Okayamaken Freight Transportation Co., Ltd. (9063) AI Stock Analysis

• Market Cap: ¥9.73B
• Dividend Yield: 1.67%
• Average Volume (3M): 2.42K
• Price to Earnings (P/E): 4.1
• Beta (1Y): 0.34
• Revenue Growth: 2.08%
• EPS Growth: 48.38%
• Country: JP
• Employees: 2,294
• Sector: Industrials
• Sector Strength: 72
• Industry: Trucking
• EPS (TTM): 800.19
• Shares Outstanding: 2,200,000
• 10 Day Avg. Volume: 3,490
• 30 Day Avg. Volume: 2,423
• PEG Ratio: -0.12
• Price to Book (P/B): 0.30
• Price to Sales (P/S): 0.18
• P/FCF Ratio: 16.44
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: ¥5,352.00 ▲(27.89% Upside)
• Action: Reiterated Date: 11/11/25
• Date: Action: Reiterated 11/11/25

Okayamaken Freight Transportation Co., Ltd. shows a balanced profile with strong technical momentum and attractive valuation. Financial performance is stable but challenged by declining net income and negative free cash flow. The stock's bullish technical indicators and low P/E ratio are significant positives, though caution is advised due to overbought signals.

Positive Factors

Balance sheet strength

A stable equity ratio and manageable leverage provide durable financial flexibility, allowing the company to fund operations, absorb cyclical downturns, and access credit on reasonable terms. This underpins long-term resilience and supports strategic investment or M&A opportunities.

Positive operating cash flow

Consistent positive operating cash flow indicates the core logistics operations generate real cash, supporting working capital needs, debt servicing and routine reinvestment. Over months, reliable OCF reduces dependence on external financing and sustains operational continuity.

Stable operating margins

Stable EBIT/EBITDA margins imply consistent cost control and operational efficiency in the trucking business, enabling predictable profitability from core services. This supports the company’s ability to maintain service levels and invest in productivity over the medium term.

Negative Factors

Declining net income

Falling net income and shrinking net margins reduce retained earnings and return on equity, weakening capacity to self-fund growth or return capital. Persistent net income declines can erode investor confidence and limit strategic options over several quarters.

Negative free cash flow

Negative free cash flow driven by elevated capex implies the company may need external funding for investments or fleet renewal, pressuring liquidity and increasing financing costs. Continued FCF deficits can constrain dividends and strategic flexibility over time.

Inconsistent revenue growth

Irregular top-line performance limits predictability for capacity planning and capital allocation in logistics. A recent revenue decline signals potential demand or contract pressures that could hamper scale economies, margin expansion, and multi-quarter earnings recovery.

Okayamaken Freight Transportation Co., Ltd. Business Overview & Revenue Model

Company Description

Okayamaken Freight Transportation Co., Ltd. engages in the freight transportation and forwarding businesses in Japan. The company provides warehousing, air transport agency, customs clearance, industrial waste collection and transportation, and communication and database services. It also offers computer information processing, as well as develops and sells software. Okayamaken Freight Transportation Co., Ltd. was founded in 1943 and is headquartered in Okayama, Japan.

How the Company Makes Money

Okayamaken Freight Transportation Co., Ltd. generates revenue primarily through its freight and logistics services. The company's revenue model is built on charging clients for the transportation of goods, warehousing services, and additional logistics management solutions. Key revenue streams include contracts with businesses for regular freight services, one-time shipping services, and long-term logistics management agreements. Significant partnerships with manufacturers, retailers, and e-commerce companies also contribute to its earnings by providing a steady flow of shipments. Additionally, the company may earn revenue through value-added services such as inventory management, customs clearance, and specialized handling of goods, further enhancing its profitability.

Okayamaken Freight Transportation Co., Ltd. Financial Statement Overview

Summary

Okayamaken Freight Transportation Co., Ltd.'s financial performance is stable but faces challenges. The income statement shows declining net income and inconsistent revenue growth. The balance sheet is robust with good equity levels and manageable debt. Cash flow analysis indicates positive operating cash flow but negative free cash flow, highlighting capital investment challenges.

Income Statement

Okayamaken Freight Transportation Co., Ltd. has shown moderate financial performance. The gross profit margin has been stable, but net profit margin has decreased significantly from the previous year, indicating increased costs. Revenue growth has been inconsistent, with the latest period showing a decrease. Both EBIT and EBITDA margins have remained relatively stable, suggesting operational efficiency, but the decline in net income is concerning.

Balance Sheet

The company's balance sheet reflects a sound financial position with a stable equity ratio and a manageable debt-to-equity ratio. Return on equity has declined due to reduced net income, but the company maintains a healthy level of stockholders' equity. Overall, the balance sheet indicates stability, though the decrease in net income is a potential risk.

Cash Flow

Cash flow analysis shows a mixed picture. While operating cash flow remains positive, free cash flow growth is negative due to high capital expenditures. The operating cash flow to net income ratio suggests that the company is generating sufficient cash from operations relative to net income, but the negative free cash flow indicates challenges in cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.56B	38.35B	37.69B	38.47B	39.28B	39.50B
Gross Profit	2.79B	2.74B	2.45B	2.88B	2.99B	3.07B
EBITDA	3.49B	3.31B	5.56B	3.22B	3.75B	3.60B
Net Income	1.02B	957.48M	2.50B	950.82M	1.24B	1.10B
Balance Sheet
Total Assets	47.90B	47.39B	46.43B	45.81B	42.56B	42.18B
Cash, Cash Equivalents and Short-Term Investments	7.41B	6.84B	5.95B	6.50B	6.12B	6.41B
Total Debt	13.73B	13.89B	13.64B	16.00B	14.05B	14.32B
Total Liabilities	24.33B	23.98B	23.91B	25.85B	23.46B	24.09B
Stockholders Equity	23.54B	23.37B	22.49B	19.93B	19.06B	18.06B
Cash Flow
Free Cash Flow	0.00	422.75M	-854.23M	-1.55B	-725.34M	1.23B
Operating Cash Flow	0.00	2.59B	1.96B	2.88B	2.20B	3.11B
Investing Cash Flow	0.00	-1.80B	-1.94M	-4.29B	-2.09B	-1.62B
Financing Cash Flow	0.00	104.97M	-2.54B	1.80B	-412.80M	-976.95M

Okayamaken Freight Transportation Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4185.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9063, the sentiment is Positive. The current price of 4185 is below the 20-day moving average (MA) of 4565.50, below the 50-day MA of 4374.10, and above the 200-day MA of 3812.67, indicating a bullish trend. The MACD of 132.22 indicates Negative momentum. The RSI at 73.58 is Negative, neither overbought nor oversold. The STOCH value of 83.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9063.

Okayamaken Freight Transportation Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9063	73 Outperform	¥9.73B	4.06	―	1.67%	2.08%	48.38%
9059	73 Outperform	¥20.87B	8.44	―	2.46%	0.21%	0.95%
9057	70 Outperform	¥27.98B	12.77	―	2.82%	2.47%	2.85%
9060	69 Neutral	¥6.70B	9.27	―	1.62%	8.03%	67.38%
9067	65 Neutral	¥27.36B	26.92	―	2.00%	3.01%	41.50%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
9073	61 Neutral	¥4.38B	21.01	―	0.72%	3.45%	121.99%