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

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GMO Research & AI,Inc.

(TSE/TYO:3695)

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Rating:66.5Neutral

Price Target:JPY 1,443.00▲(8.25% Upside)

Action:reiterated

Date:11/14/26

The score is driven primarily by solid financial performance—especially the sharp improvement in 2025 cash generation—tempered by margin compression and higher leverage. Valuation is supportive (P/E ~12.7 and ~4.47% dividend yield), but technicals are a meaningful headwind as the stock trades below key moving averages with negative MACD.

Positive Factors

Revenue reboundThe return to strong revenue growth indicates renewed demand and improved business momentum after two softer years. If maintained, this broader top-line base can support operating scale, strengthen customer reach, and provide a foundation for rebuilding profitability over the next several quarters.

Negative Factors

Net margin compressionThe sustained decline in net margin means a smaller share of each revenue yen is reaching shareholders despite the 2025 sales rebound. Unless profitability improves, this weaker earnings conversion can limit reinvestment capacity and make future results more sensitive to cost pressure or execution setbacks.

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

Market Cap: JPY 5.26B
Dividend Yield: 4.47%
Average Volume (3M): 24.85K
Price to Earnings (P/E): 12.7
Beta (1Y): 0.72
Revenue Growth: 21.08%
EPS Growth: 86.42%
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

Strong 2025 rebound with revenue up ~19% YoY and a major improvement in operating/free cash flow (~991M/~986M). Offsetting this, net margin compressed to ~2.3% (down from ~3.6% in 2024 and ~6.0% in 2023) and leverage increased with debt rising to ~650M (debt-to-equity ~0.27), making sustained margin and cash execution more important.

Income Statement

62Positive

Balance Sheet

70Positive

Cash Flow

78Positive

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 SentimentNeutral

Last Price1333.00

Price Trends

50DMA1487.46Negative

100DMA1470.91Negative

200DMA1607.52Negative

Market Momentum

MACD-84.39Positive

RSI47.73Neutral

STOCH59.50Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3695, the sentiment is Neutral. The current price of 1333.00 is below the 20-day moving average (MA) of 1338.80, below the 50-day MA of 1487.46, and below the 200-day MA of 1607.52, indicating a bearish trend. The MACD of -84.39 indicates Positive momentum. The RSI at 47.73 is Neutral, neither overbought nor oversold. The STOCH value of 59.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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 9.68B	7.29	―	4.03%	8.49%	26.99%
JP:3695	67Neutral	JPY 5.87B	12.71	―	4.47%	21.08%	86.42%
JP:6088	66Neutral	JPY 54.71B	14.65	―	4.00%	-13.49%	-14.46%
JP:6183	65Neutral	JPY 104.55B	12.09	―	4.27%	0.78%	-2.52%
JP:7814	63Neutral	JPY 26.26B	4.67	―	6.66%	11.59%	88.95%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

* 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.	1333.00	-658.58	-33.07%
JP:4346	NEXYZ.Group Corporation	744.00	-173.90	-18.95%
JP:6088	SIGMAXYZ Holdings Inc	650.00	-80.65	-11.04%
JP:6183	BELLSYSTEM24 Holdings, Inc.	1406.00	118.64	9.22%
JP:7814	JAPAN Creative Platform Group Co., Ltd.	567.00	-196.41	-25.73%

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: Nov 14, 2026

GMO Research & AI,Inc. AI Stock Analysis