West Japan Railway Company (9021) AI Stock Analysis

• Market Cap: $1.46T
• Dividend Yield: 2.67%
• Average Volume (3M): 1.49M
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.50
• Revenue Growth: 3.82%
• EPS Growth: 24.30%
• Country: JP
• Employees: 44,366
• Sector: Industrials
• Sector Strength: 72
• Industry: Railroads
• EPS (TTM): 104.54
• Shares Outstanding: 455,561,300
• 10 Day Avg. Volume: 1,561,430
• 30 Day Avg. Volume: 1,490,756
• PEG Ratio: 0.66
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 0.81
• P/FCF Ratio: -763.16
• Enterprise Value/Market Cap: 2.12
• Enterprise Value/Revenue: 1.79
• Enterprise Value/Gross Profit: 7.24
• Enterprise Value/Ebitda: 8.70
• 1Y Price Target: $3,997.55
• Price Target Upside: 26.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 66 Neutral
• Price Target: ¥3,422.00 ▲(8.26% Upside)

West Japan Railway Company's overall stock score is driven by its strong financial performance and reasonable valuation. The company's financial health is improving, with significant revenue growth and profitability recovery. However, technical analysis indicates bearish momentum, which slightly offsets the positive financial outlook. The absence of earnings call data and corporate events means these factors do not influence the score.

West Japan Railway Company Business Overview & Revenue Model

Company Description

West Japan Railway Company provides passenger railway transport services in Japan. The company operates through Transportation Operations, Retail Business, Real Estate Business, and Other Businesses segments. It operates a route length of 4,903.1 kilometers, comprising Shinkansen route of 812.6 kilometers and conventional lines of 4,090.5 kilometers; and 1,174 stations, as well as bus and ferry services. The company also engages in the selling of goods and food services; wholesaling; and other retail businesses. It is also involved in the operation of department stores, convenience stores, restaurants, souvenir shops, shopping centers, and others; selling and leasing of real estate; hotel; credit cards and electronic money; and travel, rolling stock and equipment, electrical contracting, electrical equipment, construction, information services, advertising, and other businesses. The company was founded in 1987 and is headquartered in Osaka, Japan.

How the Company Makes Money

JR West generates revenue through several key streams. The primary source of income comes from passenger fares collected from its extensive rail services, which include both long-distance Shinkansen routes and local train services. Additionally, the company earns revenue from freight transportation services, which involve the movement of goods across its rail network. Another significant revenue stream is derived from real estate development and leasing, particularly through the management of properties around train stations, which often include shopping centers and office buildings. Furthermore, JR West has partnerships with various tourism and retail businesses, enhancing its service offerings and generating additional income through collaborative promotions and packages. Seasonal travel packages and special events also contribute to revenue during peak travel seasons.

West Japan Railway Company Financial Statement Overview

Summary

West Japan Railway Company shows strong financial recovery with significant revenue growth and profitability improvements. Despite high leverage, the balance sheet is stable, and cash flow generation is robust, indicating effective financial management.

Income Statement

West Japan Railway Company has demonstrated a strong recovery in revenue and profitability over the past few years, with a notable increase in revenue from 898.17 billion yen in 2021 to 1,707.94 billion yen in 2025. Gross profit margin has improved significantly, and EBIT margin is back to robust levels after a period of negative performance. Overall, the company shows solid revenue growth and recovery in net income, reflecting effective management and operational efficiency.

Balance Sheet

The company's debt-to-equity ratio indicates a high level of leverage, which is common in the rail industry but poses financial risks. However, the equity ratio shows a stable balance sheet structure with a consistent increase in stockholders' equity over the years, suggesting improved financial health and resilience. Return on equity has improved significantly as the company returned to profitability.

Cash Flow

The operating cash flow has been consistently positive, indicating strong cash generation capabilities. There is a notable improvement in free cash flow, despite fluctuations in capital expenditures. The company has managed to turn around its free cash flow position, although high debt levels continue to require careful management of financing activities.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.73T	1.71T	1.64T	1.40T	1.03T	898.17B
Gross Profit	428.31B	418.18B	395.45B	268.70B	43.25B	-77.42B
EBITDA	356.54B	353.35B	328.61B	253.34B	76.75B	-80.78B
Net Income	124.53B	113.96B	98.76B	88.53B	-113.20B	-233.21B
Balance Sheet
Total Assets	3.69T	3.75T	3.78T	3.74T	3.70T	3.48T
Cash, Cash Equivalents and Short-Term Investments	94.19B	125.62B	233.47B	290.17B	319.92B	210.31B
Total Debt	1.53T	1.44T	1.48T	1.57T	1.64T	1.48T
Total Liabilities	2.41T	2.47T	2.55T	2.59T	2.63T	2.52T
Stockholders Equity	1.16T	1.16T	1.11T	1.03T	968.94B	852.91B
Cash Flow
Free Cash Flow	0.00	-1.81B	68.96B	27.95B	-326.95B	-345.34B
Operating Cash Flow	0.00	281.43B	318.31B	273.96B	-86.47B	-103.30B
Investing Cash Flow	0.00	-263.11B	-243.65B	-214.90B	-188.71B	-211.69B
Financing Cash Flow	0.00	-126.17B	-131.62B	-88.77B	384.69B	446.75B

West Japan Railway Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3161.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9021, the sentiment is Negative. The current price of 3161 is below the 20-day moving average (MA) of 3186.95, below the 50-day MA of 3257.98, and above the 200-day MA of 3078.74, indicating a neutral trend. The MACD of -16.67 indicates Negative momentum. The RSI at 42.50 is Neutral, neither overbought nor oversold. The STOCH value of 11.73 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9021.

West Japan Railway Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9009	―	$669.97B	9.27	13.92%	1.55%	6.30%	-16.29%
9020	―	$4.11T	17.71	7.85%	1.77%	4.61%	5.75%
9142	―	$602.41B	12.48	11.09%	2.79%	9.64%	52.99%
9021	―	$1.46T	12.07	11.32%	2.67%	3.82%	24.30%
9022	―	¥3.71T	7.06	11.08%	0.77%	9.82%	24.12%
9007	―	$583.25B	13.66	8.68%	3.07%	-1.80%	-56.03%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

West Japan Railway Company Corporate Events

West Japan Railway Completes Share Acquisition and Cancellation

West Japan Railway Company has completed the acquisition of its own shares, as resolved in a Board of Directors meeting held in May 2025. The company acquired a total of 15,448,500 shares at an aggregate price of ¥49,999,966,200, with the acquisition period spanning from May 7 to September 19, 2025. Additionally, the company has finalized the cancellation of these treasury shares, which constitutes 3.3% of the outstanding shares, effective September 30, 2025. This strategic move is expected to impact the company’s share structure and potentially enhance shareholder value.

The most recent analyst rating on (JP:9021) stock is a Hold with a Yen3650.00 price target. To see the full list of analyst forecasts on West Japan Railway Company stock, see the JP:9021 Stock Forecast page.

West Japan Railway Company Acquires Own Shares to Boost Shareholder Value

West Japan Railway Company announced the acquisition of 3,202,000 of its own shares in August 2025, with a total acquisition price of ¥10,844,218,300. This move is part of a broader strategy authorized by the Board of Directors to acquire up to 20 million shares by September 19, 2025, aiming to enhance shareholder value.

The most recent analyst rating on (JP:9021) stock is a Hold with a Yen3650.00 price target. To see the full list of analyst forecasts on West Japan Railway Company stock, see the JP:9021 Stock Forecast page.

West Japan Railway Enhances Shareholder Benefits and Coupon Policies

West Japan Railway Company has announced enhancements to its shareholder benefit program, including the introduction of original desk calendars featuring the company’s trains and facilities for eligible shareholders. Additionally, the company is revising its policy on shareholder preferential railway discount coupons to allow for their reuse when tickets are purchased through its online reservation site and refunds are requested before ticket pickup, aiming to improve convenience and encourage long-term investment.

The most recent analyst rating on (JP:9021) stock is a Hold with a Yen3650.00 price target. To see the full list of analyst forecasts on West Japan Railway Company stock, see the JP:9021 Stock Forecast page.

West Japan Railway Company Announces Share Buyback Progress

West Japan Railway Company has announced the acquisition of its own shares, acquiring 1,266,000 shares in July 2025 for approximately ¥4.13 billion. This move is part of a broader plan approved by the Board of Directors to acquire up to 20 million shares by September 2025, with a total budget of ¥50 billion, reflecting the company’s strategy to enhance shareholder value.

The most recent analyst rating on (JP:9021) stock is a Hold with a Yen3080.00 price target. To see the full list of analyst forecasts on West Japan Railway Company stock, see the JP:9021 Stock Forecast page.

West Japan Railway Company Reports Fifth Consecutive Year of Growth

West Japan Railway Company reported revenue and income growth for the fifth consecutive fiscal year, driven by city development projects and the Osaka–Kansai Expo. While the mobility and retail segments saw increased revenue due to rising inbound demand, the travel and regional solutions segment experienced a downturn. The company plans a share buyback of up to ¥50.0 billion and maintains its annual dividend forecast at ¥86 per share.

The most recent analyst rating on (JP:9021) stock is a Hold with a Yen3080.00 price target. To see the full list of analyst forecasts on West Japan Railway Company stock, see the JP:9021 Stock Forecast page.

West Japan Railway Company Reports Strong First Quarter Results

West Japan Railway Company reported a 6% increase in operating revenues for the first quarter ending June 30, 2025, compared to the previous year. The company also saw significant growth in income attributable to owners of the parent, which rose by 27.6%. The financial results indicate a positive trend in the company’s performance, reflecting its strong market position and operational efficiency.

The most recent analyst rating on (JP:9021) stock is a Hold with a Yen3080.00 price target. To see the full list of analyst forecasts on West Japan Railway Company stock, see the JP:9021 Stock Forecast page.