. Business Overview & Revenue Model

Company Description

GEOCODE CO.,Ltd. engages web marketing and cloud businesses. The company offers search engine optimization and advertisement agency services; and website and various systems planning, production, and consulting services. It also develops, operates, and sells Next IC Card, a cloud-based attendance management, transportation expenses, and expense settlement tool; and Next SFA, a cloud-based sales support tool. The company was founded in 2005 and is headquartered in Tokyo, Japan.

How the Company Makes Money

GEOCODE CO.,Ltd. generates revenue primarily through its various IT and digital marketing services. Key revenue streams include fees charged for SEO and online advertising services, custom web development projects, and subscription-based models for its cloud software solutions. The company also benefits from strategic partnerships with other technology providers, which help expand its service offerings and client base. Additionally, GEOCODE CO.,Ltd. may earn income from maintenance and support services provided to its existing customers.

GEOCODE CO.,Ltd. Financial Statement Overview

Summary

GEOCODE CO.,Ltd. demonstrates financial resilience with a robust equity base and improving cash flow operations. However, declining profitability margins and fluctuating revenues pose challenges. The company needs to focus on stabilizing income and optimizing asset management to ensure sustainable growth.

Income Statement

The company shows strong gross profit margins, but a declining trend in EBIT and net profit margins due to increasing operating losses. Revenue growth is inconsistent, reflecting volatility in income generation.

Balance Sheet

The balance sheet reflects a healthy equity position with a low debt-to-equity ratio, suggesting financial stability. However, declining total assets and equity over the years could be a concern.

Cash Flow

Operating cash flow has improved recently, but free cash flow growth is unstable. The operating cash flow to net income ratio indicates efficient cash generation from operations despite inconsistent free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.61B	1.58B	1.52B	1.52B	3.45B	3.04B
Gross Profit	812.20M	814.87M	816.17M	862.49M	917.66M	886.47M
EBITDA	27.29M	53.15M	42.08M	133.63M	218.31M	222.05M
Net Income	12.99M	16.73M	14.21M	79.66M	132.78M	111.29M
Balance Sheet
Total Assets	1.76B	1.84B	1.94B	2.01B	1.97B	1.70B
Cash, Cash Equivalents and Short-Term Investments	725.56M	939.86M	1.22B	1.31B	1.26B	1.19B
Total Debt	122.32M	159.46M	210.15M	276.26M	289.70M	156.76M
Total Liabilities	672.33M	666.67M	720.65M	774.91M	820.82M	687.30M
Stockholders Equity	1.09B	1.17B	1.22B	1.24B	1.15B	1.01B
Cash Flow
Free Cash Flow	0.00	129.24M	18.25M	54.38M	35.67M	89.92M
Operating Cash Flow	0.00	130.90M	26.18M	74.93M	42.40M	99.02M
Investing Cash Flow	0.00	-301.76M	-7.93M	-19.31M	-114.20M	-9.81M
Financing Cash Flow	0.00	-105.80M	-110.53M	-5.49M	138.39M	505.65M

GEOCODE CO.,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1344.00
• 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:7357, the sentiment is Positive. The current price of 1344 is above the 20-day moving average (MA) of 1315.00, above the 50-day MA of 1293.54, and above the 200-day MA of 960.53, indicating a bullish trend. The MACD of 18.06 indicates Negative momentum. The RSI at 60.10 is Neutral, neither overbought nor oversold. The STOCH value of 77.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7357.

GEOCODE CO.,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9254	70 Outperform	¥2.05B	12.50	―	―	―	―
7067	63 Neutral	¥1.60B	27.82	―	1.01%	5.79%	-30.56%
7357	62 Neutral	¥3.62B	356.81	―	2.35%	5.91%	-64.01%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
9241	48 Neutral	¥1.90B	67.21	―	―	1.95%	1083.13%
9244	46 Neutral	¥1.27B	11.68	―	―	4.93%	―
6177	44 Neutral	¥3.55B	―	―	―	89.13%	-23.83%