Lovable Marketing Group, Inc. (9254) AI Stock Analysis

• Market Cap: ¥1.68B
• Dividend Yield: N/A
• Average Volume (3M): 7.94K
• Price to Earnings (P/E): 37.9
• Beta (1Y): 0.08
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: 187
• Sector: Communication Services
• Sector Strength: 84
• Industry: Advertising Agencies
• EPS (TTM): 37.02
• Shares Outstanding: 1,446,775
• 10 Day Avg. Volume: 3,500
• 30 Day Avg. Volume: 7,936
• PEG Ratio: -1.02
• Price to Book (P/B): 4.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -11.13
• 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: 73 Outperform
• Price Target: ¥1,534.00 ▲(11.48%Upside)

Lovable Marketing Group, Inc. scores highly on financial performance due to robust revenue and profit growth, efficient operations, and strong cash flow. However, a high P/E ratio suggests the stock might be overvalued, which could limit upside potential. Technical analysis shows a neutral to slightly positive trend with potential buying opportunities due to oversold conditions.

Lovable Marketing Group, Inc. Business Overview & Revenue Model

Company Description

Lovable Marketing Group, Inc. (9254) is a dynamic marketing firm specializing in digital marketing solutions and brand development strategies. The company operates within the advertising and marketing sector, offering a range of services including social media management, content creation, and digital advertising campaigns designed to enhance brand visibility and engagement.

How the Company Makes Money

Lovable Marketing Group, Inc. generates revenue primarily through service fees charged for its marketing solutions. The company offers customized marketing packages that clients subscribe to, which may include strategic planning, execution of digital campaigns, and ongoing support. Key revenue streams include project-based fees, monthly retainers for ongoing services, and commissions from partnerships with digital advertising platforms. The company's earnings are also bolstered by significant partnerships with technology providers and media companies, enabling them to offer comprehensive and cutting-edge marketing strategies to their clients.

Lovable Marketing Group, Inc. Financial Statement Overview

Summary

Lovable Marketing Group, Inc. exhibits strong financial health with impressive revenue and profit growth, efficient operations, and robust cash flow generation. However, high leverage and past volatility in financial performance pose potential risks.

Income Statement

Lovable Marketing Group, Inc. has demonstrated strong revenue growth of 20.8% year-over-year. Gross profit margin is impressive at 52.2%, indicating efficient cost management. The net profit margin improved to 3.4%, showing enhanced profitability. EBIT and EBITDA margins are at 6.3% and 8.5%, respectively, reflecting solid operational efficiency. However, there has been volatility in EBITDA growth in prior years, which poses a risk.

Balance Sheet

The company's balance sheet shows a healthy equity ratio of 15.7%, suggesting moderate financial stability. The debt-to-equity ratio is high at 3.57, indicating significant leverage, which could be risky if not managed properly. Return on equity at 26.8% is strong, showcasing effective use of shareholder capital. However, the declining stockholders' equity over recent periods is a concern.

Cash Flow

Operating cash flow to net income ratio is robust at 3.6, indicating strong cash generation relative to profits. Free cash flow growth is substantial at 211.5%, reflecting efficient capital expenditure management. Free cash flow to net income ratio is exceptionally strong at 3.53, underscoring the company's ability to generate cash relative to its net income. Past fluctuations in cash flows should be monitored.

Breakdown	TTM	Dec 2024	Dec 2023	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	914.46M	2.16B	1.79B	1.65B	1.39B	963.64M
Gross Profit	502.77M	1.13B	938.67M	880.77M	808.84M	482.75M
EBITDA	88.06M	184.80M	117.86M	94.58M	196.36M	-9.82M
Net Income	57.98M	72.61M	62.00M	44.35M	91.22M	-33.25M
Balance Sheet
Total Assets	1.41B	1.73B	1.41B	1.41B	1.33B	782.60M
Cash, Cash Equivalents and Short-Term Investments	750.63M	986.41M	668.00M	750.63M	863.91M	440.23M
Total Debt	552.23M	966.72M	551.00M	552.23M	419.91M	492.02M
Total Liabilities	858.68M	1.42B	832.00M	858.68M	862.00M	674.30M
Stockholders Equity	534.00M	270.58M	551.00M	534.00M	450.31M	99.23M
Cash Flow
Free Cash Flow	0.00	256.20M	82.29M	-231.97M	226.96M	-26.27M
Operating Cash Flow	0.00	261.41M	89.14M	-176.20M	227.18M	-21.72M
Investing Cash Flow	0.00	-9.42M	-231.43M	-108.74M	13.77M	4.42M
Financing Cash Flow	0.00	65.36M	-302.00K	171.66M	182.74M	84.06M

Lovable Marketing Group, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1376.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9254, the sentiment is Negative. The current price of 1376 is below the 20-day moving average (MA) of 1405.15, below the 50-day MA of 1378.58, and below the 200-day MA of 1447.22, indicating a bearish trend. The MACD of 8.19 indicates Positive momentum. The RSI at 45.31 is Neutral, neither overbought nor oversold. The STOCH value of 32.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9254.

Lovable Marketing Group, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9254	73 Outperform	¥1.68B	37.87		―	―	―
7067	71 Outperform	¥1.55B	19.86		1.02%	9.15%	2289.13%
7357	64 Neutral	¥2.83B	167.90		1.97%	4.05%	17.28%
Sector *	62 Neutral	€3.68B	3.59	4.45%	4.87%	5.39%	-160.72%
9241	59 Neutral	¥1.30B	469.06		―	3.64%	83.67%
9244	56 Neutral	¥1.11B	―		―	1.08%	-1287.36%
6177	44 Neutral	¥1.65B	―		―	102.89%	54.40%