Japan Petroleum Exploration Co (1662) AI Stock Analysis

• Market Cap: $325.84B
• Dividend Yield: 3.53%
• Average Volume (3M): 868.48K
• Price to Earnings (P/E): 3.9
• Beta (1Y): 0.83
• Revenue Growth: 8.04%
• EPS Growth: 71.32%
• Country: JP
• Employees: 1,641
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 26.77
• Shares Outstanding: 257,000,370
• 10 Day Avg. Volume: 1,204,310
• 30 Day Avg. Volume: 868,480
• PEG Ratio: 0.06
• Price to Book (P/B): 0.57
• Price to Sales (P/S): 0.77
• P/FCF Ratio: 5.84
• Enterprise Value/Market Cap: 0.54
• Enterprise Value/Revenue: 0.46
• Enterprise Value/Gross Profit: 1.73
• Enterprise Value/Ebitda: 1.03
• 1Y Price Target: $1,105.70
• Price Target Upside: -13.21% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 81 Outperform
• Price Target: ¥1,468.00 ▲(15.23% Upside)

Japan Petroleum Exploration Co's overall stock score is driven by its strong financial performance and attractive valuation. The company's robust profitability, low leverage, and healthy cash flows position it well in the oil and gas sector. The technical analysis supports a positive outlook with bullish momentum indicators. The low P/E ratio and solid dividend yield further enhance the stock's attractiveness. However, the absence of earnings call insights and corporate events data limits the analysis.

Japan Petroleum Exploration Co Business Overview & Revenue Model

Company Description

Japan Petroleum Exploration Co., Ltd., together with its subsidiaries, explores, develops, produces, and sells oil, natural gas, and other energy resources in Japan, Canada, Russia, Iraq, and internationally. The company operates 10 domestic oil and natural gas fields in onshore and offshore of Hokkaido, Akita, Yamagata, and Niigata prefectures. It also owns and manages a natural gas pipeline network with a total length of approximately 800 kilometers. In addition, the company is involved in well drilling and engineering contracting services; manufacturing and selling oil products; real estate management and insurance agency activities; sale and contracted transportation of crude oil; recycling of waste oil; and pipeline management and maintenance operations. Further, it engages in the geophysical exploration work contracting and geophysical exploration technology development; geophysical logging and mud logging work contract; exploration, development, and production of tight oil, oil sands, and shale gas; purchase and sale of LNG, petroleum products, etc.; provision of industrial disaster prevention and security services; manufacture and sale of drilling mud preparations and mud services; and operation and commissioning of natural power plants. The company was founded in 1955 and is headquartered in Tokyo, Japan.

How the Company Makes Money

JAPEX generates revenue primarily through the exploration, production, and sale of oil and natural gas. The company earns money from selling crude oil and natural gas products to various domestic and international markets. Key revenue streams include the sale of hydrocarbons extracted from its exploration activities, along with associated services such as transportation and storage of these energy products. Additionally, JAPEX has formed strategic partnerships with other energy companies and government entities, which can enhance its operational capabilities and expand its market reach. The company's involvement in renewable energy projects also contributes to its revenue, particularly as the global energy landscape shifts towards sustainable and cleaner sources.

Japan Petroleum Exploration Co Financial Statement Overview

Summary

Japan Petroleum Exploration Co demonstrates robust financial performance with strong profitability, low leverage, and healthy cash flows. The company is well-positioned to capitalize on growth opportunities in the oil and gas sector, though it should remain vigilant about potential market volatility and asset management to sustain its financial health.

Income Statement

The company shows strong revenue growth with a 4.95% increase in the latest year, supported by robust gross and net profit margins of 23.83% and 20.86%, respectively. The EBIT and EBITDA margins are also impressive at 28.60% and 41.42%, indicating efficient operations. However, the historical volatility in revenue growth and net income suggests potential risks in maintaining consistent profitability.

Balance Sheet

The balance sheet is solid with a very low debt-to-equity ratio of 0.0028, indicating minimal leverage and financial risk. The return on equity is strong at 15.38%, reflecting effective use of equity to generate profits. The equity ratio stands at 77.41%, showcasing a stable financial structure. However, the company should monitor its asset utilization to ensure continued efficiency.

Cash Flow

The cash flow statement reveals a significant improvement in free cash flow growth, driven by strong operating cash flow coverage of 2.89. The free cash flow to net income ratio of 0.36 indicates a healthy conversion of profits into cash. Despite past fluctuations, the current cash flow position supports future investment and debt servicing needs.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	382.46B	389.08B	325.86B	336.49B	249.14B	240.08B
Gross Profit	101.56B	92.70B	87.30B	96.11B	49.90B	36.53B
EBITDA	170.49B	161.17B	97.06B	97.35B	407.00M	17.81B
Net Income	85.38B	81.15B	53.66B	67.39B	-30.99B	-2.73B
Balance Sheet
Total Assets	677.63B	681.60B	660.93B	568.18B	471.94B	624.79B
Cash, Cash Equivalents and Short-Term Investments	153.34B	142.36B	173.00B	194.96B	150.27B	165.40B
Total Debt	7.63B	1.48B	250.00M	510.00M	770.00M	112.36B
Total Liabilities	124.60B	124.34B	123.36B	111.01B	69.17B	190.29B
Stockholders Equity	523.64B	527.75B	503.90B	425.63B	371.64B	400.17B
Cash Flow
Free Cash Flow	0.00	51.29B	24.64B	68.42B	-17.62B	27.69B
Operating Cash Flow	0.00	141.82B	90.56B	104.58B	-1.05B	43.26B
Investing Cash Flow	0.00	-107.08B	-99.66B	-52.72B	52.07B	-6.45B
Financing Cash Flow	0.00	-38.67B	-28.60B	-14.51B	-70.94B	-15.63B

Japan Petroleum Exploration Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1274.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1662, the sentiment is Positive. The current price of 1274 is above the 20-day moving average (MA) of 1256.66, above the 50-day MA of 1175.67, and above the 200-day MA of 1085.20, indicating a bullish trend. The MACD of 34.61 indicates Positive momentum. The RSI at 60.15 is Neutral, neither overbought nor oversold. The STOCH value of 24.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1662.

Japan Petroleum Exploration Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1605	81 Outperform	¥3.19T	7.28	8.86%	3.49%	-6.76%	38.77%
1662	81 Outperform	$325.84B	3.88	16.81%	3.53%	8.04%	71.32%
5021	73 Outperform	¥574.06B	19.17	9.86%	6.86%	0.62%	-72.08%
5019	73 Outperform	¥1.30T	102.27	6.05%	3.56%	-4.23%	-95.01%
5020	73 Outperform	¥2.49T	19.37	7.29%	3.03%	-12.88%	-55.89%
6269	71 Outperform	¥536.16B	14.92	18.88%	1.14%	13.44%	21.48%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Japan Petroleum Exploration Co Corporate Events

JAPEX Revises Financial Forecasts and Increases Dividend

Japan Petroleum Exploration Co., Ltd. (JAPEX) has revised its financial and dividend forecasts for the fiscal year ending March 31, 2025. The company anticipates a decrease in operating profit due to increased costs related to equipment, materials, labor, and asset retirement obligations. Additionally, foreign exchange losses are expected to impact ordinary profit and profit attributable to owners of the parent. Despite these challenges, JAPEX has increased its year-end dividend forecast by 5 yen per share, reflecting its commitment to maintaining a dividend payout ratio aligned with business results.