Bank of Innovation, Inc. (4393) AI Stock Analysis

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Bank of Innovation, Inc.

(TSE/TYO:4393)

Select Model

Rating:73Outperform

Price Target:JPY 7,471.00▲(18.40% Upside)

Action:reiterated

Date:10/20/26

The company's exceptional balance sheet strength and robust cash flow generation are the primary drivers of the score, indicating a low-risk, high-quality financial structure. Strong bullish momentum supports the technical picture, though overbought signals warrant caution. The fair P/E ratio is a neutral factor. The main risk to monitor is the recent revenue decline, which tempers the otherwise excellent financial performance.

Positive Factors

Strong revenue growth and profitabilityThe sharp revenue increase, supported by healthy gross and net margins, indicates stronger earnings capacity and expanding business activity. If profitability remains resilient, the company should have more resources to reinvest in its digital platform and support growth over the coming quarters.

Negative Factors

Declining EBIT and EBITDA marginsLower EBIT and EBITDA margins suggest that operating profitability has weakened even as revenue expanded. If this pressure persists, incremental sales may contribute less to earnings, limiting the benefit of growth and potentially reducing the company’s ability to reinvest in its platform.

Bank of Innovation, Inc. (4393) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 25.36B
Dividend Yield: ―
Average Volume (3M): 58.87K
Price to Earnings (P/E): 16.6
Beta (1Y): 0.88
Revenue Growth: -1.92%
EPS Growth: 69.10%
Country: Japan
Employees: 247
Sector: General
Sector Strength: 55
Industry: Electronic Gaming & Multimedia

Bank of Innovation, Inc. Business Overview & Revenue Model

Company Description

Headquartered in Tokyo, Japan, Bank of Innovation, Inc. specializes in the development and operation of games for smartphones. The company, which was established in 2006, offers titles such as Mitrasphere and Cryptotract.

How the Company Makes Money

The company primarily makes money through standard banking revenue streams: (1) Net interest income, earned from the spread between interest income generated on loans and other interest-earning assets and the interest paid on customer deposits and ot...

Bank of Innovation, Inc. Financial Statement Overview

Summary

Strong overall financial health with a pristine balance sheet (90), robust cash flow (80), and solid profitability (65). Revenue decline is a concern, but high margins, low debt, and excellent cash conversion demonstrate a resilient and well-managed financial foundation.

Income Statement

65Positive

Balance Sheet

90Very Positive

Cash Flow

80Positive

Financial statement breakdown
Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	11.95B	12.37B	13.62B	21.33B	2.43B	2.13B
Gross Profit	5.34B	7.24B	7.32B	11.86B	606.97M	471.06M
EBITDA	2.31B	2.17B	1.35B	4.91B	-1.00B	-801.03M
Net Income	1.70B	1.35B	895.00M	3.29B	-838.45M	-541.59M
Balance Sheet
Total Assets	8.31B	8.54B	5.82B	8.09B	2.04B	2.47B
Cash, Cash Equivalents and Short-Term Investments	5.68B	5.39B	2.90B	5.42B	1.04B	1.67B
Total Debt	0	13.00M	200.00M	555.00M	1.28B	1.45B
Total Liabilities	1.67B	2.73B	1.35B	4.41B	1.64B	1.75B
Stockholders Equity	6.64B	5.82B	4.47B	3.68B	399.32M	722.29M
Cash Flow
Free Cash Flow	2.83B	2.83B	-1.74B	5.16B	-974.50M	-735.35M
Operating Cash Flow	2.87B	2.87B	-1.72B	5.21B	-974.29M	-729.83M
Investing Cash Flow	123.00M	123.00M	-428.00M	-278.00M	96.36M	-65.44M
Financing Cash Flow	-188.00M	-188.00M	-462.00M	-739.00M	349.19M	-74.92M

Bank of Innovation, Inc. Technical Analysis

Technical Analysis SentimentNeutral

Last Price6310.00

Price Trends

50DMA6220.80Positive

100DMA5598.85Positive

200DMA5476.55Positive

Market Momentum

MACD26.97Positive

RSI47.34Neutral

STOCH55.56Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4393, the sentiment is Neutral. The current price of 6310.00 is below the 20-day moving average (MA) of 6568.00, above the 50-day MA of 6220.80, and above the 200-day MA of 5476.55, indicating a neutral trend. The MACD of 26.97 indicates Positive momentum. The RSI at 47.34 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4393.

Bank of Innovation, Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:4393 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4393	73Outperform	JPY 25.29B	16.61	―	―	-1.92%	69.10%
JP:3911	70Outperform	JPY 10.84B	9.13	―	―	-20.04%	-54.97%
JP:3632	69Neutral	JPY 84.72B	29.28	4.38%	4.27%	-11.41%	-23.06%
JP:3793	68Neutral	JPY 13.27B	4.24	―	―	4.52%	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:3903	43Neutral	JPY 7.98B	-4.52	―	―	26.98%	-143.29%
JP:3656	41Neutral	JPY 12.22B	14.06	―	―	45.41%	95.43%

* General Sector Average

Performance Comparison

JP:4393 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:4393	Bank of Innovation, Inc.	6310.00	-1230.00	-16.31%
JP:3632	GREE	515.00	138.80	36.90%
JP:3656	KLab Inc.	140.00	-75.00	-34.88%
JP:3793	Drecom Co., Ltd.	453.00	-2.00	-0.44%
JP:3903	gumi, Inc.	142.00	-268.00	-65.37%
JP:3911	Aiming, Inc.	234.00	7.00	3.08%

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: Oct 20, 2026

Bank of Innovation, Inc. AI Stock Analysis