JAPAN Creative Platform Group Co., Ltd. (7814) AI Stock Analysis

• Market Cap: ¥28.06B
• Dividend Yield: 1.57%
• Average Volume (3M): 77.03K
• Price to Earnings (P/E): 5.6
• Beta (1Y): 0.63
• Revenue Growth: 9.04%
• EPS Growth: -0.91%
• Country: JP
• Employees: 3,576
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): 107.38
• Shares Outstanding: 51,000,000
• 10 Day Avg. Volume: 50,440
• 30 Day Avg. Volume: 77,033
• PEG Ratio: 0.04
• Price to Book (P/B): 1.76
• Price to Sales (P/S): 0.42
• P/FCF Ratio: -10.18
• 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: 52 Neutral
• Price Target: ¥612.00 ▼(-21.03% Downside)
• Action: Downgraded Date: 02/18/26
• Date: Action: Downgraded 02/18/26

The score is primarily weighed down by uneven financial quality (high leverage and volatile/negative free cash flow) and bearish technicals (below key moving averages with negative MACD). These are partly offset by a low P/E and a modest dividend yield, which improve the valuation profile.

Positive Factors

Revenue Growth Trend

Consistent revenue growth since 2020, including continued growth in 2025, indicates durable demand for the company’s services and a growing customer base. A multi-year upward trend reduces dependence on one-off wins and supports longer-term capacity utilization and strategic investment.

Margin Expansion

Meaningful expansion of gross and net margins over several years signals improving unit economics, pricing power, or cost efficiency in core operations. Sustained margin gains provide a structural buffer to absorb input cost shocks and fund reinvestment or debt reduction over the medium term.

Improving Capitalization

An increase in equity and a downward trend in leverage from prior highs point to improving capitalization and reduced solvency risk over time. Even with elevated absolute debt, a clear deleveraging trajectory enhances financial flexibility and reduces refinancing pressure over coming quarters.

Negative Factors

High Leverage

Sustained high debt relative to equity materially raises financial risk: interest obligations and covenant exposure can constrain strategic choices. In an economic slowdown or earnings slip, elevated leverage amplifies downside, limiting capital allocation to growth or shareholder returns.

Weak / Volatile Cash Conversion

Inconsistent operating cash flow and a recent negative free cash flow year show earnings are not reliably converting to cash. This volatility undermines ability to service debt, fund investments, and maintain liquidity, increasing reliance on external financing and raising execution risk.

Choppy Operating Profitability

A decline in operating margin despite rising net income suggests operating costs or revenue mix issues are pressuring core profitability. If persistent, weaker operating margins can erode cash flows, reduce reinvestment capacity, and make earnings more sensitive to revenue slowdowns.

JAPAN Creative Platform Group Co., Ltd. Business Overview & Revenue Model

Company Description

JAPAN Creative Platform Group Co., Ltd. engages in the digital content and printing businesses. It produces 3DCG/digital, Web/interactive, and 2D/3D digital content; provides system development, sales promotion consulting, advertising agency, development support/marketing/sales support, product and brand development/marketing research, and planning and promotion services; and engages in the edit production activities. The company is also involved in the entertainment-related and value-added printing, publishing, and commercial printing activities; planning and production of sign displays and SP tools; and metal processing and mold metal printing activities. In addition, it engages in the manufacture of packaging fixtures, banners, and flags; album printing activities; package/promotion tool planning, structural design, and dummy production activities; planning, manufacture, and sale of bags; sale of capsule toys; novelty production; manufacture and sale of letter papers, envelopes, gold seals, gifts, and stationery; and production and sale of polyethylene package products. The company was founded in 1972 and is headquartered in Tokyo, Japan.

JAPAN Creative Platform Group Co., Ltd. Financial Statement Overview

Summary

Income statement trends are solid (revenue growth since 2020 and higher gross/net margins), but quality is held back by a debt-heavy balance sheet (debt-to-equity ~2.35x in 2025) and weak/volatile cash conversion, including negative free cash flow in 2025.

Income Statement

Revenue has grown steadily since 2020, accelerating meaningfully through 2023 and remaining positive in 2025 (annual report: ~+4.9%). Profitability has also improved versus earlier years, with gross margin expanding (2025: ~31.9% vs. 2020: ~25.6%) and net margin rising (2025: ~7.5%). Offsetting this, operating profitability has been choppy: operating margin in 2025 (~3.5%) is below 2024/2023 levels (~5%+), suggesting recent cost pressure or mix shift even as net income jumped.

Balance Sheet

The company operates with high leverage, with debt running well above equity (debt-to-equity ~2.35x in 2025 and near ~3x+ in prior years). A positive offset is improving capitalization: equity has increased notably by 2025 (vs. 2024), and leverage has trended down from the highest levels seen in 2021–2023. Still, the balance sheet remains debt-heavy, which can amplify downside risk if earnings or cash generation weaken.

Cash Flow

Cash generation is volatile. Operating cash flow is positive but not consistently strong relative to profits (2025 operating cash flow is low versus net income), and free cash flow swung from solidly positive in 2024 to negative in 2025. This inconsistency suggests working-capital and/or investment swings are materially affecting cash conversion, limiting financial flexibility despite reported earnings growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	82.89B	86.99B	80.10B	74.85B	64.42B	54.62B
Gross Profit	24.68B	27.75B	23.44B	20.47B	17.99B	15.04B
EBITDA	6.60B	5.37B	6.26B	5.87B	4.63B	3.83B
Net Income	2.92B	6.53B	2.87B	2.51B	2.00B	951.00M
Balance Sheet
Total Assets	78.51B	85.06B	75.10B	75.55B	67.77B	66.59B
Cash, Cash Equivalents and Short-Term Investments	14.41B	11.51B	12.24B	14.39B	10.40B	12.23B
Total Debt	46.77B	48.77B	42.99B	46.51B	40.05B	41.45B
Total Liabilities	60.77B	63.77B	59.11B	59.68B	55.03B	54.25B
Stockholders Equity	17.20B	20.74B	15.36B	15.43B	12.29B	10.95B
Cash Flow
Free Cash Flow	0.00	-3.58B	5.17B	-2.23B	707.00M	1.03B
Operating Cash Flow	0.00	3.89B	6.73B	1.80B	2.24B	4.67B
Investing Cash Flow	0.00	-7.95B	-2.53B	-3.53B	-203.00M	-8.42B
Financing Cash Flow	0.00	2.97B	-6.54B	5.64B	-3.90B	1.49B

JAPAN Creative Platform Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 775.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7814, the sentiment is Negative. The current price of 775 is above the 20-day moving average (MA) of 624.95, above the 50-day MA of 692.08, and above the 200-day MA of 704.51, indicating a bearish trend. The MACD of -16.77 indicates Negative momentum. The RSI at 32.63 is Neutral, neither overbought nor oversold. The STOCH value of 16.82 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7814.

JAPAN Creative Platform Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7912	75 Outperform	$1.37T	11.76	7.04%	1.47%	3.37%	-31.10%
7911	74 Outperform	¥1.24T	11.67	6.28%	1.07%	3.01%	6.48%
4384	71 Outperform	¥114.99B	21.77	19.59%	0.16%	18.08%	136.77%
7914	68 Neutral	¥40.80B	7.42	―	3.71%	-0.04%	93.95%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7916	61 Neutral	¥5.47B	-22.35	―	2.72%	-1.30%	―
7814	52 Neutral	¥28.06B	5.57	―	1.57%	9.04%	-0.91%

JAPAN Creative Platform Group Co., Ltd. Corporate Events

Japan Creative Platform Group Boosts Dividend as FY2025 Profit Jumps Despite Margin Pressure

Japan Creative Platform Group reported consolidated net sales of ¥86.99 billion for the fiscal year ended December 31, 2025, up 8.6% year on year, while operating profit fell 30.8% to ¥3.01 billion and ordinary profit declined 23.8%. Despite weaker margins, profit attributable to owners of parent more than doubled to ¥6.53 billion, supported by factors including equity-method gains and structural changes in the group, driving ROE up to 36.2% and improving the equity ratio to 24.4% as total assets and net assets both increased.

The company significantly raised its annual dividend for 2025 to ¥60 per share from ¥13, implying a much higher payout and signaling shareholder return emphasis following the surge in earnings. For 2026, it forecasts net sales growth to ¥95 billion but expects operating profit to fall further and profit attributable to owners of parent to drop 69.4%, reflecting conservative profit expectations amid continued portfolio reshuffling, accounting policy changes, and ongoing industry and integration costs that may weigh on short-term profitability.

The most recent analyst rating on (JP:7814) stock is a Buy with a Yen926.00 price target. To see the full list of analyst forecasts on JAPAN Creative Platform Group Co., Ltd. stock, see the JP:7814 Stock Forecast page.