Buy Or Sell Opportunity • Mar 19
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 18% to JP¥1,916. The fair value is estimated to be JP¥2,428, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 59%. Revenue is forecast to grow by 1.9% in 2 years. Earnings are forecast to decline by 0.9% in the next 2 years. Buy Or Sell Opportunity • Mar 02
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 10% to JP¥2,019. The fair value is estimated to be JP¥2,525, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 59%. Revenue is forecast to decline by 0.8% in a year. Earnings are forecast to decline by 22% in the next year. Buy Or Sell Opportunity • Feb 14
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 7.8% to JP¥2,038. The fair value is estimated to be JP¥2,570, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 59%. Revenue is forecast to decline by 0.8% in a year. Earnings are forecast to decline by 22% in the next year. Reported Earnings • Feb 11
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: JP¥169 (up from JP¥112 in FY 2024). Revenue: JP¥11.0b (flat on FY 2024). Net income: JP¥878.0m (up 49% from FY 2024). Profit margin: 8.0% (up from 5.4% in FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 3.9%. Over the last 3 years on average, earnings per share has increased by 59% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Announcement • Feb 10
GMO Pepabo, Inc., Annual General Meeting, Mar 18, 2026 GMO Pepabo, Inc., Annual General Meeting, Mar 18, 2026. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥105 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 23 March 2026. Payout ratio is a comfortable 37% and this is well supported by cash flows. Trailing yield: 2.8%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.2%). Reported Earnings • Nov 15
Third quarter 2025 earnings released: EPS: JP¥69.96 (vs JP¥42.83 in 3Q 2024) Third quarter 2025 results: EPS: JP¥69.96 (up from JP¥42.83 in 3Q 2024). Revenue: JP¥2.72b (flat on 3Q 2024). Net income: JP¥362.0m (up 60% from 3Q 2024). Profit margin: 13% (up from 8.2% in 3Q 2024). Revenue is forecast to stay flat during the next 2 years compared to a 5.3% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 38% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Declared Dividend • Nov 14
Dividend of JP¥105 announced Shareholders will receive a dividend of JP¥105. Ex-date: 29th December 2025 Payment date: 23rd March 2026 Dividend yield will be 4.8%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (45% earnings payout ratio) and cash flows (27% cash payout ratio). The dividend has increased by an average of 7.1% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to decline by 1.7% over the next year. However, it would need to fall by 50% to increase the payout ratio to a potentially unsustainable range. Announcement • Nov 05
GMO Pepabo, Inc. to Report Q3, 2025 Results on Nov 12, 2025 GMO Pepabo, Inc. announced that they will report Q3, 2025 results on Nov 12, 2025 New Risk • Sep 17
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 7.4% 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. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 3.1% per year for the foreseeable future. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.4% average weekly change). Market cap is less than US$100m (JP¥10.8b market cap, or US$73.9m). Valuation Update With 7 Day Price Move • Sep 17
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to JP¥2,079, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 20x in the IT industry in Japan. Total returns to shareholders of 22% over the past three years. Reported Earnings • Aug 08
Second quarter 2025 earnings released: EPS: JP¥30.62 (vs JP¥32.41 in 2Q 2024) Second quarter 2025 results: EPS: JP¥30.62 (down from JP¥32.41 in 2Q 2024). Revenue: JP¥2.79b (up 2.8% from 2Q 2024). Net income: JP¥160.0m (down 6.4% from 2Q 2024). Profit margin: 5.7% (down from 6.3% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.9% p.a. on average during the next 2 years, compared to a 5.3% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Jun 29
GMO Pepabo, Inc. to Report Q2, 2025 Results on Aug 07, 2025 GMO Pepabo, Inc. announced that they will report Q2, 2025 results on Aug 07, 2025 Reported Earnings • May 15
First quarter 2025 earnings released: EPS: JP¥44.95 (vs JP¥29.18 in 1Q 2024) First quarter 2025 results: EPS: JP¥44.95 (up from JP¥29.18 in 1Q 2024). Revenue: JP¥2.75b (up 3.7% from 1Q 2024). Net income: JP¥237.0m (up 54% from 1Q 2024). Profit margin: 8.6% (up from 5.8% in 1Q 2024). Revenue is forecast to grow 3.1% p.a. on average during the next 2 years, compared to a 5.8% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has fallen by 5% per year whereas the company’s share price has fallen by 9% per year. Announcement • Apr 01
GMO Pepabo, Inc. to Report Q1, 2025 Results on May 13, 2025 GMO Pepabo, Inc. announced that they will report Q1, 2025 results on May 13, 2025 Reported Earnings • Mar 26
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: JP¥112 (up from JP¥119 loss in FY 2023). Revenue: JP¥10.9b (flat on FY 2023). Net income: JP¥591.0m (up JP¥1.22b from FY 2023). Profit margin: 5.4% (up from net loss in FY 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 1.3%. Revenue is forecast to grow 3.2% p.a. on average during the next 2 years, compared to a 5.7% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 14% per year, which means it has not declined as severely as earnings. Announcement • Feb 17
GMO Pepabo, Inc. (TSE:3633) announces an Equity Buyback for 150,000 shares, representing 2.84% for ¥180 million. GMO Pepabo, Inc. (TSE:3633) announces a share repurchase program. Under the program, the company will repurchase 150,000 shares, representing 2.84% of the outstanding shares for ¥180 million. The purpose of the program is to enable the execution of flexible capital policies in response to changes in the business environment as part of company's shareholder return policy. The program will run until December 31, 2025. As of December 31, 2024, the company had 5,276,951 shares outstanding and 191,749 shares in treasury. Reported Earnings • Feb 07
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: JP¥112 (up from JP¥119 loss in FY 2023). Revenue: JP¥10.9b (flat on FY 2023). Net income: JP¥591.0m (up JP¥1.22b from FY 2023). Profit margin: 5.4% (up from net loss in FY 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 1.3%. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 17% per year, which means it has not declined as severely as earnings. New Risk • Feb 06
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 5.6% 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. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 3.5% per year for the foreseeable future. Minor Risks Paying a dividend despite being loss-making. Share price has been volatile over the past 3 months (5.6% average weekly change). Market cap is less than US$100m (JP¥7.65b market cap, or US$50.2m). Announcement • Feb 05
GMO Pepabo, Inc., Annual General Meeting, Mar 19, 2025 GMO Pepabo, Inc., Annual General Meeting, Mar 19, 2025. Announcement • Jan 17
GMO Pepabo, Inc. to Report Fiscal Year 2024 Results on Feb 05, 2025 GMO Pepabo, Inc. announced that they will report fiscal year 2024 results on Feb 05, 2025 Reported Earnings • Nov 08
Third quarter 2024 earnings released: EPS: JP¥42.83 (vs JP¥31.84 in 3Q 2023) Third quarter 2024 results: EPS: JP¥42.83 (up from JP¥31.84 in 3Q 2023). Revenue: JP¥2.74b (up 1.4% from 3Q 2023). Net income: JP¥226.0m (up 35% from 3Q 2023). Profit margin: 8.2% (up from 6.2% in 3Q 2023). Revenue is forecast to grow 4.8% p.a. on average during the next 2 years, compared to a 5.3% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has fallen by 48% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Announcement • Sep 27
GMO Pepabo, Inc. to Report Q3, 2024 Results on Nov 06, 2024 GMO Pepabo, Inc. announced that they will report Q3, 2024 results on Nov 06, 2024 Reported Earnings • Aug 09
Second quarter 2024 earnings released: EPS: JP¥32.41 (vs JP¥177 loss in 2Q 2023) Second quarter 2024 results: EPS: JP¥32.41 (up from JP¥177 loss in 2Q 2023). Revenue: JP¥2.72b (down 2.5% from 2Q 2023). Net income: JP¥171.0m (up JP¥1.10b from 2Q 2023). Profit margin: 6.3% (up from net loss in 2Q 2023). The move to profitability was driven by lower expenses. Revenue is forecast to grow 2.6% p.a. on average during the next 2 years, compared to a 4.9% growth forecast for the IT industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 42 percentage points per year, which is a significant difference in performance. New Risk • Aug 09
New major risk - Revenue and earnings growth Earnings have declined by 47% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 47% per year over the past 5 years. Minor Risks Paying a dividend despite being loss-making. Market cap is less than US$100m (JP¥6.60b market cap, or US$44.9m). New Risk • Aug 06
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 7.7% 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. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite being loss-making. Share price has been volatile over the past 3 months (7.7% average weekly change). Market cap is less than US$100m (JP¥6.98b market cap, or US$48.1m). Announcement • Jul 12
GMO Pepabo, Inc. to Report Q2, 2024 Results on Aug 06, 2024 GMO Pepabo, Inc. announced that they will report Q2, 2024 results on Aug 06, 2024 Reported Earnings • May 09
First quarter 2024 earnings released: EPS: JP¥29.18 (vs JP¥7.77 in 1Q 2023) First quarter 2024 results: EPS: JP¥29.18 (up from JP¥7.77 in 1Q 2023). Revenue: JP¥2.65b (down 3.2% from 1Q 2023). Net income: JP¥154.0m (up 276% from 1Q 2023). Profit margin: 5.8% (up from 1.5% in 1Q 2023). Revenue is forecast to grow 2.7% p.a. on average during the next 2 years, compared to a 4.9% growth forecast for the IT industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 51 percentage points per year, which is a significant difference in performance. Announcement • Apr 24
GMO Pepabo, Inc. to Report Q1, 2024 Results on May 08, 2024 GMO Pepabo, Inc. announced that they will report Q1, 2024 results on May 08, 2024 Reported Earnings • Mar 27
Full year 2023 earnings: EPS exceeds analyst expectations Full year 2023 results: JP¥119 loss per share (down from JP¥96.36 profit in FY 2022). Revenue: JP¥10.9b (up 3.5% from FY 2022). Net loss: JP¥628.0m (down 223% from profit in FY 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 13%. Revenue is forecast to grow 1.9% p.a. on average during the next 2 years, compared to a 5.4% growth forecast for the IT industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 35 percentage points per year, which is a significant difference in performance. Reported Earnings • Feb 15
Full year 2023 earnings: EPS exceeds analyst expectations Full year 2023 results: JP¥119 loss per share (down from JP¥96.36 profit in FY 2022). Revenue: JP¥10.9b (up 3.5% from FY 2022). Net loss: JP¥628.0m (down 223% from profit in FY 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 13%. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 37 percentage points per year, which is a significant difference in performance. Announcement • Feb 13
GMO Pepabo, Inc., Annual General Meeting, Mar 19, 2024 GMO Pepabo, Inc., Annual General Meeting, Mar 19, 2024. Announcement • Dec 28
GMO Pepabo, Inc. to Report Fiscal Year 2023 Results on Feb 13, 2024 GMO Pepabo, Inc. announced that they will report fiscal year 2023 results on Feb 13, 2024 Reported Earnings • Nov 16
Third quarter 2023 earnings released: EPS: JP¥31.84 (vs JP¥44.73 in 3Q 2022) Third quarter 2023 results: EPS: JP¥31.84 (down from JP¥44.73 in 3Q 2022). Revenue: JP¥2.70b (flat on 3Q 2022). Net income: JP¥168.0m (down 29% from 3Q 2022). Profit margin: 6.2% (down from 8.7% in 3Q 2022). Revenue is forecast to grow 2.3% p.a. on average during the next 2 years, compared to a 5.7% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has fallen by 60% per year but the company’s share price has only fallen by 38% per year, which means it has not declined as severely as earnings. New Risk • Aug 11
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. The company is paying a dividend despite being loss-making. The company is paying a dividend despite having no free cash flows. Dividend yield: 3.4% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. 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 Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risk Market cap is less than US$100m (JP¥7.73b market cap, or US$53.3m). Reported Earnings • Aug 11
Second quarter 2023 earnings released: JP¥177 loss per share (vs JP¥2.26 profit in 2Q 2022) Second quarter 2023 results: JP¥177 loss per share (down from JP¥2.26 profit in 2Q 2022). Revenue: JP¥2.79b (up 8.4% from 2Q 2022). Net loss: JP¥933.0m (down JP¥945.0m from profit in 2Q 2022). Revenue is forecast to grow 3.7% p.a. on average during the next 2 years, compared to a 6.0% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has fallen by 36% per year but the company’s share price has only fallen by 28% per year, which means it has not declined as severely as earnings. Announcement • May 31
GMO Pepabo, Inc. to Report Q3, 2023 Results on Nov 06, 2023 GMO Pepabo, Inc. announced that they will report Q3, 2023 results on Nov 06, 2023 Reported Earnings • May 09
First quarter 2023 earnings released: EPS: JP¥7.77 (vs JP¥31.99 in 1Q 2022) First quarter 2023 results: EPS: JP¥7.77 (down from JP¥31.99 in 1Q 2022). Revenue: JP¥2.74b (up 7.9% from 1Q 2022). Net income: JP¥41.0m (down 76% from 1Q 2022). Profit margin: 1.5% (down from 6.7% in 1Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.8% p.a. on average during the next 2 years, compared to a 6.2% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has fallen by 7% per year whereas the company’s share price has fallen by 3% per year. Reported Earnings • Mar 28
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: JP¥96.36 (down from JP¥135 in FY 2021). Revenue: JP¥10.5b (down 11% from FY 2021). Net income: JP¥510.0m (down 29% from FY 2021). Profit margin: 4.8% (down from 6.0% in FY 2021). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 4.8%. Revenue is forecast to grow 6.0% p.a. on average during the next 2 years, compared to a 6.2% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 11% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Feb 12
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: JP¥96.36 (down from JP¥135 in FY 2021). Revenue: JP¥10.5b (down 11% from FY 2021). Net income: JP¥510.0m (down 29% from FY 2021). Profit margin: 4.8% (down from 6.0% in FY 2021). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 4.8%. Revenue is forecast to grow 5.6% p.a. on average during the next 2 years, compared to a 6.6% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has fallen by 3% per year. Announcement • Feb 08
GMO Pepabo, Inc. Provides Consolidated Earnings Guidance for the Year Ending December 31, 2023 GMO Pepabo, Inc. provided consolidated earnings guidance for the year ending December 31, 2023. For the year, the company expects net sales of JPY 11,064 million, operating profit of JPY 857 million, profit attributable to owners of parent JPY 573 million and basic earnings per share of JPY 108.64. Announcement • Feb 07
GMO Pepabo, Inc., Annual General Meeting, Mar 23, 2023 GMO Pepabo, Inc., Annual General Meeting, Mar 23, 2023. Announcement • Jan 25
GMO Pepabo, Inc. to Report Fiscal Year 2022 Results on Feb 06, 2023 GMO Pepabo, Inc. announced that they will report fiscal year 2022 results on Feb 06, 2023 Upcoming Dividend • Dec 22
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 29 December 2022. Payment date: 22 March 2023. Payout ratio is a comfortable 60% but the company is paying out more than the cash it is generating. Trailing yield: 4.0%. Within top quartile of Japanese dividend payers (3.8%). Higher than average of industry peers (1.7%). Reported Earnings • Nov 17
Third quarter 2022 earnings released: EPS: JP¥44.73 (vs JP¥32.32 in 3Q 2021) Third quarter 2022 results: EPS: JP¥44.73 (up from JP¥32.32 in 3Q 2021). Revenue: JP¥2.70b (down 10% from 3Q 2021). Net income: JP¥236.0m (up 38% from 3Q 2021). Profit margin: 8.7% (up from 5.7% in 3Q 2021). The increase in margin was driven by lower expenses. Revenue is forecast to grow 3.7% p.a. on average during the next 2 years, compared to a 6.6% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 7 non-independent directors. Independent Outside Director Yuichi Amemiya was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 09
Third quarter 2022 earnings released: EPS: JP¥44.73 (vs JP¥32.32 in 3Q 2021) Third quarter 2022 results: EPS: JP¥44.73 (up from JP¥32.32 in 3Q 2021). Revenue: JP¥2.70b (down 10% from 3Q 2021). Net income: JP¥236.0m (up 38% from 3Q 2021). Profit margin: 8.7% (up from 5.7% in 3Q 2021). The increase in margin was driven by lower expenses. Revenue is forecast to grow 3.7% p.a. on average during the next 2 years, compared to a 6.6% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Announcement • Oct 07
GMO Pepabo, Inc. (TSE:3633) acquired NFT Business of ONE, Inc. GMO Pepabo, Inc. (TSE:3633) acquired NFT Business of ONE, Inc. on October 5, 2022.
GMO Pepabo, Inc. (TSE:3633) completed the acquisition NFT Business of ONE, Inc. on October 5, 2022. Announcement • Aug 31
GMO Pepabo, Inc. to Report Q3, 2022 Results on Nov 07, 2022 GMO Pepabo, Inc. announced that they will report Q3, 2022 results on Nov 07, 2022 Reported Earnings • Aug 05
Second quarter 2022 earnings released: EPS: JP¥2.26 (vs JP¥33.46 in 2Q 2021) Second quarter 2022 results: EPS: JP¥2.26 (down from JP¥33.46 in 2Q 2021). Revenue: JP¥2.57b (down 15% from 2Q 2021). Net income: JP¥12.0m (down 93% from 2Q 2021). Profit margin: 0.5% (down from 5.8% in 2Q 2021). The decrease in margin was driven by lower revenue. Over the next year, revenue is expected to shrink by 1.7% compared to a 11% growth forecast for the industry in Japan. Announcement • May 29
GMO Pepabo, Inc. to Report Q2, 2022 Results on Aug 04, 2022 GMO Pepabo, Inc. announced that they will report Q2, 2022 results on Aug 04, 2022 Reported Earnings • May 11
First quarter 2022 earnings: EPS misses analyst expectations First quarter 2022 results: EPS: JP¥31.99 (down from JP¥35.03 in 1Q 2021). Revenue: JP¥2.54b (down 13% from 1Q 2021). Net income: JP¥170.0m (down 8.1% from 1Q 2021). Profit margin: 6.7% (up from 6.4% in 1Q 2021). The increase in margin was driven by lower expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 11%. Over the next year, revenue is expected to shrink by 3.5% compared to a 7.9% growth forecast for the industry in Japan. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 7 non-independent directors. Independent Outside Director Yuichi Amemiya was the last independent director to join the board, commencing their role in 2021. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Apr 07
GMO Pepabo, Inc. to Report Q1, 2022 Results on May 09, 2022 GMO Pepabo, Inc. announced that they will report Q1, 2022 results on May 09, 2022 Announcement • Mar 10
GMO Pepabo, Inc. (TSE:3633) announces an Equity Buyback for 40,000 shares, representing 0.73% for ¥80 million. GMO Pepabo, Inc. (TSE:3633) announces a share repurchase program. Under the program, the company will repurchase 40,000 shares, representing 0.73% of the outstanding shares for ¥80 million. The purpose of the program is to enable the execution of flexible capital policies in response to changes in the business environment. The program will run until June 30, 2022. As of December 31, 2021, the company had 5,468,700 shares outstanding and 161,721 shares in treasury. Announcement • Feb 09
GMO Pepabo, Inc., Annual General Meeting, Mar 19, 2022 GMO Pepabo, Inc., Annual General Meeting, Mar 19, 2022. Reported Earnings • Feb 08
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: JP¥135 (down from JP¥159 in FY 2020). Revenue: JP¥11.9b (up 7.9% from FY 2020). Net income: JP¥715.0m (down 14% from FY 2020). Profit margin: 6.0% (down from 7.5% in FY 2020). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 11%. Over the next year, revenue is forecast to grow 3.6%, compared to a 7.4% growth forecast for the industry in Japan. Upcoming Dividend • Dec 22
Upcoming dividend of JP¥81.00 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 22 March 2022. Payout ratio is a comfortable 58% and this is well supported by cash flows. Trailing yield: 3.2%. Lower than top quartile of Japanese dividend payers (3.3%). Higher than average of industry peers (1.3%). Reported Earnings • Nov 10
Third quarter 2021 earnings released: EPS JP¥32.32 (vs JP¥44.67 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: JP¥3.01b (up 2.3% from 3Q 2020). Net income: JP¥171.0m (down 27% from 3Q 2020). Profit margin: 5.7% (down from 7.9% in 3Q 2020). Valuation Update With 7 Day Price Move • Aug 16
Investor sentiment deteriorated over the past week After last week's 16% share price decline to JP¥3,435, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 25x in the IT industry in Japan. Total returns to shareholders of 50% over the past three years. Reported Earnings • Aug 11
Second quarter 2021 earnings released: EPS JP¥33.46 (vs JP¥51.02 in 2Q 2020) The company reported a soft second quarter result with weaker earnings and profit margins, although revenues improved. Second quarter 2021 results: Revenue: JP¥3.04b (up 2.9% from 2Q 2020). Net income: JP¥177.0m (down 34% from 2Q 2020). Profit margin: 5.8% (down from 9.0% in 2Q 2020). Reported Earnings • May 08
First quarter 2021 earnings released: EPS JP¥35.03 (vs JP¥24.55 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: JP¥2.91b (up 21% from 1Q 2020). Net income: JP¥185.0m (up 45% from 1Q 2020). Profit margin: 6.4% (up from 5.3% in 1Q 2020). Valuation Update With 7 Day Price Move • Mar 17
Investor sentiment improved over the past week After last week's 30% share price gain to JP¥7,900, the stock trades at a forward P/E ratio of 60x. Average forward P/E is 26x in the IT industry in Japan. Total returns to shareholders of 455% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥5,152 per share. Valuation Update With 7 Day Price Move • Mar 01
Investor sentiment deteriorated over the past week After last week's 16% share price decline to JP¥5,970, the stock is trading at a trailing P/E ratio of 37.6x, down from the previous P/E ratio of 44.6x. This compares to an average P/E of 28x in the IT industry in Japan. Total returns to shareholders over the past three years are 332%. Is New 90 Day High Low • Feb 22
New 90-day high: JP¥7,090 The company is up 14% from its price of JP¥6,210 on 24 November 2020. The Japanese market is up 11% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥5,116 per share. Reported Earnings • Feb 05
Full year 2020 earnings released: EPS JP¥159 (vs JP¥104 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: JP¥11.0b (up 23% from FY 2019). Net income: JP¥829.0m (up 53% from FY 2019). Profit margin: 7.5% (up from 6.1% in FY 2019). The increase in margin was driven by higher revenue. Analyst Estimate Surprise Post Earnings • Feb 05
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 0.3%. Earnings per share (EPS) also surpassed analyst estimates by 4.2%. Over the next year, revenue is forecast to grow 13%, compared to a 8.5% growth forecast for the IT industry in Japan. Announcement • Feb 03
GMO Pepabo, Inc., Annual General Meeting, Mar 21, 2021 GMO Pepabo, Inc., Annual General Meeting, Mar 21, 2021. Announcement • Jan 27
GMO Pepabo, Inc. to Report Fiscal Year 2020 Results on Feb 03, 2021 GMO Pepabo, Inc. announced that they will report fiscal year 2020 results on Feb 03, 2021 Upcoming Dividend • Dec 22
Upcoming Dividend of JP¥72.50 Per Share Will be paid on the 31st of March to those who are registered shareholders by the 29th of December. The trailing yield of 0.9% is below the top quartile of Japanese dividend payers (3.0%), and is lower than industry peers (1.3%). Announcement • Oct 04
GMO Pepabo, Inc. to Report Q3, 2020 Results on Nov 04, 2020 GMO Pepabo, Inc. announced that they will report Q3, 2020 results on Nov 04, 2020