GMO Internet Inc (JP:9449)
:9449
Want to see JP:9449 full AI Analyst Report?
Top Page
GMO Internet
(9449)
Select Model
Select Model
Rating:56Neutral
Price Target:
¥3,448.00
▼(-13.69% Downside)
Action:Reiterated
Date:02/18/26
The score is mainly weighed down by weak technicals (downtrend with negative MACD and price below key moving averages) and balance-sheet risk from very high leverage. Offsetting factors include solid operating performance and improved recent cash generation, plus a reasonable P/E and modest dividend yield.
Positive Factors
Revenue growth trend
Consistent multi-year revenue expansion, with particularly strong 2025 growth, indicates durable demand for GMO's internet infrastructure and services. Steady top-line growth supports cross-sell dynamics, recurring revenue from hosting/domains, and a larger, more stable customer base over the next 2–6 months.
Negative Factors
Very high leverage
Persistently elevated debt-to-equity magnifies refinancing and interest-rate risk and constrains capital allocation. High leverage reduces headroom for shocks, limits ability to invest or make acquisitions without raising more capital, and is a structural vulnerability over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue growth trend
Consistent multi-year revenue expansion, with particularly strong 2025 growth, indicates durable demand for GMO's internet infrastructure and services. Steady top-line growth supports cross-sell dynamics, recurring revenue from hosting/domains, and a larger, more stable customer base over the next 2–6 months.
Read all positive factors
GMO Internet (9449) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥341.84B
Dividend Yield1.36%
Average Volume (3M)196.33K
Price to Earnings (P/E)11.2
Beta (1Y)0.76
Revenue Growth5.57%
EPS Growth31.99%
CountryJP
Employees5,495
SectorCommunication Services
Sector Strength97
IndustryTelecommunications Services
Share Statistics
EPS (TTM)157.74
Shares Outstanding107,349,120
10 Day Avg. Volume228,850
30 Day Avg. Volume196,330
Financial Highlights & Ratios
PEG Ratio1.01
Price to Book (P/B)3.93
Price to Sales (P/S)1.40
P/FCF Ratio4.43
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)209.27
Revenue Forecast (FY)¥307.60B
GMO Internet Business Overview & Revenue Model
Company Description
GMO Internet, Inc. provides various Internet services worldwide. It operates through Internet Infrastructure, Online Advertising and Media, Internet Finance, and Cryptocurrency segments. It offers Internet infrastructure services in the areas of d...
How the Company Makes Money
GMO Internet generally monetizes by charging recurring and transaction-based fees across multiple internet-business support lines. Key revenue streams typically include: (1) Internet infrastructure services: recurring subscription fees from web ho...
GMO Internet Earnings Call Summary
Earnings Call Date:Aug 08, 2024
(Q2-2024)
| % Change Since: |
Next Earnings Date:Aug 12, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted strong performance in the Infrastructure and Crypto Assets segments, and an increase in shareholder returns, but faced significant challenges in the Finance segment, especially due to the provision in the Thai Securities business, and declines in the Advertising and Media segment.Positive Updates
Infrastructure Segment Performance
Net sales in the Infrastructure segment achieved a quarterly high with recurring revenues and operating profit exceeding JPY 9 billion for the third consecutive quarter.
Negative Updates
Decrease in Profit
Despite increased revenue, overall profits decreased due to a provision for doubtful accounts by a Thailand-based securities company.
Read all updates
Q2-2024 Updates
Positive
Negative
Infrastructure Segment Performance
Net sales in the Infrastructure segment achieved a quarterly high with recurring revenues and operating profit exceeding JPY 9 billion for the third consecutive quarter.
Read all positive updates
Company Guidance
During the Q2 2024 earnings call for GMO Internet Group, executives Masashi Yasuda and Noriko Inagaki provided detailed guidance, highlighting several metrics. The Infrastructure segment reached a quarterly high in net sales with operating profit exceeding JPY 9 billion for the third consecutive quarter, driven by solid recurring revenues. In contrast, the Finance segment recorded losses due to a JPY 4.5 billion provision for doubtful accounts in the Thai Securities business, prompting the termination of margin trading services there. The crypto assets segment showed profitability for the third consecutive quarter, buoyed by increased trading volume and exchange business revenue. The company is maintaining a total shareholder return ratio of 50%, with a Q2 dividend of JPY 6.9 per share, and announced an increase in the share repurchase limit to JPY 5 billion. Additionally, GMO Internet outlined its 55-year plan aiming for JPY 10 trillion in sales and JPY 1 trillion in profit by 2051, with a focus on embracing AI and robotics as key growth drivers.GMO Internet Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
34
Negative
Cash Flow
62
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 283.48B | 285.63B | 277.41B | 258.64B | 245.70B | 241.45B |
| Gross Profit | 170.39B | 169.73B | 166.14B | 153.13B | 149.89B | 128.82B |
| EBITDA | 66.54B | 73.65B | 62.96B | 58.88B | 72.28B | 53.73B |
| Net Income | 16.37B | 16.10B | 13.37B | 14.19B | 13.21B | 17.53B |
Balance Sheet | ||||||
| Total Assets | 2.10T | 2.27T | 2.15T | 1.76T | 1.54T | 1.42T |
| Cash, Cash Equivalents and Short-Term Investments | 865.53B | 928.81B | 915.91B | 580.27B | 420.18B | 380.85B |
| Total Debt | 539.78B | 602.27B | 560.44B | 478.90B | 395.99B | 299.00B |
| Total Liabilities | 1.90T | 2.06T | 1.96T | 1.58T | 1.39T | 1.28T |
| Stockholders Equity | 86.54B | 101.76B | 86.40B | 82.60B | 72.22B | 73.60B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 90.31B | 58.62B | -812.00M | 21.32B | -56.87B |
| Operating Cash Flow | 0.00 | 97.42B | 84.73B | 14.91B | 25.64B | -23.78B |
| Investing Cash Flow | 0.00 | -9.85B | -71.39B | -16.31B | -2.48B | -51.49B |
| Financing Cash Flow | 0.00 | 41.65B | 60.67B | 64.92B | 62.10B | 89.62B |
GMO Internet Technical Analysis
Positive
3995.00
Price Trends
3029.93
Positive
3324.60
Negative
3502.01
Negative
Market Momentum
58.15
Negative
60.71
Neutral
84.64
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9449, the sentiment is Positive. The current price of 3995 is above the 20-day moving average (MA) of 3179.40, above the 50-day MA of 3029.93, and above the 200-day MA of 3502.01, indicating a neutral trend. The MACD of 58.15 indicates Negative momentum. The RSI at 60.71 is Neutral, neither overbought nor oversold. The STOCH value of 84.64 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9449.
GMO Internet Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | ¥549.22B | 17.93 | 15.67% | 1.31% | 9.02% | 21.15% | |
73 Outperform | ¥16.89B | 13.03 | ― | 3.53% | 3.36% | -23.56% | |
73 Outperform | ¥10.79T | 18.28 | ― | 3.99% | 7.55% | 3.27% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
57 Neutral | ¥13.34T | 12.47 | 11.22% | 3.36% | 5.14% | 5.49% | |
56 Neutral | ¥341.84B | 11.19 | 17.97% | 1.36% | 5.57% | 31.99% | |
56 Neutral | ¥10.52T | 14.83 | 13.75% | 2.85% | 4.05% | 13.53% |
* Communication Services Sector Average
JP:9449
GMO Internet
3,317.00
-307.15
-8.48%
JP:3774
Internet Initiative Japan
3,080.00
511.24
19.90%
JP:9433
KDDI
2,718.00
290.21
11.95%
JP:9432
Nippon Telegraph and Telephone
153.70
7.79
5.34%
JP:3834
ASAHI Net, Inc.
599.00
-35.48
-5.59%
JP:9434
SoftBank Corp.
224.50
17.58
8.50%
GMO Internet Corporate Events
GMO Internet to Liquidate U.S. Stablecoin Subsidiary, Book ¥2.2bn Loss
May 15, 2026
GMO Internet Group has decided to dissolve its U.S. subsidiary GMO-Z.com Trust Company, Inc., which was licensed in New York to issue and manage the yen-pegged stablecoin GYEN and the dollar-pegged stablecoin ZUSD. The move follows a period of bui...
GMO Internet Group Raises Q1 Dividend and Reaffirms 50% Profit Return Policy
May 15, 2026
GMO Internet Group has approved a first-quarter dividend of ¥21.20 per share for fiscal 2026, with a record date of March 31 and payment scheduled for June 18, funded from retained earnings. The payout represents a 33.1% dividend ratio and ma...
GMO Internet Group Delivers Strong Q1 Earnings but Withholds Full-Year Forecast
May 15, 2026
GMO Internet Group reported robust growth for the first quarter of fiscal 2026, with revenue rising 13.3% year on year to ¥81.6 billion and business profit climbing 32%. Operating profit increased 28%, while profit attributable to owners of t...
GMO Internet Group Reports No Share Buybacks in April Under Ongoing Repurchase Plan
May 8, 2026
GMO Internet Group has reported on the status of its ongoing share repurchase program, conducted under Article 459-1 of the Japanese Companies Act and its articles of incorporation. The initiative is part of a long-term shareholder return policy t...
GMO Internet Group to Cut Stake in Core Subsidiary via Secondary Offering, Book ¥40.5bn Gain
Apr 20, 2026
GMO Internet Group, Inc. will conduct a large secondary offering of 61.5 million shares in consolidated subsidiary GMO Internet, Inc., at 710 yen per share, via an underwriting syndicate, alongside an over-allotment option of 13.73 million shares....
GMO Internet Group to Cut Stake in Key Subsidiary via Major Secondary Offering
Apr 10, 2026
GMO Internet Group has approved a large secondary offering of 61.5 million shares in its consolidated subsidiary GMO Internet, Inc., to be underwritten by a syndicate of securities firms, alongside a potential over-allotment of up to 13.7 million ...
GMO Internet Group Reports No Share Buybacks in March Under Ongoing Repurchase Plan
Apr 3, 2026
GMO Internet Group has disclosed the status of its ongoing share repurchase program authorized under Article 459-1 of the Japanese Companies Act and its articles of incorporation. The program forms part of a long-term shareholder return policy tha...
GMO Internet Group Lifts Profits and Dividend as It Shifts to IFRS and Withholds 2026 Outlook
Mar 19, 2026
GMO Internet Group reported fiscal 2025 revenue of ¥285.3 billion, up 3.3% year on year, with operating profit rising 19.5% to ¥59.1 billion and profit attributable to owners of the parent increasing 12.8% to ¥16.7 billion under IFR...
GMO Internet Group Extends Takeover Defense Policy Amid Evolving Market Conditions
Mar 19, 2026
GMO Internet Group has decided to continue its long-standing takeover defense policy governing large-scale purchases of its shares, following a review of social and economic changes, updated government guidelines on corporate takeovers, and recent...
GMO Internet Deepens AI Push With ¥3.2 Billion GPU Cloud Alliance With Turing
Mar 18, 2026
GMO Internet Group’s consolidated subsidiary GMO Internet, Inc. has finalized a capital and business alliance with Turing Inc., a Japanese startup developing fully autonomous driving AI, to underpin a strategic partnership in the GPU cloud s...
GMO Internet Group Launches ¥10 Billion AI-FinTech Fund via Venture Arm
Mar 9, 2026
GMO Internet Group will establish the GMO Fintech Fund 8 Investment Limited Partnership, with subsidiary GMO VenturePartners as general partner and GMO Internet Group as a key limited partner, making the vehicle a specified subsidiary due to the s...
GMO Internet Group Streamlines Top Management With New Executive Officer Lineup
Mar 9, 2026
GMO Internet Group has confirmed its slate of group executive officers effective March 19, 2026, as part of its previously introduced group executive officer system aimed at strengthening governance and improving the flexibility of business execut...
GMO Internet Group Leaves Share Buyback Mandate Untapped in February Window
Mar 4, 2026
GMO Internet Group, Inc. reported that it made no share repurchases during the period from February 13 to February 28, 2026, despite having an approved buyback program under Article 459-1 of the Japanese Companies Act. The initiative is part of a ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.