Central Japan Railway Company (9022) AI Stock Analysis

• Market Cap: $3.88T
• Dividend Yield: 0.76%
• Average Volume (3M): 2.51M
• Price to Earnings (P/E): 8.0
• Beta (1Y): 0.51
• Revenue Growth: 7.10%
• EPS Growth: 17.04%
• Country: JP
• Employees: 29,282
• Sector: Industrials
• Sector Strength: 77
• Industry: Railroads
• EPS (TTM): 147.88
• Shares Outstanding: 1,030,000,000
• 10 Day Avg. Volume: 2,606,110
• 30 Day Avg. Volume: 2,508,780
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.72
• Enterprise Value/Revenue: 3.70
• Enterprise Value/Gross Profit: 7.54
• Enterprise Value/Ebitda: 7.80
• 1Y Price Target: $3,921.22
• Price Target Upside: -0.45% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 76 Outperform
• Price Target: ¥4,066.00 ▲(3.22% Upside)

Central Japan Railway Company displays a robust financial performance, highlighted by strong revenue growth and profitability. Technical indicators show bullish momentum but caution due to overbought signals. Valuation metrics suggest the stock is undervalued, presenting an attractive investment opportunity despite modest dividend yield.

Central Japan Railway Company Business Overview & Revenue Model

Company Description

Central Japan Railway Company engages in the railway and related businesses in Japan. The company operates through Transportation, Merchandise and Other, Real Estate, and Other segments. It primarily operates Tokaido Shinkansen, a transportation artery that links metropolitan areas of Tokyo, Nagoya, and Osaka, as well as operates a network of 12 conventional lines centered on the Nagoya and Shizuoka areas. The company also provides bus, logistics, travel agency, advertising, linen supply, track maintenance, construction and construction consulting, and contracted accounting and financial services; and manufactures and maintains railway rolling stock and machinery. In addition, it is involved in the operation of a department store; wholesale and retail sales business; sale of food and beverages; leasing and sale of real estate; hotel business; and development, improvement, and maintenance of computer systems. Central Japan Railway Company was founded in 1987 and is headquartered in Nagoya, Japan.

How the Company Makes Money

JR Central generates revenue through multiple streams primarily centered around its transportation services. The largest portion of its income comes from passenger fares on the Tōkaidō Shinkansen line, which serves as a crucial link between major metropolitan areas in Japan. Additionally, the company earns significant revenue from its regional rail services. Beyond transportation, JR Central capitalizes on its real estate assets by managing and leasing retail spaces and commercial facilities located in and around its stations. These properties include shopping centers, hotels, and office buildings, which contribute to a diversified revenue base. The company also explores partnerships and investments in technological advancements and infrastructure projects, further enhancing its operational efficiency and expanding its business opportunities.

Central Japan Railway Company Financial Statement Overview

Summary

Central Japan Railway Company has displayed strong financial performance, with notable revenue growth and improved profit margins. The balance sheet is stable, but high leverage poses some risk. Cash flow management is effective, with significant improvements noted.

Income Statement

Central Japan Railway Company has shown strong revenue growth, recovering impressively from previous declines. The gross profit margin improved significantly, indicating better cost management, while the net profit margin reflects strong profitability. The company has also exhibited robust EBIT and EBITDA margins, highlighting operational efficiency.

Balance Sheet

The balance sheet reveals a stable financial structure with a reasonable debt-to-equity ratio. The return on equity is strong due to improved net income, which enhances shareholder value. The equity ratio is solid, underscoring financial stability, although the leverage remains relatively high, which could pose risks if financial conditions change.

Cash Flow

Cash flow analysis shows a significant improvement in free cash flow, indicating better cash management and operational efficiency. The operating cash flow to net income ratio suggests that the company generates sufficient cash from its operations. However, the free cash flow to net income ratio is moderate, implying room for improvement in converting income into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.83T	1.71T	1.40T	935.14B	823.52B
Gross Profit	902.95B	783.90B	552.44B	161.56B	-20.24B
EBITDA	899.64B	840.83B	594.12B	208.75B	10.01B
Net Income	458.42B	384.41B	219.42B	-51.93B	-201.55B
Balance Sheet
Total Assets	10.32T	9.94T	9.51T	9.45T	9.60T
Cash, Cash Equivalents and Short-Term Investments	457.37B	955.28B	852.14B	660.15B	730.11B
Total Debt	4.73T	4.37T	4.46T	4.45T	4.43T
Total Liabilities	5.66T	5.72T	5.71T	5.84T	5.91T
Stockholders Equity	4.60T	4.17T	3.76T	3.56T	3.64T
Cash Flow
Free Cash Flow	171.99B	269.30B	32.64B	-412.89B	-670.08B
Operating Cash Flow	624.55B	672.88B	486.71B	71.75B	-169.35B
Investing Cash Flow	-956.04B	-436.56B	-175.04B	-153.05B	-134.72B
Financing Cash Flow	-95.53B	-125.13B	-220.60B	-19.18B	262.64B

Central Japan Railway Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3939.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9022, the sentiment is Positive. The current price of 3939 is above the 20-day moving average (MA) of 3728.75, above the 50-day MA of 3430.06, and above the 200-day MA of 3093.72, indicating a bullish trend. The MACD of 160.92 indicates Negative momentum. The RSI at 83.42 is Negative, neither overbought nor oversold. The STOCH value of 78.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9022.

Central Japan Railway Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9022	76 Outperform	$3.88T	8.01	10.95%	0.76%	7.10%	17.04%
Sector *	58 Neutral	HK$14.10B	4.53	-3.70%	5.60%	2.27%	-65.55%
EJPRF	―	$28.11B	17.98	8.29%	1.64%	―	―
KELRF	―	$4.78B	8.49	14.30%	1.58%	―	―
KYYHF	―	$4.38B	11.01	11.09%	―	―	―
ODERF	―	$4.26B	14.13	8.68%	2.43%	―	―
WJRYF	―	$10.63B	12.70	11.32%	2.49%	―	―

Central Japan Railway Company Corporate Events

Central Japan Railway Executes Share Repurchase Program

Central Japan Railway Company has repurchased 3,819,000 shares of its own common stock for approximately 12.7 billion yen, as part of a broader repurchase program authorized by its Board of Directors. This move is part of a strategic initiative to enhance shareholder value, reflecting confidence in the company’s financial stability and future prospects.

The most recent analyst rating on (JP:9022) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Central Japan Railway Company stock, see the JP:9022 Stock Forecast page.

Central Japan Railway Company Reports Strong Q1 2026 Financial Performance

Central Japan Railway Company reported a notable increase in comprehensive income for the first quarter of fiscal 2026, with a 34.8% rise compared to the same period last year. The company also deconsolidated Chuo Linen Supply Co., Ltd. due to its reduced importance, and continues to focus on the Chuo Shinkansen construction, supported by loans from the Japan Railway Construction, Transport and Technology Agency.

The most recent analyst rating on (JP:9022) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Central Japan Railway Company stock, see the JP:9022 Stock Forecast page.

Central Japan Railway Company Announces Share Repurchase

Central Japan Railway Company announced the repurchase of its own shares, acquiring 3,306,600 shares for over 10 billion yen between June 1 and June 30, 2025. This move, part of a broader plan approved by the Board of Directors to repurchase up to 45 million shares by February 2026, aims to enhance shareholder value and optimize capital structure.

The most recent analyst rating on (JP:9022) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Central Japan Railway Company stock, see the JP:9022 Stock Forecast page.

Central Japan Railway Company Announces Share Repurchase

Central Japan Railway Company announced the repurchase of 3,454,600 of its own shares, amounting to approximately 10.67 billion yen, as part of a broader plan authorized by its Board of Directors. This move is part of a strategic initiative to enhance shareholder value and optimize capital structure, with the potential to impact the company’s market positioning and investor relations.

The most recent analyst rating on (JP:9022) stock is a Hold with a Yen3650.00 price target. To see the full list of analyst forecasts on Central Japan Railway Company stock, see the JP:9022 Stock Forecast page.

Central Japan Railway Company Announces Management Restructuring

Central Japan Railway Company has announced significant changes to its management and supervisory board, effective June 25, 2025. The company aims to revamp its management and auditing systems, with new appointments and resignations among directors, audit, supervisory board members, and corporate officers. These changes are expected to impact the company’s operational efficiency and governance structure.

The most recent analyst rating on (JP:9022) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Central Japan Railway Company stock, see the JP:9022 Stock Forecast page.