tiprankstipranks
Trending News
More News >
INTER ACTION Corporation (JP:7725)
:7725
Advertisement

INTER ACTION (7725) AI Stock Analysis

Compare
0 Followers

Top Page

JP:7725

INTER ACTION

(7725)

Select Model
Select Model
Select Model
Neutral 64 (OpenAI - 4o)
Rating:64Neutral
Price Target:
¥1,497.00
▲(9.35% Upside)
INTER ACTION's strong financial performance, characterized by profitability and a solid balance sheet, is a key strength. However, technical indicators suggest bearish momentum, and the high P/E ratio indicates potential overvaluation. The lack of earnings call and corporate events data limits further insights.
Positive Factors
Strong Profitability
Consistent profitability and a strong balance sheet with low leverage indicate financial stability and efficient operations, supporting long-term growth.
Solid Balance Sheet
A low debt-to-equity ratio enhances financial flexibility and reduces risk, allowing the company to invest in growth opportunities.
Efficient Operations
High EBIT and EBITDA margins reflect operational efficiency, enabling the company to maintain profitability even with revenue fluctuations.
Negative Factors
Revenue Decline
A significant decline in revenue growth can impact future earnings potential and market positioning, challenging long-term sustainability.
Cash Flow Volatility
Inconsistent free cash flow growth can hinder the company's ability to fund operations and investments, affecting financial stability.
Declining EPS Growth
A significant decline in EPS growth indicates challenges in profitability and may affect investor confidence and stock performance.

INTER ACTION (7725) vs. iShares MSCI Japan ETF (EWJ)

INTER ACTION Business Overview & Revenue Model

Company DescriptionINTER ACTION (7725) is a diversified company operating primarily in the technology and communication sectors. The company specializes in providing innovative software solutions, digital marketing services, and IT consulting. With a focus on enhancing user engagement and optimizing business processes, INTER ACTION offers a range of products that cater to both enterprise clients and individual consumers, including mobile applications, web platforms, and data analytics tools.
How the Company Makes MoneyINTER ACTION generates revenue through multiple streams, primarily from the sale of its software products and subscription-based services. The company licenses its technology to businesses, allowing them to integrate INTER ACTION's solutions into their operations. Additionally, it earns income from consulting services, where experts provide tailored advice and strategies to optimize clients' tech infrastructures. The digital marketing division contributes significantly to revenue by offering targeted advertising solutions and SEO services, while strategic partnerships with other tech firms and agencies enhance its market reach and create additional income opportunities through collaborative projects.

INTER ACTION Financial Statement Overview

Summary
INTER ACTION demonstrates strong profitability and a solid balance sheet, with low leverage and consistent returns on equity. However, challenges in revenue growth and cash flow stability could impact future performance.
Income Statement
75
Positive
INTER ACTION has maintained healthy profitability with a consistent net profit margin around 14-15% over the years. However, the revenue growth rate has been volatile, with a significant decline of 18.45% in the latest year. Despite this, the company has strong EBIT and EBITDA margins, indicating efficient operations.
Balance Sheet
80
Positive
The company exhibits a strong balance sheet with a low debt-to-equity ratio, indicating low leverage and financial stability. The return on equity has been positive, though slightly declining, reflecting consistent profitability. The equity ratio is robust, showcasing a solid capital structure.
Cash Flow
70
Positive
INTER ACTION's cash flow performance has been mixed. While the operating cash flow to net income ratio is strong, indicating good cash generation relative to earnings, the free cash flow growth has been inconsistent. The recent improvement in free cash flow is a positive sign, but past volatility poses a risk.
BreakdownTTMDec 2024Dec 2023Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue8.18B6.67B6.86B7.75B6.02B6.63B
Gross Profit3.83B3.00B3.33B3.31B2.74B3.44B
EBITDA2.25B1.56B1.69B1.84B1.40B1.94B
Net Income1.49B979.27M981.11M1.13B761.11M1.16B
Balance Sheet
Total Assets13.57B13.66B12.61B13.65B11.53B11.56B
Cash, Cash Equivalents and Short-Term Investments9.18B9.13B6.90B6.37B6.79B7.26B
Total Debt761.47M748.18M863.95M806.92M803.86M1.04B
Total Liabilities1.87B1.89B2.48B2.61B2.19B2.53B
Stockholders Equity11.71B11.77B10.13B11.04B9.34B9.04B
Cash Flow
Free Cash Flow0.003.28B297.31M-157.81M297.24M2.25B
Operating Cash Flow0.003.56B438.77M8.28M423.08M2.37B
Investing Cash Flow0.00-293.55M-140.33M-154.06M-124.86M-86.95M
Financing Cash Flow0.00-415.78M-234.58M-469.56M-832.13M28.19M

INTER ACTION Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1369.00
Price Trends
50DMA
1443.62
Negative
100DMA
1403.14
Negative
200DMA
1284.90
Positive
Market Momentum
MACD
-24.33
Positive
RSI
42.59
Neutral
STOCH
30.62
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7725, the sentiment is Negative. The current price of 1369 is below the 20-day moving average (MA) of 1394.70, below the 50-day MA of 1443.62, and above the 200-day MA of 1284.90, indicating a neutral trend. The MACD of -24.33 indicates Positive momentum. The RSI at 42.59 is Neutral, neither overbought nor oversold. The STOCH value of 30.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7725.

INTER ACTION Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
¥24.41B12.834.88%6.15%2.98%
75
Outperform
¥12.40B9.285.68%6.45%26.58%
73
Outperform
¥16.68B16.262.61%1.66%-12.21%
69
Neutral
¥18.75B17.703.31%-1.58%12.24%
64
Neutral
$15.64B31.304.52%2.59%-35.91%-67.27%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
51
Neutral
¥8.77B-433.072.49%10.27%-106.32%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:7725
INTER ACTION
1,369.00
402.35
41.62%
JP:6848
Dkk-Toa Corporation
835.00
132.79
18.91%
JP:6850
Chino Corporation
1,387.00
381.67
37.96%
JP:6853
Kyowa Electronic Instruments Co., Ltd.
714.00
313.56
78.30%
JP:6863
Nireco Corporation
1,914.00
524.51
37.75%
JP:6864
NF Holdings Corporation
1,144.00
292.29
34.32%

INTER ACTION Corporate Events

INTER ACTION Corporation Sees Growing Demand Amid Uncertainties
Oct 24, 2025

INTER ACTION Corporation’s recent financial results briefing highlighted the growing demand for smartphone sensors, which is driving capital investment by overseas customers. The company has received large-scale orders, including for Pupil Lens Modules®, indicating a potential increase in adoption by major customers. Despite the positive outlook, uncertainties remain, and the company maintains its full-year earnings forecast. The company is also progressing in developing mid- to low-end inspection illuminators, targeting the expanding robotics market.

The most recent analyst rating on (JP:7725) stock is a Hold with a Yen1497.00 price target. To see the full list of analyst forecasts on INTER ACTION stock, see the JP:7725 Stock Forecast page.

INTER ACTION Updates Corporate Governance Guidelines for Sustainable Growth
Oct 10, 2025

INTER ACTION Corporation, a company listed on the Tokyo Prime market, has revised its Corporate Governance Guidelines to align with its Mid-Term Management Plan 2026-2030. This revision aims to strengthen the company’s governance framework, ensuring sustainable growth and long-term corporate value enhancement. The changes include updates to the corporate philosophy, dividend policy, management compensation authorization, board composition, and director qualifications.

The most recent analyst rating on (JP:7725) stock is a Buy with a Yen1609.00 price target. To see the full list of analyst forecasts on INTER ACTION stock, see the JP:7725 Stock Forecast page.

INTER ACTION Reports Sharp Decline in Q1 Financial Results
Oct 10, 2025

INTER ACTION Corporation reported a significant decline in its financial performance for the first quarter of the fiscal year ending May 31, 2026, with net sales and profits dropping sharply compared to the previous year. This downturn reflects challenges in the market and may impact the company’s strategic positioning and stakeholder confidence, although no changes to dividend forecasts have been announced.

The most recent analyst rating on (JP:7725) stock is a Buy with a Yen1609.00 price target. To see the full list of analyst forecasts on INTER ACTION stock, see the JP:7725 Stock Forecast page.

INTER ACTION Secures Major Orders for Image Sensor Inspection Products
Sep 5, 2025

INTER ACTION Corporation has announced the receipt of significant orders for its image sensor inspection products, amounting to 529 million yen. The revenue from these orders is expected to be recognized between December 2025 and February 2026, with no anticipated impact on the full-year consolidated earnings forecast for the fiscal year ending May 2026.

The most recent analyst rating on (JP:7725) stock is a Buy with a Yen1609.00 price target. To see the full list of analyst forecasts on INTER ACTION stock, see the JP:7725 Stock Forecast page.

INTER ACTION Corporation Updates Disclosure Criteria for Large Orders
Aug 22, 2025

INTER ACTION Corporation has revised its disclosure criteria for large orders, raising the threshold from 100 million yen to 500 million yen. This change reflects the company’s business expansion and aims to ensure that information disclosure aligns with its current operational scale and market significance.

The most recent analyst rating on (JP:7725) stock is a Buy with a Yen1471.00 price target. To see the full list of analyst forecasts on INTER ACTION stock, see the JP:7725 Stock Forecast page.

INTER ACTION Completes Share Repurchase Program
Aug 18, 2025

INTER ACTION Corporation has completed a share repurchase program, acquiring 737,300 common shares at a total cost of 999,973,200 yen. This repurchase, conducted through market purchases on the Tokyo Stock Exchange, was part of a broader strategy authorized by the Board of Directors to enhance shareholder value and optimize capital structure.

INTER ACTION Corporation Announces Change in Major Shareholder
Aug 8, 2025

INTER ACTION Corporation announced a significant change in its major shareholders as Kaname Capital, L.P. has become the largest shareholder as of July 31, 2025. This change, confirmed through a Large Shareholder Report submitted to the Kanto Regional Financial Bureau, sees Kaname Capital increase its voting rights to 10.84%, positioning it as the top shareholder. The company has stated that there are no immediate implications for its future outlook following this change.

INTER ACTION Corporation: Strategic Adjustments Amid Market Fluctuations
Aug 1, 2025

INTER ACTION Corporation’s recent financial results briefing highlighted a cautious yet optimistic outlook for the fiscal year ending May 2026. The company is adjusting its forecasting approach to better capture market trends, particularly in the growing sensor market for robotics and automotive applications. While domestic orders show greater visibility, overseas markets are also gaining traction with strong sales of the Pupil Lens Module®. The company is reassessing its business strategies, especially in the laser processing equipment sector, due to uncertain growth prospects.

INTER ACTION Corporation Unveils New Mid-Term Business Plan
Aug 1, 2025

INTER ACTION Corporation held a financial results briefing for the fiscal year ended May 2025, alongside a presentation of their new mid-term business plan for FY2026–FY2030. The company aims to drive meaningful change rooted in society, with key presentations by executive officers highlighting past performance and future strategic directions.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 29, 2025