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ENIGMO, Inc. (3665) AI Stock Analysis

JP:3665

ENIGMO, Inc.

(TSE/TYO:3665)

Select Model
Rating:46Neutral
Price Target:JPY 402.00â–¼(-0.74% Downside)
Action:reiterated
Date:09/15/26

The overall score of 46 reflects a company with a fortress-like balance sheet but significant operational and market headwinds. The primary strength is its negligible debt, providing stability. However, this is heavily offset by weak profitability, low cash flow, and a very high P/E ratio that is difficult to justify given the company's performance. Technical trends are also weak, contributing to a cautious outlook.

Positive Factors
Very low leverageMinimal leverage and a steadily growing equity base provide financial resilience and preserve flexibility for investment, dividends, or operating needs. Low debt exposure also reduces solvency and refinancing pressure, supporting stability through changes in revenue and profitability.
Negative Factors
Sharp profitability compressionThe sharp decline in operating and net margins shows that recent revenue growth has not translated proportionally into earnings. Persistently weak profitability would reduce internal funding capacity, weaken returns on equity, and make earnings recovery dependent on substantial cost improvement.

ENIGMO, Inc. (3665) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%JP:3665+8.63%EWJ+17.00%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 16.27B
Dividend Yield
7.32%
Average Volume (3M)
150.11K
Price to Earnings (P/E)
70.2
Beta (1Y)
0.67
Revenue Growth
-1.71%
EPS Growth
-7.98%
Country
Japan
Employees
157
Sector
Consumer Cyclical
Sector Strength
61
Industry
Software - Application

ENIGMO, Inc. Business Overview & Revenue Model

Company Description

Enigmo Inc. plans, develops, and operates internet business in Japan. It operates BUYMA, a marketplace for buying fashion items from personal shoppers; BUYMA TRAVEL, a website that provides private local tours to Japanese travelers living abroad; and...

ENIGMO, Inc. Financial Statement Overview

Summary

Financial performance is mixed. The balance sheet is exceptionally strong with minimal debt (score 85), providing a solid foundation. However, the income statement (score 30) and cash flow statement (score 35) reveal significant challenges, including compressed margins, low profitability, and modest cash generation. The overall financial health is weighed down by these operational weaknesses despite the recent return to revenue growth.

Income Statement

30Negative

Balance Sheet

85Very Positive

Cash Flow

35Negative
Financial statement breakdown
BreakdownTTMJan 2026Jan 2025Jan 2024Jan 2023Jan 2022
Income Statement
Total Revenue6.15B6.30B5.93B6.20B6.87B7.62B
Gross Profit4.37B4.53B4.52B4.86B5.45B6.14B
EBITDA-134.94M212.63M731.15M1.02B1.16B3.00B
Net Income232.10M326.64M433.00M838.37M712.57M2.06B
Balance Sheet
Total Assets12.29B15.29B14.44B13.24B12.69B13.68B
Cash, Cash Equivalents and Short-Term Investments6.49B8.79B9.29B10.73B10.32B12.84B
Total Debt62.14M68.89M209.71M000
Total Liabilities2.51B3.52B3.00B2.71B2.55B2.82B
Stockholders Equity9.77B11.76B11.43B10.53B10.15B10.86B
Cash Flow
Free Cash Flow053.74M226.51M1.68B-352.62M1.47B
Operating Cash Flow0210.00M269.89M1.71B-322.76M1.51B
Investing Cash Flow0-1.26B-1.41B-1.01B-785.26M-56.42M
Financing Cash Flow0-557.13M-298.05M-480.57M-1.42B-416.42M

ENIGMO, Inc. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:3665 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:4686JP:468686OutperformJPY 317.59B20.63―0.61%10.37%17.89%
JP:4431JP:443183OutperformJPY 74.15B28.79―0.63%20.70%56.44%
JP:3769JP:376969NeutralJPY 649.44B25.7721.67%1.99%13.19%25.73%
JP:3633JP:363367NeutralJPY 12.50B7.84―2.84%-3.72%138.33%
Sector *61Neutral$18.38B12.79-2.54%3.03%1.52%-15.83%
JP:3665JP:366546NeutralJPY 17.07B70.20―7.32%-1.71%-7.98%
JP:3778JP:377845NeutralJPY 121.34B44.23―0.16%25.84%71.45%

* Consumer Cyclical Sector Average

Performance Comparison

-20%0%20%40%JP:3665JP:3769JP:3633JP:3778JP:4431JP:4686Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:3665 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:3665ENIGMO, Inc.410.0025.066.51%
JP:3769GMO Payment Gateway 8563.00298.983.62%
JP:3633GMO Pepabo, Inc.2362.00373.2718.77%
JP:3778SAKURA Internet Inc.3035.00-293.64-8.82%
JP:4431Smaregi, Inc.3790.00969.3034.36%
JP:4686Justsystems Corporation4945.0052.831.08%

ENIGMO, Inc. Corporate Events

Enigmo Swings to Deeper First-Half Loss but Maintains Dividend and Eyes Full-Year Profit Rebound

Sep 14, 2026

Enigmo reported a 4.9% year-on-year decline in net sales to ¥2,755 million for the six months ended July 31, 2026, and fell into a deeper loss, posting an operating loss of ¥437 million and a net loss attributable to owners of the parent of...

Enigmo to Absorb HR Subsidiary Getsuraku After Capital Restructuring

Jul 23, 2026

Enigmo Inc. will absorb its wholly owned recruitment agency subsidiary Getsuraku Inc. via a simplified, absorption-type merger effective September 8, 2026, dissolving the smaller entity and integrating its operations as an internal department. The mo...

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: Aug 06, 2026