MicroAd, Inc. (9553) AI Stock Analysis

• Market Cap: ¥19.70B
• Dividend Yield: N/A
• Average Volume (3M): 371.60K
• Price to Earnings (P/E): 99.3
• Beta (1Y): 0.93
• Revenue Growth: 14.28%
• EPS Growth: -30.60%
• Country: JP
• Employees: 418
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 3.80
• Shares Outstanding: 27,831,354
• 10 Day Avg. Volume: 768,050
• 30 Day Avg. Volume: 371,603
• PEG Ratio: -2.14
• Price to Book (P/B): 3.62
• Price to Sales (P/S): 0.81
• P/FCF Ratio: 18.31
• 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: 69 Neutral
• Price Target: ¥694.00 ▲(9.46% Upside)

MicroAd, Inc. scores well in technical analysis due to strong market momentum, but is held back by high valuation concerns and challenges in financial performance, particularly in profitability and cash flow stability.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective business model, supporting long-term stability and expansion.

Leverage Improvement

Improved leverage ratios enhance financial stability, reducing risk and providing more flexibility for future investments and growth.

Cash Generation

Strong cash generation supports operational needs and strategic initiatives, ensuring the company can invest in growth and weather economic fluctuations.

Negative Factors

Profitability Challenges

Decreasing profit margins suggest challenges in cost management or pricing power, which could impact long-term financial health if not addressed.

Operational Efficiency

Declining operational efficiency can erode profitability and competitiveness, necessitating strategic improvements to sustain growth.

Return on Equity

A declining return on equity indicates less effective use of shareholder funds, potentially impacting investor confidence and capital raising ability.

MicroAd, Inc. Business Overview & Revenue Model

Company Description

MicroAd, Inc. operates an advertising platform that connects advertisers and the media in Japan. It offers Universe Ads, an advertising platform that accelerates data marketing; and MicroAd COMPASS, a supply-side platform that enhances ad value for advertisers and media, as well as other advertising services. The company was founded in 2007 and is based in Tokyo, Japan. MicroAd, Inc. operates as a subsidiary of CyberAgent Inc.

How the Company Makes Money

MicroAd generates revenue through a combination of service fees and performance-based pricing models. The primary revenue streams include advertising fees from clients who utilize its programmatic advertising services, where clients pay based on impressions, clicks, or conversions. Additionally, MicroAd offers data analytics services that help businesses understand consumer behavior and refine their marketing strategies, generating revenue through subscription models or one-time fees for reports and insights. The company has established significant partnerships with various media outlets and digital platforms, which enhance its ad inventory and distribution capabilities, further contributing to its earnings. The effectiveness of its solutions in driving client success also leads to repeat business and long-term contracts, stabilizing its revenue flow.

MicroAd, Inc. Financial Statement Overview

Summary

MicroAd, Inc. shows growth potential with steady revenue increases, yet faces challenges in profitability and cash flow management. The balance sheet reflects a stable capital structure, though there are risks associated with rising liabilities. Improving cash flow generation and profitability margins will be key for future performance.

Income Statement

MicroAd, Inc. has demonstrated consistent revenue growth with a positive revenue growth rate over the past years. The gross profit margin has remained stable, indicating efficient cost management. However, a declining EBIT margin suggests rising operating expenses. The net profit margin has weakened, pointing to challenges in converting revenue into profit.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, reflecting a balanced approach to leveraging. Return on equity has shown moderate performance, suggesting some effectiveness in using equity to generate profit. The equity ratio is solid, indicating a stable capital structure, but the increasing total liabilities signal potential risks.

Cash Flow

MicroAd, Inc. faces challenges in cash flow management, as indicated by fluctuating free cash flow. The absence of operating cash flow in the latest TTM period raises concerns about cash generation from operations. The free cash flow to net income ratio has been inconsistent, suggesting difficulty in translating earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	15.07B	15.67B	13.71B	12.87B	12.23B	11.67B
Gross Profit	4.54B	4.81B	4.08B	4.13B	3.79B	3.00B
EBITDA	651.49M	396.60M	633.97M	957.90M	643.04M	224.64M
Net Income	87.21M	195.08M	282.66M	565.26M	496.41M	-38.86M
Balance Sheet
Total Assets	8.60B	9.15B	8.39B	6.84B	5.93B	4.23B
Cash, Cash Equivalents and Short-Term Investments	2.36B	2.51B	2.48B	2.98B	3.30B	2.16B
Total Debt	2.69B	2.72B	2.47B	1.19B	918.35M	938.18M
Total Liabilities	4.82B	5.25B	4.50B	3.11B	3.05B	2.76B
Stockholders Equity	3.42B	3.53B	3.28B	3.11B	2.32B	928.74M
Cash Flow
Free Cash Flow	0.00	697.38M	-115.22M	-210.68M	405.24M	-111.60M
Operating Cash Flow	0.00	781.67M	338.35M	266.44M	713.97M	31.41M
Investing Cash Flow	0.00	-1.15B	-1.81B	-1.02B	-413.27M	-185.56M
Financing Cash Flow	0.00	162.04M	997.74M	421.71M	681.09M	300.54M

MicroAd, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 634.00
• 50DMA: Positive
• 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:9553, the sentiment is Positive. The current price of 634 is below the 20-day moving average (MA) of 649.40, above the 50-day MA of 565.28, and above the 200-day MA of 475.55, indicating a bullish trend. The MACD of 36.68 indicates Positive momentum. The RSI at 69.63 is Neutral, neither overbought nor oversold. The STOCH value of 73.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9553.

MicroAd, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9553	69 Neutral	¥19.70B	99.28	―	―	14.28%	-30.60%
4397	68 Neutral	¥8.61B	23.68	―	―	11.32%	―
153A	66 Neutral	¥8.40B	25.59	―	―	14.92%	2.55%
4193	63 Neutral	¥11.20B	35.83	―	2.81%	12.49%	-57.87%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
3777	60 Neutral	¥16.74B	-81.01	―	―	-62.84%	-27.61%
9561	41 Neutral	¥3.64B	-6.55	―	―	3.34%	-219.24%