Japan Prime Realty Investment (8955) AI Stock Analysis

• Market Cap: $373.34B
• Dividend Yield: 16.99%
• Average Volume (3M): 8.29K
• Price to Earnings (P/E): 22.9
• Beta (1Y): 0.16
• Revenue Growth: 44.54%
• EPS Growth: 5.60%
• Country: JP
• Employees: 50
• Sector: Real Estate
• Sector Strength: 59
• Industry: REIT - Diversified
• EPS (TTM): 2203.75
• Shares Outstanding: 3,988,712
• 10 Day Avg. Volume: 8,825
• 30 Day Avg. Volume: 8,288
• PEG Ratio: 8.09
• Price to Book (P/B): 1.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 24.37
• 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

• Rating: 72 Outperform
• Price Target: ―

Japan Prime Realty Investment demonstrates strong financial performance with excellent profitability, a balanced balance sheet, and robust cash flow. While technical indicators show some short-term challenges, the long-term trend remains stable. Fair valuation with an attractive dividend yield supports the score.

Japan Prime Realty Investment Business Overview & Revenue Model

Company Description

Japan Prime Realty Investment Corporation (JPR) was established on September 14, 2001 under the Act on Investment Trusts and Investment Corporations (Act No. 198 of 1951, as amended), and was listed on the Tokyo Stock Exchange Real Estate Investment Trust Section on June 14, 2002 with 289,600 outstanding investment units. With the subsequently implemented public offerings and other capital raising measures by JPR, the number of investment units issued and outstanding totals 958250 units as of the end of the 37th fiscal period (June 30, 2020). JPR has assigned the asset management of its portfolio to Tokyo Realty Investment Management, Inc. (TRIM), through which JPR aims to maximize unitholder value by efficiently managing the portfolio primarily comprising office properties and retail properties.

How the Company Makes Money

Japan Prime Realty Investment makes money through income generated from its real estate holdings. The company's primary revenue streams include rental income from leasing out office buildings, retail spaces, and logistics facilities to tenants. Additionally, the company may occasionally engage in property sales, which can contribute to its earnings. The REIT structure also allows Japan Prime Realty Investment to benefit from tax advantages, as it distributes a significant portion of its income as dividends to shareholders. Furthermore, strategic partnerships with property management companies and real estate developers enhance the value and performance of its property portfolio, contributing to its overall revenue.

Japan Prime Realty Investment Financial Statement Overview

Summary

Japan Prime Realty Investment displays solid financial health with strong profitability, a well-structured balance sheet, and robust cash flow generation. The company is well-positioned within the REIT industry, showing consistent growth and effective leverage management, which mitigates potential financial risks.

Income Statement

The company shows strong profitability with a consistent increase in revenue and solid net income growth. Gross profit margin stands at 49.95%, and net profit margin is at 43.84% for the latest annual period. The revenue growth rate from 2023 to 2024 is 4.61%. EBIT and EBITDA margins are robust at 48.54% and 60.23%, respectively, indicating efficient cost management.

Balance Sheet

The balance sheet reflects a balanced financial structure with a debt-to-equity ratio of 0.84, suggesting moderate leverage. The return on equity is strong at 59.38%, indicating efficient use of equity capital. The equity ratio is 51.05%, showcasing a stable asset base funded by equity.

Cash Flow

Cash flow analysis reveals healthy cash generation with a free cash flow growth rate of 34.97% from 2023 to 2024. The operating cash flow to net income ratio is 2.45, indicating strong cash conversion from earnings. The free cash flow to net income ratio is 0.54, reflecting good cash availability after capital expenditures.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	37.23B	35.59B	37.10B	35.56B	33.49B
Gross Profit	18.60B	17.49B	20.74B	19.47B	18.45B
EBITDA	22.42B	21.12B	22.93B	22.50B	20.66B
Net Income	16.32B	15.46B	17.08B	16.01B	15.12B
Balance Sheet
Total Assets	538.27B	510.80B	507.66B	495.62B	484.57B
Cash, Cash Equivalents and Short-Term Investments	37.31B	27.78B	33.13B	22.80B	28.60B
Total Debt	230.40B	205.40B	202.90B	206.90B	196.52B
Total Liabilities	263.35B	237.05B	234.05B	237.97B	228.17B
Stockholders Equity	274.92B	273.75B	273.60B	257.65B	256.40B
Cash Flow
Free Cash Flow	8.88B	6.58B	15.13B	-1.10B	-12.23B
Operating Cash Flow	39.99B	22.35B	29.47B	30.64B	20.37B
Investing Cash Flow	-39.67B	-15.23B	-14.35B	-32.04B	-30.18B
Financing Cash Flow	9.84B	-12.80B	-5.17B	-4.45B	13.43B

Japan Prime Realty Investment Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 93000.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8955, the sentiment is Positive. The current price of 93000 is above the 20-day moving average (MA) of 90931.38, above the 50-day MA of 88916.23, and above the 200-day MA of 83321.95, indicating a bullish trend. The MACD of 1230.75 indicates Negative momentum. The RSI at 67.39 is Neutral, neither overbought nor oversold. The STOCH value of 37.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8955.

Japan Prime Realty Investment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8955	72 Outperform	$373.34B	22.87	5.84%	16.99%	44.54%	5.60%
Sector *	63 Neutral	$6.96B	19.11	-1.16%	6.97%	4.71%	-24.99%
7ZY		€1.75B	20.26	5.11%	4.66%	―	―
SKUEF		$2.18B	―	7.47%	27323325.42%	―	―
2ES		€1.83B	16.91	7.72%	5.63%	―	―
3226	70 Outperform	¥298.31B	26.25		3.82%	-3.25%	-2.56%
3471		¥340.00B	29.26		17.64%	―	―