WITZ Corp. (4440) AI Stock Analysis

• Market Cap: ¥4.92B
• Dividend Yield: 1.18%
• Average Volume (3M): 140.28K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.76
• Revenue Growth: 59.60%
• EPS Growth: 353.05%
• Country: JP
• Employees: 288
• Sector: Technology
• Sector Strength: 81
• Industry: Software - Application
• EPS (TTM): 103.27
• Shares Outstanding: 4,176,000
• 10 Day Avg. Volume: 296,410
• 30 Day Avg. Volume: 140,276
• PEG Ratio: 0.39
• Price to Book (P/B): 1.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 78 Outperform
• Price Target: ―

WITZ Corp. is well-positioned in the Software - Application industry given its strong financial health and attractive valuation. While the technical analysis suggests some caution with recent price consolidation, the overall outlook is positive due to robust financial performance and appealing valuation metrics.

WITZ Corp. Business Overview & Revenue Model

Company Description

WITZ Corporation engages in the service design and software development businesses in Japan. The company offers Jasmy Personal Data Locker, an entrance/exit management system that provides valuable information while protecting personal information using blockchain technology for the management of stakeholders, related parties, and visitors at sporting and music events, and other events; automobile cyber security solutions; product – security incident response team (P-SIRT) services; and Kitahiro Ride, which combines a demand taxi and an electric cart to provide a transportation service between the homes of users living in the target area and Kitahiroshima Station. It also provides Intersection risk prediction systems for risk visualization using sensors; AUTOSAR Adaptive Platform, which includes advanced and diverse sensor information handling, the need for service-oriented dynamic communication, ensuring security as external connections grow, and upgrading over-the-air applications; virtual space technology for automobile development; and simulation development technology. The company was incorporated in 1997 and is headquartered in Nagoya, Japan.

How the Company Makes Money

WITZ Corp. generates revenue primarily through a subscription-based model for its software as a service (SaaS) offerings. Customers pay recurring fees to access the company's suite of cloud-based applications, which are designed to streamline business operations and improve data-driven decision-making. Key revenue streams include enterprise licenses, custom software development contracts, and consulting services that provide tailored solutions to meet specific business needs. Additionally, WITZ Corp. partners with major technology firms to integrate its tools with existing systems, further expanding its market reach and enhancing its revenue potential.

WITZ Corp. Financial Statement Overview

Summary

WITZ Corp. demonstrates strong financial performance with substantial revenue growth, improved profit margins, and efficient cash flow management. A debt-free balance sheet further underscores its financial stability.

Income Statement

WITZ Corp. shows robust financial health with revenue growth of 39.03% from the previous year, indicating strong market demand and operational efficiency. The gross profit margin improved to 35.22% and the net profit margin increased to 7.91%, reflecting enhanced profitability. EBIT and EBITDA margins also improved to 8.10% and 12.37% respectively, showcasing operational excellence.

Balance Sheet

The balance sheet is strong with no debt, resulting in a debt-to-equity ratio of 0. The equity ratio stands at a solid 68.82%, indicating a well-capitalized company. Return on equity is impressive at 11.22%, showing effective use of equity capital to generate profits.

Cash Flow

WITZ Corp. exhibits healthy cash flows with a free cash flow growth rate of 44.17%. The operating cash flow to net income ratio of 1.29 indicates efficient conversion of net income to cash. The free cash flow to net income ratio of 1.07 further underscores the company's ability to generate cash beyond its net income.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
3.83B	3.48B	2.50B	2.35B	2.20B	2.22B
	Gross Profit
1.36B	1.22B	892.42M	887.06M	770.04M	745.74M
	EBIT
350.70M	281.87M	187.16M	236.54M	276.94M	336.76M
	EBITDA
484.57M	430.11M	225.43M	288.13M	313.46M	342.83M
	Net Income Common Stockholders
328.98M	275.08M	133.49M	175.83M	206.17M	221.98M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.72B	1.77B	1.92B	2.06B	2.05B	1.79B
	Total Assets
3.65B	3.56B	2.92B	2.86B	2.65B	2.44B
	Total Debt
0.00	0.00	0.00	0.00	632.00K	1.64M
	Net Debt
-1.72B	-1.77B	-1.92B	-2.06B	-2.05B	-1.79B
	Total Liabilities
1.17B	1.08B	611.43M	559.44M	527.98M	545.70M
	Stockholders Equity
2.47B	2.45B	2.28B	2.27B	2.10B	1.87B
Cash Flow		Free Cash Flow
0.00	294.54M	204.25M	156.92M	252.27M	203.04M
	Operating Cash Flow
0.00	355.54M	248.28M	206.78M	257.37M	220.57M
	Investing Cash Flow
0.00	170.60M	-459.60M	-136.53M	-219.79M	-214.71M
	Financing Cash Flow
0.00	-272.68M	-128.86M	-58.00M	14.12M	-39.92M

WITZ Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1178.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4440, the sentiment is Positive. The current price of 1178 is above the 20-day moving average (MA) of 1138.80, above the 50-day MA of 1030.00, and above the 200-day MA of 928.38, indicating a bullish trend. The MACD of 42.11 indicates Negative momentum. The RSI at 58.87 is Neutral, neither overbought nor oversold. The STOCH value of 60.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4440.

WITZ Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4440	78 Outperform	¥4.92B	11.41		1.18%	59.60%	353.05%
Sector *	61 Neutral	$11.56B	10.44	-6.88%	2.93%	7.49%	-8.97%
M2V		€27.72M	11.72	7.29%	1.62%	―	―
VCU		€26.33M	―	-144.02%	―	―	―
3826		¥4.18B	7.09		2.65%	―	―
4060	73 Outperform	¥4.91B	18.29		0.71%	10.58%	29.96%
3965	70 Outperform	¥4.37B	18.32		2.11%	3.29%	-17.15%

WITZ Corp. Corporate Events

WITZ Corp. Reports Strong Financial Growth for H1 2025

WITZ Corporation reported significant growth in its financial performance for the six months ending February 28, 2025, with net sales increasing by 57.2% and profit attributable to owners of the parent rising by 162.3% compared to the previous year. The company also maintained a strong equity ratio of 71.1% and announced a forecasted increase in annual dividends per share, reflecting its robust financial health and positive outlook for the fiscal year ending August 31, 2025.