3-D Matrix (7777) AI Stock Analysis

• Market Cap: ¥42.31B
• Dividend Yield: N/A
• Average Volume (3M): 4.78M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: 40.50%
• EPS Growth: 91.59%
• Country: JP
• Employees: 106
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): N/A
• Shares Outstanding: 120,212,760
• 10 Day Avg. Volume: 2,399,770
• 30 Day Avg. Volume: 4,782,760
• PEG Ratio: 0.38
• Price to Book (P/B): 24.87
• Price to Sales (P/S): 1.91
• P/FCF Ratio: -4.61
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: ¥369.00 ▲(6.03% Upside)

The score is primarily constrained by weak financial performance—persistent losses, high leverage, and negative operating cash flow. Technicals are comparatively supportive with a clear uptrend and positive momentum indicators, but valuation remains pressured due to negative earnings and no dividend yield data.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for 3-D Matrix's products, suggesting successful market penetration and potential for future expansion.

Product Innovation

3-D Matrix's focus on innovative biomaterials positions it well in the growing regenerative medicine market, offering a competitive advantage through unique product offerings.

High Gross Profit Margin

A strong gross profit margin reflects efficient production and pricing strategies, providing a buffer against operational challenges and supporting long-term profitability.

Negative Factors

High Leverage

High leverage indicates significant reliance on debt, which can constrain financial flexibility and increase risk, especially if revenue growth slows.

Negative Cash Flow

Negative cash flow highlights liquidity challenges and raises concerns about the company's ability to sustain operations without external financing.

Persistent Losses

Ongoing losses and negative margins suggest operational inefficiencies and the need for strategic adjustments to achieve profitability.

3-D Matrix Business Overview & Revenue Model

Company Description

3-D Matrix, Ltd. develops self-assembling peptide technology. It offers PuraMatrix, a self-assembling peptide hydrogel for use in the fields of regenerative medicine, cell therapy, drug delivery technology, and surgical treatment. The company was founded in 2004 and is based in Tokyo, Japan.

How the Company Makes Money

3-D Matrix generates revenue primarily through the sale of its proprietary biomaterials and tissue engineering products to hospitals, research institutions, and pharmaceutical companies. The company’s revenue model includes direct sales of its products, licensing agreements for its technology, and collaborations with industry partners for research and development projects. Key revenue streams include product sales from its various biomaterial offerings, royalties from licensed technologies, and income from strategic partnerships that facilitate product development and market expansion. Additionally, funding from grants and investments in research initiatives further contributes to the company's financial growth.

3-D Matrix Financial Statement Overview

Summary

The company faces significant financial challenges with consistent losses, high leverage, and liquidity issues. Despite some revenue growth, profitability and cash flow remain major concerns, necessitating improved cost management and operational efficiency.

Income Statement

The company has shown some revenue growth over the years, with a 4.05% increase in the latest period. However, profitability remains a significant concern, with negative net profit margins and EBIT margins indicating ongoing operational challenges. The gross profit margin is relatively healthy at 63.81%, but the consistent net losses highlight the need for improved cost management and revenue generation.

Balance Sheet

The balance sheet reveals high leverage, with a debt-to-equity ratio of 1.33, indicating significant reliance on debt financing. The return on equity is negative, reflecting the company's inability to generate profits from shareholders' equity. The equity ratio is low, suggesting potential financial instability and risk in meeting long-term obligations.

Cash Flow

Cash flow analysis shows negative operating cash flow, which is a concern for sustainability. The free cash flow to net income ratio is slightly above 1, indicating that free cash flow is covering net losses. However, the negative free cash flow growth rate and operating cash flow coverage ratio highlight liquidity challenges and the need for improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2023	Dec 2022	Dec 2020
Income Statement
Total Revenue	7.64B	6.93B	2.31B	4.59B	1.51B	1.02B
Gross Profit	5.05B	4.42B	1.29B	3.09B	661.01M	304.91M
EBITDA	-725.87M	-2.40B	715.00M	59.13M	843.00M	638.00M
Net Income	-948.45M	-2.50B	-2.45B	-255.50M	-1.89B	-2.01B
Balance Sheet
Total Assets	6.37B	6.51B	5.83B	5.89B	5.61B	3.51B
Cash, Cash Equivalents and Short-Term Investments	1.49B	1.58B	1.17B	1.36B	2.85B	1.14B
Total Debt	2.33B	2.94B	4.37B	4.17B	3.67B	1.46B
Total Liabilities	3.68B	4.30B	5.30B	5.53B	4.15B	1.85B
Stockholders Equity	2.69B	2.22B	524.77M	353.31M	1.46B	1.66B
Cash Flow
Free Cash Flow	0.00	-1.73B	-4.60B	-1.90B	-2.92B	-3.28B
Operating Cash Flow	0.00	-1.71B	-4.59B	-1.90B	-2.90B	-3.25B
Investing Cash Flow	0.00	-33.30M	-81.50M	-29.76M	-79.86M	-160.32M
Financing Cash Flow	0.00	2.01B	2.96B	2.06B	4.66B	3.46B

3-D Matrix Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 348.00
• 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:7777, the sentiment is Positive. The current price of 348 is above the 20-day moving average (MA) of 347.65, above the 50-day MA of 335.42, and above the 200-day MA of 235.03, indicating a bullish trend. The MACD of 8.91 indicates Negative momentum. The RSI at 55.67 is Neutral, neither overbought nor oversold. The STOCH value of 54.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7777.

3-D Matrix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5187	78 Outperform	¥9.43B	11.57	―	3.52%	4.97%	-10.07%
6678	78 Outperform	¥19.02B	15.69	―	3.02%	-4.36%	-14.92%
7963	74 Outperform	¥9.64B	12.47	―	1.89%	9.47%	37.35%
7792	71 Outperform	¥13.57B	10.19	―	2.90%	16.37%	29.02%
7600	58 Neutral	¥13.38B	-15.06	―	3.12%	3.59%	-163.08%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
7777	48 Neutral	¥42.31B	-380.62	1.45%	―	40.50%	91.59%

3-D Matrix Corporate Events

3-D Matrix and Harvard Achieve Breakthrough in Cardiac Regenerative Therapy

3-D Matrix, Ltd. has achieved a significant breakthrough in cardiac regenerative therapy through its collaborative research with Harvard University, which was published in the journal Science. The study demonstrated that the company’s self-assembling peptide, RADA16, can suppress arrhythmogenic automaticity in iPSC-derived cardiomyocytes and enhance their integration with host cardiac tissue, potentially accelerating the practical application of iPSC-based therapies for heart disease and advancing regenerative medicine for other tissues requiring vascularization.

The most recent analyst rating on (JP:7777) stock is a Hold with a Yen339.00 price target. To see the full list of analyst forecasts on 3-D Matrix stock, see the JP:7777 Stock Forecast page.