Buy Or Sell Opportunity • Jun 04
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 2.5% to JP¥5,800. The fair value is estimated to be JP¥4,777, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 8.7% over the last 3 years. Earnings per share has grown by 33%. For the next 3 years, revenue is forecast to grow by 12% per annum. Earnings are also forecast to grow by 21% per annum over the same time period. Announcement • Jun 03
GMO Financial Gate, Inc. to Report Q3, 2026 Results on Aug 14, 2026 GMO Financial Gate, Inc. announced that they will report Q3, 2026 results on Aug 14, 2026 Reported Earnings • May 20
Second quarter 2026 earnings: EPS and revenues exceed analyst expectations Second quarter 2026 results: EPS: JP¥48.96 (down from JP¥52.23 in 2Q 2025). Revenue: JP¥5.57b (up 25% from 2Q 2025). Net income: JP¥404.2m (down 6.3% from 2Q 2025). Profit margin: 7.3% (down from 9.7% in 2Q 2025). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 22%. Earnings per share (EPS) also surpassed analyst estimates by 18%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, while revenues in the Diversified Financial industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has fallen by 17% per year, which means it is significantly lagging earnings. Buy Or Sell Opportunity • May 20
Now 23% overvalued after recent price rise Over the last 90 days, the stock has risen 14% to JP¥5,880. The fair value is estimated to be JP¥4,771, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 8.7% over the last 3 years. Earnings per share has grown by 33%. For the next 3 years, revenue is forecast to grow by 12% per annum. Earnings are also forecast to grow by 21% per annum over the same time period. Buy Or Sell Opportunity • Mar 06
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 10% to JP¥5,630. The fair value is estimated to be JP¥4,655, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 37%. For the next 3 years, revenue is forecast to grow by 12% per annum. Earnings are also forecast to grow by 19% per annum over the same time period. Reported Earnings • Feb 15
First quarter 2026 earnings: EPS and revenues exceed analyst expectations First quarter 2026 results: EPS: JP¥78.11 (up from JP¥72.71 in 1Q 2025). Revenue: JP¥4.94b (up 7.8% from 1Q 2025). Net income: JP¥644.8m (up 7.0% from 1Q 2025). Profit margin: 13% (in line with 1Q 2025). Revenue exceeded analyst estimates by 14%. Earnings per share (EPS) also surpassed analyst estimates by 2.0%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, while revenues in the Diversified Financial industry in Japan are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has fallen by 17% per year, which means it is significantly lagging earnings. Buy Or Sell Opportunity • Jan 23
Now 20% overvalued Over the last 90 days, the stock has fallen 19% to JP¥5,070. The fair value is estimated to be JP¥4,222, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 16% over the last 3 years. Earnings per share has grown by 39%. For the next 3 years, revenue is forecast to grow by 12% per annum. Earnings are also forecast to grow by 19% per annum over the same time period. Buy Or Sell Opportunity • Jan 06
Now 22% overvalued Over the last 90 days, the stock has fallen 18% to JP¥5,150. The fair value is estimated to be JP¥4,208, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 16% over the last 3 years. Earnings per share has grown by 39%. For the next 3 years, revenue is forecast to grow by 12% per annum. Earnings are also forecast to grow by 19% per annum over the same time period. Buy Or Sell Opportunity • Dec 12
Now 22% overvalued Over the last 90 days, the stock has fallen 21% to JP¥4,940. The fair value is estimated to be JP¥4,066, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 16% over the last 3 years. Earnings per share has grown by 39%. For the next 3 years, revenue is forecast to grow by 13% per annum. Earnings are also forecast to grow by 19% per annum over the same time period. Announcement • Dec 09
GMO Financial Gate, Inc. to Report Q1, 2026 Results on Feb 12, 2026 GMO Financial Gate, Inc. announced that they will report Q1, 2026 results on Feb 12, 2026 New Risk • Nov 19
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. Cash payout ratio: 274% Dividend yield: 2.4% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (36% accrual ratio). Minor Risk Dividend is not well covered by cash flows (274% cash payout ratio). Reported Earnings • Nov 16
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: JP¥197 (up from JP¥122 in FY 2024). Revenue: JP¥17.9b (down 4.2% from FY 2024). Net income: JP¥1.63b (up 61% from FY 2024). Profit margin: 9.1% (up from 5.4% in FY 2024). The increase in margin was driven by lower expenses. Revenue exceeded analyst estimates by 1.4%. Earnings per share (EPS) also surpassed analyst estimates by 9.4%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 1.6% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 39% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Announcement • Nov 13
GMO Financial Gate, Inc., Annual General Meeting, Dec 14, 2025 GMO Financial Gate, Inc., Annual General Meeting, Dec 14, 2025. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥90.00 per share Eligible shareholders must have bought the stock before 29 September 2025. Payment date: 17 December 2025. Payout ratio is a comfortable 37% and this is well supported by cash flows. Trailing yield: 1.4%. Lower than top quartile of Japanese dividend payers (3.6%). Lower than average of industry peers (3.2%). Announcement • Sep 02
GMO Financial Gate, Inc. to Report Fiscal Year 2025 Results on Nov 13, 2025 GMO Financial Gate, Inc. announced that they will report fiscal year 2025 results on Nov 13, 2025 Valuation Update With 7 Day Price Move • Aug 18
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥5,890, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 13x in the Diversified Financial industry in Japan. Total loss to shareholders of 29% over the past three years. Reported Earnings • Aug 09
Third quarter 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Third quarter 2025 results: EPS: JP¥38.40 (up from JP¥26.14 in 3Q 2024). Revenue: JP¥4.15b (down 12% from 3Q 2024). Net income: JP¥317.0m (up 46% from 3Q 2024). Profit margin: 7.6% (up from 4.6% in 3Q 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 11%. Earnings per share (EPS) exceeded analyst estimates by 1.7%. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has fallen by 16% per year, which means it is significantly lagging earnings. Announcement • Jun 27
GMO Financial Gate, Inc. to Report Q3, 2025 Results on Aug 08, 2025 GMO Financial Gate, Inc. announced that they will report Q3, 2025 results on Aug 08, 2025 Valuation Update With 7 Day Price Move • May 29
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥5,340, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 11x in the Diversified Financial industry in Japan. Total loss to shareholders of 16% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥3,031 per share. Reported Earnings • May 18
Second quarter 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2025 results: EPS: JP¥52.23 (up from JP¥31.44 in 2Q 2024). Revenue: JP¥4.46b (down 6.0% from 2Q 2024). Net income: JP¥431.2m (up 65% from 2Q 2024). Profit margin: 9.7% (up from 5.5% in 2Q 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 6.9%. Earnings per share (EPS) exceeded analyst estimates by 21%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 6.9% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. New Risk • May 16
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 7.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Declared Dividend • May 16
Dividend of JP¥80.00 announced Shareholders will receive a dividend of JP¥80.00. Ex-date: 29th September 2025 Payment date: 17th December 2025 Dividend yield will be 1.7%, which is lower than the industry average of 3.1%. Sustainability & Growth Dividend is covered by both earnings (40% earnings payout ratio) and cash flows (51% cash payout ratio). The dividend has increased by an average of 41% per year over the past 4 years and payments have been stable during that time. EPS is expected to grow by 80% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to JP¥4,430, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 10x in the Diversified Financial industry in Japan. Total loss to shareholders of 42% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥2,940 per share. Price Target Changed • Mar 10
Price target decreased by 7.9% to JP¥8,500 Down from JP¥9,230, the current price target is an average from 3 analysts. New target price is 68% above last closing price of JP¥5,060. Stock is down 43% over the past year. The company is forecast to post earnings per share of JP¥167 for next year compared to JP¥122 last year. Announcement • Mar 01
GMO Financial Gate, Inc. to Report Q2, 2025 Results on May 14, 2025 GMO Financial Gate, Inc. announced that they will report Q2, 2025 results on May 14, 2025 Reported Earnings • Feb 14
First quarter 2025 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2025 results: EPS: JP¥72.61 (up from JP¥35.00 in 1Q 2024). Revenue: JP¥4.58b (up 2.0% from 1Q 2024). Net income: JP¥602.0m (up 108% from 1Q 2024). Profit margin: 13% (up from 6.5% in 1Q 2024). The increase in margin was primarily driven by lower expenses. Revenue missed analyst estimates by 4.7%. Earnings per share (EPS) exceeded analyst estimates by 92%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Jan 03
GMO Financial Gate, Inc. to Report Q1, 2025 Results on Feb 12, 2025 GMO Financial Gate, Inc. announced that they will report Q1, 2025 results on Feb 12, 2025 Major Estimate Revision • Dec 05
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from JP¥22.3b to JP¥21.9b. EPS estimate also fell from JP¥197 per share to JP¥170 per share. Net income forecast to grow 34% next year vs 12% growth forecast for Diversified Financial industry in Japan. Consensus price target of JP¥9,230 unchanged from last update. Share price rose 2.2% to JP¥7,390 over the past week. Announcement • Nov 19
GMO Financial Gate, Inc. (TSE:4051) announces an Equity Buyback for 74,000 shares, representing 0.89% for ¥500 million. GMO Financial Gate, Inc. (TSE:4051) announces a share repurchase program. Under the program, the company will repurchase up to 74,000 shares, representing 0.89% of its issued share capital, for ¥500 million. The purpose of the program is to enable the implementation of a flexible capital policy in response to changes in the business environment and as part of shareholder returns. The program is valid till December 30, 2024. As of September 30, 2024, there are 8,339,070 outstanding shares and 410 shares in treasury. New Risk • Nov 18
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 7.6% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Reported Earnings • Nov 16
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: JP¥119 (up from JP¥90.20 in FY 2023). Revenue: JP¥18.7b (up 18% from FY 2023). Net income: JP¥986.0m (up 32% from FY 2023). Profit margin: 5.3% (up from 4.7% in FY 2023). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 4.0%. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has fallen by 25% per year, which means it is significantly lagging earnings. Announcement • Nov 12
GMO Financial Gate, Inc., Annual General Meeting, Dec 15, 2024 GMO Financial Gate, Inc., Annual General Meeting, Dec 15, 2024. Upcoming Dividend • Sep 20
Upcoming dividend of JP¥52.00 per share Eligible shareholders must have bought the stock before 27 September 2024. Payment date: 19 December 2024. Payout ratio is a comfortable 42% and this is well supported by cash flows. Trailing yield: 0.6%. Lower than top quartile of Japanese dividend payers (3.8%). Lower than average of industry peers (3.0%). Announcement • Aug 29
GMO Financial Gate, Inc. to Report Fiscal Year 2024 Results on Nov 12, 2024 GMO Financial Gate, Inc. announced that they will report fiscal year 2024 results on Nov 12, 2024 Valuation Update With 7 Day Price Move • Aug 26
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥7,260, the stock trades at a forward P/E ratio of 54x. Average forward P/E is 11x in the Diversified Financial industry in Japan. Total loss to shareholders of 23% over the past three years. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 22% After last week's 22% share price decline to JP¥5,480, the stock trades at a forward P/E ratio of 41x. Average forward P/E is 11x in the Diversified Financial industry in Japan. Total loss to shareholders of 40% over the past three years. Valuation Update With 7 Day Price Move • Jul 17
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥7,620, the stock trades at a forward P/E ratio of 57x. Average forward P/E is 13x in the Diversified Financial industry in Japan. Total loss to shareholders of 23% over the past three years. Announcement • Jun 28
GMO Financial Gate, Inc. to Report Q3, 2024 Results on Aug 08, 2024 GMO Financial Gate, Inc. announced that they will report Q3, 2024 results on Aug 08, 2024 Valuation Update With 7 Day Price Move • May 23
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to JP¥6,470, the stock trades at a forward P/E ratio of 48x. Average forward P/E is 12x in the Diversified Financial industry in Japan. Total loss to shareholders of 26% over the past three years. Reported Earnings • May 12
Second quarter 2024 earnings: EPS and revenues exceed analyst expectations Second quarter 2024 results: EPS: JP¥31.44 (up from JP¥27.09 in 2Q 2023). Revenue: JP¥4.75b (up 19% from 2Q 2023). Net income: JP¥261.0m (up 17% from 2Q 2023). Profit margin: 5.5% (down from 5.6% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 25%. Earnings per share (EPS) also surpassed analyst estimates by 21%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Declared Dividend • May 12
Dividend increased to JP¥52.00 Dividend of JP¥52.00 is 13% higher than last year. Ex-date: 27th September 2024 Payment date: 19th December 2024 Dividend yield will be 0.7%, which is lower than the industry average of 3.1%. Payout Ratios Payout ratio: 42%. Cash payout ratio: 105%. Board Change • Mar 28
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 3 were independent directors. The company's board is composed of: 4 independent directors. 5 non-independent directors. Independent Outside Director Satoshi Ozawa was the last independent director to join the board, commencing their role in 2023. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Announcement • Feb 24
GMO Financial Gate, Inc. to Report Q2, 2024 Results on May 10, 2024 GMO Financial Gate, Inc. announced that they will report Q2, 2024 results on May 10, 2024 Reported Earnings • Feb 14
First quarter 2024 earnings: EPS and revenues exceed analyst expectations First quarter 2024 results: EPS: JP¥35.00 (up from JP¥20.63 in 1Q 2023). Revenue: JP¥4.50b (up 38% from 1Q 2023). Net income: JP¥290.0m (up 71% from 1Q 2023). Profit margin: 6.5% (up from 5.2% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 23%. Earnings per share (EPS) also surpassed analyst estimates by 89%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 7.4% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Announcement • Jan 05
GMO Financial Gate, Inc. Common Stock to Be Deleted from OTC Equity GMO Financial Gate, Inc. Common Stock (Japan) will be deleted from OTC Equity effective January 04, 2024, due to Inactive Security. Announcement • Dec 20
GMO Financial Gate, Inc. to Report Q1, 2024 Results on Feb 13, 2024 GMO Financial Gate, Inc. announced that they will report Q1, 2024 results on Feb 13, 2024 Reported Earnings • Nov 15
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: JP¥90.20 (up from JP¥57.25 in FY 2022). Revenue: JP¥15.9b (up 55% from FY 2022). Net income: JP¥746.0m (up 58% from FY 2022). Profit margin: 4.7% (up from 4.6% in FY 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 5.3%. Earnings per share (EPS) also surpassed analyst estimates by 9.2%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Announcement • Nov 13
GMO Financial Gate, Inc., Annual General Meeting, Dec 17, 2023 GMO Financial Gate, Inc., Annual General Meeting, Dec 17, 2023. New Risk • Nov 01
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 7.4% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Upcoming Dividend • Sep 21
Upcoming dividend of JP¥39.00 per share at 0.4% yield Eligible shareholders must have bought the stock before 28 September 2023. Payment date: 19 December 2023. Payout ratio is a comfortable 33% but the company is not cash flow positive. Trailing yield: 0.4%. Lower than top quartile of Japanese dividend payers (3.3%). Lower than average of industry peers (2.9%). Announcement • Sep 08
GMO Financial Gate, Inc. to Report Fiscal Year 2023 Results on Nov 13, 2023 GMO Financial Gate, Inc. announced that they will report fiscal year 2023 results on Nov 13, 2023 Price Target Changed • Aug 26
Price target increased by 13% to JP¥10,808 Up from JP¥9,588, the current price target is an average from 4 analysts. New target price is 5.3% above last closing price of JP¥10,260. Stock is up 30% over the past year. The company is forecast to post earnings per share of JP¥78.96 for next year compared to JP¥57.25 last year. Reported Earnings • Aug 10
Third quarter 2023 earnings: EPS and revenues exceed analyst expectations Third quarter 2023 results: EPS: JP¥26.43 (up from JP¥15.01 in 3Q 2022). Revenue: JP¥4.74b (up 59% from 3Q 2022). Net income: JP¥219.0m (up 77% from 3Q 2022). Profit margin: 4.6% (up from 4.2% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 33%. Earnings per share (EPS) also surpassed analyst estimates by 50%. Revenue is forecast to grow 9.5% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Diversified Financial industry in Japan. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has increased by 39% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • May 15
Second quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2023 results: EPS: JP¥27.09 (up from JP¥11.65 in 2Q 2022). Revenue: JP¥4.00b (up 72% from 2Q 2022). Net income: JP¥224.0m (up 133% from 2Q 2022). Profit margin: 5.6% (up from 4.1% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 32%. Earnings per share (EPS) missed analyst estimates by 62%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 7.3% growth forecast for the Diversified Financial industry in Japan. Reported Earnings • Feb 14
First quarter 2023 earnings: EPS and revenues exceed analyst expectations First quarter 2023 results: EPS: JP¥41.25 (up from JP¥16.80 in 1Q 2022). Revenue: JP¥3.27b (up 53% from 1Q 2022). Net income: JP¥170.0m (up 23% from 1Q 2022). Profit margin: 5.2% (down from 6.4% in 1Q 2022). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 9.3%. Earnings per share (EPS) also surpassed analyst estimates by 24%. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the IT industry in Japan. Announcement • Jan 18
GMO Financial Gate, Inc. to Report Q1, 2023 Results on Feb 13, 2023 GMO Financial Gate, Inc. announced that they will report Q1, 2023 results on Feb 13, 2023 Price Target Changed • Jan 13
Price target decreased to JP¥7,844 Down from JP¥8,975, the current price target is an average from 4 analysts. New target price is approximately in line with last closing price of JP¥8,220. Stock is down 16% over the past year. The company is forecast to post earnings per share of JP¥73.27 for next year compared to JP¥57.25 last year. Reported Earnings • Nov 16
Full year 2022 earnings: EPS in line with analyst expectations despite revenue beat Full year 2022 results: EPS: JP¥115 (up from JP¥102 in FY 2021). Revenue: JP¥10.3b (up 45% from FY 2021). Net income: JP¥472.0m (up 15% from FY 2021). Profit margin: 4.6% (down from 5.8% in FY 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 3.2%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the IT industry in Japan. Board Change • Nov 16
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 9 experienced directors. No highly experienced directors. 2 independent directors (5 non-independent directors). GM of System Division & Director Tomohisa Fukuda was the last director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Announcement • Nov 14
GMO Financial Gate, Inc., Annual General Meeting, Dec 16, 2022 GMO Financial Gate, Inc., Annual General Meeting, Dec 16, 2022. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥57.00 per share Eligible shareholders must have bought the stock before 29 September 2022. Payment date: 20 December 2022. Payout ratio is a comfortable 46% but the company is not cash flow positive. Trailing yield: 0.4%. Lower than top quartile of Japanese dividend payers (3.7%). Lower than average of industry peers (1.7%). Announcement • Sep 01
GMO Financial Gate, Inc. to Report Fiscal Year 2022 Results on Nov 14, 2022 GMO Financial Gate, Inc. announced that they will report fiscal year 2022 results on Nov 14, 2022 Major Estimate Revision • Aug 27
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast increased from JP¥8.85b to JP¥10.0b. EPS estimate fell from JP¥124 to JP¥115. Net income forecast to grow 25% next year vs 15% growth forecast for IT industry in Japan. Consensus price target down from JP¥19,483 to JP¥16,583. Share price fell 9.9% to JP¥15,750 over the past week. Price Target Changed • Aug 26
Price target decreased to JP¥16,583 Down from JP¥19,750, the current price target is an average from 3 analysts. New target price is 5.3% above last closing price of JP¥15,750. Stock is down 15% over the past year. The company is forecast to post earnings per share of JP¥115 for next year compared to JP¥102 last year. Buying Opportunity • Aug 26
Now 20% undervalued Over the last 90 days, the stock is up 19%. The fair value is estimated to be JP¥19,764, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 48% over the last 3 years. Earnings per share has grown by 31%. For the next 3 years, revenue is forecast to grow by 14% per annum. Earnings is also forecast to grow by 30% per annum over the same time period. Reported Earnings • Aug 10
Third quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2022 results: EPS: JP¥30.02 (up from JP¥24.49 in 3Q 2021). Revenue: JP¥2.98b (up 47% from 3Q 2021). Net income: JP¥124.0m (up 24% from 3Q 2021). Profit margin: 4.2% (down from 4.9% in 3Q 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 23%. Earnings per share (EPS) missed analyst estimates by 8.7%. Over the next year, revenue is forecast to grow 4.5%, compared to a 11% growth forecast for the industry in Japan. Buying Opportunity • Jul 01
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 22%. The fair value is estimated to be JP¥15,403, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 96% over the last year. Earnings per share has grown by 34%. For the next 3 years, revenue is forecast to grow by 14% per annum. Earnings is also forecast to grow by 30% per annum over the same time period. Buying Opportunity • Jun 13
Now 29% undervalued after recent price drop Over the last 90 days, the stock is down 16%. The fair value is estimated to be JP¥14,508, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 96% over the last year. Earnings per share has grown by 34%. For the next 3 years, revenue is forecast to grow by 14% per annum. Earnings is also forecast to grow by 30% per annum over the same time period. Announcement • May 29
GMO Financial Gate, Inc. to Report Q3, 2022 Results on Aug 08, 2022 GMO Financial Gate, Inc. announced that they will report Q3, 2022 results on Aug 08, 2022 Reported Earnings • May 15
Second quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2022 results: EPS: JP¥23.29 (down from JP¥25.17 in 2Q 2021). Revenue: JP¥2.33b (up 52% from 2Q 2021). Net income: JP¥96.0m (down 5.0% from 2Q 2021). Profit margin: 4.1% (down from 6.6% in 2Q 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) missed analyst estimates by 26%. Over the next year, revenue is forecast to grow 6.9%, compared to a 8.2% growth forecast for the industry in Japan. Price Target Changed • Apr 27
Price target decreased to JP¥19,750 Down from JP¥26,437, the current price target is an average from 3 analysts. New target price is 53% above last closing price of JP¥12,930. Stock is down 30% over the past year. The company is forecast to post earnings per share of JP¥128 for next year compared to JP¥102 last year. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 6 non-independent directors. GM of System Division & Director Tomohisa Fukuda was the last director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Feb 27
GMO Financial Gate, Inc. to Report Q2, 2022 Results on May 12, 2022 GMO Financial Gate, Inc. announced that they will report Q2, 2022 results on May 12, 2022 Reported Earnings • Feb 12
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2022 results: EPS: JP¥33.61 (up from JP¥27.86 in 1Q 2021). Revenue: JP¥2.14b (up 67% from 1Q 2021). Net income: JP¥138.0m (up 26% from 1Q 2021). Profit margin: 6.4% (down from 8.6% in 1Q 2021). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 1.5%. Earnings per share (EPS) exceeded analyst estimates by 14%. Over the next year, revenue is forecast to grow 15%, compared to a 7.3% growth forecast for the industry in Japan. Price Target Changed • Jan 28
Price target decreased to JP¥26,437 Down from JP¥30,103, the current price target is an average from 3 analysts. New target price is 76% above last closing price of JP¥15,030. Stock is down 23% over the past year. The company is forecast to post earnings per share of JP¥128 for next year compared to JP¥102 last year. Price Target Changed • Nov 18
Price target increased to JP¥30,103 Up from JP¥23,835, the current price target is an average from 4 analysts. New target price is 6.4% below last closing price of JP¥32,150. Stock is up 80% over the past year. The company is forecast to post earnings per share of JP¥136 for next year compared to JP¥102 last year. Reported Earnings • Nov 13
Full year 2021 earnings released: EPS JP¥102 (vs JP¥79.61 in FY 2020) The company reported a solid full year result with improved earnings and revenues, although profit margins were weaker. Full year 2021 results: Revenue: JP¥7.09b (up 92% from FY 2020). Net income: JP¥411.0m (up 41% from FY 2020). Profit margin: 5.8% (down from 7.9% in FY 2020). The decrease in margin was driven by higher expenses. Upcoming Dividend • Sep 22
Upcoming dividend of JP¥47.00 per share Eligible shareholders must have bought the stock before 29 September 2021. Payment date: 21 December 2021. Trailing yield: 0.2%. Lower than top quartile of Japanese dividend payers (3.0%). Lower than average of industry peers (1.2%). Reported Earnings • Aug 12
Third quarter 2021 earnings released: EPS JP¥24.49 (vs JP¥13.82 in 3Q 2020) The company reported a solid third quarter result with improved earnings and revenues, although profit margins were weaker. Third quarter 2021 results: Revenue: JP¥2.02b (up 136% from 3Q 2020). Net income: JP¥100.0m (up 89% from 3Q 2020). Profit margin: 4.9% (down from 6.2% in 3Q 2020). The decrease in margin was driven by higher expenses. Announcement • Mar 06
GMO Financial Gate, Inc. to Report Q2, 2021 Results on May 12, 2021 GMO Financial Gate, Inc. announced that they will report Q2, 2021 results on May 12, 2021 Is New 90 Day High Low • Feb 12
New 90-day high: JP¥25,530 The company is up 49% from its price of JP¥17,100 on 13 November 2020. The Japanese market is up 13% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥865 per share. Analyst Estimate Surprise Post Earnings • Feb 12
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 13%. Earnings per share (EPS) also surpassed analyst estimates by 10%. Over the next year, revenue is forecast to grow 33%, compared to a 8.4% growth forecast for the IT industry in Japan.