| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 996.62 | -10 |
| Intrinsic value (DCF) | 12013.32 | 990 |
| Graham-Dodd Method | 445.61 | -60 |
| Graham Formula | 1601.81 | 45 |
Dely, Inc. (299A.T) is a Tokyo-based internet media company specializing in video advertising and digital content, primarily through its popular recipe application, Kurashiru, and its loyalty program, Kurashiru Reward. Founded in 2014 by Yusuke Horie and Masato Otake, Dely operates in the fast-growing digital content and advertising space within Japan's communication services sector. The company leverages its platform to engage users with high-quality video recipes while monetizing through advertising and rewards programs. With a market capitalization of ¥61.5 billion, Dely has demonstrated strong revenue growth, reaching ¥13.1 billion in the latest fiscal year. The company's asset-light model, zero debt, and robust cash position (¥8.9 billion) provide financial flexibility for further expansion. As digital media consumption continues to rise in Japan, Dely is well-positioned to capitalize on trends in mobile content and targeted advertising.
Dely presents an intriguing growth opportunity in Japan's digital media landscape, with its niche focus on recipe content proving commercially viable. The company's strong revenue growth (¥13.1 billion) and profitability (¥1.69 billion net income) suggest effective monetization of its platform. However, investors should note the stock's exceptionally high beta (7.32), indicating extreme volatility relative to the market. The lack of debt and substantial cash reserves provide stability, but the absence of dividends may deter income-focused investors. Key risks include dependence on a single primary product (Kurashiru), intense competition in digital advertising, and the challenges of sustaining user growth in a mature market. The company's future success will depend on its ability to expand its content offerings and maintain engagement in Japan's competitive digital media space.
Dely occupies a unique position in Japan's digital media landscape by combining recipe content with advertising monetization. Its competitive advantage stems from its first-mover status in video recipe content and the network effects of its Kurashiru platform. The company's deep understanding of Japanese culinary preferences allows for highly localized content that larger global platforms may struggle to replicate. However, Dely faces significant competition from both specialized food media companies and general digital platforms. Its asset-light model provides cost advantages but may limit content diversification compared to vertically integrated competitors. The lack of debt is a strength but could also indicate under-leveraged growth potential. Dely's primary challenge will be expanding beyond its core recipe vertical while defending against platforms that can cross-subsidize content creation. The company's strong cash position could facilitate strategic acquisitions or technology investments to enhance its competitive moat. Success will depend on maintaining high user engagement metrics and developing more sophisticated advertising solutions to compete with larger digital ad platforms.