UPR Corp. (7065) AI Stock Analysis

• Market Cap: ¥7.80B
• Dividend Yield: 3.17%
• Average Volume (3M): 10.00K
• Price to Earnings (P/E): 13.9
• Beta (1Y): 0.91
• Revenue Growth: -0.70%
• EPS Growth: -43.72%
• Country: JP
• Employees: 228
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 31.20
• Shares Outstanding: 7,660,000
• 10 Day Avg. Volume: 13,860
• 30 Day Avg. Volume: 9,996
• PEG Ratio: -0.41
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.39
• P/FCF Ratio: -15.98
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 74.45
• Revenue Forecast (FY): ¥15.63B

• Rating: 59 Neutral
• Price Target: ¥1,008.00 ▲(20.14% Upside)
• Action: Reiterated Date: 01/20/26
• Date: Action: Reiterated 01/20/26

The score is held back primarily by weakening profitability and inconsistent free cash flow alongside moderate leverage. Technicals are supportive due to a strong uptrend, but overbought signals reduce confidence near-term. Valuation is reasonable with a moderate P/E and a modest dividend yield.

Positive Factors

Operating cash flow resilience

Consistently positive operating cash flow provides a durable internal funding source to service debt and run operations. Over a 2-6 month horizon this stability reduces refinancing risk, supports working capital and targeted investments even if reported earnings or FCF fluctuate.

Revenue stability

Broadly stable revenues imply persistent customer demand and predictable top-line performance. This stability helps absorb fixed costs, sustain gross profit dollars, and enables management to focus on margin recovery or strategic initiatives without needing aggressive top-line fixes.

Growing equity and asset base

An expanding equity base and larger asset footprint indicate scale and stronger capitalization over time. This supports operational capacity and gives the company strategic optionality for reinvestment or selective expansion, improving long-term competitive positioning.

Negative Factors

Compressed profitability

Material compression of operating and net margins reduces the company's ability to generate sustainable earnings and returns on capital. Persistently lower margins impair reinvestment capacity, weaken ROE, and increase vulnerability to cost or demand shocks over the medium term.

Volatile free cash flow

Recurring negative or inconsistent free cash flow weakens cash conversion and financial flexibility. Over 2-6 months this raises execution risk by limiting capacity for debt paydown, dividends, or capex without external financing, increasing reliance on markets when conditions tighten.

Moderate leverage (~1x D/E)

Debt roughly equal to equity creates meaningful leverage that constrains flexibility. With compressed margins and uneven FCF, this level of debt raises refinancing and interest-coverage risk and limits capacity for M&A or counter-cyclical investments without stressing liquidity.

UPR Corp. Business Overview & Revenue Model

Company Description

UPR Corporation primarily engages in the rental and sale of pallets and logistics equipment in Japan. It also provides logistics consultation, positional information, car-sharing, remote monitoring, and second-hand dealer services. The company was founded in 1979 and is headquartered in Tokyo, Japan.

How the Company Makes Money

UPR Corp. generates revenue primarily through its logistics and supply chain management services. Key revenue streams include fees for transportation services, warehousing solutions, and inventory management systems. The company partners with a range of industries, including manufacturing, retail, and e-commerce, to provide tailored logistics solutions that meet specific client needs. Additionally, UPR Corp. leverages technology to offer value-added services such as real-time tracking and data analytics, which enhance its service offering and contribute to its income.

UPR Corp. Financial Statement Overview

Summary

Stable revenue but materially weaker profitability versus prior years, with compressed operating and net margins. Operating cash flow is consistently positive, but free cash flow is volatile and often negative, and leverage around ~1x debt-to-equity limits flexibility if earnings stay pressured.

Income Statement

Revenue has been broadly stable over the last several years, but growth has cooled materially and the latest annual period shows a slight decline versus the prior year. Profitability has compressed meaningfully from earlier peaks: net income and operating profit are down versus prior years, and margins have trended lower overall. A positive is that the business still generates solid gross profit dollars, but the trajectory of operating earnings and net profit is the key weakness.

Balance Sheet

The balance sheet shows moderate-to-elevated leverage for the industry, with debt running around equity (debt-to-equity roughly ~1.0 in recent annual periods), which limits flexibility if earnings remain pressured. Equity has grown over time and total assets have increased, supporting scale, but returns on equity have drifted down from earlier stronger levels—consistent with the margin and earnings decline. Overall: adequate capitalization, but leverage is a meaningful constraint.

Cash Flow

Operating cash flow is consistently positive and sizable, which supports debt servicing and ongoing operations. However, free cash flow is volatile and often negative (including the latest annual period), indicating heavy reinvestment needs and/or less efficient conversion of earnings into cash. While there are occasional strong years for free cash flow, the inconsistency reduces financial flexibility and raises execution risk if operating conditions weaken.

Breakdown	Aug 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	15.35B	15.46B	14.83B	13.33B	12.93B
Gross Profit	4.64B	4.83B	4.80B	4.09B	3.98B
EBITDA	3.78B	3.67B	3.79B	3.74B	3.44B
Net Income	336.21M	597.35M	743.78M	680.92M	561.51M
Balance Sheet
Total Assets	21.96B	21.47B	20.90B	19.60B	18.53B
Cash, Cash Equivalents and Short-Term Investments	3.27B	3.51B	3.21B	3.16B	2.71B
Total Debt	9.19B	8.68B	8.31B	7.95B	8.64B
Total Liabilities	12.65B	12.44B	12.39B	11.78B	11.31B
Stockholders Equity	9.15B	8.92B	8.44B	7.78B	7.20B
Cash Flow
Free Cash Flow	-375.31M	50.38M	-203.44M	1.20B	-418.26M
Operating Cash Flow	3.06B	3.55B	3.39B	3.27B	2.91B
Investing Cash Flow	-3.72B	-3.52B	-3.63B	-2.10B	-3.18B
Financing Cash Flow	394.23M	266.68M	252.81M	-781.37M	-675.03M

UPR Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 839.00
• 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:7065, the sentiment is Positive. The current price of 839 is below the 20-day moving average (MA) of 1037.00, below the 50-day MA of 972.66, and above the 200-day MA of 800.73, indicating a neutral trend. The MACD of 3.82 indicates Positive momentum. The RSI at 50.56 is Neutral, neither overbought nor oversold. The STOCH value of 23.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7065.

UPR Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9991	78 Outperform	¥65.18B	10.98	―	4.09%	-6.09%	31.18%
7081	76 Outperform	¥15.27B	7.84	―	3.03%	5.72%	60.38%
9763	76 Outperform	¥16.66B	11.67	―	3.57%	6.66%	13.62%
2445	70 Outperform	¥20.26B	13.46	―	3.33%	-1.56%	-3.60%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7065	59 Neutral	¥7.80B	13.94	―	3.17%	-0.70%	-43.72%
9223	48 Neutral	¥6.53B	-42.05	―	0.38%	11.65%	-210.62%