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WHY HOW DO COMPANY,Inc.
(3823)
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Rating:44Neutral
Price Target:
¥34.00
▼(-33.33% Downside)
Action:Reiterated
Date:09/18/26
The score is constrained primarily by weak financial performance: persistent losses, ongoing cash burn, and a notable increase in leverage outweigh improved revenue growth and gross margin progress. Technicals are supportive of an uptrend, but overbought momentum (high RSI) raises near-term risk. Valuation is also pressured because negative earnings (negative P/E) and no stated dividend yield reduce valuation support.
Positive Factors
Revenue Growth
The 32.5% revenue increase marks a material improvement from the company’s low or negative growth in prior years. If maintained, stronger top-line momentum could broaden operating scale, support reinvestment, and provide a foundation for eventual profitability, although that conversion has not yet occurred.
Negative Factors
Persistent Unprofitability
Persistent losses across EBIT, EBITDA, and net income show that the company has not yet established a viable earnings model. The sharp deterioration to a roughly 39.8% net loss margin in 2026 could consume capital and limits confidence that revenue growth will translate into durable shareholder value.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth
The 32.5% revenue increase marks a material improvement from the company’s low or negative growth in prior years. If maintained, stronger top-line momentum could broaden operating scale, support reinvestment, and provide a foundation for eventual profitability, although that conversion has not yet occurred.
Read all positive factors
WHY HOW DO COMPANY,Inc. (3823) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥5.52B
Dividend YieldN/A
Average Volume (3M)2.97M
Price to Earnings (P/E)―
Beta (1Y)0.69
Revenue GrowthN/A
EPS GrowthN/A
CountryJP
Employees206
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)-4.12
Shares Outstanding157,669,700
10 Day Avg. Volume1,354,580
30 Day Avg. Volume2,970,430
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)3.61
Price to Sales (P/S)1.61
P/FCF Ratio-7.38
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
WHY HOW DO COMPANY,Inc. Business Overview & Revenue Model
Company Description
THE WHY HOW DO COMPANY, Inc., headquartered in Tokyo, Japan, is a multifaceted enterprise that primarily delivers a broad range of services and solutions centered around smartphones and the Internet of Things (IoT). Established in 2004, the firm, ...
WHY HOW DO COMPANY,Inc. Financial Statement Overview
Summary
Income Statement
24
Negative
Balance Sheet
38
Negative
Cash Flow
20
Very Negative
| Breakdown | TTM | Jul 2026 | Aug 2025 | Aug 2024 | Aug 2023 | Aug 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.64B | 3.50B | 1.75B | 747.64M | 941.14M | 919.08M |
| Gross Profit | 1.43B | 1.92B | 889.88M | 352.50M | 314.82M | 334.49M |
| EBITDA | -1.13B | -1.14B | -732.39M | -276.82M | -252.34M | -113.81M |
| Net Income | -539.80M | -1.39B | -69.04M | -961.64M | -347.53M | -403.28M |
Balance Sheet | ||||||
| Total Assets | 3.35B | 5.33B | 2.47B | 1.53B | 1.35B | 1.67B |
| Cash, Cash Equivalents and Short-Term Investments | 1.30B | 1.55B | 1.25B | 595.68M | 520.03M | 1.10B |
| Total Debt | 1.14B | 1.86B | 335.41M | 460.83M | 337.21M | 416.48M |
| Total Liabilities | 1.93B | 3.75B | 895.31M | 757.41M | 541.28M | 567.15M |
| Stockholders Equity | 1.39B | 1.56B | 1.55B | 760.00M | 758.60M | 1.10B |
Cash Flow | ||||||
| Free Cash Flow | -113.30M | -761.70M | -113.30M | -785.10M | -396.54M | -141.23M |
| Operating Cash Flow | -64.48M | -716.90M | -64.48M | -54.45M | -370.73M | -139.30M |
| Investing Cash Flow | -24.15M | -1.21B | -24.15M | -772.05M | -80.66M | -135.18M |
| Financing Cash Flow | 740.41M | 1.88B | 740.41M | 902.01M | -136.98M | 616.20M |
WHY HOW DO COMPANY,Inc. Technical Analysis
Negative
51.00
Price Trends
35.68
Negative
33.51
Positive
41.52
Negative
Market Momentum
-0.81
Positive
45.81
Neutral
35.71
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3823, the sentiment is Negative. The current price of 51 is above the 20-day moving average (MA) of 37.25, above the 50-day MA of 35.68, and above the 200-day MA of 41.52, indicating a bearish trend. The MACD of -0.81 indicates Positive momentum. The RSI at 45.81 is Neutral, neither overbought nor oversold. The STOCH value of 35.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3823.
WHY HOW DO COMPANY,Inc. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | ¥7.75B | 6.96 | ― | 1.61% | 5.90% | -3.80% | |
79 Outperform | ¥10.01B | 11.38 | ― | 4.46% | -0.27% | 9.60% | |
78 Outperform | ¥9.74B | 8.50 | ― | 1.93% | 12.61% | 49.51% | |
74 Outperform | ¥8.96B | 7.12 | ― | 2.48% | 7.21% | -16.99% | |
74 Outperform | ¥5.29B | 11.63 | ― | 2.71% | 13.99% | -36.97% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
44 Neutral | ¥5.52B | -4.65 | ― | ― | ― | ― |
* Technology Sector Average
JP:3823
WHY HOW DO COMPANY,Inc.
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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.