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Wellnet Corporation (JP:2428)
:2428
Japanese Market
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Wellnet Corporation (2428) AI Stock Analysis

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JP:2428

Wellnet Corporation

(2428)

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Outperform 71 (OpenAI - 5.2)
Rating:71Outperform
Price Target:
¥706.00
▲(2.77% Upside)
Action:Upgraded
Date:03/24/26
The score is driven by improving financial performance (growth, margin expansion, stronger ROE with conservative leverage) and attractive valuation (low P/E and high dividend yield). This is tempered by weak technicals (below key moving averages and negative MACD) and the risk signal from cash-flow volatility, including weaker free cash flow in 2025 versus 2024.
Positive Factors
Revenue Re-acceleration
Sustained re-acceleration into 2025 indicates improving product-market fit and demand durability. A multi-year pickup supports higher recurring revenue, better capacity utilization and longer-term planning, enabling reinvestment in R&D and sales to entrench growth.
Negative Factors
Volatile Cash Conversion
Material variability in operating and free cash flow reduces confidence in earnings quality and sustainable cash generation. Sharp FCF decline in 2025 complicates capital allocation, dividend coverage and investment pacing, increasing execution risk over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Re-acceleration
Sustained re-acceleration into 2025 indicates improving product-market fit and demand durability. A multi-year pickup supports higher recurring revenue, better capacity utilization and longer-term planning, enabling reinvestment in R&D and sales to entrench growth.
Read all positive factors

Wellnet Corporation (2428) vs. iShares MSCI Japan ETF (EWJ)

Wellnet Corporation Business Overview & Revenue Model

Company Description
Wellnet Corporation delivers a wide range of electronic financial services across Japan, including payment settlement, digital billing, and various electronic payment options. The company also develops and furnishes mobile authentication solutions...
How the Company Makes Money
null...

Wellnet Corporation Financial Statement Overview

Summary
Fundamentals are improving: re-accelerating revenue growth into 2025, steady multi-year margin expansion, and rising ROE alongside low and declining leverage. The main constraint is uneven cash conversion, with volatile historical cash flows and a sharp drop in free cash flow in 2025 versus 2024.
Income Statement
82
Very Positive
Balance Sheet
84
Very Positive
Cash Flow
58
Neutral
BreakdownJun 2025Jun 2024Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue10.92B10.13B9.42B8.95B8.84B
Gross Profit2.48B2.10B1.78B1.42B1.30B
EBITDA1.93B1.67B1.39B1.19B933.96M
Net Income1.08B836.79M635.50M532.23M393.92M
Balance Sheet
Total Assets29.31B27.16B24.91B23.66B21.27B
Cash, Cash Equivalents and Short-Term Investments17.50B16.66B14.07B13.13B10.50B
Total Debt1.60B1.73B1.80B1.90B2.00B
Total Liabilities20.45B18.78B17.08B16.25B14.10B
Stockholders Equity8.86B8.38B7.83B7.41B7.18B
Cash Flow
Free Cash Flow2.42B2.63B1.01B3.13B1.09B
Operating Cash Flow2.57B2.64B1.11B3.28B2.60B
Investing Cash Flow-993.20M333.89M268.39M-267.19M-1.80B
Financing Cash Flow-737.01M-392.22M-360.99M-390.77M1.01B

Wellnet Corporation Technical Analysis

Technical Analysis Sentiment
Positive
Last Price687.00
Price Trends
50DMA
604.89
Positive
100DMA
622.78
Negative
200DMA
635.06
Negative
Market Momentum
MACD
1.31
Negative
RSI
60.34
Neutral
STOCH
49.21
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2428, the sentiment is Positive. The current price of 687 is above the 20-day moving average (MA) of 594.62, above the 50-day MA of 604.89, and above the 200-day MA of 635.06, indicating a neutral trend. The MACD of 1.31 indicates Negative momentum. The RSI at 60.34 is Neutral, neither overbought nor oversold. The STOCH value of 49.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2428.

Wellnet Corporation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥29.43B18.0813.54%54.38%
71
Outperform
¥11.76B11.774.33%-5.98%-10.12%
69
Neutral
¥8.14B8.873.06%22.74%6.75%
68
Neutral
¥15.77B-24.8312.01%-191.13%
68
Neutral
¥40.56B26.740.39%22.45%23.34%
64
Neutral
¥15.02B16.260.91%23.90%167.67%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:2428
Wellnet Corporation
625.00
-34.04
-5.17%
JP:3850
NTT Data Intramart Corporation
3,100.00
-420.29
-11.94%
JP:3915
TerraSky Co., Ltd.
2,279.00
-361.61
-13.69%
JP:4430
TOKAI SOFT CO.,LTD.
1,660.00
162.75
10.87%
JP:4434
Serverworks Co., Ltd.
1,987.00
-313.47
-13.63%
JP:4475
HENNGE K.K.
1,248.00
-360.11
-22.39%

Wellnet Corporation Corporate Events

Wellnet Posts Lower Nine-Month Earnings but Maintains Dividend Outlook
Apr 30, 2026
Wellnet Corporation reported a decline in performance for the nine months ended March 31, 2026, with net sales falling 8.3% year on year to ¥7.62 billion and operating profit down 11.3% to ¥1.12 billion. Ordinary profit dropped 15.3% to ...
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.Date of analysis: Mar 24, 2026