WirelessGate, Inc. (9419) AI Stock Analysis

• Market Cap: ¥2.73B
• Dividend Yield: N/A
• Average Volume (3M): 41.53K
• Price to Earnings (P/E): 9.6
• Beta (1Y): 0.51
• Revenue Growth: -1.07%
• EPS Growth: 6.60%
• Country: JP
• Employees: 25
• Sector: Communication Services
• Sector Strength: 87
• Industry: Telecommunications Services
• EPS (TTM): 6.28
• Shares Outstanding: 10,938,574
• 10 Day Avg. Volume: 56,790
• 30 Day Avg. Volume: 41,530
• PEG Ratio: -0.93
• Price to Book (P/B): 2.81
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.11
• 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: 67 Neutral
• Price Target: ¥274.00 ▲(9.16%Upside)

WirelessGate, Inc. exhibits strong financial stability and improving profitability, supported by effective cost management and robust cash flow. The technical analysis suggests a cautious outlook due to mixed short-term signals. Valuation indicates potential attractiveness, yet the absence of a dividend yield may deter some investors. Overall, the stock shows promise but requires close monitoring for revenue growth and technical trend reversals.

WirelessGate, Inc. Business Overview & Revenue Model

Company Description

WirelessGate, Inc. (9419) is a telecommunications company based in Japan that specializes in providing Wi-Fi and mobile broadband services. The company offers a range of connectivity solutions for both individuals and businesses, including public Wi-Fi services, mobile virtual network operator (MVNO) services, and other internet-related offerings. WirelessGate aims to enhance the digital experience for users by delivering reliable and convenient internet access through its extensive network infrastructure.

How the Company Makes Money

WirelessGate, Inc. generates revenue through a variety of channels primarily focused on connectivity and telecommunication services. The company's key revenue streams include subscription fees from individual and corporate customers who use its Wi-Fi and mobile broadband services. As an MVNO, WirelessGate also earns money by purchasing wholesale mobile network access from major carriers and reselling it to end-users under its own brand. Additionally, the company may form partnerships with other businesses to provide bundled service offerings or to enhance the coverage and quality of its network. These partnerships and the strategic use of existing network infrastructure contribute significantly to its earnings.

WirelessGate, Inc. Financial Statement Overview

Summary

WirelessGate, Inc. has shown a solid financial recovery with improving profit margins and cash flow management. The company has effectively managed its costs and leverage, leading to stronger profitability and financial stability. However, revenue growth remains a challenge.

Income Statement

WirelessGate, Inc. demonstrated an improving trend in profitability margins, with a gross profit margin of 50.18% and a net profit margin of 3.35% in 2024. The revenue growth has been negative over recent years, but the company has effectively improved its cost structure, leading to better EBIT and EBITDA margins. These improvements indicate a positive trajectory towards profitability.

Balance Sheet

The company has a healthy equity position with an equity ratio of 43.96% in 2024, reflecting financial stability. The debt-to-equity ratio improved to 0.23, indicating manageable leverage. Return on equity was 21.57%, showing efficient use of equity to generate profits. However, the overall asset base has been decreasing, which may limit future growth.

Cash Flow

WirelessGate, Inc. exhibited strong free cash flow generation with a growth rate of 8.01% from the previous year. The operating cash flow to net income ratio stood at 0.81, suggesting efficient cash conversion. The free cash flow to net income ratio was 0.80, reinforcing the company's strong cash position. These metrics indicate robust cash flow management, although operating cash flow decreased from the prior year.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.48B	8.46B	8.48B	8.53B	9.78B	10.75B
Gross Profit	4.01B	4.25B	4.01B	4.27B	3.66B	3.46B
EBITDA	237.78M	333.72M	237.78M	58.93M	-370.88M	-115.39M
Net Income	241.16M	283.93M	241.16M	26.22M	-427.27M	-239.18M
Balance Sheet
Total Assets	2.97B	2.99B	2.97B	2.94B	3.04B	3.75B
Cash, Cash Equivalents and Short-Term Investments	1.78B	1.83B	1.78B	1.45B	1.36B	1.15B
Total Debt	500.00M	300.00M	500.00M	591.63M	691.64M	1.18B
Total Liabilities	1.95B	1.68B	1.95B	2.02B	2.14B	2.95B
Stockholders Equity	1.02B	1.32B	1.02B	924.06M	892.65M	802.33M
Cash Flow
Free Cash Flow	28.55M	227.78M	421.15M	183.98M	266.78M	148.66M
Operating Cash Flow	28.55M	229.07M	424.23M	183.98M	297.31M	239.63M
Investing Cash Flow	0.00	21.63M	-3.08M	4.65M	234.64M	-107.40M
Financing Cash Flow	0.00	-200.00M	-91.63M	-100.01M	657.43M	-270.85M

WirelessGate, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 251.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9419, the sentiment is Neutral. The current price of 251 is below the 20-day moving average (MA) of 268.55, below the 50-day MA of 256.98, and above the 200-day MA of 235.97, indicating a neutral trend. The MACD of -1.46 indicates Positive momentum. The RSI at 34.57 is Neutral, neither overbought nor oversold. The STOCH value of 7.68 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9419.

WirelessGate, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3842	71 Outperform	¥2.73B	13.26		1.13%	2.78%	21.27%
9445	69 Neutral	¥8.73B	11.91		4.61%	3.93%	1.66%
3776	67 Neutral	¥9.22B	24.16		1.33%	4.70%	35.62%
9419	67 Neutral	¥2.73B	9.63		―	-1.07%	6.60%
4415	64 Neutral	¥4.19B	10.06		―	15.58%	38.21%
Sector *	61 Neutral	$41.01B	-0.64	-14.21%	3.80%	2.39%	-73.52%
9421	58 Neutral	¥3.32B	22.14		―	-13.42%	-195.53%