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Ridge-i Inc. (JP:5572)
:5572
Japanese Market
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Ridge-i Inc. (5572) AI Stock Analysis

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JP:5572

Ridge-i Inc.

(5572)

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Outperform 75 (OpenAI - Gpt-5.6Sol)
Rating:75Outperform
Price Target:
¥3,510.00
▲(76.74% Upside)
Action:Reiterated
Date:09/19/26
The score is driven primarily by strong financial performance—re-accelerating growth, sharply improved margins, and a very conservative balance sheet—tempered by gross-margin and cash-flow volatility. Technicals add support with an established uptrend and positive momentum indicators, while valuation is a meaningful headwind given the elevated P/E and no dividend yield data to offset it.
Positive Factors
Re-accelerating growth and profitability
Revenue growth re-accelerated while operating and net margins expanded sharply, indicating stronger earnings conversion in the latest period. If sustained, this combination can improve internal funding capacity and support continued investment in the business over the next several quarters.
Negative Factors
Gross-margin compression
The substantial decline in gross margin indicates that pricing, product mix, or cost conditions have become less favorable than in earlier periods. If the lower margin persists, it could constrain incremental operating leverage and make future profit growth more dependent on revenue expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Re-accelerating growth and profitability
Revenue growth re-accelerated while operating and net margins expanded sharply, indicating stronger earnings conversion in the latest period. If sustained, this combination can improve internal funding capacity and support continued investment in the business over the next several quarters.
Read all positive factors

Ridge-i Inc. (5572) vs. iShares MSCI Japan ETF (EWJ)

Ridge-i Inc. Business Overview & Revenue Model

Company Description
Ridge-i Inc. engages in the consulting and development of artificial intelligence (AI) and deep learning technologies. The company offers AI utilization consulting and AI development, satellite data AI analysis, data & analytics, generative AI con...

Ridge-i Inc. Financial Statement Overview

Summary
Strong latest-year improvement with revenue growth re-accelerating (~14.1%) and sharply higher profitability (net margin ~13.6%, operating margin ~18.3%), supported by an exceptionally low-leverage balance sheet (debt-to-equity ~0.01). Offsets include a step-down in gross margin (~55% vs prior mid-60% range) and a historically volatile cash-flow track record despite strong recent conversion.
Income Statement
78
Positive
Balance Sheet
90
Very Positive
Cash Flow
74
Positive
BreakdownJul 2026Jul 2025Jul 2024Jul 2023Jul 2022
Income Statement
Total Revenue2.99B2.59B1.07B790.38M968.52M
Gross Profit1.65B1.33B735.61M513.70M602.24M
EBITDA609.74M367.85M171.49M83.97M88.45M
Net Income407.55M139.63M121.70M44.56M150.06M
Balance Sheet
Total Assets4.48B2.86B2.36B2.06B1.56B
Cash, Cash Equivalents and Short-Term Investments3.56B1.83B1.37B1.72B1.38B
Total Debt40.00M0.000.000.000.00
Total Liabilities733.83M398.47M225.66M73.18M147.63M
Stockholders Equity3.72B2.20B2.14B1.99B1.41B
Cash Flow
Free Cash Flow551.55M7.63M342.58M-148.68M173.61M
Operating Cash Flow562.01M51.32M348.62M-145.76M178.19M
Investing Cash Flow-1.07B-53.14M-723.02M-38.26M-4.58M
Financing Cash Flow998.26M-286.32M24.42M521.65M-2.84M

Ridge-i Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1986.00
Price Trends
50DMA
2710.44
Positive
100DMA
2663.31
Positive
200DMA
2406.07
Positive
Market Momentum
MACD
62.64
Positive
RSI
60.85
Neutral
STOCH
47.80
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5572, the sentiment is Positive. The current price of 1986 is below the 20-day moving average (MA) of 2909.20, below the 50-day MA of 2710.44, and below the 200-day MA of 2406.07, indicating a bullish trend. The MACD of 62.64 indicates Positive momentum. The RSI at 60.85 is Neutral, neither overbought nor oversold. The STOCH value of 47.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5572.

Ridge-i Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
¥13.55B33.22――15.44%164.41%
63
Neutral
¥15.00B30.91――8.50%―
63
Neutral
¥14.63B58.55――34.57%80.99%
60
Neutral
¥38.14B82.07――22.56%―
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
43
Neutral
¥16.47B-568.20――75.12%97.01%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:5572
Ridge-i Inc.
3,120.00
313.00
11.15%
JP:4375
Safie Inc.
683.00
-227.00
-24.95%
JP:4382
HEROZ, Inc.
843.00
-253.00
-23.08%
JP:4425
Kudan, Inc.
1,454.00
415.00
39.94%
JP:5586
Laboro.AI, Inc.
916.00
-106.00
-10.37%
JP:334A
Visual Processing Japan Co.,Ltd
1,110.00
288.20
35.07%
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: Sep 19, 2026