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Datasection, Inc.
(3905)
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Rating:60Neutral
Price Target:
¥1,624.00
▼(-18.60% Downside)
Action:Reiterated
Date:08/29/26
The score is primarily held back by weak financial quality due to heavy negative operating and free cash flow in the latest year, despite a reported earnings rebound and stronger balance sheet. Technicals also remain bearish with the stock trading below major moving averages, while valuation is a partial offset due to a low P/E.
Positive Factors
Revenue and Profitability Rebound
The sharp increase in revenue, combined with a return to positive net and EBIT margins, indicates materially improved operating scale and earnings potential. If the expanded business base can be maintained, it may support stronger reinvestment capacity and a more durable competitive position over the next several quarters.
Negative Factors
Severe Negative Cash Conversion
Deeply negative operating and free cash flow means reported earnings are not currently translating into cash generation. If this persists, the company may need to rely more heavily on funding or balance-sheet resources, limiting financial flexibility and increasing execution risk despite the reported earnings rebound.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and Profitability Rebound
The sharp increase in revenue, combined with a return to positive net and EBIT margins, indicates materially improved operating scale and earnings potential. If the expanded business base can be maintained, it may support stronger reinvestment capacity and a more durable competitive position over the next several quarters.
Read all positive factors
Datasection, Inc. (3905) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥55.44B
Dividend YieldN/A
Average Volume (3M)5.00M
Price to Earnings (P/E)6.3
Beta (1Y)1.47
Revenue Growth1178.31%
EPS GrowthN/A
CountryJP
Employees244
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)244.36
Shares Outstanding34,630,650
10 Day Avg. Volume3,634,810
30 Day Avg. Volume5,001,749
Financial Highlights & Ratios
PEG Ratio-0.03
Price to Book (P/B)1.59
Price to Sales (P/S)0.92
P/FCF Ratio-3.23
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
Datasection, Inc. Business Overview & Revenue Model
Company Description
Operating across Japan, Chile, and Colombia, Datasection Inc. specializes in delivering advanced solutions in social media analytics, retail marketing strategies, and artificial intelligence development. Their extensive suite of services encompass...
Datasection, Inc. Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
88
Very Positive
Cash Flow
28
Negative
| Breakdown | TTM | Mar 2025 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 39.26B | 33.61B | 2.94B | 2.23B | 1.92B | 1.69B |
| Gross Profit | 11.85B | 6.28B | 1.16B | 654.23M | 680.48M | 588.13M |
| EBITDA | 9.34B | 4.12B | -222.70M | -1.69M | 193.59M | 291.97M |
| Net Income | 7.05B | 2.80B | -654.99M | -1.26B | -530.29M | 2.44M |
Balance Sheet | ||||||
| Total Assets | 32.99B | 28.58B | 4.59B | 3.81B | 4.42B | 4.43B |
| Cash, Cash Equivalents and Short-Term Investments | 762.75M | 417.81M | 526.04M | 1.69B | 1.45B | 1.45B |
| Total Debt | 505.74M | 545.38M | 1.37B | 1.24B | 1.51B | 1.21B |
| Total Liabilities | 6.98B | 9.17B | 2.19B | 1.83B | 1.91B | 1.62B |
| Stockholders Equity | 25.98B | 19.37B | 2.38B | 1.95B | 2.48B | 2.80B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | -9.54B | -177.43M | -203.17M | -84.27M | 63.22M |
| Operating Cash Flow | 0.00 | -4.91B | -83.41M | 333.60M | 2.42M | 113.09M |
| Investing Cash Flow | 0.00 | -8.30B | -1.19B | -569.26M | -255.77M | -304.07M |
| Financing Cash Flow | 0.00 | 13.12B | 163.55M | 382.96M | 242.02M | 28.31M |
Datasection, Inc. Technical Analysis
Negative
1995.00
Price Trends
2135.36
Negative
2858.23
Negative
2360.64
Negative
Market Momentum
-181.44
Negative
40.31
Neutral
23.23
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3905, the sentiment is Negative. The current price of 1995 is above the 20-day moving average (MA) of 1644.15, below the 50-day MA of 2135.36, and below the 200-day MA of 2360.64, indicating a bearish trend. The MACD of -181.44 indicates Negative momentum. The RSI at 40.31 is Neutral, neither overbought nor oversold. The STOCH value of 23.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3905.
Datasection, Inc. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | ¥110.38B | 16.59 | ― | 3.36% | 8.77% | 16.25% | |
76 Outperform | ¥45.69B | 18.96 | ― | 2.43% | 9.28% | -6.81% | |
74 Outperform | ¥12.49B | 30.22 | ― | ― | 15.44% | 164.41% | |
63 Neutral | ¥15.18B | 58.04 | ― | ― | 34.57% | 80.99% | |
62 Neutral | ¥79.32B | 44.65 | ― | 0.00% | 28.10% | ― | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
60 Neutral | ¥55.44B | 6.33 | ― | ― | 1178.31% | ― |
* Technology Sector Average
JP:3905
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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.