Bushiroad, Inc. (7803) AI Stock Analysis

• Market Cap: ¥35.89B
• Dividend Yield: 0.74%
• Average Volume (3M): 570.99K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 0.78
• Revenue Growth: 22.82%
• EPS Growth: 811.76%
• Country: JP
• Employees: 853
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): N/A
• Shares Outstanding: 137,353,100
• 10 Day Avg. Volume: 451,260
• 30 Day Avg. Volume: 570,990
• PEG Ratio: 0.05
• Price to Book (P/B): 2.17
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 9.90
• 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: 67 Neutral
• Price Target: ¥284.00 ▼(-6.27% Downside)
• Action: Reiterated Date: 12/19/25
• Date: Action: Reiterated 12/19/25

Bushiroad, Inc. has a solid financial foundation with strong revenue growth and profitability. The valuation is attractive with a low P/E ratio, indicating potential undervaluation. However, technical indicators suggest a bearish trend, which tempers the overall score. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Diversified franchise-driven revenue

Bushiroad's portfolio of established IPs and multiple revenue streams (TCGs, mobile games, merchandise, events) creates durable, recurring demand and cross-sell opportunities. Franchises support long product cycles, merchandising, and community engagement that sustain revenue beyond single-game lifecycles, reducing reliance on one title.

Consistent revenue growth and profitability

Reported double-digit revenue growth and explicit acknowledgment of strong profitability indicate expanding top-line and operational leverage. Sustained revenue gains support investment in content and events, enabling scale economies in production and marketing that can preserve margins over multiple reporting periods.

Improving cash generation

Recovery to positive free cash flow and high operating cash flow relative to net income signal stronger cash conversion. Reliable cash generation enhances funding for content development, event investment, and reduces financing reliance, supporting strategic initiatives without materially increasing leverage.

Negative Factors

Relatively low net margin

Net margins near 6% indicate limited profitability cushion against revenue shocks or higher content costs. With significant content, licensing and event expenses, modest net margins constrain reinvestment capacity and make long-term EPS growth sensitive to margin pressure or rising operating costs.

Moderate leverage and capital structure

A debt-to-equity around 0.48 shows use of leverage to finance growth; the equity ratio under 50% suggests a balanced but not conservative capital base. This structure can limit flexibility if cash needs spike or investment opportunities require large outlays, increasing sensitivity to funding costs.

Historic cash flow volatility

Although cash flow turned positive, documented historical fluctuations imply variability tied to product cycles, event timing, and mobile monetization trends. Such volatility can complicate multi-period planning and raises execution risk for sustained content investment and dividend or buyback consistency.

Bushiroad, Inc. Business Overview & Revenue Model

Company Description

Bushiroad, Inc. is a Japanese company primarily engaged in the development and distribution of trading card games, mobile games, and various entertainment products. Established in 2007, the company operates in sectors such as media, gaming, and merchandise, with notable franchises including 'Cardfight!! Vanguard', 'BanG Dream!', and 'Love Live!'. Bushiroad also organizes events and tournaments to promote its games and engage its community.

How the Company Makes Money

Bushiroad generates revenue through multiple streams, primarily from the sale of trading card game products, mobile game in-app purchases, and merchandise related to its popular franchises. The company earns significant income from the sale of physical card sets and expansions, catering to both casual and competitive players. In addition, Bushiroad monetizes its mobile games through in-app purchases that enhance gameplay and user experience. Merchandise sales, including apparel, figures, and accessories based on its franchises, also contribute to revenue. The company benefits from strategic partnerships with various distributors and content creators, which help to expand its market reach and enhance its brand visibility. Furthermore, Bushiroad organizes events and tournaments, generating ticket sales and sponsorships that add to its earnings.

Bushiroad, Inc. Financial Statement Overview

Summary

Bushiroad, Inc. exhibits strong revenue growth and profitability metrics. The balance sheet reflects moderate leverage and effective equity utilization, while cash flow management shows improvement. Continued focus on enhancing net margins and stabilizing cash flow growth will further strengthen the company's financial health.

Income Statement

Bushiroad, Inc. has demonstrated strong revenue growth of 12.68% in the latest year, indicating a positive trajectory. The gross profit margin of 35.62% and net profit margin of 6.08% reflect solid profitability, although there is room for improvement in net margins. The EBIT and EBITDA margins of 8.78% and 9.94%, respectively, suggest efficient operations but could be enhanced further.

Balance Sheet

The company maintains a healthy debt-to-equity ratio of 0.48, indicating moderate leverage and financial stability. The return on equity (ROE) of 14.13% is commendable, showcasing effective use of equity to generate profits. However, the equity ratio of 48.58% suggests a balanced capital structure but could benefit from a higher equity base.

Cash Flow

Bushiroad, Inc. has shown a significant improvement in free cash flow, moving from negative to positive territory, with a free cash flow to net income ratio of 0.91, indicating strong cash generation relative to net income. The operating cash flow to net income ratio of 1.70 suggests robust cash flow management, although past fluctuations in cash flow growth highlight potential volatility.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jul 2020
Income Statement
Total Revenue	56.18B	46.26B	48.80B	41.97B	0.00
Gross Profit	20.01B	15.40B	16.91B	14.66B	0.00
EBITDA	5.58B	2.80B	5.31B	5.71B	0.00
Net Income	3.42B	804.85M	2.05B	3.51B	0.00
Balance Sheet
Total Assets	49.80B	50.61B	46.34B	43.72B	37.52B
Cash, Cash Equivalents and Short-Term Investments	25.04B	25.81B	26.11B	26.61B	24.46B
Total Debt	11.81B	15.44B	13.57B	16.71B	17.91B
Total Liabilities	24.58B	27.33B	23.94B	27.53B	23.62B
Stockholders Equity	24.19B	22.40B	21.74B	15.58B	13.24B
Cash Flow
Free Cash Flow	5.31B	-362.68M	1.99B	6.87B	-1.91B
Operating Cash Flow	5.82B	-362.68M	1.98B	6.87B	-1.52B
Investing Cash Flow	894.05M	-46.60M	-2.27B	-4.44B	-280.22M
Financing Cash Flow	-5.03B	-190.29M	716.64M	-2.30B	4.25B

Bushiroad, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 303.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7803, the sentiment is Negative. The current price of 303 is above the 20-day moving average (MA) of 274.20, above the 50-day MA of 282.26, and below the 200-day MA of 316.46, indicating a bearish trend. The MACD of -2.51 indicates Positive momentum. The RSI at 40.34 is Neutral, neither overbought nor oversold. The STOCH value of 14.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7803.

Bushiroad, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2432	74 Outperform	¥282.62B	-11.40	17.98%	2.52%	34.16%	―
9766	72 Outperform	¥2.74T	25.95	17.57%	0.84%	18.39%	23.33%
2121	69 Neutral	¥171.73B	7.96	10.05%	4.61%	1.14%	77.07%
7803	67 Neutral	¥35.89B	10.99	―	0.74%	22.82%	811.76%
3765	61 Neutral	¥137.35B	97.57	3.38%	2.38%	-3.12%	-63.07%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
3632	54 Neutral	¥67.70B	111.53	1.59%	2.09%	-2.61%	116.80%

Bushiroad, Inc. Corporate Events

Bushiroad Releases FY2026 Second-Quarter Financial Results Briefing

Bushiroad Inc. has released briefing materials for its fiscal year 2026 second-quarter financial results, outlining performance highlights and key topics for investors. The document also indicates the company’s progress against its consolidated performance forecasts for the full fiscal year, suggesting a structured approach to financial disclosure and stakeholder communication.

While detailed figures are not provided in the excerpt, the materials imply Bushiroad is monitoring its trajectory toward FY2026 targets and providing supplementary appendices for further context. This structured reporting signals ongoing efforts to maintain transparency with shareholders and the market regarding its operational and financial position.

The most recent analyst rating on (JP:7803) stock is a Hold with a Yen293.00 price target. To see the full list of analyst forecasts on Bushiroad, Inc. stock, see the JP:7803 Stock Forecast page.

Bushiroad Posts Strong First-Half Profit Surge but Guides for Flat Full-Year Sales

Bushiroad Inc. reported consolidated net sales of ¥27.84 billion for the first half of fiscal 2026, an 8.2% year-on-year increase, with operating profit surging 68.5% to ¥2.91 billion and profit attributable to owners of parent more than doubling to ¥2.58 billion. The company strengthened its balance sheet, with total assets rising to ¥50.74 billion and the equity ratio improving to 52.2%, reflecting enhanced financial stability.

Despite the strong first-half performance, Bushiroad forecasts essentially flat full-year net sales of ¥56.0 billion and declines in operating profit and profit attributable to owners of parent, signaling expectations of higher costs or softer performance in the second half. The company has maintained a zero interim dividend for fiscal 2026 but plans a year-end dividend of ¥2.50 per share on a post–share-split basis, indicating a cautious but continued commitment to shareholder returns.

Bushiroad implemented a 2-for-1 share split on October 1, 2025, and has restated historical and forecast earnings per share to reflect the new share count. The share split, combined with improved profitability and a modest dividend forecast, suggests an effort to enhance stock liquidity while balancing growth investment and shareholder payouts.

The most recent analyst rating on (JP:7803) stock is a Hold with a Yen293.00 price target. To see the full list of analyst forecasts on Bushiroad, Inc. stock, see the JP:7803 Stock Forecast page.