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Micware Co., Ltd.

Rank #184ValueWatchlistCompare with other stocks

MWC · Nasdaq · Consumer Cyclical

Micware Co., Ltd. (MWC) — Rank #184 by gross profitability (GP/assets 0.33) · ROE 20.0% · Piotroski F-Score 6 / 9.

As-of 2026-10-30 · CIK 0002083526 · all metrics point-in-time as of the filing date.

About

Micware Co., Ltd. provides software development services and information technology solutions focusing on the automotive and mobility sectors in Japan and internationally.

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The company operates three segments: Software Defined Vehicles, Location-Based Services, and Others. Its Software Defined Vehicles segment develops and sells software systems designed for SDV, including in-vehicle infotainment (IVI) system software and other mobility-enhancing software products. The Location-Based Services segment engages in the development and licensing of in-vehicle navigation software systems, and other geographic data-based services for business-to-business customers. Its Other segment comprises software development services for SDV, and business-to-consumer mobile app services unrelated to in-vehicle navigation. It engages in the development and sale of IVI systems that for automotive multimedia, navigation, human machine interface, telematics, and driver assistance. The company also specializes in the development of navigation software and location information-based smartphone applications. Micware Co., Ltd.

was incorporated in 2003 and is headquartered in Kobe, Japan.

Industry
Auto Parts
Sector
Consumer Cyclical
State
M0
Filer Category
Non-accelerated filerEmerging growth company
Fiscal Year End
February 28

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

483

Industry

Auto Parts

Exchange

Nasdaq

10/11

Flags passed

MWC passes 10/11 quality flags

1 caution to review

  • CAUTION
    Dilution above 2%

    Annual share count increase exceeds 2%. May be acceptable for high-growth companies funding talent via stock compensation

  • PASS
    Gross margin holding
  • PASS
    FCF not negative from investment
  • PASS
    Disclosure consistent
  • PASS
    Revenue not declining
  • PASS
    Operating margin holding
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    Balance sheet stable
  • PASS
    No competitive retreat
  • PASS
    No valuation convergence

Strengths Operating leverage expanding · Deferred revenue growing

No data SBC and margin — not counted as a pass.

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.33
Return on equity
20.0%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.93
Current ratio
1.66×
Net cash
$5.21B

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
—

Growth

1/2 pass
Revenue growth
3.7%
Piotroski F-Score
6 / 9
Share dilution
7.4%

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Does it make money well?

No warning flags · GP/assets 43rd percentile of 96 SIC 73 peers

Gross profitability (GP / assets)

0.33

Primary signal (Novy-Marx).

43rd pctl of 96 SIC 73 peers

Return on equity

20.0%

Gross margin

36.8%

16th pctl of 95 SIC 73 peers

Revenue growth (YoY)

3.7%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

202420252026
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Cash Flow Health

Is the cash real?

No warning flags · FCF 28% above net income

Free cash flow

$2.05B

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

28.0%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

—

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

Caution: Dilution above 2% · net cash $5.21B, F-Score 6/9

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.93

1st pctl of 87 SIC 73 peers (best = lowest)

Current ratio

1.66×

41st pctl of 95 SIC 73 peers

Quick ratio

1.14×

Net cash

$5.21B

Cash & equivalents minus total debt.

Piotroski F-Score

6 / 9

Fundamental-strength score (0-9).

Valuation

Is the price reasonable?

No warning flags

Capital allocation quality

Composite score

2.0 / 5

Fair
Share count trend
7.4%0/5 Weak
Buyback timing
N/AN/A
Dividend growth consistency(non-payer or broken streak)
0 yr3/5 Good
Net debt trajectory
0.0%3/5 Good

Lifecycle Phase History

20242026
Value

Price History

MWC-77.2% · -98.6% CAGRSPY+2.3% · +6.8% CAGR

View full financial statements →

Source filings on SEC EDGAR: 10-K annual reports · 10-Q quarterly reports