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GALA INC (4777) AI Stock Analysis
GALA INC
(TSE/TYO:4777)
The overall stock score of 39 reflects substantial fundamental and technical weaknesses. The most significant drag on the score is the company's deteriorating financial health, driven by persistent cash burn, unprofitability, and alarming leverage levels. This fundamental weakness is compounded by bearish technical momentum and a highly unattractive valuation with a negative P/E ratio, leaving the stock with no clear near-term catalysts.
GALA INC (4777) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 5.21B
- Dividend Yield
- ―
- Average Volume (3M)
- 27.06K
- Price to Earnings (P/E)
- -27.2
- Beta (1Y)
- 0.79
- Revenue Growth
- 22.14%
- EPS Growth
- 79.25%
- Country
- Japan
- Employees
- 72
- Sector
- Communication Services
- Sector Strength
- 60
- Industry
- Electronic Gaming & Multimedia
GALA INC Business Overview & Revenue Model
Company Description
Gala Incorporated, operating alongside its various subsidiaries, is primarily focused on the comprehensive planning, development, provision, and management of mobile applications for smartphones and tablet PCs, serving both the Japanese and South Kor...
How the Company Makes Money
null
GALA INC Financial Statement Overview
Summary
Financial performance is severely strained. Despite a 13% revenue growth and healthy 60% gross margins, the company suffers from persistent unprofitability, negative operating cash flow, and a spiking debt-to-equity ratio over 3.2x.
Income Statement
35NegativeBalance Sheet
18Very NegativeCash Flow
25Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.80B | 2.59B | 2.35B | 2.00B | 3.21B | 600.96M |
| Gross Profit | 1.81B | 1.53B | 1.41B | 1.28B | 2.13B | 472.43M |
| EBITDA | 335.58M | -81.45M | -286.08M | -315.31M | 368.89M | -269.06M |
| Net Income | -196.69M | -532.30M | -907.98M | -307.23M | 320.40M | -186.14M |
Balance Sheet | ||||||
| Total Assets | 3.49B | 3.64B | 4.37B | 3.36B | 3.02B | 1.05B |
| Cash, Cash Equivalents and Short-Term Investments | 699.58M | 779.24M | 854.84M | 1.38B | 1.87B | 415.14M |
| Total Debt | 1.19B | 1.46B | 1.35B | 336.80M | 40.80M | 48.00M |
| Total Liabilities | 2.14B | 2.62B | 2.56B | 1.34B | 788.61M | 609.22M |
| Stockholders Equity | 697.57M | 445.32M | 968.20M | 1.63B | 1.85B | 80.84M |
Cash Flow | ||||||
| Free Cash Flow | -25.98M | -173.15M | -2.01B | -319.13M | 275.02M | -647.09M |
| Operating Cash Flow | -14.17M | -86.21M | -298.87M | -130.85M | 546.15M | -595.89M |
| Investing Cash Flow | -12.23M | -89.55M | -1.67B | -826.46M | -271.14M | 62.31M |
| Financing Cash Flow | 11.84M | 98.05M | 1.56B | 15.81M | 1.28B | 0 |
GALA INC Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4777, the sentiment is Negative. The current price of 191.00 is below the 20-day moving average (MA) of 194.05, below the 50-day MA of 197.22, and below the 200-day MA of 202.69, indicating a bearish trend. The MACD of -2.92 indicates Positive momentum. The RSI at 29.06 is Positive, neither overbought nor oversold. The STOCH value of 18.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4777.
GALA INC Peers Comparison
Overall Rating
JP:391273Outperform
JP:391170Outperform
JP:379366Neutral
JP:390459Neutral
JP:390349Neutral- JP:477739Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:3912 | 73Outperform | JPY 6.93B | 13.18 | 20.16% | 4.59% | 1.92% | -26.02% |
| JP:3911 | 70Outperform | JPY 10.09B | 8.27 | ― | ― | -20.04% | -54.97% |
| JP:3793 | 66Neutral | JPY 13.16B | 4.16 | ― | ― | 4.52% | ― |
| Sector * | 60Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% |
| JP:3904 | 59Neutral | JPY 6.41B | 11.63 | ― | 0.98% | 20.33% | 15.26% |
| JP:3903 | 49Neutral | JPY 9.59B | -5.50 | ― | ― | 26.98% | -143.29% |
| JP:4777 | 39Underperform | JPY 5.21B | -27.21 | ― | ― | 22.14% | 79.25% |
* Communication Services Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:4777 | GALA INC | 191.00 | -36.00 | -15.86% | |
| JP:3912 | Mobile Factory, Inc. | 1068.00 | 117.78 | 12.40% | |
| JP:3793 | Drecom Co., Ltd. | 444.00 | -14.00 | -3.06% | |
| JP:3903 | gumi, Inc. | 173.00 | -266.00 | -60.59% | |
| JP:3904 | KAYAC, Inc. | 399.00 | -27.73 | -6.50% | |
| JP:3911 | Aiming, Inc. | 212.00 | -7.00 | -3.20% |
GALA INC Corporate Events
Gala Inc. Swings to Profit as Equity Ratio Strengthens in First Half 2026
Gala Inc. reported a sharp turnaround for the six months ended June 30, 2026, with net sales rising 18.4% year-on-year to ¥1,354 million and a swing to an operating profit of ¥207 million from a loss in the previous period. Profit attributa...
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: Aug 06, 2026