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eWeLL Co.,Ltd (JP:5038)
:5038
Japanese Market
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eWeLL Co.,Ltd (5038) AI Stock Analysis

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JP:5038

eWeLL Co.,Ltd

(5038)

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Outperform 80 (OpenAI - Gpt-5.6Sol)
Rating:80Outperform
Price Target:
¥2,678.00
▲(24.38% Upside)
Action:Reiterated
Date:08/29/26
The score is primarily supported by very strong financial quality (high margins, debt-free balance sheet, and strong cash conversion). Technicals are moderately constructive with price above key moving averages, but valuation is less attractive due to a higher P/E and low dividend yield, which tempers the overall rating.
Positive Factors
High-margin revenue growth
The combination of multi-year revenue compounding and consistently high gross margins indicates a scalable software-led model. Strong EBIT profitability provides capacity to fund product development, customer support and expansion while preserving operating resilience.
Negative Factors
Revenue growth deceleration
The sharp slowdown in the latest reported year raises questions about how quickly the addressable home-care software market can continue expanding. If sustained, slower growth could reduce operating leverage and make future profit expansion more dependent on margins.
Read all positive and negative factors
Positive Factors
Negative Factors
High-margin revenue growth
The combination of multi-year revenue compounding and consistently high gross margins indicates a scalable software-led model. Strong EBIT profitability provides capacity to fund product development, customer support and expansion while preserving operating resilience.
Read all positive factors

eWeLL Co.,Ltd (5038) vs. iShares MSCI Japan ETF (EWJ)

eWeLL Co.,Ltd Business Overview & Revenue Model

Company Description
Established in 2012 and headquartered in Osaka, Japan, eWeLL Co.,Ltd. is a developer of cloud-based business support services specifically designed for visiting nursing stations throughout Japan. Their core offerings include iBow, a Software-as-a-...
How the Company Makes Money
eWeLL Co.,Ltd primarily generates revenue by providing services to healthcare/care providers (notably home-visit nursing operators) that help manage and run their operations. Key revenue streams typically include fees for the use of its platforms/...

eWeLL Co.,Ltd Financial Statement Overview

Summary
Strong multi-year revenue compounding with consistently high gross margins (~77–82%) and excellent profitability (2025 net margin ~32%, EBIT margin ~45%). Balance sheet is debt-free with solid ROE (~32% in 2025), and cash conversion is strong (operating cash flow exceeds net income; FCF ~0.97x net income). Main risk is the material deceleration in latest-year revenue growth (~14% in 2025).
Income Statement
92
Very Positive
Balance Sheet
95
Very Positive
Cash Flow
88
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue3.59B3.39B2.57B2.07B1.60B1.19B
Gross Profit2.77B2.65B1.94B1.60B1.26B969.51M
EBITDA1.70B1.64B1.22B967.84M725.48M414.60M
Net Income1.13B1.09B808.26M612.90M449.56M340.29M
Balance Sheet
Total Assets3.72B4.28B3.10B2.41B1.65B1.06B
Cash, Cash Equivalents and Short-Term Investments2.29B2.86B1.97B1.41B1.08B617.07M
Total Debt0.000.000.0091.50M96.06M180.62M
Total Liabilities571.58M908.43M687.05M719.78M544.97M557.12M
Stockholders Equity3.15B3.38B2.41B1.69B1.11B504.15M
Cash Flow
Free Cash Flow0.001.23B839.09M440.68M527.34M347.06M
Operating Cash Flow0.001.27B856.79M626.91M543.38M408.64M
Investing Cash Flow0.00-210.38M-77.89M-217.84M-136.43M-73.75M
Financing Cash Flow0.00-168.38M-225.88M-71.36M51.19M-44.56M

eWeLL Co.,Ltd Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2153.00
Price Trends
50DMA
2046.22
Positive
100DMA
1998.88
Positive
200DMA
2244.10
Positive
Market Momentum
MACD
42.25
Positive
RSI
61.59
Neutral
STOCH
50.96
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5038, the sentiment is Positive. The current price of 2153 is below the 20-day moving average (MA) of 2168.95, above the 50-day MA of 2046.22, and below the 200-day MA of 2244.10, indicating a bullish trend. The MACD of 42.25 indicates Positive momentum. The RSI at 61.59 is Neutral, neither overbought nor oversold. The STOCH value of 50.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5038.

eWeLL Co.,Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
¥35.57B29.370.78%27.32%20.92%
80
Outperform
¥20.13B19.443.14%-2.50%-17.10%
79
Outperform
¥31.60B15.144.58%8.18%35.49%
77
Outperform
¥37.27B16.571.64%34.68%552.65%
68
Neutral
¥7.02B15.6823.42%457.78%
59
Neutral
¥49.98B38.8928.94%-29.21%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:5038
eWeLL Co.,Ltd
2,329.00
-440.98
-15.92%
JP:3835
eBASE Co., Ltd.
437.00
-38.03
-8.01%
JP:4397
TeamSpirit, Inc.
425.00
-130.00
-23.42%
JP:4477
BASE, Inc.
316.00
-52.48
-14.24%
JP:5027
AnyMind Group Inc.
814.00
50.43
6.60%
JP:9629
PCA Corporation
1,672.00
-178.21
-9.63%

eWeLL Co.,Ltd Corporate Events

eWeLL Outlines FY12/2026 2Q Results and Investor Briefing Highlights
Aug 26, 2026
eWeLL Co., Ltd. held a financial results briefing for the second quarter of the fiscal year ending December 2026, led by President and Representative Director Norito Nakano. The company released supporting materials and a transcript summarizing ma...
eWeLL Delivers Strong 1H FY2026 Results and Expands AI Home-Visit Routing Service
Aug 20, 2026
eWeLL Co., Ltd. reported strong financial results for the first half of FY12/2026, with sales rising 24.2% year on year to JPY1,991 million and operating profit increasing 20.1% to JPY946 million, driving a robust operating margin of 47.5%. Manage...
eWeLL Delivers Strong First-Half Earnings and Lifts Full-Year Dividend Forecast
Aug 14, 2026
eWeLL Co., Ltd. reported strong interim non-consolidated results for the six months ended June 30, 2026, with net sales rising 24.2% year on year to ¥1,991 million and net income climbing 21.1% to ¥663 million, driven by higher operating...
eWeLL Highlights SaaS-Driven Growth in Japan’s Home-Visit Nursing Market
May 29, 2026
Osaka-based eWeLL Co., Ltd. operates in the at-home medical and home-visit nursing sector, providing cloud-based software and services for nursing stations. Its main offerings include iBow, an electronic medical record and business-support SaaS fo...
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: Aug 29, 2026