Tohoku Electric Power Company (9506) AI Stock Analysis

• Market Cap: ¥566.03B
• Dividend Yield: 3.53%
• Average Volume (3M): 2.28M
• Price to Earnings (P/E): 3.4
• Beta (1Y): 0.83
• Revenue Growth: -8.73%
• EPS Growth: -6.98%
• Country: JP
• Employees: 24,234
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): 99.80
• Shares Outstanding: 502,882,600
• 10 Day Avg. Volume: 1,994,400
• 30 Day Avg. Volume: 2,276,696
• PEG Ratio: -0.15
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 0.20
• P/FCF Ratio: 31.76
• 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: 74 Outperform
• Price Target: ¥1,304.00 ▲(19.96% Upside)

Tohoku Electric Power Company scores well due to strong technical indicators and attractive valuation, suggesting potential for price appreciation. However, financial performance is mixed with high leverage and inconsistent revenue growth, which are risks that need addressing.

Positive Factors

Profitability Improvement

Improving profitability indicates better cost management and operational efficiency, enhancing the company's ability to generate profits over time.

Operational Cash Flow

Consistent positive operating cash flow reflects the company's ability to generate cash from its core operations, supporting long-term financial stability.

Equity Utilization

Improved return on equity suggests efficient use of shareholder funds, enhancing investor confidence and potential for future growth.

Negative Factors

High Leverage

High leverage can increase financial risk and limit flexibility, potentially impacting the company's ability to invest in growth opportunities.

Revenue Growth Volatility

Volatile revenue growth can create uncertainty in financial planning and may hinder long-term strategic initiatives.

Inconsistent Free Cash Flow

Inconsistent free cash flow can challenge the company's ability to fund new projects or return capital to shareholders, affecting long-term growth prospects.

Tohoku Electric Power Company Business Overview & Revenue Model

Company Description

Tohoku Electric Power Company, Incorporated, an energy service conglomerate in Japan and internationally. The company operates through Power Generation and Sales, Power Transmission and Distribution, and Construction segments. It also generates and supplies hydroelectric, thermal, nuclear, internal combustion power, and renewable electricity. In addition, the company is involved in the construction of electrical, and telecommunication facilities and buildings; civil engineering operations; design and manufacture of electricity supply facilities; and business related to the research, survey, and analysis concerning environment preservation. Tohoku Electric Power Company, Incorporated was incorporated in 1951 and is headquartered in Sendai, Japan.

How the Company Makes Money

Tohoku Electric Power generates revenue primarily through the sale of electricity to residential, commercial, and industrial customers. Its revenue model is based on regulated tariffs and contracts, which can fluctuate depending on energy market conditions, regulatory decisions, and fuel costs. Additionally, the company earns money through ancillary services and energy management solutions, including demand response and energy efficiency programs. Key revenue streams include electricity sales, capacity payments, and the operation of its thermal and renewable energy plants. Strategic partnerships with local governments and private enterprises for renewable energy projects also contribute to its earnings, helping to diversify its revenue sources and enhance its sustainability efforts.

Tohoku Electric Power Company Financial Statement Overview

Summary

Tohoku Electric Power Company shows mixed financial performance. Profitability is improving, but revenue growth is inconsistent. The balance sheet indicates high leverage, posing financial risk, while cash flows are positive but variable, suggesting potential liquidity challenges.

Income Statement

Tohoku Electric Power Company has shown a recent increase in profitability with a net profit margin improving from previous losses. The EBIT margin is also positive, indicating operational efficiency. However, revenue growth is volatile, with a recent decline following previous increases, and gross profit margins are inconsistent.

Balance Sheet

The company's debt-to-equity ratio is high, indicating significant leverage which poses financial risk. However, the equity ratio is stable, and return on equity has improved recently, reflecting better utilization of equity. The financial structure suggests a need for careful management of debt levels.

Cash Flow

Operating cash flow has been consistently positive, indicating solid cash generation from operations. However, free cash flow has been fluctuating, with recent growth but overall inconsistency. The operating cash flow to net income ratio is strong, but the free cash flow to net income ratio reflects this inconsistency.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.57T	2.64T	2.82T	3.01T	2.10T	2.29T
Gross Profit	388.31B	280.33B	322.26B	-37.41B	110.11B	238.42B
EBITDA	457.16B	489.84B	510.48B	13.08B	128.72B	298.73B
Net Income	159.97B	182.81B	226.10B	-127.56B	-108.36B	29.38B
Balance Sheet
Total Assets	5.30T	5.40T	5.39T	5.24T	4.75T	4.50T
Cash, Cash Equivalents and Short-Term Investments	421.62B	551.49B	483.71B	506.75B	274.77B	205.29B
Total Debt	3.35T	2.93T	3.30T	3.38T	2.66T	2.45T
Total Liabilities	4.26T	4.39T	4.48T	4.58T	3.95T	3.57T
Stockholders Equity	1.01T	985.18B	827.70B	548.99B	699.66B	826.47B
Cash Flow
Free Cash Flow	0.00	16.25B	92.92B	-401.96B	-178.94B	-79.08B
Operating Cash Flow	0.00	410.33B	450.16B	-93.78B	97.19B	217.62B
Investing Cash Flow	0.00	-422.62B	-333.55B	-275.80B	-322.16B	-254.96B
Financing Cash Flow	0.00	34.15B	-96.05B	598.47B	293.24B	-5.77B

Tohoku Electric Power Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1087.00
• 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:9506, the sentiment is Positive. The current price of 1087 is below the 20-day moving average (MA) of 1115.35, below the 50-day MA of 1096.01, and above the 200-day MA of 1055.58, indicating a bullish trend. The MACD of 8.73 indicates Negative momentum. The RSI at 58.97 is Neutral, neither overbought nor oversold. The STOCH value of 91.03 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9506.

Tohoku Electric Power Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9513	82 Outperform	¥565.80B	5.26	7.92%	3.24%	-1.56%	9.17%
9503	75 Outperform	¥2.68T	6.25	14.42%	2.39%	2.08%	19.52%
9506	74 Outperform	¥566.03B	3.45	16.13%	3.53%	-8.73%	-6.98%
9509	71 Outperform	¥213.63B	3.66	14.57%	2.40%	-1.60%	-10.41%
9504	69 Neutral	¥356.59B	3.19	15.45%	3.23%	-1.02%	79.80%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
9501	52 Neutral	$1.02T	-1.40	-22.13%	―	-2.28%	-794.92%

Tohoku Electric Power Company Corporate Events

Tohoku Electric Power’s FY2025 First Half Financial Results and Strategic Initiatives

Tohoku Electric Power Company reported its financial results for the first half of FY2025, highlighting trends in profit levels and financial position. The company is actively expanding its electricity demand in the Tohoku region and enhancing its power grid to build a next-generation network, reflecting a strategic focus on decarbonization and green business development.

Tohoku Electric Power Reports Decline in Half-Year Financial Results

Tohoku Electric Power Company reported a decline in its consolidated financial results for the six months ended September 30, 2025, with net sales dropping by 10.9% compared to the previous year. Despite the decrease in sales, the company maintained a stable equity-to-asset ratio, indicating a steady financial position. The announcement highlights the company’s efforts to manage its financial health amid challenging market conditions, with no revisions to the forecasted cash dividends or financial results for the fiscal year ending March 31, 2026.

Tohoku Electric Power Revises Onagawa Nuclear Station Completion Dates

Tohoku Electric Power Company has announced a revision in the completion schedules for the Specialized Safety Facility and the Onsite Permanent DC Power Supply System at Onagawa Nuclear Power Station Unit 2. The new completion dates are set for August 2028 and March 2028, respectively, due to external factors like changes in the labor environment. The company emphasizes safety and efficient progress, ensuring no impact on the business performance for the fiscal year ending March 31, 2026.