JAPAN POST INSURANCE Co., Ltd. (7181) AI Stock Analysis

• Market Cap: ¥1.24T
• Dividend Yield: 3.01%
• Average Volume (3M): 781.65K
• Price to Earnings (P/E): 10.7
• Beta (1Y): 0.72
• Revenue Growth: 26.21%
• EPS Growth: 41.82%
• Country: JP
• Employees: 19,092
• Sector: Financial
• Sector Strength: 75
• Industry: Insurance - Life
• EPS (TTM): 101.99
• Shares Outstanding: 371,822,700
• 10 Day Avg. Volume: 854,530
• 30 Day Avg. Volume: 781,646
• PEG Ratio: 0.79
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.53
• 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: ¥3,650.00
• Price Target Upside: 5.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 71 Outperform
• Price Target: ¥3,627.00 ▲(4.40%Upside)

Japan Post Insurance Co., Ltd. has a strong valuation appeal with a low P/E ratio and high dividend yield, combined with positive technical indicators. However, financial performance is hindered by inconsistent revenue growth and cash flow challenges, which slightly dampens the overall attractiveness of the stock.

JAPAN POST INSURANCE Co., Ltd. Business Overview & Revenue Model

Company Description

JAPAN POST INSURANCE Co., Ltd. (7181) is a leading life insurance company in Japan, operating as part of the Japan Post Group. The company offers a comprehensive range of insurance products, including life insurance policies, annuities, and health-related insurance services. It primarily serves individual and group clients across Japan, leveraging an extensive distribution network that includes post offices and affiliated financial institutions. JAPAN POST INSURANCE aims to provide financial security and peace of mind to its customers through its diverse insurance offerings.

How the Company Makes Money

JAPAN POST INSURANCE Co., Ltd. generates revenue primarily through the sale of life insurance and annuity products. The company earns premiums from policyholders who purchase life insurance policies and annuities. These premiums are invested in a diversified portfolio of assets, including government bonds, corporate bonds, equities, and real estate, to generate investment income. The company also benefits from its partnership with Japan Post Holdings, utilizing the vast network of post offices to reach a wide customer base, which contributes significantly to its sales. Additionally, the firm manages risks and liabilities through careful underwriting and risk assessment practices, ensuring profitability and stability in its operations.

JAPAN POST INSURANCE Co., Ltd. Financial Statement Overview

Summary

JAPAN POST INSURANCE Co., Ltd. demonstrates strong operational efficiency and financial stability, with high margins and low leverage. However, the company faces challenges with declining revenue and cash flow constraints, which could impact future growth and liquidity. The balance sheet remains a strength, providing a solid foundation for potential improvements in profitability and cash generation.

Income Statement

The income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) gross profit margin and EBIT margin are high, indicating strong operational efficiency. However, there is a declining revenue trend, with a significant drop compared to previous years, impacting overall growth prospects. The net profit margin remains modest, reflecting effective cost management but also indicating room for improvement in profitability.

Balance Sheet

The balance sheet is robust, with a strong equity position and low leverage, as indicated by the low debt-to-equity ratio. The equity ratio is stable, showing a healthy balance between assets and equity. Despite a decrease in total assets and equity over the years, the company's financial stability remains solid, minimizing potential risks.

Cash Flow

The cash flow statement reveals significant challenges, with consistently negative operating and free cash flows over the years, indicating difficulties in generating cash from operations. The lack of positive cash flow metrics poses a risk to liquidity and operational sustainability, despite the availability of cash reserves.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.86T	3.58T	2.72T	3.10T	3.48T	3.76T
Gross Profit	4.45T	0.00	2.72T	3.10T	3.48T	3.76T
EBITDA	116.54B	130.58B	162.46B	181.96B	277.50B	295.24B
Net Income	106.33B	123.47B	87.06B	97.61B	158.06B	166.10B
Balance Sheet
Total Assets	60.47T	59.56T	60.86T	62.69T	67.17T	70.17T
Cash, Cash Equivalents and Short-Term Investments	1.45T	0.00	1.16T	1.44T	1.27T	1.34T
Total Debt	500.00B	5.02T	400.00B	300.00B	300.00B	300.00B
Total Liabilities	56.98T	56.31T	57.46T	60.31T	64.75T	67.33T
Stockholders Equity	3.49T	3.24T	3.40T	2.38T	2.42T	2.84T
Cash Flow
Free Cash Flow	0.00	-1.64T	-3.15T	-3.01T	-2.79T	-2.84T
Operating Cash Flow	0.00	-1.63T	-3.06T	-2.98T	-2.76T	-2.81T
Investing Cash Flow	0.00	2.46T	2.72T	3.22T	3.11T	2.55T
Financing Cash Flow	0.00	60.14B	62.17B	-72.94B	-420.27B	176.74B

JAPAN POST INSURANCE Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3474.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7181, the sentiment is Positive. The current price of 3474 is above the 20-day moving average (MA) of 3292.05, above the 50-day MA of 3178.99, and above the 200-day MA of 2908.16, indicating a bullish trend. The MACD of 65.82 indicates Negative momentum. The RSI at 69.60 is Neutral, neither overbought nor oversold. The STOCH value of 90.59 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7181.

JAPAN POST INSURANCE Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7181	71 Outperform	¥1.24T	10.69		3.01%	26.21%	41.82%
7167	71 Outperform	¥707.25B	13.34		2.31%	2.02%	92.64%
7163	70 Outperform	¥734.93B	26.13		0.41%	―	―
Sector *	67 Neutral	¥718.95B	10.85	7.55%	3.30%	7.89%	15.53%
8795	64 Neutral	$1.73T	13.95	9.22%	2.38%	7.47%	58.38%
8750	64 Neutral	$4.15T	9.71	11.52%	3.37%	2.99%	81.04%
7157	54 Neutral	¥162.72B	27.80		―	24.65%	102.08%

JAPAN POST INSURANCE Co., Ltd. Corporate Events

Japan Post Insurance Details Parent Company Relationship

Japan Post Insurance Co., Ltd. has announced details regarding its relationship with its parent company, Japan Post Holdings, which holds a substantial share of voting rights. The announcement highlights the intertwined personnel and transaction relationships within the Japan Post Group, emphasizing shared governance and operational efficiencies. This structure is designed to enhance the group’s business administration and management efficiency, potentially impacting stakeholders by reinforcing group governance and improving operational effectiveness.

The most recent analyst rating on (JP:7181) stock is a Hold with a Yen2570.00 price target. To see the full list of analyst forecasts on JAPAN POST INSURANCE Co., Ltd. stock, see the JP:7181 Stock Forecast page.

Japan Post Insurance Reveals EEV Results to Enhance Financial Transparency

Japan Post Insurance Co., Ltd. has disclosed its European Embedded Value (EEV) results as of March 31, 2025, to provide insights into its current financial position. This disclosure aims to enhance transparency and offer stakeholders a clearer understanding of the company’s financial health and operational efficiency.

The most recent analyst rating on (JP:7181) stock is a Hold with a Yen2570.00 price target. To see the full list of analyst forecasts on JAPAN POST INSURANCE Co., Ltd. stock, see the JP:7181 Stock Forecast page.

Japan Post Insurance Reports Strong Financial Performance Amid Market Challenges

Japan Post Insurance Co., Ltd. reported a significant increase in net income by 41.8% year-on-year, driven by a positive market environment despite a decrease in the number of policies in force. The company forecasts continued strong investment income and plans to increase its annual dividend per share, reflecting a commitment to shareholder returns. The number of new policies for individual insurance saw a notable increase, contributing to a substantial rise in the value of new business, although the overall embedded value experienced a slight decline due to decreased unrealized gains in domestic stocks.

The most recent analyst rating on (JP:7181) stock is a Hold with a Yen2570.00 price target. To see the full list of analyst forecasts on JAPAN POST INSURANCE Co., Ltd. stock, see the JP:7181 Stock Forecast page.

Japan Post Insurance Reports Fiscal Year 2025 Results

Japan Post Insurance Co., Ltd. reported its financial results for the fiscal year ending March 31, 2025, highlighting a decrease in the number of policies in force and new policies compared to the previous year. The announcement indicates a shift in the company’s market dynamics, potentially impacting its operational strategies and stakeholder interests.

The most recent analyst rating on (JP:7181) stock is a Hold with a Yen2570.00 price target. To see the full list of analyst forecasts on JAPAN POST INSURANCE Co., Ltd. stock, see the JP:7181 Stock Forecast page.

Japan Post Insurance Reports Fiscal Year 2025 Financial Results

Japan Post Insurance Co., Ltd. reported its consolidated financial results for the fiscal year ended March 31, 2025, showing a decline in ordinary income by 8.6% compared to the previous year, but an increase in net income attributable to the company by 41.8%. The company plans to enhance shareholder value through a scheduled dividend increase and the acquisition and cancellation of treasury stock, indicating a strategic focus on improving financial performance and shareholder returns.

The most recent analyst rating on (JP:7181) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on JAPAN POST INSURANCE Co., Ltd. stock, see the JP:7181 Stock Forecast page.

JAPAN POST INSURANCE Announces Executive Leadership Change

JAPAN POST INSURANCE Co., Ltd. announced a change in its Representative Executive Officer, with Hironaka Yasuaki set to replace Shima Toshitaka as Deputy President and Representative Executive Officer. This change is part of the company’s strategy to bolster its management framework, which may impact its operational efficiency and market competitiveness.

The most recent analyst rating on (JP:7181) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on JAPAN POST INSURANCE Co., Ltd. stock, see the JP:7181 Stock Forecast page.

Japan Post Insurance Reports Unrealized Losses on Securities

Japan Post Insurance Co., Ltd. reported unrealized losses on its securities amounting to 2,181,194 million yen as of March 31, 2025. Despite these losses, the company has not revised its financial results or dividend forecast for the fiscal year ending March 31, 2025, indicating stability in its financial outlook.

Japan Post Insurance Completes Treasury Stock Acquisition

Japan Post Insurance Co., Ltd. has completed the acquisition of 717,200 shares of its treasury stock for approximately 1.96 billion yen, as part of a broader plan authorized by its Board of Directors. This acquisition is part of a strategic move to manage its capital structure, potentially enhancing shareholder value and reflecting confidence in the company’s future prospects.