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Akatsuki, Inc. (3932) AI Stock Analysis

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JP:3932

Akatsuki, Inc.

(TSE/TYO:3932)

Select Model
Rating:78Outperform
Price Target:JPY 1,575.00â–²(20.87% Upside)
Action:reiterated
Date:09/30/26

The stock's primary strength is its extremely attractive valuation, with a single-digit P/E and a near 10% dividend yield. Financial performance is solid, marked by a recent revenue rebound and strong margins, though the hit-driven nature of the industry introduces some risk. Technicals support a bullish outlook with the price above key moving averages and neutral momentum. The main risk to monitor is the volatility in cash flow generation and the sustainability of the high dividend.

Positive Factors
Revenue Growth RecoveryRevenue growth returning at 18.4% in FY2026 after several years of mild declines indicates a renewed demand or operating trajectory. If sustained, the larger top line can support ongoing investment in live mobile services and improve the company’s ability to absorb fixed costs.
Negative Factors
Weak Cash ConversionFY2026 operating cash flow of ¥2.73B was well below ¥5.65B of net income, despite positive free cash flow. This gap signals that reported earnings are not converting fully into cash, which can constrain reinvestment, distributions, and resilience if the pattern persists.

Akatsuki, Inc. (3932) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%50%60%70%JP:3932+56.18%EWJ+14.42%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 47.29B
Dividend Yield
9.21%
Average Volume (3M)
321.25K
Price to Earnings (P/E)
7.4
Beta (1Y)
0.31
Revenue Growth
31.30%
EPS Growth
923.93%
Country
Japan
Employees
537
Sector
Communication Services
Sector Strength
60
Industry
Electronic Gaming & Multimedia

Akatsuki, Inc. Business Overview & Revenue Model

Company Description

Established in 2010 and based in Tokyo, Japan, Akatsuki Inc. primarily engages in the creation of mobile games and the provision of various live experiences across the country. Beyond its game development efforts, the company manages an extensive arr...

How the Company Makes Money

Akatsuki’s primary monetization comes from the operation and publishing of mobile games, where revenue is typically generated through in-game purchases (e.g., virtual items, gacha/loot-box style draws, character acquisition, stamina/boost items) and,...

Akatsuki, Inc. Financial Statement Overview

Summary

Revenue rebounded with 9% growth in 2026, and profitability is strong with net margins at 22%. The balance sheet is solid with a low debt-to-equity ratio of 0.26. Cash flow is generally positive but shows some volatility, with a lower cash conversion rate in 2026 warranting attention.

Income Statement

82Very Positive

Balance Sheet

78Positive

Cash Flow

70Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue21.08B23.65B25.86B23.97B24.34B26.27B
Gross Profit10.89B13.70B14.03B13.49B14.35B15.50B
EBITDA2.79B4.04B7.86B2.85B5.85B7.61B
Net Income2.09B1.65B5.65B1.29B1.34B5.19B
Balance Sheet
Total Assets59.40B54.63B62.33B52.04B53.16B46.08B
Cash, Cash Equivalents and Short-Term Investments31.77B33.28B30.55B30.96B34.07B25.72B
Total Debt9.46B6.10B11.65B7.10B10.20B4.21B
Total Liabilities16.40B13.18B16.95B11.83B14.40B7.84B
Stockholders Equity42.98B41.44B45.36B40.19B38.75B38.24B
Cash Flow
Free Cash Flow03.80B2.63B-246.00M5.00B4.42B
Operating Cash Flow03.87B2.73B-84.00M5.05B4.79B
Investing Cash Flow0-1.47B-3.32B-73.00M1.21B-3.01B
Financing Cash Flow0-2.14B3.18B-3.24B4.92B-4.19B

Akatsuki, Inc. Technical Analysis

Technical Analysis SentimentPositive
Last Price1303.00

Price Trends

50DMA1258.75Positive
100DMA1133.54Positive
200DMA1036.23Positive

Market Momentum

MACD11.07Negative
RSI53.37Neutral
STOCH76.61Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3932, the sentiment is Positive. The current price of 1303.00 is above the 20-day moving average (MA) of 1282.25, above the 50-day MA of 1258.75, and above the 200-day MA of 1036.23, indicating a bullish trend. The MACD of 11.07 indicates Negative momentum. The RSI at 53.37 is Neutral, neither overbought nor oversold. The STOCH value of 76.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3932.

Akatsuki, Inc. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (60)

Financial Indicators

JP:3932 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:3932JP:393278OutperformJPY 54.71B7.39―9.21%31.30%923.93%
JP:3632JP:363265NeutralJPY 87.22B21.844.38%4.65%-11.41%-23.06%
JP:7803JP:780361NeutralJPY 72.01B15.37―0.49%2.93%34.17%
Sector *60Neutral$48.67B4.58-11.27%4.14%2.83%-41.78%
JP:3765JP:376548NeutralJPY 129.07B53.292.01%3.69%-6.09%-56.51%
JP:3903JP:390343NeutralJPY 8.09B-4.64――26.98%-143.29%
JP:3656JP:365641NeutralJPY 11.97B14.26――10.54%―

* Communication Services Sector Average

Performance Comparison

-50%0%50%100%JP:3932JP:3632JP:3765JP:3656JP:3903JP:7803Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:3932 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:3932Akatsuki, Inc.1303.00450.7352.89%
JP:3632GREE 473.0096.8025.73%
JP:3765Gungho Online Entertainment 2436.0071.333.02%
JP:3656KLab Inc.147.00-68.00-31.63%
JP:3903gumi, Inc.148.00-262.00-63.90%
JP:7803Bushiroad, Inc.512.00226.7679.50%

Akatsuki, Inc. Corporate Events

Akatsuki to Rebrand as SUNNYS Holdings After SUNNY SIDE UP Integration

Sep 11, 2026

Akatsuki Inc. is integrating its digital technology and IP business expertise with SUNNY SIDE UP GROUP Inc.’s marketing and value-enhancement capabilities to build a comprehensive IP trading house spanning digital, analog, real-world and AI domains....

Akatsuki Sets October Extraordinary Shareholders Meeting to Revise Governance

Sep 11, 2026

Akatsuki Inc. has set October 30, 2026, as the date for an extraordinary general meeting of shareholders to be held at its event space in Shinagawa, Tokyo. The meeting follows a previously announced record date of September 14, 2026, and formalizes t...

Akatsuki Sets Record Date for Extraordinary Shareholders Meeting in October

Aug 28, 2026

Akatsuki Inc. has resolved at a Board of Directors meeting to convene an extraordinary general meeting of shareholders, signaling an upcoming governance or strategic decision that requires shareholder approval. The company has set September 14, 2026,...

Akatsuki Plans Three-for-One Stock Split to Boost Liquidity

Aug 12, 2026

Akatsuki Inc. has approved a three-for-one stock split of its common shares, effective October 1, 2026, aiming to improve share liquidity and make its stock more accessible to a wider range of investors. The number of issued shares will rise from 14,...

Akatsuki Returns to Profit, Lifts Q1 Sales but Withholds Full-Year Guidance

Aug 12, 2026

Akatsuki Inc. reported a sharp rebound in performance for the first quarter of the fiscal year ending March 31, 2027, with net sales more than doubling year on year to ¥5.13 billion and a swing from loss to profit, posting ¥787 million in profit attr...

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: Sep 30, 2026