ELEMENTS,Inc. AI Stock Analysis
Want to see JP:5246 full AI Analyst Report?
ELEMENTS,Inc. (5246) AI Stock Analysis
ELEMENTS,Inc.
(TSE/TYO:5246)
The stock is currently buoyed by exceptional technical momentum, trading well above all major moving averages. However, the underlying fundamentals present notable risks. While top-line revenue growth is robust, the company struggles with profitability and high cash burn. Combined with a stretched valuation premium, the stock's long-term viability depends heavily on management's ability to control costs and generate positive cash flow in future quarters.
ELEMENTS,Inc. (5246) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 25.27B
- Dividend Yield
- ―
- Average Volume (3M)
- 2.30M
- Price to Earnings (P/E)
- 76.8
- Beta (1Y)
- 0.88
- Revenue Growth
- 61.39%
- EPS Growth
- ―
- Country
- Japan
- Employees
- 103
- Sector
- Technology
- Sector Strength
- 61
- Industry
- Software - Application
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 to...
ELEMENTS,Inc. Financial Statement Overview
Summary
Strong double-digit revenue growth is offset by significant profitability challenges, including a reversion to operating losses and deeply negative free cash flow as the company prioritizes rapid market expansion over near-term earnings.
Income Statement
48NeutralBalance Sheet
60NeutralCash Flow
35Negative| 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 | -681.23M | -15.88M | -384.67M | -577.58M | -770.66M |
| Operating Cash Flow | 0 | -497.74M | 222.73M | -341.36M | -567.01M | -757.77M |
| Investing Cash Flow | 0 | -1.90B | -837.78M | -587.07M | -10.56M | -13.11M |
| Financing Cash Flow | 0 | 2.93B | 619.44M | 1.61B | 370.86M | 479.91M |
ELEMENTS,Inc. Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5246, the sentiment is Negative. The current price of 928.00 is below the 20-day moving average (MA) of 1029.35, below the 50-day MA of 938.50, and above the 200-day MA of 742.43, indicating a neutral trend. The MACD of -4.78 indicates Positive momentum. The RSI at 44.63 is Neutral, neither overbought nor oversold. The STOCH value of 29.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5246.
ELEMENTS,Inc. Peers Comparison
Overall Rating
JP:233579Outperform
JP:398475.5Outperform
JP:405374Outperform- JP:524658Neutral
JP:525540Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:2335 | 79Outperform | JPY 15.06B | 10.18 | ― | 4.70% | -0.28% | 31.14% |
| JP:3984 | 76Outperform | JPY 21.19B | 13.68 | ― | 1.74% | 15.59% | 6.88% |
| JP:4053 | 74Outperform | JPY 22.25B | 23.44 | ― | ― | 18.07% | -0.13% |
| Sector * | 61Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% |
| JP:5246 | 58Neutral | JPY 24.96B | 76.82 | ― | ― | 61.39% | ― |
| JP:5255 | 40Underperform | JPY 4.01B | -29.54 | ― | ― | -1.67% | 98.41% |
* Technology Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:5246 | ELEMENTS,Inc. | 928.00 | 306.00 | 49.20% | |
| JP:2335 | Cube System Inc. | 1022.00 | 4.17 | 0.41% | |
| JP:3984 | User Local, Inc. | 1380.00 | -534.86 | -27.93% | |
| JP:4053 | Sun Asterisk, Inc. | 555.00 | 52.00 | 10.34% | |
| JP:5255 | Monstarlab Holdings Inc. | 63.00 | -136.00 | -68.34% |
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 21, 2026