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ELEMENTS,Inc.
(5246)
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Rating:49Neutral
Price Target:
¥1,080.00
▲(16.88% Upside)
Action:Reiterated
Date:10/21/26
The score is primarily constrained by weak financial quality despite strong growth—widening losses and renewed cash burn in 2025 outweigh high gross margins and improved leverage. Technicals are supportive with a strong uptrend, but overbought signals reduce confidence near-term. Valuation further limits the score due to a very high P/E and no dividend support.
Positive Factors
Strong Revenue Growth
Revenue growth of 28.6% demonstrates that the company is expanding its top line at a meaningful rate. If sustained, this growth can broaden operating scale, support continued investment in the business, and create a foundation for improved earnings as fixed costs are absorbed.
Negative Factors
Widening Losses
The widening net loss and renewed negative EBIT show that strong sales growth is not yet translating into sustainable operating profitability. Continued losses could constrain reinvestment, weaken financial resilience, and make future growth increasingly dependent on improved cost control or external funding.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Growth
Revenue growth of 28.6% demonstrates that the company is expanding its top line at a meaningful rate. If sustained, this growth can broaden operating scale, support continued investment in the business, and create a foundation for improved earnings as fixed costs are absorbed.
Read all positive factors
ELEMENTS,Inc. (5246) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥28.50B
Dividend YieldN/A
Average Volume (3M)3.77M
Price to Earnings (P/E)86.6
Beta (1Y)0.89
Revenue Growth61.39%
EPS GrowthN/A
CountryJP
Employees103
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)12.08
Shares Outstanding27,250,513
10 Day Avg. Volume7,459,700
30 Day Avg. Volume3,769,320
Financial Highlights & Ratios
PEG Ratio-0.05
Price to Book (P/B)3.91
Price to Sales (P/S)3.48
P/FCF Ratio-19.92
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
ELEMENTS,Inc. Business Overview & Revenue Model
Company Description
ELEMENTS, Inc. delivers advanced data-driven identity verification and personalized service solutions through a backend-as-a-service (BaaS) model, catering to a diverse array of companies across numerous sectors. The firm also dedicates resources ...
ELEMENTS,Inc. Financial Statement Overview
Summary
Income Statement
46
Neutral
Balance Sheet
55
Neutral
Cash Flow
33
Negative
| Breakdown | TTM | Nov 2025 | Nov 2024 | Nov 2023 | Nov 2022 | Nov 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 5.50B | 3.90B | 2.55B | 1.94B | 1.65B | 1.36B |
| Gross Profit | 4.25B | 3.02B | 2.17B | 1.50B | 1.09B | 816.24M |
| EBITDA | 859.91M | -609.78M | 220.90M | -339.58M | -653.45M | -694.08M |
| Net Income | 332.77M | -700.67M | -132.91M | -338.71M | -561.57M | -568.99M |
Balance Sheet | ||||||
| Total Assets | 6.97B | 7.24B | 4.92B | 3.63B | 2.35B | 2.61B |
| Cash, Cash Equivalents and Short-Term Investments | 2.43B | 3.28B | 2.75B | 2.79B | 2.06B | 2.30B |
| Total Debt | 2.25B | 3.01B | 1.75B | 2.38B | 1.43B | 1.10B |
| Total Liabilities | 2.96B | 3.65B | 2.31B | 2.61B | 1.67B | 1.35B |
| Stockholders Equity | 3.99B | 3.47B | 2.29B | 1.02B | 424.24M | 997.54M |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | -681.23M | -15.88M | -384.67M | -577.58M | -770.66M |
| Operating Cash Flow | 0.00 | -497.74M | 222.73M | -341.36M | -567.01M | -757.77M |
| Investing Cash Flow | 0.00 | -1.90B | -837.78M | -587.07M | -10.56M | -13.11M |
| Financing Cash Flow | 0.00 | 2.93B | 619.44M | 1.61B | 370.86M | 479.91M |
ELEMENTS,Inc. Technical Analysis
Positive
924.00
Price Trends
920.62
Positive
801.76
Positive
729.95
Positive
Market Momentum
46.23
Positive
54.31
Neutral
34.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5246, the sentiment is Positive. The current price of 924 is below the 20-day moving average (MA) of 1031.00, above the 50-day MA of 920.62, and above the 200-day MA of 729.95, indicating a bullish trend. The MACD of 46.23 indicates Positive momentum. The RSI at 54.31 is Neutral, neither overbought nor oversold. The STOCH value of 34.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5246.
ELEMENTS,Inc. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | ¥22.67B | 13.74 | ― | 1.70% | 16.61% | 15.32% | |
75 Outperform | ¥15.10B | 9.79 | ― | 4.69% | 0.10% | 20.74% | |
67 Neutral | ¥23.18B | 24.41 | ― | 0.00% | 18.07% | -0.13% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
49 Neutral | ¥28.50B | 86.59 | ― | ― | 61.39% | ― | |
43 Neutral | ¥4.33B | -31.42 | ― | ― | -1.67% | 98.41% |
* Technology Sector Average
JP:5246
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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.