Branding Technology, Inc. (7067) AI Stock Analysis

• Market Cap: ¥1.58B
• Dividend Yield: 1%
• Average Volume (3M): 5.50K
• Price to Earnings (P/E): 27.5
• Beta (1Y): 0.82
• Revenue Growth: 11.28%
• EPS Growth: 275.99%
• Country: JP
• Employees: 230
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): -5.92
• Shares Outstanding: 1,601,615
• 10 Day Avg. Volume: 3,010
• 30 Day Avg. Volume: 5,496
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥1,085.00
• Price Target Upside: 7.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 66 Neutral
• Price Target: ¥1,085.00 ▲(7.96% Upside)

Branding Technology, Inc. has a solid financial foundation with strong revenue growth and improving profitability. However, technical indicators suggest bearish momentum, and the stock's valuation appears high relative to its earnings. The lack of earnings call data and notable corporate events limits further insights.

Branding Technology, Inc. Business Overview & Revenue Model

Company Description

Branding Technology Inc. engages in the brand, digital marketing, and offshore related businesses in Japan. It offers brand, Website, advertising operation, SNS operation, SEO/MEO, and DX consulting services; website, recruitment site, video, article content, and logo and sales tool production services, as well as Web system construction; and listing advertisement, display/DSP/article advertisement, SNS/video ads, content SEO, email magazine planning and production, and posting/flyer advertisement services. The company was incorporated in 2001 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Branding Technology, Inc. generates revenue through multiple streams, primarily from software licensing, subscription services, and consulting fees. The company charges clients for access to its proprietary branding and marketing platforms, which are available on a subscription basis. Additional revenue is generated from one-time implementation fees for custom solutions and ongoing maintenance contracts. Significant partnerships with advertising agencies and marketing firms also contribute to revenue, as these collaborations allow Branding Technology to expand its client base and enhance service offerings. The company's focus on delivering value through data analytics and performance metrics further supports its business model, driving customer retention and increasing lifetime value.

Branding Technology, Inc. Financial Statement Overview

Summary

Branding Technology, Inc. exhibits solid financial health with strong revenue growth and improving profitability margins. The balance sheet is stable with low leverage, although return on equity could be enhanced. Cash flow improvements are notable, yet historical fluctuations pose a risk. Overall, the company is on a positive financial trajectory, with opportunities for further strengthening its financial performance.

Income Statement

Branding Technology, Inc. has demonstrated strong revenue growth with a 9.15% increase from 2024 to 2025. The gross profit margin is healthy at 23.65%, and the net profit margin improved significantly to 1.53% in 2025, indicating enhanced profitability. EBIT and EBITDA margins also show positive trends, reflecting operational efficiency improvements.

Balance Sheet

The company maintains a robust equity position with an equity ratio of 56.94%. The debt-to-equity ratio is low at 0.18, suggesting conservative leverage. However, the return on equity is modest at 6.49%, indicating room for improvement in generating returns for shareholders.

Cash Flow

Free cash flow has improved significantly, transitioning from negative to positive in 2025, reflecting better cash management. The operating cash flow to net income ratio is 0.69, indicating reasonable cash conversion. However, historical volatility in cash flows suggests potential risks in cash generation consistency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.03B	5.03B	4.61B	5.16B	4.94B	4.42B
Gross Profit	1.19B	1.19B	1.11B	1.18B	1.18B	991.84M
EBITDA	137.73M	144.50M	58.16M	153.53M	127.61M	3.59M
Net Income	77.02M	76.95M	3.30M	79.85M	81.92M	-42.10M
Balance Sheet
Total Assets	2.08B	2.08B	1.95B	2.16B	2.39B	2.32B
Cash, Cash Equivalents and Short-Term Investments	1.20B	1.20B	1.13B	1.32B	1.54B	1.53B
Total Debt	215.02M	215.02M	116.68M	223.37M	386.69M	490.01M
Total Liabilities	890.11M	890.11M	756.36M	948.08M	1.25B	1.27B
Stockholders Equity	1.19B	1.19B	1.19B	1.21B	1.14B	1.05B
Cash Flow
Free Cash Flow	0.00	48.42M	-56.95M	-42.94M	103.12M	61.48M
Operating Cash Flow	0.00	53.04M	-46.70M	-9.20M	131.60M	80.52M
Investing Cash Flow	0.00	-4.62M	-9.66M	-31.32M	-24.61M	61.22M
Financing Cash Flow	0.00	25.49M	-132.00M	-179.86M	-100.20M	476.82M

Branding Technology, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1005.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7067, the sentiment is Positive. The current price of 1005 is below the 20-day moving average (MA) of 1009.55, below the 50-day MA of 1038.42, and above the 200-day MA of 956.86, indicating a neutral trend. The MACD of -9.06 indicates Negative momentum. The RSI at 47.35 is Neutral, neither overbought nor oversold. The STOCH value of 32.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7067.

Branding Technology, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9254	72 Outperform	1.72B	13.70	26.83%	―	0.00%	0.00%
7067	66 Neutral	¥1.58B	27.47		1.00%	11.28%	275.99%
2156	57 Neutral	1.54B	32.04	1.34%	1.63%	3.51%	0.00%
7357	52 Neutral	3.41B	281.09	1.43%	2.62%	4.86%	-49.46%
9241	48 Neutral	2.36B	116.25	0.99%	―	-0.09%	0.00%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%