Sumasapo, Inc. (9342) AI Stock Analysis

• Market Cap: ¥2.91B
• Dividend Yield: 0.22%
• Average Volume (3M): 3.98K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.43
• Revenue Growth: 5.29%
• EPS Growth: 22.75%
• Country: JP
• Employees: 62
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -1.49
• Shares Outstanding: 2,405,200
• 10 Day Avg. Volume: 2,230
• 30 Day Avg. Volume: 3,983
• PEG Ratio: 0.93
• Price to Book (P/B): 4.86
• Price to Sales (P/S): 0.99
• P/FCF Ratio: 14.34
• 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: 72 Outperform
• Price Target: ¥1,353.00 ▲(22.78% Upside)
• Action: Upgraded Date: 01/09/26
• Date: Action: Upgraded 01/09/26

The score is driven primarily by improved financial performance (profitability and cash flow recovery) and a very strong, low-debt balance sheet. Technicals also support the score with strong momentum, though overbought signals add pullback risk. Valuation is a modest headwind due to a 22.513 P/E amid historically uneven revenue and cash flow consistency.

Positive Factors

Conservative Balance Sheet

Near-zero debt materially reduces financial risk and gives management durable optionality: the company can fund operations, absorb demand shocks, or invest in growth without needing immediate external financing. This conservatism supports long-term resilience and strategic flexibility.

Profitability Turnaround

A clear recovery in profitability indicates lasting operational improvements or better market positioning. Sustained margin expansion and positive earnings after prior losses increase internal funding capacity, improve returns metrics, and reduce reliance on capital markets over the medium term.

Improved Cash Conversion

Free cash flow aligning with net income demonstrates improved earnings quality and converts profits into spendable cash. That enhances the firm's ability to self-fund capex, organic growth, or shareholder returns and creates a more durable buffer against cyclical revenue swings.

Negative Factors

Revenue Volatility

Sharp year-to-year swings in top-line undermine predictability of profits and capital planning. Demand or volume instability strains capacity utilization and makes multi-period investment decisions riskier, reducing the visibility required for stable margin and cash-flow expansion over the medium term.

Historical Earnings Swings

Prior periods of losses show the business has recurring operational or market challenges. Even with recent gains, this pattern raises the probability of profit reversals, which can erode equity, limit reinvestment capacity, and force conservative capital allocation for resilience rather than growth.

Inconsistent Cash Flow Quality

Intermittent negative operating and free cash flow in prior years signals working-capital or execution volatility. That inconsistency can constrain sustained reinvestment, increase need for precautionary liquidity, and amplify execution risk for multi-quarter projects or dividend commitments.

Sumasapo, Inc. Business Overview & Revenue Model

Company Description

Sumasapo Inc. engages in the digital experience promotion business in Japan. It offers totono, a tenant app to facilitate communication between real estate management companies and residents; operates outbound call center for tenant satisfaction survey services; and provides consultation services on security systems, and troubles related to buildings and facilities, as well as rent guarantee services to management companies and owners. The company was incorporated in 2012 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sumasapo, Inc. generates revenue primarily through subscription fees for its cloud-based applications and platforms. The company offers tiered pricing models that allow businesses to select services based on their specific needs, providing flexibility and scalability. Key revenue streams include monthly and annual subscription plans, as well as additional fees for premium features and support services. Significant partnerships with technology providers and business consultants enhance Sumasapo's market reach and contribute to its earnings by facilitating integration and offering bundled services to clients.

Sumasapo, Inc. Financial Statement Overview

Summary

Strong turnaround in 2024–2025 with improved profitability and solid cash generation, supported by an exceptionally low-debt balance sheet. Main risk is volatility: revenue fell sharply in 2025 after strong 2024 growth, and earlier years included losses and negative cash flow.

Income Statement

Profitability has improved meaningfully off prior losses: the company returned to solid profitability in 2024 and strengthened further in 2025 (annual), with higher operating and net margins versus 2024 and a clear recovery from 2021–2023 volatility. Gross margin is healthy overall, though it eased slightly in 2025 versus 2022/2020 peaks. The key weakness is growth consistency: revenue expanded strongly in 2024 but then declined sharply in 2025 (annual), highlighting demand/volume instability despite better margins.

Balance Sheet

The balance sheet is very conservatively positioned with near-zero debt in recent years (effectively unlevered in 2024–2025) and a rising equity base over time. Returns on equity are strong in the last two years, reflecting improved earnings on a growing capital base. The main drawback is the historical earnings volatility (including negative returns in 2021 and 2023), which can pressure equity growth if profitability weakens again.

Cash Flow

Cash generation is strong in the last two years: operating cash flow is solid and free cash flow improved substantially from the negative period in 2021–2023, with 2025 (annual) free cash flow nearly matching net income. However, cash flow quality is not uniformly strong across the full period, with materially negative operating and free cash flow in 2021 and 2023. While recent conversion from earnings to cash is healthy, the historical swings point to execution and working-capital variability risk.

Breakdown	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	2.82B	2.67B	1.95B	2.04B	2.03B
Gross Profit	1.03B	882.64M	605.25M	760.31M	543.30M
EBITDA	250.98M	171.38M	-98.84M	109.13M	-32.03M
Net Income	130.23M	106.09M	-147.79M	73.76M	-50.45M
Balance Sheet
Total Assets	830.99M	689.57M	537.32M	563.36M	383.75M
Cash, Cash Equivalents and Short-Term Investments	372.65M	285.76M	169.08M	303.40M	158.44M
Total Debt	0.00	276.00K	676.00K	921.00K	30.91M
Total Liabilities	259.50M	248.27M	202.10M	222.78M	199.69M
Stockholders Equity	571.49M	441.31M	335.00M	340.58M	184.05M
Cash Flow
Free Cash Flow	193.70M	117.22M	-261.98M	75.11M	-123.15M
Operating Cash Flow	194.15M	201.59M	-187.82M	150.09M	-106.73M
Investing Cash Flow	-107.07M	-84.64M	-88.66M	-74.88M	-21.94M
Financing Cash Flow	-184.00K	-269.00K	142.16M	69.75M	15.65M

Sumasapo, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1102.00
• 50DMA: Negative
• 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:9342, the sentiment is Neutral. The current price of 1102 is below the 20-day moving average (MA) of 1257.45, below the 50-day MA of 1241.40, and below the 200-day MA of 1129.51, indicating a neutral trend. The MACD of 2.42 indicates Positive momentum. The RSI at 37.46 is Neutral, neither overbought nor oversold. The STOCH value of 78.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9342.

Sumasapo, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8898	82 Outperform	¥11.95B	11.85	―	4.98%	3.29%	-1.74%
9342	72 Outperform	¥2.91B	-185.04	―	0.22%	5.29%	22.75%
8996	67 Neutral	¥4.16B	5.42	―	0.50%	12.29%	139.06%
2970	66 Neutral	¥18.05B	8.37	―	―	57.57%	57.09%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
5532	61 Neutral	¥17.03B	5.83	―	―	23.19%	44.46%
8944	60 Neutral	¥5.08B	-4.30	―	2.51%	86.49%	83.40%