SocialWire Co., Ltd. (3929) AI Stock Analysis

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SocialWire Co., Ltd.

(TSE/TYO:3929)

Select Model

Rating:66Neutral

Price Target:JPY 265.00▲(17.26% Upside)

Action:downgraded

Date:11/03/26

The company's strong financial performance, marked by a successful turnaround and robust cash flows, is the primary driver of the score. This is partially offset by weak technicals, as the stock price trends below key moving averages with low momentum. A reasonable P/E ratio provides some valuation support, but the absence of a dividend and bearish technical signals weigh on the overall assessment.

Positive Factors

Profitability turnaround and revenue growthThe return to operating and net profitability alongside strong revenue growth indicates meaningful improvement from prior loss years. If this recovery persists, it can strengthen internal funding capacity, support reinvestment, and improve the company’s ability to build durable earnings over the next several quarters.

Negative Factors

Uneven earnings and revenue historyThe recent recovery follows a materially uneven operating record, including two years of revenue contraction and meaningful losses. This history makes future earnings less predictable and raises questions about whether the latest growth and profitability represent a durable trend or another phase in a volatile cycle.

SocialWire Co., Ltd. (3929) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 2.69B
Dividend Yield: ―
Average Volume (3M): 234.26K
Price to Earnings (P/E): 15.4
Beta (1Y): 0.64
Revenue Growth: 34.73%
EPS Growth: -9.90%
Country: Japan
Employees: 153
Sector: Communication Services
Sector Strength: 60
Industry: Entertainment

SocialWire Co., Ltd. Business Overview & Revenue Model

Company Description

Socialwire Co., Ltd. operates both within Japan and globally, focusing on digital public relations and shared workspace management. The company's digital PR portfolio encompasses press release distribution for businesses, government agencies, and var...

How the Company Makes Money

Publicly verifiable, detailed line-by-line information about SocialWire Co., Ltd.’s revenue model (e.g., named revenue segments, pricing structure, major customer types, and significant partnerships) is not available in the provided prompt and cannot...

SocialWire Co., Ltd. Financial Statement Overview

Summary

Strong financial turnaround with 21.6% revenue growth, 30.5% net income increase, and a healthy 59.6% gross margin. The balance sheet is robust with low leverage (debt-to-equity 0.47x), and cash flow generation is excellent, with operating cash flow at 1.3x net income. Historical FY2023 loss tempers the score slightly.

Income Statement

75Positive

Balance Sheet

82Very Positive

Cash Flow

87Very Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	3.78B	3.51B	2.91B	3.67B	4.77B	4.63B
Gross Profit	2.18B	2.09B	1.84B	1.90B	1.96B	2.16B
EBITDA	457.93M	406.48M	304.82M	243.77M	208.04M	588.61M
Net Income	222.15M	221.93M	170.04M	-146.42M	-876.87M	28.67M
Balance Sheet
Total Assets	3.87B	3.47B	2.52B	1.34B	4.72B	4.98B
Cash, Cash Equivalents and Short-Term Investments	1.31B	1.27B	1.41B	354.31M	1.01B	898.72M
Total Debt	1.18B	836.99M	194.20M	454.69M	2.41B	1.98B
Total Liabilities	2.04B	1.66B	945.86M	1.25B	4.51B	3.91B
Stockholders Equity	1.80B	1.78B	1.54B	78.42M	198.83M	1.05B
Cash Flow
Free Cash Flow	0	289.09M	148.93M	111.48M	-180.20M	356.28M
Operating Cash Flow	0	292.74M	158.66M	126.30M	100.03M	557.51M
Investing Cash Flow	0	-1.02B	-188.56M	1.18B	-414.10M	-260.97M
Financing Cash Flow	0	584.58M	1.10B	-1.98B	413.85M	-353.30M

SocialWire Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price226.00

Price Trends

50DMA253.20Negative

100DMA257.79Negative

200DMA284.33Negative

Market Momentum

MACD-7.82Positive

RSI43.55Neutral

STOCH10.16Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3929, the sentiment is Negative. The current price of 226.00 is below the 20-day moving average (MA) of 267.10, below the 50-day MA of 253.20, and below the 200-day MA of 284.33, indicating a bearish trend. The MACD of -7.82 indicates Positive momentum. The RSI at 43.55 is Neutral, neither overbought nor oversold. The STOCH value of 10.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3929.

SocialWire Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

JP:3929 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:5032	82Outperform	JPY 193.98B	14.01	―	2.26%	10.40%	-5.83%
JP:4712	76Outperform	JPY 20.59B	18.61	―	0.92%	7.82%	-52.34%
JP:4308	69Neutral	JPY 8.55B	16.40	―	4.07%	5.15%	3.20%
JP:4347	69Neutral	JPY 17.85B	20.05	―	2.41%	0.02%	55.98%
JP:4772	68Neutral	JPY 7.30B	12.51	―	3.17%	18.74%	-37.96%
JP:3929	66Neutral	JPY 2.72B	15.45	―	―	34.73%	-9.90%
Sector *	60Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

* Communication Services Sector Average

Performance Comparison

JP:3929 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:3929	SocialWire Co., Ltd.	226.00	-37.00	-14.07%
JP:4308	J-Stream Inc.	343.00	12.70	3.85%
JP:4347	Broadmedia Corporation	2491.00	868.24	53.50%
JP:4712	KeyHolder, Inc.	1079.00	379.97	54.36%
JP:4772	Stream Media Corporation	63.00	-42.00	-40.00%
JP:5032	ANYCOLOR Inc.	3145.00	-3219.92	-50.59%

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 03, 2026

SocialWire Co., Ltd. AI Stock Analysis