HeartCore Enterprises, Inc. (HTCR) AI Stock Analysis

HeartCore Enterprises, Inc. is a software development firm based in Tokyo, Japan, that specializes in Software as a Service (SaaS) solutions for enterprise clients globally. Founded in 2009, the company provides a customer experience management platform integrating marketing, sales, service, and content management systems. In addition, it offers data analytics services for personalized web experiences. HeartCore also maintains a digital transformation arm delivering solutions in robotics process automation, process mining, and task mining to help enterprises accelerate operational efficiency.

HeartCore experienced significant volatility in revenue, growing from $10.8M in FY2021 to a peak of $30.4M in FY2024 before dropping 70.5% to $9.0M in FY2025. Gross margin was 35.1% in FY2025, down from 58.6% in FY2024. Operating margin remained negative at -33.2% in FY2025, though the company recorded net income of $5.8M with a net margin of 64.6% and EPS of $0.78. Over the trailing twelve months, revenue was $9.1M with an operating margin of -256.4% and EPS of -$3.51. For the latest quarter ended June 30, 2026, quarterly revenue grew 71.6% year-over-year, while quarterly earnings fell 96.9%.

As of June 30, 2026, HeartCore held $3.3M in cash and short-term investments against $419,420 in total debt, yielding net cash of $2.8M. Shareholders' equity was $4.9M and the current ratio stood at 1.17, with a debt-to-equity ratio of 0.09. In FY2025, the company reported negative free cash flow of -$4.0M and operating cash flow of -$4.0M. During FY2025, capital expenditures were $2, share issuance totaled $250,000, and dividends paid were $3.3M, while share count expanded 45.7% over five years.

HeartCore trades at a forward P/E of 2.6x, well below the 18.8x median of its US-listed Technology peers. Its price-to-sales multiple is 0.3x compared to the peer median of 2.8x, and its EV-to-revenue stands at 0.1x with an enterprise value of $771,672. Over the past year, HTCR shares declined 87.6%, underperforming the S&P 500 return of 16.8%. The stock trades 56.3% below its 200-day average, with a beta of 1.70.

HeartCore pays a forward annual dividend of $0.08, reflecting a dividend yield of 0.00% and a payout ratio of 19.1%. The company has paid dividends for 2 consecutive years, with the last ex-dividend date on November 10, 2025.

Analysts have a mean price target of $2.75 for HTCR, representing upside of 77.0% from the last close of $1.55 on October 16, 2026. For the current fiscal year ending December 31, 2026, the EPS estimate is $0.09, representing an estimated earnings decline of 98.0%, with revenue estimated at $0. HeartCore has beaten EPS estimates in 3 of the last 4 quarters, and its next earnings date is November 17, 2026.

This page is an AI-written research summary of HeartCore Enterprises, Inc. (HTCR). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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