New Risk • Feb 14
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 0.9% Last year net profit margin: 11% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (0.9% net profit margin). Reported Earnings • Feb 14
Second quarter 2026 earnings released: JP¥16.43 loss per share (vs JP¥16.57 profit in 2Q 2025) Second quarter 2026 results: JP¥16.43 loss per share (down from JP¥16.57 profit in 2Q 2025). Revenue: JP¥3.06b (flat on 2Q 2025). Net loss: JP¥343.4m (down 197% from profit in 2Q 2025). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the IT industry in Japan. Duyuru • Dec 16
Fujitsu Limited (TSE:6702) completed the acquisition of 86.30% stake in BrainPad Inc. (TSE:3655) from a group of shareholders for ¥48.8 billion. Fujitsu Limited (TSE:6702) proposed to acquire BrainPad Inc. (TSE:3655) from a group of shareholders for ¥56.6 billion on October 30, 2025. A cash consideration of ¥56.58 billion valued at ¥2706 per share will be paid by Fujitsu Limited. As part of consideration, ¥56.58 billion is paid towards common equity of BrainPad Inc.
The transaction is subject to approval of merger agreement by target board and minimum tender of 13,883,800 shares. The Board of Directors of BrainPad Inc. formed a special committee for the transaction. The deal has been unanimously approved by the board of BrainPad Inc. The tender offer will close on December 15, 2025.
Nomura Securities Co., Ltd. acted as financial advisor and fairness opinion provider for special committee of BrainPad Inc. Daiwa Securities Co. Ltd. acted as financial advisor and fairness opinion provider for Fujitsu Limited and as tender offer agent. Nagashima Ohno & Tsunematsu acted as legal advisor for BrainPad Inc. Mori Hamada & Matsumoto LPC acted as legal advisor for Fujitsu Limited.
Fujitsu Limited (TSE:6702) completed the acquisition of 86.30% stake in BrainPad Inc. (TSE:3655) from a group of shareholders for ¥48.8 billion on December 15, 2025. Fujitsu Limited received 18.044811 million shares in BrainPad Inc. during tender offer period and has achieved the minimum tender condition. The settlement of is scheduled to take place on December 22, 2025. The Master Trust Bank of Japan, Ltd. (Trust Account) and DisciPline Inc. have tendered all of their shares during the tender offer period. Duyuru • Dec 01
BrainPad Inc. to Report Q2, 2026 Results on Feb 13, 2026 BrainPad Inc. announced that they will report Q2, 2026 results on Feb 13, 2026 Reported Earnings • Nov 18
First quarter 2026 earnings released: EPS: JP¥3.50 (vs JP¥15.70 in 1Q 2025) First quarter 2026 results: EPS: JP¥3.50 (down from JP¥15.70 in 1Q 2025). Revenue: JP¥2.81b (flat on 1Q 2025). Net income: JP¥73.0m (down 78% from 1Q 2025). Profit margin: 2.6% (down from 12% in 1Q 2025). Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 5.4% growth forecast for the IT industry in Japan. New Risk • Oct 31
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 9.5% 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. Valuation Update With 7 Day Price Move • Oct 31
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to JP¥1,677, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 18x in the IT industry in Japan. Total returns to shareholders of 102% over the past three years. Duyuru • Oct 30
Fujitsu Limited (TSE:6702) proposed to acquire BrainPad Inc. (TSE:3655) from Resona Holdings, Inc. (TSE:8308) and DisciPline Inc., Seinosuke Sato and Takafumi Takahashi for ¥56.6 billion. Fujitsu Limited (TSE:6702) proposed to acquire BrainPad Inc. (TSE:3655) from Resona Holdings, Inc. (TSE:8308) and DisciPline Inc., Seinosuke Sato and Takafumi Takahashi for ¥56.6 billion on October 30, 2025. A cash consideration of ¥56.58 billion valued at ¥2706 per share will be paid by Fujitsu Limited. As part of consideration, ¥56.58 billion is paid towards common equity of BrainPad Inc.
The transaction is subject to approval of merger agreement by target board and minimum tender. The Board of Directors of BrainPad Inc. formed a special committee for the transaction. The deal has been unanimously approved by the board of BrainPad Inc.
Nomura Securities Co., Ltd. acted as financial advisor for BrainPad Inc. Daiwa Securities Co. Ltd. acted as financial advisor for BrainPad Inc. Nagashima Ohno & Tsunematsu acted as legal advisor for BrainPad Inc. Mori Hamada & Matsumoto LPC acted as legal advisor for BrainPad Inc. Duyuru • Sep 27
BrainPad Inc. to Report Q1, 2026 Results on Nov 14, 2025 BrainPad Inc. announced that they will report Q1, 2026 results on Nov 14, 2025 Valuation Update With 7 Day Price Move • Aug 15
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to JP¥1,187, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 20x in the IT industry in Japan. Total returns to shareholders of 3.7% over the past three years. Reported Earnings • Aug 09
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: JP¥49.77 (up from JP¥42.23 in FY 2024). Revenue: JP¥11.8b (up 12% from FY 2024). Net income: JP¥1.06b (up 17% from FY 2024). Profit margin: 9.0% (up from 8.6% in FY 2024). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 1.1%. Earnings per share (EPS) also missed analyst estimates by 11%. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 5.4% growth forecast for the IT industry in Japan. Duyuru • Aug 08
BrainPad Inc., Annual General Meeting, Sep 25, 2025 BrainPad Inc., Annual General Meeting, Sep 25, 2025. Upcoming Dividend • Jun 20
Upcoming dividend of JP¥8.00 per share Eligible shareholders must have bought the stock before 27 June 2025. Payment date: 29 September 2025. Payout ratio is a comfortable 14% and this is well supported by cash flows. Trailing yield: 0.6%. Lower than top quartile of Japanese dividend payers (4.0%). Lower than average of industry peers (1.2%). Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥1,413, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 19x in the IT industry in Japan. Total returns to shareholders of 46% over the past three years. Duyuru • Jun 03
BrainPad Inc. to Report Fiscal Year 2025 Results on Aug 08, 2025 BrainPad Inc. announced that they will report fiscal year 2025 results on Aug 08, 2025 Valuation Update With 7 Day Price Move • May 16
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥1,272, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 18x in the IT industry in Japan. Total returns to shareholders of 20% over the past three years. Declared Dividend • May 15
Dividend of JP¥8.00 announced Dividend of JP¥8.00 is the same as last year. Ex-date: 27th June 2025 Payment date: 29th September 2025 Dividend yield will be 0.6%, which is lower than the industry average of 1.4%. Payout Ratios Payout ratio: 14%. Cash payout ratio: 11%. New Risk • May 12
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 10% 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 • May 10
Third quarter 2025 earnings released: EPS: JP¥17.16 (vs JP¥16.82 in 3Q 2024) Third quarter 2025 results: EPS: JP¥17.16 (up from JP¥16.82 in 3Q 2024). Revenue: JP¥3.05b (up 13% from 3Q 2024). Net income: JP¥368.0m (up 1.4% from 3Q 2024). Profit margin: 12% (down from 13% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the IT industry in Japan. Duyuru • May 10
BrainPad Inc. (TSE:3655) announces an Equity Buyback for 770,000 shares, representing 3.59% for ¥700 million. BrainPad Inc. (TSE:3655) announces a share repurchase program. Under the program, the company will repurchase up to 770,000 shares, representing 3.59% of its total shares outstanding (excluding treasury shares), for a total of ¥700 million. The purpose of repurchase program is to improve capital efficiency, enhance stock price stability, to prepare for agile capital policies and to expand the stock compensation ration for our officers and employees. The repurchase program is valid till July 31, 2025. As of March 31, 2025, the company had 21,441,464 shares outstanding (excluding treasury shares) and had 859,132 shares in treasury. New Risk • Apr 08
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 8.4% 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. Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to JP¥827, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 17x in the IT industry in Japan. Total loss to shareholders of 34% over the past three years. Duyuru • Mar 10
BrainPad Inc. to Report Q3, 2025 Results on May 09, 2025 BrainPad Inc. announced that they will report Q3, 2025 results on May 09, 2025 Reported Earnings • Feb 14
Second quarter 2025 earnings released: EPS: JP¥16.57 (vs JP¥9.84 in 2Q 2024) Second quarter 2025 results: EPS: JP¥16.57 (up from JP¥9.84 in 2Q 2024). Revenue: JP¥3.04b (up 17% from 2Q 2024). Net income: JP¥355.0m (up 68% from 2Q 2024). Profit margin: 12% (up from 8.1% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 5.5% growth forecast for the IT industry in Japan. Valuation Update With 7 Day Price Move • Feb 12
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to JP¥1,313, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 20x in the IT industry in Japan. Total returns to shareholders of 17% over the past three years. Duyuru • Jan 03
BrainPad Inc. to Report Q2, 2025 Results on Feb 12, 2025 BrainPad Inc. announced that they will report Q2, 2025 results on Feb 12, 2025 Valuation Update With 7 Day Price Move • Dec 06
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to JP¥1,167, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 20x in the IT industry in Japan. Total loss to shareholders of 30% over the past three years. Buy Or Sell Opportunity • Nov 20
Now 20% undervalued Over the last 90 days, the stock has risen 12% to JP¥1,010. The fair value is estimated to be JP¥1,269, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 13%. Revenue is forecast to grow by 25% in 2 years. Earnings are forecast to grow by 13% in the next 2 years. Reported Earnings • Nov 15
First quarter 2025 earnings released: EPS: JP¥15.70 (vs JP¥9.22 in 1Q 2024) First quarter 2025 results: EPS: JP¥15.70 (up from JP¥9.22 in 1Q 2024). Revenue: JP¥2.81b (up 11% from 1Q 2024). Net income: JP¥336.0m (up 70% from 1Q 2024). Profit margin: 12% (up from 7.8% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 5.4% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has fallen by 23% per year, which means it is significantly lagging earnings. New Risk • Nov 12
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 7.2% 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. Valuation Update With 7 Day Price Move • Nov 12
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to JP¥965, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 20x in the IT industry in Japan. Total loss to shareholders of 59% over the past three years. Duyuru • Sep 24
BrainPad Inc. to Report Q1, 2025 Results on Nov 12, 2024 BrainPad Inc. announced that they will report Q1, 2025 results on Nov 12, 2024 Reported Earnings • Aug 14
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: JP¥42.23 (up from JP¥23.71 in FY 2023). Revenue: JP¥10.6b (up 7.8% from FY 2023). Net income: JP¥909.0m (up 77% from FY 2023). Profit margin: 8.6% (up from 5.3% 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 1.3%. Revenue is forecast to grow 8.9% 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, earnings per share has increased by 7% per year but the company’s share price has fallen by 18% per year, which means it is significantly lagging earnings. Duyuru • Aug 09
BrainPad Inc., Annual General Meeting, Sep 26, 2024 BrainPad Inc., Annual General Meeting, Sep 26, 2024. New Risk • Aug 05
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 7.9% 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. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 27% After last week's 27% share price decline to JP¥743, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 17x in the IT industry in Japan. Total loss to shareholders of 48% over the past three years. Duyuru • Jun 26
BrainPad Inc. to Report Fiscal Year 2024 Results on Aug 09, 2024 BrainPad Inc. announced that they will report fiscal year 2024 results on Aug 09, 2024 Upcoming Dividend • Jun 20
Upcoming dividend of JP¥8.00 per share Eligible shareholders must have bought the stock before 27 June 2024. Payment date: 28 September 2024. Trailing yield: 0.8%. Lower than top quartile of Japanese dividend payers (3.4%). Lower than average of industry peers (1.6%). Reported Earnings • May 12
Third quarter 2024 earnings released: EPS: JP¥16.82 (vs JP¥3.56 in 3Q 2023) Third quarter 2024 results: EPS: JP¥16.82 (up from JP¥3.56 in 3Q 2023). Revenue: JP¥2.71b (up 4.6% from 3Q 2023). Net income: JP¥363.0m (up 371% from 3Q 2023). Profit margin: 13% (up from 3.0% in 3Q 2023). The increase in margin was primarily driven by lower expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 4.9% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Duyuru • May 11
BrainPad Inc. (TSE:3655) announces an Equity Buyback for 170,000 shares, representing 0.79% for ¥200 million. BrainPad Inc. (TSE:3655) announces a share repurchase program. Under the program, the company will repurchase up to 170,000 shares, representing 0.79% of its total shares outstanding (excluding treasury shares), for a total of ¥200 million. The purpose of repurchase program is to return profits to shareholders and improve capital efficiency, as well as using the treasury stock for stock-based compensation for officers and employees, and for M&A and capital alliances using treasury stock. The repurchase program is valid till June 28, 2024. As of March 31, 2024, the company had 21,579,062 shares outstanding (excluding treasury shares) and had 721,534 shares in treasury. Duyuru • Mar 28
BrainPad Inc. to Report Q3, 2024 Results on May 10, 2024 BrainPad Inc. announced that they will report Q3, 2024 results on May 10, 2024 Reported Earnings • Feb 10
Second quarter 2024 earnings released: EPS: JP¥9.84 (vs JP¥3.56 in 2Q 2023) Second quarter 2024 results: EPS: JP¥9.84 (up from JP¥3.56 in 2Q 2023). Revenue: JP¥2.61b (up 1.0% from 2Q 2023). Net income: JP¥212.0m (up 175% from 2Q 2023). Profit margin: 8.1% (up from 3.0% in 2Q 2023). Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 5.5% growth forecast for the IT industry in Japan. Over the last 3 years on average, earnings per share has remained flat whereas the company’s share price has fallen by 4% per year. New Risk • Feb 06
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 7.9% 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. Duyuru • Dec 16
BrainPad Inc. to Report Q2, 2024 Results on Feb 09, 2024 BrainPad Inc. announced that they will report Q2, 2024 results on Feb 09, 2024 Duyuru • Sep 16
BrainPad Inc. to Report Q1, 2024 Results on Nov 10, 2023 BrainPad Inc. announced that they will report Q1, 2024 results on Nov 10, 2023 Duyuru • Aug 12
BrainPad Inc., Annual General Meeting, Sep 27, 2023 BrainPad Inc., Annual General Meeting, Sep 27, 2023. Duyuru • Jun 13
BrainPad Inc. to Report Fiscal Year 2023 Results on Aug 10, 2023 BrainPad Inc. announced that they will report fiscal year 2023 results on Aug 10, 2023 Duyuru • May 13
BrainPad Inc. (TSE:3655) announces an Equity Buyback for 350,000 shares, representing 1.61% for ¥200 million. BrainPad Inc. (TSE:3655) announces a share repurchase program. Under the program, the company will repurchase up to 350,000 shares, representing 1.61% of its total shares outstanding (excluding treasury shares), for a total of ¥200 million. The purpose of repurchase program is to return profits to shareholders and improve capital efficiency. The repurchase program is valid till June 30, 2023. As of March 31, 2023, the company had 21,705,092 shares outstanding (excluding treasury shares) and had 595,504 shares in treasury. Valuation Update With 7 Day Price Move • Mar 29
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to JP¥751, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 17x in the IT industry in Japan. Total loss to shareholders of 44% over the past three years. Duyuru • Dec 22
BrainPad Inc. to Report Q2, 2023 Results on Feb 10, 2023 BrainPad Inc. announced that they will report Q2, 2023 results on Feb 10, 2023 Price Target Changed • Nov 16
Price target decreased to JP¥1,600 Down from JP¥1,900, the current price target is provided by 1 analyst. New target price is 64% above last closing price of JP¥974. Stock is down 59% over the past year. The company is forecast to post earnings per share of JP¥39.00 for next year compared to JP¥26.98 last year. Duyuru • Sep 28
BrainPad Inc. to Report Q1, 2023 Results on Nov 11, 2022 BrainPad Inc. announced that they will report Q1, 2023 results on Nov 11, 2022 Duyuru • Aug 12
BrainPad Inc., Annual General Meeting, Sep 29, 2022 BrainPad Inc., Annual General Meeting, Sep 29, 2022. Valuation Update With 7 Day Price Move • Aug 12
Investor sentiment deteriorated over the past week After last week's 17% share price decline to JP¥1,146, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 18x in the IT industry in Japan. Total loss to shareholders of 49% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥588 per share. Duyuru • Aug 11
BrainPad Inc. (TSE:3655) announces an Equity Buyback for 300,000 shares, representing 1.37% for ¥300 million. BrainPad Inc. (TSE:3655) announces a share repurchase program. Under the program, the company will repurchase up to 300,000 shares, representing 1.37% of its issued share capital (excluding treasury stock), for a total purchase price of ¥300 million. The purpose of the program is to return profits to shareholders and improve capital efficiency. The program will continue through October 31, 2022. As of June 30, 2022, the company had 21,928,002 issued shares (excluding treasury stock) and 372,594 treasury shares. Duyuru • Jun 30
BrainPad Inc. (TSE:3655) agreed to acquire TimeTechnologies Ltd from Hadozaki Shun, Atsushi Ishii and Eriko Hideshima for ¥1 billion. BrainPad Inc. (TSE:3655) agreed to acquire TimeTechnologies Ltd from Hadozaki Shun, Atsushi Ishii and Eriko Hideshima for ¥1 billion on June 28, 2022. TimeTechnologies has a total assets of ¥154 million, net assets of ¥97.035 million, revenue of ¥332.647 million, EBIT of ¥55.785 million and net income of ¥38.991 million As of December 31, 2021. Execution date of share transfer is July 29, 2022. Valuation Update With 7 Day Price Move • Jun 16
Investor sentiment deteriorated over the past week After last week's 16% share price decline to JP¥1,023, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 19x in the IT industry in Japan. Total loss to shareholders of 55% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥607 per share. Duyuru • Jun 03
BrainPad Inc. to Report Fiscal Year 2022 Results on Aug 10, 2022 BrainPad Inc. announced that they will report fiscal year 2022 results on Aug 10, 2022 Duyuru • Apr 08
BrainPad Inc. to Report Q3, 2022 Results on May 13, 2022 BrainPad Inc. announced that they will report Q3, 2022 results on May 13, 2022 Reported Earnings • Nov 15
First quarter 2022 earnings released: EPS JP¥28.00 (vs JP¥10.13 in 1Q 2021) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥2.02b (up 28% from 1Q 2021). Net income: JP¥207.0m (up 176% from 1Q 2021). Profit margin: 10% (up from 4.7% in 1Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Reported Earnings • Oct 05
Full year 2021 earnings released: EPS JP¥80.93 (vs JP¥120 in FY 2020) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2021 results: Revenue: JP¥7.10b (up 7.2% from FY 2020). Net income: JP¥601.0m (down 30% from FY 2020). Profit margin: 8.5% (down from 13% in FY 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has remained flat whereas the company’s share price has fallen by 4% per year. Valuation Update With 7 Day Price Move • Sep 07
Investor sentiment improved over the past week After last week's 17% share price gain to JP¥5,820, the stock trades at a forward P/E ratio of 62x. Average forward P/E is 26x in the IT industry in Japan. Total returns to shareholders of 27% over the past three years. Reported Earnings • Aug 13
Full year 2021 earnings released: EPS JP¥80.93 (vs JP¥120 in FY 2020) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2021 results: Revenue: JP¥7.10b (up 7.2% from FY 2020). Net income: JP¥601.0m (down 30% from FY 2020). Profit margin: 8.5% (down from 13% in FY 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has remained flat whereas the company’s share price has increased by 3% per year. Duyuru • Aug 13
BrainPad Inc. (TSE:3655) announces an Equity Buyback for 130,000 shares, representing 1.75% for ¥800 million. BrainPad Inc. (TSE:3655) announces a share repurchase program. Under the program, the company will repurchase up to 130,000 shares, representing 1.75% of its issued share capital, for ¥800 million. The purpose of the program is to return profits to shareholders and improve capital efficiency, treasury stock will be used for stock compensation for officers and employees, and for M&A and capital tie-ups. The program will expire on December 31, 2021. As of June 30, 2021, the company had 7,433,205 shares in issue and 327 shares in treasury. Duyuru • Mar 21
BrainPad Inc. to Report Q3, 2021 Results on May 14, 2021 BrainPad Inc. announced that they will report Q3, 2021 results on May 14, 2021 Major Estimate Revision • Mar 20
Consensus forecasts updated The consensus outlook for 2021 has been updated. 2021 EPS estimate increased from JP¥40.75 to JP¥53.45. Revenue forecast unchanged at JP¥6.90b. Net income forecast to grow 20% next year vs 16% growth forecast for IT industry in Japan. Consensus price target of JP¥4,850 unchanged from last update. Share price rose 12% to JP¥5,560 over the past week. Valuation Update With 7 Day Price Move • Mar 17
Investor sentiment improved over the past week After last week's 16% share price gain to JP¥5,510, the stock trades at a forward P/E ratio of 68x. Average forward P/E is 26x in the IT industry in Japan. Total returns to shareholders of 110% over the past three years. Is New 90 Day High Low • Feb 20
New 90-day high: JP¥4,965 The company is up 24% from its price of JP¥4,000 on 20 November 2020. The Japanese market is up 12% 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¥848 per share. Valuation Update With 7 Day Price Move • Feb 20
Investor sentiment improved over the past week After last week's 16% share price gain to JP¥4,965, the stock is trading at a trailing P/E ratio of 70.1x, up from the previous P/E ratio of 60.4x. 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 105%. Reported Earnings • Feb 14
Second quarter 2021 earnings released: EPS JP¥13.05 (vs JP¥41.08 in 2Q 2020) The company reported a poor second quarter result with weaker earnings and profit margins, although revenues were flat. Second quarter 2021 results: Revenue: JP¥1.62b (flat on 2Q 2020). Net income: JP¥97.0m (down 67% from 2Q 2020). Profit margin: 6.0% (down from 18% in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 23% per year whereas the company’s share price has increased by 21% per year. Duyuru • Dec 24
BrainPad Inc. to Report Q2, 2021 Results on Feb 12, 2021 BrainPad Inc. announced that they will report Q2, 2021 results on Feb 12, 2021 Is New 90 Day High Low • Dec 09
New 90-day high: JP¥4,520 The company is up 14% from its price of JP¥3,965 on 10 September 2020. The Japanese market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is JP¥1,073 per share. Price Target Changed • Dec 01
Price target lowered to JP¥4,850 Down from JP¥6,250, the current price target is an average from 2 analysts. The new target price is 13% above the current share price of JP¥4,280. As of last close, the stock is down 25% over the past year. Duyuru • Nov 22
BrainPad Inc. announced that it expects to receive funding from ITOCHU Corporation BrainPad Inc. (TSE:3655) announced that it has entered into an capital alliance agreement with ITOCHU Corporation (TSE:8001) on November 20, 2020. Duyuru • Oct 04
BrainPad Inc. to Report Q1, 2021 Results on Nov 12, 2020 BrainPad Inc. announced that they will report Q1, 2021 results on Nov 12, 2020 Duyuru • Jun 29
BrainPad Inc. to Report Q4, 2020 Results on Aug 12, 2020 BrainPad Inc. announced that they will report Q4, 2020 results on Aug 12, 2020