Hokuriku Electric Power Company (9505) AI Stock Analysis

• Market Cap: ¥186.84B
• Dividend Yield: 2.23%
• Average Volume (3M): 817.74K
• Price to Earnings (P/E): 2.8
• Beta (1Y): 0.71
• Revenue Growth: 5.94%
• EPS Growth: 26.24%
• Country: JP
• Employees: 8,541
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): 134.01
• Shares Outstanding: 210,333,700
• 10 Day Avg. Volume: 768,470
• 30 Day Avg. Volume: 817,736
• PEG Ratio: 0.18
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.20
• P/FCF Ratio: 2.65
• 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

• Rating: 58 Neutral
• Price Target: ¥897.00 ▲(0.22% Upside)

The overall stock score of 58 reflects a balanced view of Hokuriku Electric Power Company's financial recovery and attractive valuation, offset by technical indicators suggesting potential short-term weakness. The company's high leverage remains a concern, but improving profitability and cash generation are positive signs. The low P/E ratio and reasonable dividend yield enhance the stock's appeal, particularly for value and income investors.

Hokuriku Electric Power Company Business Overview & Revenue Model

Company Description

Hokuriku Electric Power Company (9505) is a Japanese electric utility provider that primarily serves the Hokuriku region, including Toyama, Ishikawa, and Fukui prefectures. The company engages in the generation, transmission, and distribution of electricity. It operates through various power generation sources, including hydroelectric, thermal, and renewable energy facilities, offering reliable energy solutions to residential, commercial, and industrial customers.

How the Company Makes Money

Hokuriku Electric Power Company generates revenue through the sale of electricity to its diverse customer base, which includes residential, commercial, and industrial users. The company operates multiple power plants utilizing different energy sources, such as hydroelectric, thermal, and renewable energies, to produce electricity. Revenue is primarily derived from electricity tariffs, which are regulated and set according to government policies. Additionally, the company may engage in power trading activities and partnerships with other energy firms to optimize its energy portfolio and ensure efficient distribution. Factors such as energy demand, fuel costs, and regulatory changes significantly impact the company's earnings.

Hokuriku Electric Power Company Financial Statement Overview

Summary

The company's financial performance indicates recovery but is still hindered by high leverage. While revenue and profit margins are improving, the debt-to-equity ratio remains a concern. The cash flow situation is stable, with positive free cash flow despite operating cash flow decline. Overall, financial health is improving with challenges in debt management.

Income Statement

The company experienced a modest revenue growth of 6.19% from 2024 to 2025, indicating a positive trend. However, the gross profit margin decreased as gross profit declined significantly compared to the previous year. Despite this, the net profit margin improved to 7.59% in 2025 from 7.03% in 2024, indicating better cost management. EBIT and EBITDA margins also showed recovery from previous losses, reflecting improved operational performance. Overall, profitability metrics are improving but still face challenges from past volatility.

Balance Sheet

The company's debt-to-equity ratio of 3.02 indicates a high level of leverage, typical for the utilities industry, which could pose financial risk. The equity ratio improved to 20.47% from 16.59% in 2024, suggesting a strengthening equity position. The return on equity increased to 17.11%, reflecting enhanced profitability. However, high debt levels continue to be a concern, requiring careful management to ensure stability.

Cash Flow

The operating cash flow decreased from 2024 to 2025, but the company managed to generate positive free cash flow despite this decline, showing effective capital expenditure control. The free cash flow to net income ratio of 1.01 indicates a solid cash generation capability relative to net income. However, overall cash flow management needs improvement to ensure sustained liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	856.72B	858.27B	808.24B	817.60B	613.76B	639.45B
Gross Profit	101.31B	101.03B	114.91B	-73.79B	-16.39B	17.83B
EBITDA	169.23B	167.39B	135.79B	-22.99B	64.97B	77.96B
Net Income	66.72B	65.15B	56.81B	-88.45B	-6.76B	6.83B
Balance Sheet
Total Assets	1.84T	1.86T	1.86T	1.81T	1.66T	1.60T
Cash, Cash Equivalents and Short-Term Investments	208.31B	239.37B	225.04B	165.46B	105.60B	132.31B
Total Debt	1.16T	1.15T	1.19T	1.28T	1.04T	973.25B
Total Liabilities	1.42T	1.46T	1.53T	1.55T	1.31T	1.24T
Stockholders Equity	403.58B	380.73B	307.89B	233.49B	324.86B	338.62B
Cash Flow
Free Cash Flow	0.00	65.65B	152.85B	-179.47B	-52.42B	-30.30B
Operating Cash Flow	0.00	152.29B	223.33B	-97.05B	30.95B	56.64B
Investing Cash Flow	0.00	-234.06B	-69.47B	-88.84B	-111.04B	-84.91B
Financing Cash Flow	0.00	-48.87B	-93.73B	245.75B	52.78B	-3.30B

Hokuriku Electric Power Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 895.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9505, the sentiment is Positive. The current price of 895 is above the 20-day moving average (MA) of 874.31, above the 50-day MA of 879.79, and above the 200-day MA of 792.66, indicating a bullish trend. The MACD of 6.03 indicates Negative momentum. The RSI at 54.72 is Neutral, neither overbought nor oversold. The STOCH value of 75.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9505.

Hokuriku Electric Power Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9509	70 Outperform	€232.73B	3.65	17.25%	1.76%	-2.86%	3.20%
9504	66 Neutral	$312.71B	3.06	15.39%	3.11%	-1.90%	8.34%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
9506	61 Neutral	$526.04B	3.29	17.06%	3.33%	-8.33%	-22.92%
9505	58 Neutral	¥186.84B	2.81	18.93%	2.23%	5.94%	26.24%
9501	57 Neutral	$1.27T	5.86	-25.31%	―	-0.78%	-467.97%
9511	56 Neutral	¥56.86B	9.65	5.05%	2.42%	-0.20%	13.11%

Hokuriku Electric Power Company Corporate Events

Hokuriku Electric Power Reports Q1 2025 Financial Results

Hokuriku Electric Power Company reported its consolidated financial results for the three months ending June 30, 2025, showing a slight decrease in operating revenues by 0.8% compared to the previous year. Despite this, the company saw an increase in operating profit by 0.8% and a notable rise in profit attributable to owners of the parent by 5.9%. The company’s financial position remains stable with a slight increase in net assets and equity-to-asset ratio. The forecast for the fiscal year ending March 31, 2026, indicates a significant decline in operating revenues and profits, reflecting challenging market conditions.