Almedio Inc. (7859) AI Stock Analysis

• Market Cap: ¥4.47B
• Dividend Yield: N/A
• Average Volume (3M): 150.55K
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.98
• Revenue Growth: -49.81%
• EPS Growth: -81.35%
• Country: JP
• Employees: 310
• Sector: Technology
• Sector Strength: 82
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 3.32
• Shares Outstanding: 20,806,316
• 10 Day Avg. Volume: 145,060
• 30 Day Avg. Volume: 150,546
• PEG Ratio: -0.10
• Price to Book (P/B): 2.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -12.94
• 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

• Rating: 58 Neutral
• Price Target: ¥237.00 ▲(9.72%Upside)

The stock score is primarily affected by bearish technical indicators, indicating potential further downside. Financial performance is stable but shows signs of needing strategic adjustments. The stock is undervalued based on its P/E ratio, suggesting a potential buying opportunity for long-term investors.

Almedio Inc. Business Overview & Revenue Model

Company Description

Almedio Inc. (7859) is a Japanese company operating primarily in the sectors of electronic equipment and precision instruments. The company specializes in the development, manufacturing, and sale of testing devices and systems, particularly those used for optical and magnetic discs, as well as other related media. Almedio is known for its sophisticated technology and solutions that support the quality assurance and performance testing needs of media manufacturers and other enterprises relying on data storage solutions.

How the Company Makes Money

Almedio Inc. generates revenue through the sale of its testing devices and systems, which are critical for ensuring the quality and reliability of optical and magnetic media. The company's key revenue streams include direct sales of these testing systems to media manufacturers and other businesses that require precise and reliable quality assurance tools. Additionally, Almedio may engage in service contracts or maintenance agreements to provide ongoing support and updates for its products, contributing to its revenue. The company may also benefit from partnerships with media producers and technology firms that enhance its market reach and product offerings.

Almedio Inc. Financial Statement Overview

Summary

Almedio Inc. shows a stable financial position with strong past revenue growth and efficient management. However, recent declines in revenue and margins, along with fluctuating free cash flow, highlight the need for strategic adjustments to maintain long-term growth and profitability.

Income Statement

Almedio Inc. has shown strong revenue growth over the years, with a notable increase from 2023 to 2024, but a decline in 2025. Gross and net profit margins are healthy, indicating efficient cost management. However, the recent decline in revenue and margins compared to the previous year highlights potential challenges in maintaining growth momentum. EBIT and EBITDA margins have also decreased, suggesting a need for operational improvements.

Balance Sheet

The company maintains a solid balance sheet with a high equity ratio, suggesting financial stability. A low debt-to-equity ratio indicates conservative leverage, reducing financial risk. The return on equity has been positive, reflecting effective use of shareholder funds. However, the decline in total assets over the latest period is a point of concern that may impact future growth.

Cash Flow

Almedio Inc. has generated consistent positive operating cash flows, indicating strong cash generation capabilities. However, the free cash flow has fluctuated, primarily due to significant capital expenditures. The free cash flow to net income ratio shows room for improvement in converting profits into cash flows. The recent decline in free cash flow growth rate necessitates careful management of expenses and investments.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
7.87B	5.80B	11.56B	4.94B	3.27B	2.68B
	Gross Profit
3.14B	2.11B	4.99B	1.56B	918.77M	798.10M
	EBITDA
1.59B	1.05B	3.42B	554.14M	106.70M	-3.94M
	Net Income
907.18M	476.40M	2.33B	164.06M	-39.79M	-135.76M
Balance Sheet		Total Assets
9.81B	9.69B	9.76B	5.81B	4.35B	3.48B
	Cash, Cash Equivalents and Short-Term Investments
3.99B	4.10B	3.95B	1.46B	1.54B	1.55B
	Total Debt
549.00M	545.32M	423.77M	792.13M	757.28M	346.11M
	Total Liabilities
1.72B	1.48B	2.20B	2.42B	1.60B	965.53M
	Stockholders Equity
8.10B	8.21B	7.55B	3.39B	2.75B	2.51B
Cash Flow		Free Cash Flow
0.00	178.87M	1.18B	-539.52M	-619.39M	-90.61M
	Operating Cash Flow
0.00	866.45M	2.25B	447.85M	-280.72M	45.22M
	Investing Cash Flow
0.00	-698.72M	-1.28B	-1.05B	-347.06M	-135.26M
	Financing Cash Flow
0.00	-76.71M	1.40B	439.00M	547.89M	-41.01M

Almedio Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 216.00
• 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:7859, the sentiment is Negative. The current price of 216 is below the 20-day moving average (MA) of 221.30, below the 50-day MA of 234.24, and below the 200-day MA of 311.99, indicating a bearish trend. The MACD of -5.32 indicates Negative momentum. The RSI at 36.87 is Neutral, neither overbought nor oversold. The STOCH value of 9.19 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7859.

Almedio Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6424	79 Outperform	¥4.35B	4.35		2.03%	17.94%	52.79%
6837	78 Outperform	¥5.39B	8.88		2.92%	6.71%	1.14%
Sector *	69 Neutral	¥226.56B	14.47	7.65%	2.69%	9.09%	8.68%
6629	60 Neutral	¥4.82B	3.92	-4.25%	3.35%	4.12%	-143.47%
7859	58 Neutral	¥4.47B	9.32		―	-49.81%	-81.35%
6926	49 Neutral	¥4.63B	―		2.01%	-32.99%	-1509.56%