Tohoku Electric Power Company (9506) AI Stock Analysis

• Market Cap: $533.29B
• Dividend Yield: 3.75%
• Average Volume (3M): 2.14M
• Price to Earnings (P/E): 2.9
• Beta (1Y): 0.82
• Revenue Growth: -6.14%
• EPS Growth: -19.16%
• Country: JP
• Employees: 24,234
• Sector: Utilities
• Sector Strength: 68
• Industry: Renewable Utilities
• EPS (TTM): 109.74
• Shares Outstanding: 502,882,600
• 10 Day Avg. Volume: 2,139,280
• 30 Day Avg. Volume: 2,139,206
• PEG Ratio: -0.15
• Price to Book (P/B): 0.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.82
• 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: $1,929.65
• Price Target Upside: 81.79% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥1,133.00 ▲(6.74%Upside)

Tohoku Electric Power Company's stock is rated positively due to its undervaluation, stable dividend yield, and bullish technical indicators. However, the company's high leverage and inconsistent revenue growth pose risks, necessitating careful financial management.

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 Company generates revenue through several key streams. The primary source of income is the sale of electricity, where the company charges residential, commercial, and industrial customers for the electricity consumed. This involves both regulated and deregulated electricity markets, allowing them to adjust pricing based on market conditions and regulatory frameworks. Additionally, the company invests in power generation facilities, including thermal, hydroelectric, and renewable energy sources, to produce electricity efficiently. Tohoku Electric Power also earns revenue from grid services, which involve the transmission and distribution of electricity across its network. Furthermore, the company is increasingly focusing on renewable energy projects and energy service solutions to diversify its revenue base and align with global sustainability trends. Partnerships with other utility companies and investments in technology and infrastructure also play a significant role in its financial performance.

Tohoku Electric Power Company Financial Statement Overview

Summary

Tohoku Electric Power Company demonstrates a mixed financial performance. Income statement metrics show improvement in profitability, though revenue growth is uneven. The balance sheet reveals high leverage, necessitating prudent financial management. Cash flows are generally positive, but free cash flow variability suggests potential liquidity management 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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.68T	2.64T	2.82T	3.01T	2.10T	2.29T
Gross Profit	285.97B	280.33B	322.26B	-180.05B	-28.74B	87.92B
EBITDA	369.23B	491.79B	508.04B	13.08B	137.96B	306.65B
Net Income	157.71B	182.81B	226.10B	-127.56B	-108.36B	29.38B
Balance Sheet
Total Assets	5.40T	5.40T	5.39T	5.21T	4.73T	4.47T
Cash, Cash Equivalents and Short-Term Investments	514.71B	551.49B	483.71B	506.75B	274.77B	205.29B
Total Debt	3.40T	3.35T	3.29T	3.08T	2.37T	2.14T
Total Liabilities	4.44T	4.39T	4.48T	4.58T	3.95T	3.57T
Stockholders Equity	943.21B	985.18B	827.70B	548.99B	699.66B	826.47B
Cash Flow
Free Cash Flow	47.78B	16.25B	92.92B	-401.96B	-178.94B	-79.08B
Operating Cash Flow	138.07B	410.33B	450.16B	-93.78B	97.19B	217.62B
Investing Cash Flow	-83.31B	-422.62B	-333.55B	-275.80B	-322.16B	-254.96B
Financing Cash Flow	-47.37B	34.15B	-96.05B	598.47B	293.24B	-5.77B

Tohoku Electric Power Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1061.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• 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 1061.5 is above the 20-day moving average (MA) of 1009.20, above the 50-day MA of 1008.03, and below the 200-day MA of 1140.31, indicating a neutral trend. The MACD of 12.83 indicates Negative momentum. The RSI at 66.25 is Neutral, neither overbought nor oversold. The STOCH value of 89.65 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
9506	71 Outperform	$533.29B	2.92	19.86%	3.75%	-6.14%	-19.16%
Sector *	58 Neutral	AU$886.84M	4.30	-2.39%	4.95%	22.98%	-116.74%
CGKEF		$1.81B	3.33	14.82%	0.02%	―	―
EPWDF		$3.16B	4.64	7.15%	0.03%	―	―
KAEPF		$12.94B	4.16	15.53%	3.36%	―	―
TKECF		$5.89B	5.58	4.39%	―	―	―
5IE		€942.69M	2.41	17.76%	2.57%	―	―

Tohoku Electric Power Company Corporate Events

Tohoku Electric Power Announces Director Change

Tohoku Electric Power Co., Inc. announced a change in its board of directors, with Michikazu Mukoyama set to replace Osamu Kawanobe as an outside director following Kawanobe’s resignation due to personal reasons. This change, effective after the General Meeting of Shareholders in June 2025, ensures compliance with legal requirements and may influence the company’s strategic direction and governance.

The most recent analyst rating on (JP:9506) stock is a Buy with a Yen1750.00 price target. To see the full list of analyst forecasts on Tohoku Electric Power Company stock, see the JP:9506 Stock Forecast page.

Tohoku Electric Power Exceeds Financial Forecasts for FY 2025

Tohoku Electric Power Co., Inc. announced a notable difference between its forecasted and actual financial results for the fiscal year ending March 31, 2025. The company’s operating income, ordinary income, and net income exceeded expectations due to lower procurement costs driven by reduced fuel prices and lower prices on the Japan Electric Power Exchange. This financial performance may positively impact the company’s operational efficiency and market positioning.

Tohoku Electric Power Reports Decline in Financial Performance for FY 2025

Tohoku Electric Power Company reported a decrease in its financial performance for the fiscal year ending March 31, 2025, with operating revenue and net income both declining compared to the previous year. The company has announced an increase in annual dividends, reflecting a commitment to shareholder returns despite the challenging financial results.