West Japan Railway Company (9021) AI Stock Analysis

• Market Cap: ¥1.59T
• Dividend Yield: 2.18%
• Average Volume (3M): 1.94M
• Price to Earnings (P/E): 12.7
• Beta (1Y): 0.54
• Revenue Growth: 3.82%
• EPS Growth: 24.30%
• Country: JP
• Employees: 44,366
• Sector: Industrials
• Sector Strength: 72
• Industry: Railroads
• EPS (TTM): -0.76
• Shares Outstanding: 471,009,800
• 10 Day Avg. Volume: 1,551,140
• 30 Day Avg. Volume: 1,943,716
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥4,024.52
• Price Target Upside: 20.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 70 Neutral
• Price Target: ¥3,429.00 ▲(2.36% Upside)

West Japan Railway Company's stock achieves a strong score due to robust financial performance, characterized by revenue growth and profitability recovery. The technical indicators support a bullish trend, and the valuation metrics suggest the stock is fairly priced with a decent dividend yield. The absence of earnings call and corporate events data slightly limits the analysis but does not significantly hinder the positive outlook.

West Japan Railway Company Business Overview & Revenue Model

Company Description

West Japan Railway Company (JR West) is a leading transportation company in Japan, primarily operating in the western regions of the country. The company is a major player in the rail transportation sector, providing passenger rail services across urban, suburban, and rural areas. It operates various rail lines, including the iconic Shinkansen (bullet train) services, which connect major cities efficiently and swiftly. Apart from rail transportation, JR West is involved in other sectors such as real estate, retail, and hospitality, leveraging its extensive network of stations to offer shopping and dining experiences.

How the Company Makes Money

JR West primarily generates revenue through its passenger rail services, which include fares from regional trains, long-distance services, and the Shinkansen. A significant portion of its income is derived from the high-speed rail network, which attracts both domestic and international travelers. Additionally, JR West capitalizes on its real estate holdings, developing and leasing properties around its stations. This includes shopping centers, office buildings, and residential projects that benefit from the high foot traffic associated with railway stations. The company also earns through its retail operations, operating convenience stores, kiosks, and restaurants within station premises. Furthermore, JR West engages in strategic partnerships and collaborations to enhance its service offerings and expand its market reach, contributing to its overall revenue.

West Japan Railway Company Financial Statement Overview

Summary

West Japan Railway Company demonstrates strong financial rebound with substantial revenue growth and profitability recovery. Despite high leverage, the balance sheet indicates strengthening equity and financial stability. Cash flows are positive, with strong operational cash flows and improving free cash flow.

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	1.71T	1.71T	1.64T	1.40T	1.03T	898.17B
Gross Profit	418.18B	418.18B	395.45B	268.70B	43.25B	-77.42B
EBITDA	353.35B	353.35B	328.61B	253.34B	76.75B	-80.78B
Net Income	113.96B	113.96B	98.76B	88.53B	-113.20B	-233.21B
Balance Sheet
Total Assets	3.75T	3.75T	3.78T	3.74T	3.70T	3.48T
Cash, Cash Equivalents and Short-Term Investments	125.62B	125.62B	233.47B	290.17B	319.92B	210.31B
Total Debt	1.44T	1.44T	1.48T	1.57T	1.64T	1.48T
Total Liabilities	2.47T	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	281.43B	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: Positive
• Last Price: 3350.00
• 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:9021, the sentiment is Positive. The current price of 3350 is below the 20-day moving average (MA) of 3380.60, above the 50-day MA of 3331.62, and above the 200-day MA of 3037.03, indicating a neutral trend. The MACD of 11.70 indicates Negative momentum. The RSI at 51.81 is Neutral, neither overbought nor oversold. The STOCH value of 80.51 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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
9021	70 Neutral	¥1.59T	12.73	11.32%	2.18%	3.82%	24.30%
Sector *	65 Neutral	$2.69B	14.97	12.10%	3.43%	2.94%	43.39%
CJPRF	―	$28.01B	6.84	10.95%	0.87%	―	―
EJPRF	―	$28.31B	18.58	8.29%	1.59%	―	―
KELRF	―	$4.82B	8.49	14.30%	1.58%	―	―
KYYHF	―	$4.37B	11.01	11.09%	―	―	―
ODERF	―	$4.21B	15.51	8.68%	2.19%	―	―

West Japan Railway Company Corporate Events

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.

West Japan Railway Company Announces Share Buyback Progress

West Japan Railway Company announced the acquisition of its own shares as part of a strategic decision made by its Board of Directors. In June 2025, the company acquired 2,839,800 shares at an aggregate price of ¥8,931,642,700, as part of a larger plan to acquire up to 20 million shares by September 2025, potentially impacting its market positioning and 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 Announces Share Buyback

West Japan Railway Company has announced the acquisition of its own shares, purchasing 5,940,600 shares for approximately ¥18.67 billion in May 2025. This move is part of a broader plan approved by the Board of Directors to acquire up to 20 million shares, aiming to enhance shareholder value and optimize capital structure.

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.