DIGITALIFT Inc. (9244) AI Stock Analysis

• Market Cap: ¥1.69B
• Dividend Yield: N/A
• Average Volume (3M): 52.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: 1.08%
• EPS Growth: -1287.36%
• Country: JP
• Employees: 61
• Sector: Communication Services
• Sector Strength: 92
• Industry: Advertising Agencies
• EPS (TTM): 47.40
• Shares Outstanding: 1,568,700
• 10 Day Avg. Volume: 11,510
• 30 Day Avg. Volume: 52,196
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥1,160.00
• Price Target Upside: -4.13% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ¥1,160.00 ▼(-4.13% Downside)

The overall stock score is primarily influenced by significant financial challenges, including declining revenue and profitability, and high leverage. Despite strong technical indicators suggesting bullish momentum, the negative valuation metrics due to poor profitability weigh heavily on the stock's attractiveness.

DIGITALIFT Inc. Business Overview & Revenue Model

Company Description

DIGITALIFT Inc. (9244) is a technology-focused company operating in the digital marketing and advertising sector. The company specializes in providing innovative digital solutions to businesses looking to enhance their online presence and optimize their advertising strategies. DIGITALIFT offers a range of services including search engine optimization (SEO), pay-per-click (PPC) advertising, social media marketing, and data analytics. Their solutions are designed to drive traffic, increase customer engagement, and improve conversion rates for clients across various industries.

How the Company Makes Money

DIGITALIFT Inc. generates revenue primarily through service fees and subscription-based models. The company charges clients for customized digital marketing solutions and consultancy services, which include a combination of one-time fees for specific projects and ongoing retainers for continuous support and strategy development. Additionally, DIGITALIFT offers subscription packages for its analytics and reporting tools, which provide clients with valuable insights into their marketing performance. The company also forms strategic partnerships with major digital advertising platforms, which may include revenue-sharing arrangements or commissions for managing advertising budgets on behalf of their clients. These partnerships, along with a diverse client base, significantly contribute to DIGITALIFT's earnings.

DIGITALIFT Inc. Financial Statement Overview

Summary

DIGITALIFT Inc. is facing significant financial challenges, including negative profitability and declining revenue. The company has a high debt-to-equity ratio and negative operating cash flow, indicating financial instability and potential difficulties in sustaining operations.

Income Statement

DIGITALIFT Inc. experienced a decline in revenue in the most recent year, with a negative revenue growth rate of approximately -6.59%. The company also saw a negative net profit margin due to net losses, indicating profitability challenges. Gross profit margin remains moderate at around 22.9%, showing some ability to cover cost of goods sold but insufficient to reach net profitability. EBIT margin is low at about 1.02%, and EBITDA margin is negative, reflecting operational inefficiencies.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of approximately 1.97, denoting significant leverage which could pose financial risks. Stockholders' equity decreased, resulting in an equity ratio of about 27.18%, indicating a reliance on debt for asset financing. Return on equity is negative due to the net loss, suggesting inefficiency in generating returns from shareholders' investments.

Cash Flow

Operating cash flow turned negative, indicating challenges in cash generation from core operations. Free cash flow also declined significantly, resulting in a negative free cash flow to net income ratio. The company is facing difficulties in maintaining positive cash flow, which could hinder future investments and debt servicing.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	3.33B	3.56B	2.63B	2.34B	2.07B
Gross Profit	762.04M	831.97M	736.79M	649.47M	504.32M
EBITDA	-5.39M	117.70M	203.33M	201.75M	119.91M
Net Income	-74.08M	52.86M	147.96M	127.78M	73.28M
Balance Sheet
Total Assets	2.29B	1.93B	1.46B	1.18B	746.77M
Cash, Cash Equivalents and Short-Term Investments	1.56B	1.24B	1.07B	804.04M	449.40M
Total Debt	1.22B	715.11M	331.11M	269.44M	226.60M
Total Liabilities	1.66B	1.24B	685.44M	650.77M	503.43M
Stockholders Equity	621.51M	689.46M	772.37M	530.01M	243.34M
Cash Flow
Free Cash Flow	-30.55M	83.24M	123.45M	157.54M	12.36M
Operating Cash Flow	-8.96M	83.24M	124.32M	159.48M	21.79M
Investing Cash Flow	-175.26M	-101.10M	-11.05M	-4.48M	-10.38M
Financing Cash Flow	510.61M	186.60M	151.59M	199.64M	33.20M

DIGITALIFT Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1210.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9244, the sentiment is Positive. The current price of 1210 is above the 20-day moving average (MA) of 1049.60, above the 50-day MA of 886.76, and above the 200-day MA of 777.27, indicating a bullish trend. The MACD of 91.41 indicates Negative momentum. The RSI at 69.45 is Neutral, neither overbought nor oversold. The STOCH value of 50.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9244.

DIGITALIFT Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7067	74 Outperform	¥1.57B	27.28		1.00%	11.28%	275.99%
4196	73 Outperform	¥3.49B	47.20		―	-3.61%	66.56%
9254	70 Outperform	¥1.82B	40.07		―	―	―
7357	64 Neutral	¥3.73B	308.49		1.49%	4.86%	-49.46%
Sector *	60 Neutral	$44.04B	1.92	-11.93%	4.00%	2.47%	-38.33%
9244	58 Neutral	¥1.69B	―		―	1.08%	-1287.36%
7078	56 Neutral	¥5.57B	12.72		―	-8.33%	-462.10%