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Shanon, Inc.
(3976)
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Rating:67Neutral
Price Target:
¥711.00
▲(93.73% Upside)
Action:Reiterated
Date:08/25/26
The score is supported by strong technical momentum (price above key moving averages with positive MACD) and an attractive P/E valuation. The main constraint is fundamentals: despite a clear cash-flow turnaround and improved operating results, revenue weakened in 2025 and net profitability is still not consistently positive, with prior balance-sheet volatility adding risk.
Positive Factors
Strong Cash Generation
Robust operating and free cash flow improves liquidity and supports ongoing investment without relying heavily on external financing. Positive free cash flow in 2024–2025 is a meaningful recovery from the negative cash generation seen in 2022–2023.
Negative Factors
Revenue Contraction
Revenue contraction weakens the foundation for sustained earnings improvement and may indicate challenges in customer acquisition, retention, or market demand. Without a durable return to growth, operating gains could become harder to maintain.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Generation
Robust operating and free cash flow improves liquidity and supports ongoing investment without relying heavily on external financing. Positive free cash flow in 2024–2025 is a meaningful recovery from the negative cash generation seen in 2022–2023.
Read all positive factors
Shanon, Inc. (3976) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥3.97B
Dividend YieldN/A
Average Volume (3M)1.90K
Price to Earnings (P/E)7.9
Beta (1Y)0.44
Revenue Growth-13.15%
EPS GrowthN/A
CountryJP
Employees195
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)-34.65
Shares Outstanding5,926,200
10 Day Avg. Volume1,690
30 Day Avg. Volume1,900
Financial Highlights & Ratios
PEG Ratio1.06
Price to Book (P/B)2.20
Price to Sales (P/S)0.79
P/FCF Ratio4.39
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
Shanon, Inc. Business Overview & Revenue Model
Company Description
SHANON Inc. provides cloud solutions in Japan. It develops and sells SHANONMARKETING PLATFORM that supports marketing activities; Event Management System which allows to manage the operation and management of various events, from in-person and onl...
Shanon, Inc. Financial Statement Overview
Summary
Income Statement
46
Neutral
Balance Sheet
52
Neutral
Cash Flow
71
Positive
| Breakdown | Oct 2025 | Oct 2024 | Oct 2023 | Oct 2022 | Oct 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 2.75B | 3.21B | 2.93B | 2.46B | 2.20B |
| Gross Profit | 1.81B | 1.93B | 1.83B | 1.59B | 1.37B |
| EBITDA | 192.53M | 122.87M | -180.97M | -146.19M | 193.94M |
| Net Income | -23.72M | -101.61M | -445.67M | -365.86M | 107.89M |
Balance Sheet | |||||
| Total Assets | 2.00B | 2.17B | 2.02B | 1.84B | 1.69B |
| Cash, Cash Equivalents and Short-Term Investments | 1.01B | 763.13M | 400.86M | 264.18M | 491.14M |
| Total Debt | 97.13M | 1.39B | 1.13B | 744.58M | 564.42M |
| Total Liabilities | 1.01B | 2.22B | 1.98B | 1.56B | 1.04B |
| Stockholders Equity | 986.29M | -52.54M | 39.53M | 285.41M | 645.90M |
Cash Flow | |||||
| Free Cash Flow | 494.24M | 225.46M | -151.04M | -25.43M | 177.68M |
| Operating Cash Flow | 593.83M | 226.62M | -148.76M | -3.92M | 183.72M |
| Investing Cash Flow | -61.11M | -160.54M | -260.58M | -283.58M | -245.38M |
| Financing Cash Flow | -287.04M | 295.04M | 545.35M | 57.51M | 110.63M |
Shanon, Inc. Technical Analysis
Positive
367.00
Price Trends
582.78
Positive
501.90
Positive
440.72
Positive
Market Momentum
31.52
Negative
54.90
Neutral
50.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3976, the sentiment is Positive. The current price of 367 is below the 20-day moving average (MA) of 604.20, below the 50-day MA of 582.78, and below the 200-day MA of 440.72, indicating a bullish trend. The MACD of 31.52 indicates Negative momentum. The RSI at 54.90 is Neutral, neither overbought nor oversold. The STOCH value of 50.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3976.
Shanon, Inc. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | ¥9.77B | 8.67 | ― | 0.70% | 12.61% | 49.49% | |
77 Outperform | ¥36.68B | 16.36 | ― | 1.64% | 34.68% | 552.65% | |
67 Neutral | ¥3.97B | 7.86 | ― | ― | -13.15% | ― | |
63 Neutral | ¥16.20B | 23.54 | ― | ― | 22.31% | 691.30% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
59 Neutral | ¥48.14B | 37.12 | ― | ― | 28.94% | -29.21% | |
46 Neutral | ¥3.46B | 64.89 | ― | ― | 10.93% | ― |
* Technology Sector Average
JP:3976
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Shanon, Inc. Corporate Events
Shanon Swings Back to Profit as Assets and Equity Strengthen in First Half 2026
Aug 14, 2026
Shanon Inc. reported consolidated financial results for the six months ended June 30, 2026, showing a modest increase in net sales to ¥1,441 million and a sharp turnaround from the prior-year loss to a profit attributable to owners of parent ...
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.