Soracom (TSE:147A) Earnings Power Value (EPV): 円182.11 (As of Jun26)

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TSE:147A Soracom Inc TSE:147A
20 GF Score
Price 円1,004.00
! 2 Warning Signs
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What is Soracom Earnings Power Value (EPV)?

Soracom TSE:147A -0.59% 20 Earnings Power Value (EPV) is 円182.11 as of Jun26. GuruFocus rates TSE:147A with a GF Score™ of 20/100. The stock has 2 warning signs investors should review.

As of Jun26, Soracom's earnings power value is 円182.11. *

* GuruFocus does not store EPV value into our database if Average Maintenance CAPEX is 0.

Margin of Safety is -451.31

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future. Assumption: Current profitability is sustainable.


Soracom  (TSE:147A) Earnings Power Value (EPV) Explanation

Assumption: Current profitability is sustainable.

Earnings power value (EPV) uses a very basic equation which assumes no growth, although it does rely on an assumption about the cost of capital as well as the fact that current earnings are sustainable. It also involves several adjustments to clean up the underlying Earnings figures.


Be Aware

Though using today's earnings in calculating Earnings Power Value, GuruFocus is normalizing these earnings to the business cycle. This eliminates the effects on profitability of valuing the firm at different points in the business cycle. This means that we are considering the average earnings over 5 years.


Soracom Earnings Power Value (EPV) Related Terms


Soracom Earnings Power Value (EPV) Historical Data

* Premium members only.

The historical data trend for Soracom's Earnings Power Value (EPV) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Soracom Earnings Power Value (EPV) Chart

Soracom Annual Data
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Soracom Quarterly Data
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TSE:147A vs MSFT, PLTR, ORCL: Earnings Power Value (EPV) Comparison

For the Software - Infrastructure subindustry, Soracom's Earnings Power Value (EPV), along with its competitors' market caps and Earnings Power Value (EPV) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Soracom Earnings Power Value (EPV) vs Software Industry

For the Software industry and Technology sector, Soracom's Earnings Power Value (EPV) distribution charts can be found below:

* The bar in red indicates where Soracom's Earnings Power Value (EPV) falls into.


TSE:147A
20GF Score
Soracom Inc TSE:147A
Earnings Power Value (EPV) is just one metric. See GF Score™, valuation, warning signs, and more.
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Soracom Earnings Power Value (EPV) Calculation

Earnings Power Value also known as just Earnings Power is a valuation technique popularised by Bruce Greenwald, an authority on value investing at Columbia University. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. This valuation tool excludes the potential growth that a company may have so that needs to be looked at separately. Since future growth is excluded from the analysis, only the maintenance capital expenditures are subtracted from after-tax EBIT (earnings before interest and taxes) and growth capex is ignored.

What does a Earnings Power Value (EPV) of 円182.11 mean?
Soracom (TSE:147A) has a Earnings Power Value (EPV) of 円182.11 as of Jun26. Bruce Greenwald's earnings power value focuses on current earnings without factoring in future growth. View historical data on Soracom and its competitors.
Is Soracom's Earnings Power Value (EPV) too high?
Soracom's current Earnings Power Value (EPV) is 円182.11. Overall, Soracom has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Soracom's Earnings Power Value (EPV) compare to MSFT and PLTR?
Soracom's Earnings Power Value (EPV) of 円182.11 can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Power Value (EPV) for a Software company?
A good Earnings Power Value (EPV) depends on the Software industry context. However, Earnings Power Value (EPV) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Power Value (EPV) mean?
A high Earnings Power Value (EPV) can signal that a stock is expensive relative to its fundamentals. Bruce Greenwald's earnings power value focuses on current earnings without factoring in future growth. View historical data on Soracom and its competitors. Soracom's current Earnings Power Value (EPV) is 円182.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Soracom stock overvalued right now?
Soracom (TSE:147A) has a current Earnings Power Value (EPV) of 円182.11. The current Earnings Power Value (EPV) is 円182.11. Soracom's overall GF Score™ is 20/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Power Value (EPV) calculated?
Earnings Power Value (EPV) is calculated from a company's financial statements. For Soracom (TSE:147A), the current Earnings Power Value (EPV) is 円182.11 as of Jun26. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Soracom Business Description

Address 1-5-12 Moto-Akasaka, 9th Floor, Sumitomo Fudosan Moto-Akasaka Building, Minato-ku, Tokyo, JPN, 107-0051
Soracom Inc is a Japanese technology company that operates a cloud-native Internet of Things (IoT) connectivity platform, marketed under the SORACOM brand. The company provides cellular connectivity, device management, and data-transfer services that let businesses connect and control IoT devices without building their own network infrastructure. Its offerings include SIM and eSIM connectivity, virtual private networking, data storage and visualization tools, and application programming interfaces that integrate with cloud services. Soracom serves enterprises across sectors such as manufacturing, agriculture, energy, logistics, and consumer devices, ranging from startups to large corporations. The company operates primarily in Japan while also serving customers internationally through partnerships with mobile network operators. Revenue is generated mainly through subscription and usage-based fees for connectivity and platform services. Soracom operates as a single reporting segment, its AI/IoT platform business.
20GF Score

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Earnings Power Value (EPV) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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