ITmedia Inc. (2148) AI Stock Analysis

• Market Cap: ¥31.90B
• Dividend Yield: 6.23%
• Average Volume (3M): 59.52K
• Price to Earnings (P/E): 22.2
• Beta (1Y): 0.84
• Revenue Growth: 2.09%
• EPS Growth: -2.15%
• Country: JP
• Employees: 339
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 14.42
• Shares Outstanding: 21,070,600
• 10 Day Avg. Volume: 55,120
• 30 Day Avg. Volume: 59,520
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: ¥1,798.00 ▲(15.63% Upside)

ITmedia Inc. has a strong financial foundation with robust revenue growth and profitability, which is the most significant factor in its score. The technical analysis indicates a bearish trend, which slightly dampens the overall score. The valuation is favorable, with a reasonable P/E ratio and attractive dividend yield, supporting the stock's appeal.

ITmedia Inc. Business Overview & Revenue Model

Company Description

ITmedia Inc. engages in the development and operation of Internet-only media providing information on various topics in Japan. It provides information on information technology, digital gadget, business, engineering, and social/culture. The company also offers digital advertising services, such as tie-up/ advertorial, recruitment tie-ups, reader behavioral data utilization advertisement, e-mail newsletter, seminar customer attraction support service, and online advertising; lead acquisition services, including lead acquisition and utilization service; and virtual events/webinar services. It serves technology/software as service product companies and manufacturing industries. The company was formerly known as Softbank ITmedia, Inc. and changed its name to ITmedia Inc. in March 2005. ITmedia Inc. was incorporated in 1999 and is headquartered in Tokyo, Japan. ITmedia Inc. is a subsidiary of SB Media Holdings Corp.

How the Company Makes Money

ITmedia Inc. generates revenue through several key streams, including advertising sales on its digital platforms, subscription fees for premium content, and partnerships with technology firms for sponsored content and events. The company also monetizes its audience through affiliate marketing and strategic collaborations with industry leaders to offer specialized services and solutions. Additionally, ITmedia may leverage data analytics and insights to provide targeted advertising, thereby enhancing its revenue potential. The combination of these revenue streams allows ITmedia to maintain a strong financial position within the competitive media landscape.

ITmedia Inc. Financial Statement Overview

Summary

ITmedia Inc. shows strong financial performance with impressive revenue growth and profitability. The balance sheet is robust with low leverage and high equity. However, the decline in free cash flow growth needs attention.

Income Statement

ITmedia Inc. demonstrates strong profitability with a consistent gross profit margin around 62% and a net profit margin of approximately 18%. The company has shown impressive revenue growth, particularly in the TTM period with a 70.7% increase, indicating robust expansion. However, there is a slight decline in EBIT and EBITDA margins over time, suggesting potential cost pressures.

Balance Sheet

The balance sheet is solid, with a very low debt-to-equity ratio of 0.0047, indicating minimal leverage and financial risk. The return on equity is healthy at 17.16%, reflecting efficient use of equity. The equity ratio is strong, showcasing a stable financial structure with a high proportion of equity financing.

Cash Flow

Cash flow performance is stable, with a high operating cash flow to net income ratio of 1.21, indicating strong cash generation relative to earnings. However, the free cash flow growth rate has been negative in recent periods, which could be a concern if it persists. The free cash flow to net income ratio remains robust at 0.90, suggesting efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.16B	8.10B	8.00B	8.75B	8.09B	6.89B
Gross Profit	5.05B	5.04B	5.02B	5.72B	5.34B	4.54B
EBITDA	2.21B	2.24B	2.44B	3.22B	2.97B	2.37B
Net Income	1.47B	1.50B	1.50B	1.97B	1.80B	1.26B
Balance Sheet
Total Assets	9.32B	11.00B	11.38B	11.16B	10.05B	9.07B
Cash, Cash Equivalents and Short-Term Investments	4.84B	6.56B	8.44B	8.48B	7.32B	6.38B
Total Debt	255.36M	44.15M	132.31M	2.40M	165.07M	7.37M
Total Liabilities	1.64B	1.62B	1.57B	1.73B	2.12B	1.96B
Stockholders Equity	7.68B	9.38B	9.80B	9.43B	7.93B	7.12B
Cash Flow
Free Cash Flow	1.45B	1.66B	1.17B	1.82B	1.93B	2.13B
Operating Cash Flow	1.67B	1.84B	1.37B	1.88B	1.99B	2.21B
Investing Cash Flow	-1.23B	-1.18B	-164.86M	-53.15M	152.49M	-161.29M
Financing Cash Flow	-2.07B	-2.04B	-1.25B	-660.38M	-1.20B	-475.60M

ITmedia Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1555.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2148, the sentiment is Negative. The current price of 1555 is below the 20-day moving average (MA) of 1604.15, below the 50-day MA of 1647.76, and below the 200-day MA of 1586.19, indicating a bearish trend. The MACD of -19.28 indicates Positive momentum. The RSI at 32.04 is Neutral, neither overbought nor oversold. The STOCH value of 14.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2148.

ITmedia Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6535	81 Outperform	¥33.87B	11.40	―	4.55%	14.91%	21.68%
2148	71 Outperform	¥31.90B	22.16	―	6.23%	2.09%	-2.15%
2491	67 Neutral	¥21.94B	4.89	―	7.99%	-3.20%	34.08%
7095	66 Neutral	¥27.05B	9.44	―	1.95%	26.56%	31.28%
2389	63 Neutral	¥33.46B	21.02	―	1.97%	-10.30%	-13.43%
2461	63 Neutral	¥33.60B	26.18	―	5.31%	2.34%	-12.13%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

ITmedia Inc. Corporate Events

ITmedia Inc. Acquires P.P.Communications to Boost Media and Consulting Services

ITmedia Inc. announced its acquisition of P.P.Communications Inc., making it a subsidiary to enhance its media content and expand consulting services. This strategic move is expected to strengthen ITmedia’s market position in the technology research and advisory field, leveraging P.P.Communications’ expertise in overseas technology exhibitions.

The most recent analyst rating on (JP:2148) stock is a Buy with a Yen1874.00 price target. To see the full list of analyst forecasts on ITmedia Inc. stock, see the JP:2148 Stock Forecast page.

ITmedia Inc. Reports Q1 2025 Financial Results

ITmedia Inc. reported its consolidated financial results for the three months ended June 30, 2025, showing a slight increase in revenue by 3.1% year-on-year to 1,906 million yen. However, the company experienced a decline in operating income and net income, with decreases of 5.8% and 8.9% respectively, indicating challenges in maintaining profitability despite revenue growth. The financial position showed a reduction in total assets and equity compared to the previous quarter, and the company maintained its dividend forecast for the fiscal year ending March 31, 2026.