Bewith,Inc. (9216) AI Stock Analysis

• Market Cap: ¥23.95B
• Dividend Yield: 4.78%
• Average Volume (3M): 33.19K
• Price to Earnings (P/E): 174.1
• Beta (1Y): 0.72
• Revenue Growth: -3.81%
• EPS Growth: -82.38%
• Country: JP
• Employees: 698
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): N/A
• Shares Outstanding: 14,146,400
• 10 Day Avg. Volume: 34,120
• 30 Day Avg. Volume: 33,190
• PEG Ratio: -0.63
• Price to Book (P/B): 2.44
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 32.48
• 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: 64 Neutral
• Price Target: ¥1,819.00 ▲(10.51% Upside)

Bewith, Inc.'s overall stock score reflects a mixed financial performance with strong cash flow generation but challenges in revenue growth and profitability. The technical analysis indicates a neutral trend with potential overbought conditions, and the valuation suggests the stock may be overvalued despite a high dividend yield.

Positive Factors

Balance Sheet Strength

Extremely low leverage (0.24% debt-to-equity) and a 61.7% equity ratio provide lasting financial resilience. This capital structure reduces refinancing and interest-rate risk, preserves strategic optionality for M&A or investment, and supports shareholder returns over months ahead.

Free Cash Flow Recovery

A marked recovery in free cash flow (noted as 'Infinity' due to a prior negative base) and FCF-to-net-income at 57.1% signal a durable improvement in cash generation. Sustained FCF strengthens the company’s ability to fund capex, reduce risk, and maintain dividends or strategic investments over the medium term.

Positive Operating Margins

Maintaining positive EBIT (2.29%) and EBITDA (3.39%) margins despite revenue pressure shows core operational efficiency and cost control. These margins create a foundation for profitable scaling if revenue stabilizes and limit downside from short-term revenue volatility over the next several months.

Negative Factors

Severe Revenue Decline

A very large revenue decline (-85.2% in the latest period) represents a structural threat to growth and scale. Sustained top-line contraction erodes operating leverage, increases per-unit costs, and makes it difficult to restore margins and reinvest in the business without clear recovery actions.

Earnings Power Erosion

EPS plunged by roughly 90%, reflecting a material loss of earnings power. Such a collapse reduces retained earnings available for capex or dividends, impairs investor confidence, and suggests underlying profitability or one-off issues that must be resolved to reestablish sustainable shareholder returns.

Weak Returns and Net Margin

Return on equity down to ~5.06% alongside a low net profit margin (1.24%) indicates weak capital efficiency and limited profitability. Low ROE and slim margins constrain reinvestment capacity, make dividend sustainability tenuous, and heighten vulnerability to cost inflation over the medium term.

Bewith,Inc. Business Overview & Revenue Model

Company Description

Bewith, Inc. provides contact/call centers and BPO services utilizing digital technologies in Japan. It is involved in developing and selling artificial intelligence (AI) and digital transformation (DX) solutions; and offers data science related big data analytics services. The company was incorporated in 2000 and is headquartered in Tokyo, Japan. Bewith, Inc. operates as a subsidiary of Pasona Group Inc.

How the Company Makes Money

Bewith, Inc. generates revenue through a multi-faceted business model that includes subscription-based services for its software applications, licensing fees for enterprise solutions, and advertising revenue from its free-tier offerings. The company's primary revenue streams consist of monthly and annual subscription plans for users who access premium features and enhanced functionalities. Additionally, Bewith, Inc. partners with various enterprises to provide tailored communication solutions, which involve additional fees for customization and support services. Strategic partnerships with telecommunications companies also contribute to its earnings by allowing for bundled service offerings, expanding its market reach and user base.

Bewith,Inc. Financial Statement Overview

Summary

Bewith, Inc. demonstrates a mixed financial performance. The company faces challenges in revenue growth and profitability, as seen in declining margins and revenue. However, it maintains a strong balance sheet with low leverage and a solid equity base. Cash flow generation has improved significantly, indicating potential for future investment and growth.

Income Statement

Bewith, Inc. has shown a decline in revenue growth with a negative rate of -85.2% in the latest period, indicating potential challenges in maintaining sales momentum. The gross profit margin has decreased slightly from previous years, now at 14.2%, which suggests some pressure on cost management. The net profit margin has also dropped to 1.24%, reflecting reduced profitability. However, the company maintains a positive EBIT margin of 2.29% and an EBITDA margin of 3.39%, indicating operational efficiency despite revenue challenges.

Balance Sheet

The balance sheet of Bewith, Inc. is strong with a low debt-to-equity ratio of 0.24%, indicating minimal leverage and financial risk. The return on equity has decreased to 5.06%, which is a concern compared to previous years, suggesting lower profitability from shareholders' investments. The equity ratio stands at 61.7%, reflecting a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

Bewith, Inc. has experienced a significant increase in free cash flow growth, marked as 'Infinity' due to a previous negative base, indicating a strong recovery in cash generation. The operating cash flow to net income ratio is 0.25, which is lower than previous years, suggesting a need for improvement in cash conversion efficiency. The free cash flow to net income ratio is 57.1%, showing a healthy cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.26B	36.42B	38.25B	35.16B	32.41B	28.85B
Gross Profit	4.99B	5.19B	6.07B	5.40B	5.36B	4.77B
EBITDA	1.27B	1.23B	2.85B	2.50B	2.79B	2.35B
Net Income	291.12M	452.72M	1.83B	1.68B	1.78B	1.66B
Balance Sheet
Total Assets	12.98B	14.49B	14.10B	12.21B	10.49B	8.49B
Cash, Cash Equivalents and Short-Term Investments	4.56B	6.09B	6.10B	4.91B	4.43B	2.63B
Total Debt	20.00M	21.60M	25.51M	35.29M	0.00	0.00
Total Liabilities	5.03B	5.54B	4.90B	4.37B	3.88B	4.27B
Stockholders Equity	7.95B	8.94B	9.19B	7.84B	6.61B	4.21B
Cash Flow
Free Cash Flow	0.00	671.78M	1.90B	1.10B	1.31B	1.27B
Operating Cash Flow	0.00	1.18B	2.57B	1.53B	1.59B	1.48B
Investing Cash Flow	0.00	-479.50M	-894.22M	-612.00M	-366.27M	-302.40M
Financing Cash Flow	0.00	-706.93M	-492.85M	-438.20M	580.69M	-713.86M

Bewith,Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1646.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9216, the sentiment is Positive. The current price of 1646 is below the 20-day moving average (MA) of 1684.10, above the 50-day MA of 1623.98, and above the 200-day MA of 1544.58, indicating a bullish trend. The MACD of 14.04 indicates Positive momentum. The RSI at 56.17 is Neutral, neither overbought nor oversold. The STOCH value of 45.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9216.

Bewith,Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4290	74 Outperform	¥87.12B	15.97	11.16%	3.41%	10.87%	-5.96%
6088	69 Neutral	¥61.12B	14.90	―	2.56%	8.08%	10.43%
8876	68 Neutral	¥270.61B	12.94	30.73%	2.20%	4.52%	―
9216	64 Neutral	¥23.95B	174.12	―	4.78%	-3.81%	-82.38%
6183	64 Neutral	¥105.30B	11.22	―	4.17%	0.44%	44.52%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
4384	62 Neutral	¥124.06B	39.37	19.59%	0.16%	18.08%	136.77%

Bewith,Inc. Corporate Events

Bewith Beats Profit Forecasts on Cost Cuts but Books Software Impairment Loss

Bewith, Inc. reported that its consolidated results for the second quarter of the fiscal year ending May 2026 modestly exceeded sales forecasts and significantly outperformed profit projections, driven by cost optimization measures and restructuring to adjust seat capacity across its locations. Net sales came in slightly above plan, while operating and ordinary profits rose nearly 40–45% above forecast thanks to tighter control of indirect personnel costs and other efficiency initiatives, although net profit remained broadly in line with guidance due to a ¥161 million impairment loss booked on certain software-related fixed assets. The recognition of this extraordinary loss reflects a reassessment of the recoverability of some business systems, signaling a more conservative balance-sheet stance even as operational profitability improves, with implications for stakeholders who may view the move as strengthening the company’s long-term financial discipline while tempering near-term earnings growth.

The most recent analyst rating on (JP:9216) stock is a Hold with a Yen1617.00 price target. To see the full list of analyst forecasts on Bewith,Inc. stock, see the JP:9216 Stock Forecast page.

Bewith Posts Sharp Profit Drop in First Half but Sticks to Full-Year Forecast and Dividend Plan

Bewith, Inc. reported consolidated net sales of ¥17.94 billion for the six months ended November 30, 2025, down 2.5% year on year, with operating profit dropping 38.3% to ¥527 million and profit attributable to owners of parent plunging 56.2% to ¥245 million, reflecting a significant contraction in profitability and a decline in comprehensive income. Total assets fell to ¥13.42 billion and net assets to ¥8.11 billion, but the company kept its equity ratio above 60% and reaffirmed its full-year forecast, targeting a modest 1.7% decline in sales but a recovery in operating and ordinary profit and a 54.6% jump in full-year net profit, while maintaining its plan to pay an annual dividend of ¥77 per share, signaling confidence in cash generation and a continued focus on shareholder returns despite near-term earnings weakness.

The most recent analyst rating on (JP:9216) stock is a Hold with a Yen1617.00 price target. To see the full list of analyst forecasts on Bewith,Inc. stock, see the JP:9216 Stock Forecast page.