Internet Initiative Japan Inc.
Internet Initiative Japan Inc. Fundamental Analysis
Internet Initiative Japan Inc. (3774.T) shows moderate financial fundamentals with a PE ratio of 19.61, profit margin of 6.66%, and ROE of 15.34%. The company generates $336.9B in annual revenue with strong year-over-year growth of 14.76%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 71.0/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze 3774.T's fundamental strength across five key dimensions:
Efficiency Score
Weak3774.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent3774.T trades at attractive valuation levels.
Growth Score
Moderate3774.T shows steady but slowing expansion.
Financial Health Score
Excellent3774.T maintains a strong and stable balance sheet.
Profitability Score
Moderate3774.T maintains healthy but balanced margins.
Key Financial Metrics
Is 3774.T Expensive or Cheap?
P/E Ratio
3774.T trades at 19.61 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 3774.T's PEG of -53.01 indicates potential undervaluation.
Price to Book
The market values Internet Initiative Japan Inc. at 2.90 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.22 times EBITDA. This is generally considered low.
How Well Does 3774.T Make Money?
Net Profit Margin
For every $100 in sales, Internet Initiative Japan Inc. keeps $6.66 as profit after all expenses.
Operating Margin
Core operations generate 9.70 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $15.34 in profit for every $100 of shareholder equity.
ROA
Internet Initiative Japan Inc. generates $6.67 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Internet Initiative Japan Inc. produces operating cash flow of $49.36B, showing steady but balanced cash generation.
Free Cash Flow
Internet Initiative Japan Inc. produces free cash flow of $32.75B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $184.75 in free cash annually.
FCF Yield
3774.T converts 7.45% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.61
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-53.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.90
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.31
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.49
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.16
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How 3774.T Stacks Against Its Sector Peers
| Metric | 3774.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.61 | 22.91 | Better (Cheaper) |
| ROE | 15.34% | 1005.00% | Weak |
| Net Margin | 6.66% | -60132.00% (disorted) | Weak |
| Debt/Equity | 0.49 | 1.28 | Strong (Low Leverage) |
| Current Ratio | 1.16 | 1.65 | Neutral |
| ROA | 6.67% | -581836.00% (disorted) | Weak |
3774.T outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Internet Initiative Japan Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
57.95%
Industry Style: Growth, Technology, Streaming
High GrowthEPS CAGR
407.10%
Industry Style: Growth, Technology, Streaming
High GrowthFCF CAGR
-12.92%
Industry Style: Growth, Technology, Streaming
Declining