Monex Group (8698) AI Stock Analysis

• Market Cap: $182.04B
• Dividend Yield: 4.23%
• Average Volume (3M): 2.13M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: 14.69%
• EPS Growth: -114.36%
• Country: JP
• Employees: 1,052
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): N/A
• Shares Outstanding: 253,647,100
• 10 Day Avg. Volume: 1,436,850
• 30 Day Avg. Volume: 2,132,950
• PEG Ratio: 0.31
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 2.37
• P/FCF Ratio: -13.71
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 8,615.88
• Revenue Forecast (FY): $10.07T

• Rating: 43 Neutral
• Price Target: ¥732.00 ▲(1.53% Upside)

Monex Group's overall stock score is primarily impacted by its financial performance and technical analysis. The company's profitability challenges and bearish technical indicators weigh heavily on the score. Valuation concerns due to a negative P/E ratio further contribute to the low score, despite a decent dividend yield.

Positive Factors

Revenue Growth

Despite volatility, the significant revenue increase indicates strong demand and potential market expansion, supporting long-term growth.

Reduced Leverage

Reduced leverage enhances financial stability and flexibility, allowing the company to better manage economic fluctuations and invest in growth.

Technological Innovation

Focus on technology and innovation strengthens competitive position in fintech, attracting and retaining customers, boosting long-term profitability.

Negative Factors

Profitability Challenges

Significant decline in profitability indicates operational inefficiencies, which could hinder reinvestment and growth if not addressed.

Negative Cash Flow

Negative cash flow suggests cash management issues, potentially limiting the company's ability to fund operations and growth initiatives.

Operational Inefficiencies

Operational inefficiencies can increase costs and reduce margins, impacting long-term competitiveness and profitability if not corrected.

Monex Group Business Overview & Revenue Model

Company Description

Monex Group, Inc., together with its subsidiaries, provides retail online brokerage services to individual investors and businesses in Japan, the United States, and the Asia-Pacific. It offers international forex, asset management, investor education, and M&A advisory services; reporting, robo-advisory, and wrap services; educational services to enhance trading skills of clients; custodial trust services; and discretionary investment management services. The company also provides tools to design, test, optimize, automate, and monitor custom equities, options, and futures trading strategies; invests in start-ups; operates cryptocurrency exchange; and offers coincheck payment and bitcoin payment services. In addition, the company offers Sharely, a virtual shareholder meeting support service that enables companies to hold online shareholder meetings. The company was formerly known as Monex Beans Holdings, Inc. and changed its name to Monex Group, Inc. in July 2008. Monex Group, Inc. was founded in 1999 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Monex Group generates revenue through multiple streams, primarily focusing on trading commissions from its online brokerage services, which include stock trading, foreign exchange, and derivatives. Additionally, the company earns income from asset management services, which involve managing investment funds and portfolios for clients. A significant portion of its revenues also comes from interest income on margin loans provided to clients for trading purposes. Furthermore, Monex has established partnerships with various financial institutions and fintech companies, enhancing its product offerings and expanding its customer base. The company's commitment to technological innovation and user-friendly platforms also contributes to customer retention and acquisition, ultimately boosting its earnings.

Monex Group Financial Statement Overview

Summary

Monex Group shows robust revenue growth but faces significant profitability challenges, with a negative net profit margin and cash flow issues. The balance sheet is stable with reduced leverage, but operational inefficiencies are evident.

Income Statement

The company's income statement reveals mixed performance. The gross profit margin remains robust, with a slight decrease from 98.81% in 2024 to 99.25% in 2025. However, the net profit margin significantly deteriorated from 51.17% in 2024 to -6.72% in 2025, indicating a shift to losses. Revenue growth is volatile, with a recent increase of 23.23% from 2024 to 2025. EBIT and EBITDA margins are stable, but the negative net income is concerning.

Balance Sheet

The balance sheet shows a solid equity base with an equity ratio of 17.47% in 2025, down from 17.29% in 2024, indicating some stability. The debt-to-equity ratio decreased from 0.76 in 2024 to 0.35 in 2025, reflecting reduced leverage. Despite these strengths, the return on equity has turned negative due to the net loss, signaling a need for operational improvements.

Cash Flow

Cash flow analysis highlights significant challenges, with operating cash flow turning negative in 2025, indicating operational inefficiencies. The free cash flow also declined sharply. The operating cash flow to net income ratio is negative due to the net loss, and free cash flow to net income is also negative, suggesting cash management difficulties. The free cash flow growth rate shows a sharp decline, underscoring these challenges.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	73.94B	77.63B	83.38B	57.57B	96.31B	0.00
Gross Profit	73.52B	77.60B	83.25B	57.36B	96.26B	-4.21B
EBITDA	15.99B	7.19B	41.39B	16.69B	34.40B	33.66B
Net Income	-5.68B	-5.07B	31.29B	3.39B	13.02B	14.35B
Balance Sheet
Total Assets	718.74B	709.64B	761.64B	1.50T	1.61T	1.40T
Cash, Cash Equivalents and Short-Term Investments	404.54B	53.47B	97.94B	181.02B	261.30B	168.45B
Total Debt	105.61B	87.02B	100.16B	415.71B	421.94B	363.48B
Total Liabilities	598.65B	583.39B	628.52B	1.40T	1.50T	1.31T
Stockholders Equity	117.99B	123.98B	131.71B	99.64B	104.29B	89.57B
Cash Flow
Free Cash Flow	-17.83B	8.73B	1.36B	-38.78B	45.09B	-63.24B
Operating Cash Flow	-17.46B	13.30B	8.05B	-30.98B	51.70B	-57.70B
Investing Cash Flow	-20.66B	-32.18B	-86.35B	-21.87B	-6.03B	-7.16B
Financing Cash Flow	-11.69B	-25.19B	-5.11B	-34.16B	13.76B	95.48B

Monex Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 721.00
• 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:8698, the sentiment is Negative. The current price of 721 is below the 20-day moving average (MA) of 731.00, below the 50-day MA of 755.16, and below the 200-day MA of 732.94, indicating a bearish trend. The MACD of -6.82 indicates Negative momentum. The RSI at 45.44 is Neutral, neither overbought nor oversold. The STOCH value of 11.04 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8698.

Monex Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8707	81 Outperform	¥74.23B	9.10	―	5.85%	10.85%	30.77%
8609	78 Outperform	¥162.87B	13.24	―	4.07%	-2.39%	-4.54%
8628	69 Neutral	¥206.93B	18.95	14.00%	5.34%	3.27%	-1.81%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8614	66 Neutral	¥42.32B	15.20	―	4.98%	6.40%	41.18%
8708	64 Neutral	¥41.57B	15.72	―	4.56%	1.14%	-16.88%
8698	43 Neutral	$182.04B	-41.60	-3.97%	4.23%	14.69%	-114.36%

Monex Group Corporate Events

Monex Group Revises Dividend Forecasts for FY 2026

Monex Group has revised its interim and year-end dividend forecasts for the fiscal year ending March 31, 2026. The interim dividend per share has been slightly increased to 15.30 yen from the previous forecast of 15.20 yen. This decision reflects the company’s commitment to enhancing shareholder returns while pursuing growth investments and maintaining stable profit growth. Monex is focused on achieving its return on equity (ROE) target of 15% by promoting cost-conscious management and ensuring appropriate shareholder distribution.

Monex Group Reports 2Q Financial Results for FY 2026

Monex Group announced its financial results for the second quarter of the fiscal year ending March 31, 2026. The company continues to leverage its technological expertise to maintain its position in the financial sector, with a focus on enhancing stakeholder value and optimizing individual financial outcomes.