tiprankstipranks
Trending News
More News >
Kyushu Railway Company (JP:9142)
:9142

Kyushu Railway Company (9142) AI Stock Analysis

Compare
1 Followers

Top Page

JP

Kyushu Railway Company

(OTC:9142)

Rating:68Neutral
Price Target:
¥4,092.00
▲(8.92%Upside)
The most significant factor is the company's strong financial performance, driven by consistent revenue growth and profitability management. Technical analysis indicates a neutral to bearish trend, which slightly impacts the score. Valuation metrics are favorable, with a moderate P/E ratio and a decent dividend yield, offering value to investors. Overall, Kyushu Railway Company is on a positive financial trajectory, though with some room for improvement in market momentum.

Kyushu Railway Company (9142) vs. iShares MSCI Japan ETF (EWJ)

Kyushu Railway Company Business Overview & Revenue Model

Company DescriptionKyushu Railway Company, commonly referred to as JR Kyushu, is a prominent rail transport operator in Japan, primarily serving the Kyushu region. It is one of the constituent companies of the Japan Railways Group (JR Group) that came into existence after the privatization of the Japanese National Railways. Beyond its core rail operations, JR Kyushu is involved in a diverse range of sectors including real estate, retail, hospitality, and construction, making it a multifaceted conglomerate in the region.
How the Company Makes MoneyKyushu Railway Company generates revenue through several key streams. The primary source is its railway operations, which include passenger services across its extensive network in Kyushu. Ticket sales, including commuter passes and long-distance travel fares, contribute significantly to its income. Additionally, JR Kyushu capitalizes on its real estate holdings by developing and leasing commercial and residential properties, often situated near its railway stations, thereby enhancing accessibility and attracting tenants. The company also operates retail outlets and hotels, providing shopping and accommodation services that cater to both commuters and tourists. Other ventures include its involvement in construction projects, both rail-related and general infrastructure, which further diversifies its revenue streams. Strategic partnerships and collaborations, especially those that enhance connectivity and tourism in the Kyushu region, also play a crucial role in driving the company's growth and profitability.

Kyushu Railway Company Financial Statement Overview

Summary
Kyushu Railway Company demonstrates strong financial performance with consistent revenue growth and effective profitability management. The balance sheet is stable, though high leverage poses some risk. Despite healthy operating cash flows, negative free cash flow indicates a need for improved capital expenditure management.
Income Statement
82
Very Positive
Kyushu Railway Company has shown a consistent revenue growth trend with a notable increase from 2024 to 2025. Gross and net profit margins remain strong, indicating efficient cost management. The EBIT and EBITDA margins reflect operational efficiency improvements, enhancing profitability. However, the margins have room for improvement to reach industry-leading levels.
Balance Sheet
75
Positive
The company's balance sheet indicates a stable financial position with a moderate debt-to-equity ratio. The return on equity is healthy, showing effective use of shareholders' equity to generate profits. The equity ratio signifies a solid capital structure, though high leverage compared to industry norms presents some risk.
Cash Flow
68
Positive
Operating cash flows are robust, supporting the company's ability to cover its net income. However, the free cash flow remains negative due to substantial capital expenditures, which may constrain liquidity. Improvements in free cash flow are necessary to enhance financial flexibility and reduce reliance on external financing.
Breakdown
TTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income StatementTotal Revenue
449.39B454.39B420.40B383.24B329.53B293.91B
Gross Profit
182.74B189.38B165.30B137.99B96.96B68.88B
EBIT
53.61B58.98B47.09B34.32B3.94B-22.87B
EBITDA
76.40B97.84B85.00B73.82B37.17B8.84B
Net Income Common Stockholders
35.12B43.66B38.45B31.17B13.25B-18.98B
Balance SheetCash, Cash Equivalents and Short-Term Investments
80.09B46.08B62.26B52.30B78.74B65.02B
Total Assets
1.13T1.14T1.09T996.70B951.98B891.38B
Total Debt
426.38B423.32B400.30B362.06B334.77B262.46B
Net Debt
382.31B388.26B366.36B324.78B295.06B239.54B
Total Liabilities
673.52B681.89B646.88B589.85B562.96B495.97B
Stockholders Equity
450.68B456.51B441.43B406.05B388.33B390.19B
Cash FlowFree Cash Flow
-20.99B-16.25B-44.62B-42.71B-45.02B-105.57B
Operating Cash Flow
19.46B96.67B89.03B62.08B56.46B-10.36B
Investing Cash Flow
-37.51B-107.41B-111.89B-97.58B-95.73B-53.91B
Financing Cash Flow
18.22B-6.93B32.25B8.96B52.54B105.87B

Kyushu Railway Company Technical Analysis

Technical Analysis Sentiment
Negative
Last Price3757.00
Price Trends
50DMA
3762.02
Negative
100DMA
3701.72
Positive
200DMA
3805.63
Negative
Market Momentum
MACD
-4.87
Positive
RSI
41.66
Neutral
STOCH
19.54
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9142, the sentiment is Negative. The current price of 3757 is below the 20-day moving average (MA) of 3835.75, below the 50-day MA of 3762.02, and below the 200-day MA of 3805.63, indicating a bearish trend. The MACD of -4.87 indicates Positive momentum. The RSI at 41.66 is Neutral, neither overbought nor oversold. The STOCH value of 19.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9142.

Kyushu Railway Company Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$3.05T6.6510.31%<0.01%7.10%19.25%
72
Outperform
¥3.40T15.167.93%2.17%5.77%14.05%
71
Outperform
$602.57B11.4210.86%2.97%3.14%-34.88%
70
Outperform
¥501.05B9.909.22%2.19%-0.71%8.85%
70
Neutral
$1.49T13.159.93%2.92%4.46%18.61%
68
Neutral
$592.65B13.529.60%2.46%8.09%14.04%
66
Neutral
$4.52B12.345.41%3.62%4.15%-12.18%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:9142
Kyushu Railway Company
3,763.00
423.17
12.67%
JP:9021
West Japan Railway Company
3,171.00
343.09
12.13%
JP:9020
East Japan Railway Company
3,011.00
491.95
19.53%
JP:9022
Central Japan Railway Company
3,083.00
-224.34
-6.78%
JP:9001
Tobu Railway Co
2,468.00
-165.40
-6.28%
JP:9007
Odakyu Electric Railway Co
1,659.50
146.79
9.70%

Kyushu Railway Company Corporate Events

Kyushu Railway Company Finalizes Stock Acquisition Terms for Share Buyback
May 12, 2025

Kyushu Railway Company has finalized the terms for issuing its 1st Series of Stock Acquisition Rights through a third-party allotment, as part of an Accelerated Share Repurchase (ASR) program. This move, resolved at a recent Board of Directors meeting, aims to repurchase the company’s own shares, potentially impacting its share value and market positioning.

Kyushu Railway Completes Share Repurchase to Enhance Capital Efficiency
May 12, 2025

Kyushu Railway Company has completed the repurchase of 2,592,000 of its own shares, representing 1.66% of the total outstanding shares, through Off-Auction Own Share Repurchase Trading (ToSTNeT-3) on the Tokyo Stock Exchange. This move aligns with the company’s medium-term business plan to enhance capital efficiency and reduce capital costs, reflecting its commitment to providing stable shareholder returns.

Kyushu Railway Company Initiates Strategic Share Buyback
May 9, 2025

Kyushu Railway Company announced a strategic move to repurchase its own shares through an Accelerated Share Repurchase (ASR) program, aiming to enhance capital efficiency and reduce capital costs. This decision aligns with the company’s shareholder return policy under its Medium-Term Business Plan 2022–2024, which emphasizes stable returns and flexible share repurchases. The ASR, facilitated by Goldman Sachs, ensures the acquisition of shares equivalent to 10 billion yen, potentially improving the supply-demand balance for the company’s shares.

Kyushu Railway Company Announces Changes in Corporate Leadership
May 9, 2025

Kyushu Railway Company announced changes in its corporate officers, including a new candidate for director and the resignation of a current director. These changes are part of the company’s strategy to advance its Medium-Term Business Plan for 2025–2027, aiming to strengthen its management structure and enhance operational efficiency.

Kyushu Railway Company Announces Dividend from Surplus
May 9, 2025

Kyushu Railway Company has announced a resolution to issue dividends from surplus, with a record date of March 31, 2025, and a year-end dividend set at ¥51.50 per share. This decision aligns with the company’s policy of maintaining a consolidated dividend payout ratio of 35% and reflects its commitment to returning profits to shareholders.

Kyushu Railway Company Reports Strong Financial Growth and Positive Outlook
May 9, 2025

Kyushu Railway Company reported an increase in its consolidated financial results for the year ended March 31, 2025, with operating revenues rising by 8.1% and net income attributable to owners of the parent increasing by 13.6%. The company also announced a forecast for continued growth in the fiscal year ending March 31, 2026, with expected increases in operating revenues and net income. These results and projections indicate a positive trajectory for the company, potentially enhancing its market position and providing favorable implications for stakeholders.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.