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Advance Create Co., Ltd. (JP:8798)
:8798
Japanese Market

Advance Create Co., Ltd. (8798) AI Stock Analysis

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JP:8798

Advance Create Co., Ltd.

(8798)

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Neutral 46 (OpenAI - 5.2)
Rating:46Neutral
Price Target:
¥254.00
▼(-11.50% Downside)
Overall score is held down primarily by very weak financial performance (losses, negative equity, and negative operating/free cash flow). Technical indicators are supportive and partially offset the risk, but valuation remains unattractive/limited due to negative earnings and no dividend yield data.
Positive Factors
Recurring Revenue Mix
A diversified revenue mix with software licenses, subscriptions and maintenance contracts provides durable recurring revenue potential and customer stickiness. Over 2-6 months this supports predictable cash inflows if customer retention improves and underpins scalability of margins as software sales grow.
Technology and Solution Differentiation
Positioning as a provider of cutting-edge, tailored IT and telecommunications solutions supports long-term competitive differentiation. Customized integrations and hardware-software bundles can create customer lock-in and higher switching costs, helping sustain revenue once sales cycles recover.
Strong Gross Margin Base
A relatively high gross margin indicates favorable unit economics in core products and services. This provides structural leverage: with scale or tighter operating control, the company can translate revenue gains into meaningful operating improvements and move toward profitability over the medium term.
Negative Factors
Negative Operating and Free Cash Flow
Persistent negative operating and free cash flows signal inability to self-fund operations and investments. Over months this raises liquidity and financing risk, constrains R&D or sales investment, and increases reliance on external capital, potentially diluting shareholders or limiting strategic options.
High Leverage and Negative Equity
Negative shareholders' equity and elevated debt indicate structural balance sheet weakness. This reduces financial flexibility, raises refinancing and covenant risk, and limits the company's ability to pursue growth initiatives or absorb shocks without costly external funding over the medium term.
Declining Revenue and Ongoing Losses
A multi-year revenue decline combined with negative EBIT and net income undermines the path to sustainable profitability. Without a clear, durable reversal in top-line trends or structural cost reductions, the company faces prolonged earnings shortfalls that impair reinvestment and strategic recovery.

Advance Create Co., Ltd. (8798) vs. iShares MSCI Japan ETF (EWJ)

Advance Create Co., Ltd. Business Overview & Revenue Model

Company DescriptionAdvance Create Co., Ltd. engages in the insurance agency business in Japan. It operates through five segments: Insurance Agency Business, ASP Business, Media Business, Media Representative Business, and Reinsurance Business. The company provides life and non-life insurance services; and short-term insurance services, which include medical, death, annuity, corporate, fire, and automobile insurance to general customers and corporations through direct marketing, telemarketing, face to face sales, and collaborative sales. It is also involved in the sale of cloud services, such as customer management systems; handling of advertising operations for the Hoken Ichiba, an insurance marketplace website; planning, production, and marketing of web promotion; and reinsurance activities. Advance Create Co., Ltd. was incorporated in 1995 and is headquartered in Osaka, Japan.
How the Company Makes MoneyAdvance Create Co., Ltd. generates revenue primarily through the sale of software licenses and subscription services for its technology solutions. The company also earns significant income from consulting services, which include system integration and IT consulting tailored to specific client needs. Additionally, revenue is supplemented by hardware sales that accompany its software solutions. Strategic partnerships with other tech firms and service providers expand its market reach and enhance product offerings, contributing to its overall financial success. Moreover, the company may explore revenue opportunities through research and development grants, collaborations on innovative projects, and maintenance contracts for ongoing software support.

Advance Create Co., Ltd. Financial Statement Overview

Summary
Advance Create Co., Ltd. faces significant financial challenges, with declining revenues, negative profitability, and increasing leverage. The company's cash flow position is weak, raising concerns about its ability to sustain operations without external financing.
Income Statement
Advance Create Co., Ltd. has experienced a decline in revenue over the past few years, with a notable decrease in total revenue from 2022 to 2025. The company has been operating at a loss, as indicated by negative net income and EBIT margins. The gross profit margin remains relatively high, but the net profit margin is negative, reflecting ongoing profitability challenges.
Balance Sheet
The company's balance sheet shows a high level of debt relative to equity, with a negative stockholders' equity in 2024, indicating financial instability. The debt-to-equity ratio has increased significantly, suggesting rising leverage. Return on equity has been negative in recent years, further highlighting profitability issues.
Cash Flow
Cash flow analysis reveals negative operating and free cash flows, indicating cash management challenges. The free cash flow to net income ratio is volatile, and the company has struggled to generate positive cash flow from operations, which is critical for sustaining business operations.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue6.02B6.61B7.86B10.37B11.86B11.02B
Gross Profit4.47B5.14B5.78B6.41B9.22B8.57B
EBITDA-1.47B-546.37M-2.12B-2.17B2.44B2.35B
Net Income-3.23B-1.54B-2.25B-2.43B1.31B1.30B
Balance Sheet
Total Assets6.38B10.29B6.86B8.48B10.45B10.32B
Cash, Cash Equivalents and Short-Term Investments369.07M5.34B994.48M1.24B2.27B3.34B
Total Debt5.45B5.72B4.24B2.32B1.67B1.34B
Total Liabilities13.17B9.73B11.83B10.81B9.62B7.34B
Stockholders Equity-6.78B559.50M-4.97B4.64B834.00M2.97B
Cash Flow
Free Cash Flow0.00-3.91B-2.32B-907.72M-255.43M1.22B
Operating Cash Flow0.00-3.90B-1.67B-206.71M364.64M1.64B
Investing Cash Flow0.00-135.96M-117.13M-668.80M-391.92M-485.56M
Financing Cash Flow0.008.42B1.51B-217.50M-956.43M-488.70M

Advance Create Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price287.00
Price Trends
50DMA
222.04
Negative
100DMA
268.60
Negative
200DMA
284.68
Negative
Market Momentum
MACD
8.73
Negative
RSI
50.90
Neutral
STOCH
35.92
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8798, the sentiment is Negative. The current price of 287 is above the 20-day moving average (MA) of 204.60, above the 50-day MA of 222.04, and above the 200-day MA of 284.68, indicating a neutral trend. The MACD of 8.73 indicates Negative momentum. The RSI at 50.90 is Neutral, neither overbought nor oversold. The STOCH value of 35.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8798.

Advance Create Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
¥7.54B7.153.94%7.06%34.95%
71
Outperform
¥7.99B24.193.41%0.61%-11.34%
69
Neutral
¥50.48B19.306.16%1.10%13.99%85.66%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
46
Neutral
¥8.20B-3.03-16.91%28.05%
39
Underperform
¥6.13B-6.86-42.35%42.01%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:8798
Advance Create Co., Ltd.
222.00
-290.00
-56.64%
JP:7326
SBI Insurance Group Co., Ltd.
2,034.00
996.78
96.10%
JP:3113
UNIVA Oak Holdings Limited
76.00
0.00
0.00%
JP:7192
Mortgage Service Japan Limited
513.00
102.44
24.95%
JP:7343
Broad-minded Co., Ltd.
1,362.00
-49.71
-3.52%
JP:245A
INGS inc.
3,055.00
348.00
12.86%

Advance Create Co., Ltd. Corporate Events

Advance Create Clarifies Relationship With New Largest Shareholder SBI Holdings
Dec 26, 2025

Advance Create Co., Ltd. has disclosed its relationship with SBI Holdings, Inc. following a series of capital measures implemented in 2025 to strengthen its financial position and support long-term profitability. Through a third-party allotment of common and Class A shares aimed at maintaining its listing and enhancing earnings, SBI Holdings has come to hold 20.03% of the company’s voting rights, making it the largest major shareholder and a related company, while one outside director with senior roles within the SBI insurance group now sits on Advance Create’s board. The company stresses that SBI Holdings respects its continued listing and independent management, provides cooperative support without compromising autonomy, and that there are currently no material related‑party transactions with SBI Holdings requiring disclosure, a point likely intended to reassure investors and other stakeholders about governance and minority shareholder protections.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Sees November Insurance Sales Slump but ASP User Base Continues to Grow
Dec 26, 2025

Advance Create reported weaker insurance agency performance in November 2025, with face-to-face sales down 7% month-on-month and 16% year-on-year, collaborative sales up 8% from the prior month but down 4% year-on-year, and non-face-to-face sales falling 9% month-on-month and 53% from a year earlier, resulting in an 18% year-on-year decline in total annualized new premiums. In contrast, the ASP business continued to expand its user base, as IDs for both the GOYOKIKI customer management system and DECHI application platform increased on both a monthly and annual basis, indicating steady uptake of the company’s digital tools among insurance agents despite soft new insurance sales.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Shareholders Back All Proposals at 30th Annual Meeting
Dec 22, 2025

Advance Create Co., Ltd. reported that all proposals submitted to its 30th Annual General Meeting of Shareholders, held on December 18, 2025, were approved with strong support. Shareholders elected eight directors, including President Yoshiharu Hamada, and three corporate auditors, with approval ratios generally exceeding 90%, and the exercise ratio of voting rights reaching 81.63%, indicating high shareholder participation. The company noted that the resolutions were validly passed under the Companies Act and that some unconfirmed votes from attendees were excluded because approval requirements had already been met, underscoring both procedural compliance and solid backing for the existing management and oversight structure.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Strengthens Governance with Voluntary Nomination and Compensation Committee
Dec 18, 2025

Advance Create Co., Ltd. has established a voluntary Nomination and Compensation Committee as an advisory body to its Board of Directors to enhance the independence, objectivity, and accountability of board decisions on key governance matters, particularly the selection and remuneration of directors. The committee, whose majority are independent outside directors and is chaired by independent outside director Yoji Sakurai, comprises five members including the company’s president, and its term runs from December 18, 2025 until the close of the next ordinary general meeting of shareholders, reinforcing the company’s corporate governance framework and oversight mechanisms for stakeholders.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Revamps Board and Executive Structure After Shareholders’ Meeting
Dec 18, 2025

Advance Create Co., Ltd. has renewed its leadership structure following the 30th Annual General Meeting of Shareholders held on December 18, 2025, with shareholders electing a slate of directors and corporate auditors and the Board subsequently assigning formal titles. President Yoshiharu Hamada was reappointed as representative director with responsibility for overall company management, while executive director roles were clarified around internal audit, business IT promotion, compliance, corporate planning, human resources and general affairs, and direct marketing, including OMO sales, customer service and partnership business, alongside a strengthened framework of outside non-executive directors and corporate auditors, underscoring an emphasis on governance, oversight and operational specialization for stakeholders.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Restates Prior Financials and Remediates Material Weakness
Dec 17, 2025

Advance Create Co., Ltd. is a Japan-listed company focused on media and media-representation services, operating through subsidiaries such as Hokenichiba Co., Ltd. and trading on the Tokyo, Sapporo and Fukuoka markets.
The company confirmed the effectiveness of its internal control over financial reporting as of the fiscal year-end of September 30, 2025 after uncovering prior discrepancies: during fiscal 2024 PV calculation errors identified by the former auditor led to an independent investigative committee, which quantified discrepancies and determined prior-period restatements were necessary. The firm amended financial statements for fiscal years 2020–2023 and several quarterly reports, disclosed the issue as a material weakness, and reflected required adjustments; additionally, misstated revenue in its subsidiary’s Media and Media Rep businesses was identified and corrected in consolidated results. These actions address significant impacts on financial reporting, signal heightened governance and regulatory scrutiny, and carry implications for investor confidence and stakeholder oversight while the company implements remedial internal-control measures.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Regains Net-Asset Compliance; Prime Market Free-Float Shortfall Persists
Dec 17, 2025

Advance Create Co., Ltd. is a publicly listed company on the Tokyo Stock Exchange Prime Market and on the regional Fukuoka and Sapporo exchanges. The company reported that after correcting prior-period PV sales calculations following an investigation that identified an excess liability of ¥4,973 million, it amended prior financial statements and submitted its securities report for the fiscal year ended September 30, 2025, thereby regaining compliance with the listing maintenance net-asset criterion. However, Advance Create remains non-compliant with the Tokyo Prime Market’s freely tradable shares market capitalization and free-float ratio criteria; the company says it is strengthening internal controls, pursuing capital and business stabilization measures, and improving profitability to address remaining listing risks and reassure investors and regulators.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Corrects Financial Results for FY 2025
Nov 27, 2025

Advance Create Co., Ltd. announced a correction to its previously disclosed consolidated financial results for the fiscal year ended September 30, 2025. The correction involved recalculating net assets per share and net loss per share due to an oversight in accounting for preferred shares, though it did not impact the reported net assets. This adjustment reflects the company’s commitment to accurate financial reporting, which is crucial for maintaining stakeholder trust and ensuring compliance with financial regulations.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Reports Mixed October 2025 Business Results
Nov 26, 2025

Advance Create Co., Ltd. reported mixed results for October 2025, with a notable increase in collaborative and non-face-to-face sales compared to the previous month, although face-to-face sales saw a decline compared to the previous year. The company’s ASP business experienced a decrease in ‘Dynamic OMO’ IDs, while ‘GOYOKIKI’ and ‘DECHI’ systems saw growth, indicating a shift in client preferences and operational adjustments.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Reports Financial Losses but Shows Equity Improvement
Nov 14, 2025

Advance Create Co., Ltd. reported a challenging fiscal year ending September 30, 2025, with a significant decline in net sales and profits compared to the previous year. Despite the financial losses, the company’s equity position improved from negative to positive, indicating a potential stabilization of its financial health. The announcement did not detail specific strategic changes or implications for stakeholders.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Announces Director and Auditor Nominations
Nov 14, 2025

Advance Create Co., Ltd. has announced the nomination of candidates for its Board of Directors and Corporate Auditor positions, with appointments set to be confirmed at the upcoming shareholders’ meeting on December 18, 2025. This strategic move includes both reappointments and new appointments, potentially impacting the company’s governance structure and aligning with its future operational goals.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Announces No Year-End Dividend for FY 2025
Nov 14, 2025

Advance Create Co., Ltd. announced that it will not pay a year-end dividend for the fiscal year ending September 30, 2025, due to a decline in net sales and continued losses. Despite a reduction in losses compared to the previous fiscal year, the company prioritizes enhancing internal reserves to support future growth, aiming to resume dividend payments when business performance improves.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Reports Financial Losses Amid Currency Fluctuations and Asset Impairments
Nov 14, 2025

Advance Create Co., Ltd. reported significant financial challenges for the fiscal year ending September 30, 2025, including foreign exchange losses and extraordinary losses due to asset impairments. Additionally, the company recorded a valuation loss on shares of its subsidiary, Advance Insurance Marketing, due to a decline in net assets. While these losses impact the non-consolidated financial statements, they are eliminated in the consolidated financial statements, minimizing the overall impact on the company’s financial performance.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Plans to Meet Tokyo Stock Exchange Standards
Nov 14, 2025

Advance Create Co., Ltd. has announced a plan to meet the Tokyo Stock Exchange Prime Market’s listing maintenance standards, as it currently falls short in market capitalization and freely tradable shares ratio. The company aims to stabilize operations and improve profitability, while considering a potential transfer to the Tokyo Stock Exchange Standard Market if necessary due to market fluctuations.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Expects Compliance with Listing Criteria by Fiscal Year-End
Nov 14, 2025

Advance Create Co., Ltd. has announced that it expects to meet the listing maintenance criteria for net assets by the end of the fiscal year ended September 30, 2025, with net assets amounting to 559 million yen. This marks a significant improvement from the previous fiscal year when the company was insolvent. The company has been actively working to correct past financial discrepancies and strengthen internal controls to stabilize its business operations and financial standing, aiming to comply with the Tokyo Stock Exchange Prime Market’s standards.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Faces Financial Challenges Amid Restructuring Efforts
Nov 14, 2025

Advance Create Co., Ltd. reported a challenging fiscal year ending September 30, 2025, with a notable decline in net sales and operating profits compared to the previous year. Despite a reduction in losses, the company continues to face financial difficulties, as indicated by negative equity and a lack of dividend payments. The announcement highlights the company’s ongoing financial restructuring efforts, including changes in accounting policies and estimates, which could impact its future performance and stakeholder interests.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Advance Create Co., Ltd. Reports September 2025 Business Results
Oct 27, 2025

Advance Create Co., Ltd. reported a decline in its insurance agency business for September 2025, with significant decreases in face-to-face and non-face-to-face sales compared to both the previous month and the same month last year. However, in its ASP business, the company saw an increase in the number of IDs for its ‘GOYOKIKI’ and ‘DECHI’ systems, indicating growth in its customer management and application processing services.

The most recent analyst rating on (JP:8798) stock is a Sell with a Yen249.00 price target. To see the full list of analyst forecasts on Advance Create Co., Ltd. stock, see the JP:8798 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jan 06, 2026