MicroAd, Inc. (9553) AI Stock Analysis

• Market Cap: ¥12.29B
• Dividend Yield: N/A
• Average Volume (3M): 350.14K
• Price to Earnings (P/E): 139.2
• Beta (1Y): 0.96
• Revenue Growth: 14.85%
• EPS Growth: -70.63%
• Country: JP
• Employees: 418
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 2.29
• Shares Outstanding: 27,801,353
• 10 Day Avg. Volume: 199,400
• 30 Day Avg. Volume: 350,140
• PEG Ratio: -0.47
• Price to Book (P/B): 2.05
• Price to Sales (P/S): 0.49
• P/FCF Ratio: -58.27
• 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: ¥480.00
• Price Target Upside: 8.60% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 50 Neutral
• Price Target: ¥480.00 ▲(8.60% Upside)

MicroAd, Inc. faces significant challenges with its high valuation and bearish technical indicators. While there is potential for growth due to revenue increases, the company's profitability and cash flow issues, combined with an overvalued P/E ratio, present substantial risks. The lack of earnings call and corporate events data further limits positive sentiment.

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, Inc. generates revenue primarily through its programmatic advertising services. The company offers a platform that automates the buying and selling of online advertising space, which allows advertisers to target specific audiences based on data insights. Revenue is earned by charging fees for the use of its advertising platform and through commission from ad placements. Additionally, MicroAd provides digital marketing consultancy and data analytics services, contributing to its revenue streams. Significant partnerships with digital publishers and media platforms enhance its advertising reach and effectiveness, further driving revenue growth.

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 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.07B	13.71B	12.87B	12.23B	11.67B	10.92B
Gross Profit	4.54B	4.08B	4.13B	3.79B	3.00B	3.01B
EBITDA	651.49M	633.97M	957.90M	643.04M	224.64M	348.24M
Net Income	87.21M	282.66M	565.26M	496.41M	-38.86M	43.47M
Balance Sheet
Total Assets	8.60B	8.39B	6.84B	5.93B	4.23B	3.73B
Cash, Cash Equivalents and Short-Term Investments	2.36B	2.48B	2.98B	3.30B	2.16B	1.93B
Total Debt	2.69B	2.47B	1.19B	918.35M	938.18M	1.11B
Total Liabilities	4.82B	4.50B	3.11B	3.05B	2.76B	2.86B
Stockholders Equity	3.42B	3.28B	3.11B	2.32B	928.74M	549.70M
Cash Flow
Free Cash Flow	0.00	-115.22M	-210.68M	405.24M	-111.60M	534.62M
Operating Cash Flow	0.00	338.35M	266.44M	713.97M	31.41M	620.15M
Investing Cash Flow	0.00	-1.81B	-1.02B	-413.27M	-185.56M	13.32M
Financing Cash Flow	0.00	997.74M	421.71M	681.09M	300.54M	51.45M

MicroAd, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 442.00
• 50DMA: Negative
• 100DMA: Negative
• 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:9553, the sentiment is Negative. The current price of 442 is below the 20-day moving average (MA) of 489.90, below the 50-day MA of 535.24, and above the 200-day MA of 386.82, indicating a neutral trend. The MACD of -26.08 indicates Positive momentum. The RSI at 34.65 is Neutral, neither overbought nor oversold. The STOCH value of 12.22 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9553.

MicroAd, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
153A	76 Outperform	¥13.82B	43.02	―	―	―	―
4193	73 Outperform	¥11.08B	30.80	―	2.73%	13.71%	-48.11%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
9553	50 Neutral	¥12.29B	139.24	―	―	14.85%	-70.63%
3777	47 Neutral	¥15.52B	―	―	―	-58.78%	-103.28%
4397	46 Neutral	¥8.83B	24.31	―	―	11.32%	―
9561	43 Neutral	¥4.48B	―	―	―	4.16%	-381.07%