Japan Post Bank Co (7182) AI Stock Analysis

• Market Cap: ¥5.50T
• Dividend Yield: 3.77%
• Average Volume (3M): 6.13M
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.79
• Revenue Growth: -9.87%
• EPS Growth: 18.54%
• Country: JP
• Employees: 11,419
• Sector: Financial
• Sector Strength: 78
• Industry: Banks - Regional
• EPS (TTM): 35.00
• Shares Outstanding: 3,575,878,700
• 10 Day Avg. Volume: 6,101,890
• 30 Day Avg. Volume: 6,134,910
• PEG Ratio: -0.70
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.85
• 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: ¥1,842.83
• Price Target Upside: 19.74% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 65 Neutral
• Price Target: ―

Japan Post Bank Co achieves a solid overall score with strengths in financial performance, particularly in profitability and balance sheet health. The stock's valuation is reasonable, offering a good dividend yield. However, technical indicators suggest neutral to bearish market sentiment, and cash flow management needs improvement. These factors balance the potential risks and rewards for investors.

Japan Post Bank Co Business Overview & Revenue Model

Company Description

Japan Post Bank Co., Ltd. is a prominent financial institution in Japan, operating as a subsidiary of Japan Post Holdings. The bank is headquartered in Tokyo and is renowned for its extensive network of branches, offering a wide range of banking services. It primarily serves individual customers, providing deposit products, investment trusts, and personal loans. The bank's vast presence across the country makes it one of the largest financial institutions in Japan by deposit volume.

How the Company Makes Money

Japan Post Bank Co. generates revenue primarily through interest income from its vast portfolio of customer deposits, which it invests in various financial instruments, including Japanese government bonds, foreign bonds, and loans. Additionally, the bank earns fees and commissions from its financial services, such as investment trusts and other retail financial products. Its strategic partnerships, particularly with other entities within the Japan Post Group, enhance its product offerings and customer reach, thereby contributing to its revenue streams. The bank's large customer base and extensive branch network further solidify its position as a key player in the Japanese banking sector.

Japan Post Bank Co Financial Statement Overview

Summary

Japan Post Bank Co showcases a strong financial performance with a robust income statement and balance sheet, characterized by high profitability and conservative leverage. However, cash flow management is a concern due to inconsistencies and volatility.

Income Statement

Japan Post Bank Co shows strong profitability with a gross profit margin consistently over 100% due to its significant interest income as a bank. The net profit margin has been stable, indicating effective cost management. Notably, the revenue growth rate in the most recent TTM period showed positive momentum, improving from previous periods. However, the EBIT and EBITDA margins are relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio, highlighting conservative financial leverage. The company's equity ratio is modest, reflecting a solid capital base. The return on equity has been healthy, driven by consistent net income. However, the overall stockholders' equity has fluctuated slightly, signaling potential capital structure adjustments.

Cash Flow

The cash flow statement reveals volatility, with operating cash flow varying significantly across periods. The free cash flow growth has been inconsistent, reflecting challenges in cash conversion efficiency. The operating cash flow to net income ratio is currently unavailable due to zero operating cash flow in the latest TTM, which constrains comprehensive analysis. Overall, cash management requires focus to enhance liquidity stability.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	1.70T	1.94T	1.92T	1.58T	1.72T	1.68T
Gross Profit	1.83T	0.00	1.92T	1.58T	1.72T	1.68T
EBITDA	281.69B	111.12B	508.59B	488.61B	534.29B	427.69B
Net Income	401.15B	414.32B	356.13B	325.07B	355.07B	280.13B
Balance Sheet
Total Assets	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Cash, Cash Equivalents and Short-Term Investments	68.76T	0.00	57.72T	68.22T	66.67T	60.77T
Total Debt	1.77T	31.50T	28.40T	1.63T	5.60T	3.92T
Total Liabilities	10.00T>	10.00T>	10.00T>	3.57T	10.00T>	10.00T>
Stockholders Equity	9.54T	9.04T	9.67T	9.62T	10.27T	11.37T
Cash Flow
Free Cash Flow	0.00	-1.02T	18.09B	-4.54T	7.62T	9.39T
Operating Cash Flow	0.00	-995.96B	81.04B	-4.50T	7.67T	9.43T
Investing Cash Flow	0.00	6.99T	-10.28T	6.34T	-1.59T	-247.98B
Financing Cash Flow	0.00	538.13B	-236.64B	-286.04B	-181.66B	-79.14B

Japan Post Bank Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1539.00
• 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:7182, the sentiment is Positive. The current price of 1539 is above the 20-day moving average (MA) of 1525.50, above the 50-day MA of 1491.39, and above the 200-day MA of 1435.41, indicating a bullish trend. The MACD of 7.92 indicates Positive momentum. The RSI at 56.81 is Neutral, neither overbought nor oversold. The STOCH value of 55.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7182.

Japan Post Bank Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8316	80 Outperform	$14.07T	12.02	7.92%	3.42%	5.50%	24.85%
8411	78 Outperform	¥9.97T	11.35	8.45%	3.27%	7.33%	30.52%
8306	75 Outperform	$22.45T	12.40	9.18%	3.93%	10.98%	28.45%
Sector *	67 Neutral	¥712.08B	10.85	7.42%	3.37%	7.74%	16.12%
7180	67 Neutral	$316.67B	10.28	4.21%	3.33%	-2.23%	1.97%
7182	65 Neutral	¥5.50T	13.43	4.38%	3.77%	-9.87%	18.54%
7186	60 Neutral	¥1.07T	13.06	6.37%	3.42%	8.79%	19.19%

Japan Post Bank Co Corporate Events

Japan Post Bank to Offer Disaster Recovery Housing Loans

Japan Post Bank Co., Ltd. has announced the commencement of handling Housing Loans for Disaster Recovery in collaboration with the Japan Housing Finance Agency, starting May 7, 2025. This initiative aims to support individuals whose homes have been damaged or destroyed by disasters, although the impact on the bank’s business performance is expected to be minimal. The bank is committed to aiding the recovery of disaster-stricken areas through these efforts.

Japan Post Bank Announces Progress in Share Repurchase Program

Japan Post Bank Co., Ltd. announced the status of its share repurchase program, which is part of a previously announced plan to buy back up to 40 million shares. As of March 31, 2025, the company has repurchased 3,244,300 shares at an aggregate price of approximately 5.15 billion yen. This move is part of a strategic effort to manage its capital structure and potentially enhance shareholder value.