GMO Research & AI,Inc. (3695) AI Stock Analysis

GMO Research & AI,Inc.

(TSE/TYO:3695)

Select Model

Rating:52.3Neutral

Price Target:JPY 1,620.00▲(24.42% Upside)

Action:reiterated

Date:08/06/26

The overall score reflects mixed financial performance, neutral technicals, and attractive valuation. Strong revenue growth and cash flow are positives, but declining net income and increased debt weigh on the score. The reasonable valuation provides some support.

Positive Factors

Revenue and gross-margin recoveryThe 2025 rebound indicates renewed top-line momentum after modest declines in 2023–2024, while the wider gross margin suggests improved pricing and/or cost control. Together, these trends can strengthen operating leverage and support more durable earnings growth if maintained.

Negative Factors

Net margin compressionThe decline in net margin shows that stronger revenue is not translating proportionally into bottom-line earnings. Continued compression would reduce internal reinvestment capacity, weaken the quality of growth, and leave results more sensitive to cost or execution pressures.

GMO Research & AI,Inc. (3695) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 5.84B
Dividend Yield: 4.49%
Average Volume (3M): 15.73K
Price to Earnings (P/E): 12.6
Beta (1Y): 0.35
Revenue Growth: 28.63%
EPS Growth: 163.91%
Country: Japan
Employees: 199
Sector: Technology
Sector Strength: 61
Industry: Specialty Business Services

GMO Research & AI,Inc. Business Overview & Revenue Model

Company Description

Established in 2002 and headquartered in Tokyo, Japan, GMO Research & AI, Inc. delivers an audience engagement platform to a global and domestic Japanese clientele. Central to its offering is the Asia Cloud Panel, an extensive online network comprisi...

GMO Research & AI,Inc. Financial Statement Overview

Summary

Revenue grew 19% with gross margin expansion to 56.1%, but net income fell to a six-year low, indicating profitability pressure. Balance sheet shows solid equity but increased debt, reducing cash flow coverage. Cash flow generation improved significantly. Mixed financial health.

Income Statement

45Neutral

Balance Sheet

50Neutral

Cash Flow

60Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.37B	6.82B	5.03B	5.12B	5.20B	4.09B
Gross Profit	4.34B	3.83B	2.55B	2.54B	2.46B	1.98B
EBITDA	916.88M	489.82M	340.09M	529.91M	505.32M	421.41M
Net Income	458.34M	155.64M	183.15M	307.31M	356.38M	274.06M
Balance Sheet
Total Assets	10.54B	9.46B	3.01B	2.99B	3.07B	2.80B
Cash, Cash Equivalents and Short-Term Investments	6.98B	5.52B	1.19B	1.33B	1.17B	1.26B
Total Debt	901.32M	650.22M	5.50M	12.22M	16.80M	19.29M
Total Liabilities	8.03B	7.00B	892.65M	946.14M	1.16B	1.12B
Stockholders Equity	2.48B	2.43B	2.10B	2.05B	1.91B	1.68B
Cash Flow
Free Cash Flow	0	986.28M	236.43M	474.82M	128.69M	472.10M
Operating Cash Flow	0	990.78M	237.50M	475.49M	131.65M	482.16M
Investing Cash Flow	0	-379.84M	-221.00M	-131.49M	-111.34M	-50.65M
Financing Cash Flow	0	455.83M	-195.90M	-187.50M	-145.31M	-96.53M

GMO Research & AI,Inc. Technical Analysis

Technical Analysis SentimentNegative

Last Price1302.00

Price Trends

50DMA1526.34Negative

100DMA1507.81Negative

200DMA1645.55Negative

Market Momentum

MACD-54.82Positive

RSI23.83Positive

STOCH5.60Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3695, the sentiment is Negative. The current price of 1302.00 is below the 20-day moving average (MA) of 1485.65, below the 50-day MA of 1526.34, and below the 200-day MA of 1645.55, indicating a bearish trend. The MACD of -54.82 indicates Positive momentum. The RSI at 23.83 is Positive, neither overbought nor oversold. The STOCH value of 5.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3695.

GMO Research & AI,Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

JP:3695 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4346	73Outperform	JPY 9.63B	7.25	―	4.05%	8.49%	26.99%
JP:6088	66Neutral	JPY 52.10B	13.69	―	4.20%	-12.65%	-10.29%
JP:6183	65Neutral	JPY 99.94B	11.56	―	4.46%	0.78%	-2.52%
JP:7814	63Neutral	JPY 28.85B	5.13	―	6.06%	11.59%	88.95%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
JP:3695	52Neutral	JPY 5.84B	12.64	―	4.49%	28.63%	163.91%

* Technology Sector Average

Performance Comparison

JP:3695 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:3695	GMO Research & AI,Inc.	1302.00	-596.14	-31.41%
JP:4346	NEXYZ.Group Corporation	728.00	-264.61	-26.66%
JP:6088	SIGMAXYZ Holdings Inc	617.00	-211.59	-25.54%
JP:6183	BELLSYSTEM24 Holdings, Inc.	1360.00	101.42	8.06%
JP:7814	JAPAN Creative Platform Group Co., Ltd.	621.00	-57.80	-8.51%

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

GMO Research & AI,Inc. AI Stock Analysis