Okinawa Electric Power Co (9511) AI Stock Analysis

• Market Cap: ¥55.83B
• Dividend Yield: 2.31%
• Average Volume (3M): 139.76K
• Price to Earnings (P/E): 3.6
• Beta (1Y): 0.54
• Revenue Growth: -1.96%
• EPS Growth: 33.15%
• Country: JP
• Employees: 3,079
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): 78.30
• Shares Outstanding: 56,927,963
• 10 Day Avg. Volume: 159,450
• 30 Day Avg. Volume: 139,760
• PEG Ratio: 0.14
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.21
• P/FCF Ratio: -7.07
• 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: 63 Neutral
• Price Target: ¥1,267.00 ▲(14.56% Upside)
• Action: Reiterated Date: 10/23/25
• Date: Action: Reiterated 10/23/25

The stock's overall score is driven by strong technical indicators and a favorable valuation, despite financial performance concerns. The positive market momentum and low P/E ratio suggest potential upside, but financial risks due to high leverage and negative free cash flow remain significant considerations.

Positive Factors

Captive regional customer base

Okinawa Electric serves a geographically concentrated, captive customer base in Okinawa Prefecture, giving it a durable retail franchise and predictable demand profile. This structural market position limits direct competition, supports stable load forecasts and long-term infrastructure planning.

Regulated tariff-based revenue

A regulated-tariff business model provides predictable revenue streams and formal mechanisms to recover costs. Over a multi-month horizon, regulatory frameworks and tariff adjustments reduce commodity exposure and provide more stable cash flow visibility versus unregulated power producers.

Improving operational cash generation

Financial commentary highlights improving profitability and operating cash generation, a durable sign management can enhance core operations. Sustained OCF improvement strengthens the company's ability to fund maintenance capex and stabilize operations even if investment needs or financing remain.

Negative Factors

High leverage

A consistently high debt-to-equity ratio constrains financial flexibility and raises refinancing and interest-rate vulnerability. Over several months this elevates credit risk, limits discretionary investment, and makes the company more sensitive to earnings swings or regulatory changes that affect cash flow.

Persistent negative free cash flow

Continued negative free cash flow indicates the business requires external funding or asset sales to cover investment and financing needs. Persistently negative FCF undermines balance sheet repair, increases reliance on debt markets, and limits the company's ability to self-fund transition or resilience measures.

Volatile revenue and earnings

Revenue and margin volatility, including material losses in 2023, reduce predictability of future cash flows and complicate multi-period planning. For a regulated utility, inconsistent earnings amplify the impact of leverage and constrain management's ability to execute long-term investments or dividend policies reliably.

Okinawa Electric Power Co Business Overview & Revenue Model

Company Description

The Okinawa Electric Power Co., Inc. engages in power distribution business. It operates through the Electric and Construction segments. The Electric segment supplies electricity throughout Okinawa Prefecture. The Construction segment carries out civil engineering, architectural, electrical, plumbing, and telecommunications works, as well as the construction and maintenance of power equipment. The company was founded on May 15, 1972 and is headquartered in Urasoe, Japan.

How the Company Makes Money

Okinawa Electric Power generates revenue primarily through the sale of electricity to its customers, which include households, businesses, and government entities. The company has a regulated pricing structure, where electricity rates are approved by the government, allowing it to maintain a stable revenue stream. In addition to traditional power generation, the company has been investing in renewable energy sources, which not only align with global sustainability trends but also provide opportunities for government incentives and subsidies. Key revenue streams include residential and commercial electricity sales, transmission and distribution services, and ancillary services related to energy management. Partnerships with local and national governments, as well as collaborations with private firms in renewable energy projects, further enhance its revenue potential by expanding service offerings and entering new markets.

Okinawa Electric Power Co Financial Statement Overview

Summary

Okinawa Electric Power Co's financials reflect a mixed performance, with improvements in profitability and operational cash generation. However, high leverage, fluctuating margins, and negative free cash flow pose significant risks.

Income Statement

The company shows a volatile revenue trend with moderate growth in recent years. Gross and net profit margins have been inconsistent, indicating fluctuating profitability. Though EBIT and EBITDA margins have improved recently, the overall income statement reflects instability, particularly with the significant losses experienced in 2023.

Balance Sheet

The balance sheet highlights high leverage with a consistently high debt-to-equity ratio, reflecting potential financial risk. However, the company's equity ratio has remained relatively stable, suggesting some balance in capital structure. Return on Equity (ROE) has shown improvement, although it remains susceptible to earnings volatility.

Cash Flow

Cash flow analysis indicates operational challenges as free cash flow remains negative despite improvements in operating cash flow. The operating cash flow to net income ratio shows a favorable operational cash generation relative to net income, but persistent negative free cash flow suggests ongoing investment or financing needs.

Breakdown	TTM	Mar 2025	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	234.60B	236.54B	236.39B	223.52B	176.23B	190.52B
Gross Profit	8.97B	25.63B	4.06B	-47.88B	3.35B	13.16B
EBITDA	32.40B	30.50B	25.05B	-28.47B	26.38B	34.97B
Net Income	5.83B	4.32B	2.39B	-45.46B	1.96B	8.34B
Balance Sheet
Total Assets	504.13B	502.18B	500.24B	481.80B	447.70B	428.40B
Cash, Cash Equivalents and Short-Term Investments	20.66B	18.75B	22.16B	19.06B	21.87B	26.68B
Total Debt	320.86B	312.22B	314.47B	304.62B	227.64B	211.34B
Total Liabilities	382.03B	378.63B	381.40B	367.30B	286.41B	265.33B
Stockholders Equity	119.91B	121.36B	116.80B	112.61B	159.48B	161.43B
Cash Flow
Free Cash Flow	-5.41B	-7.04B	-7.72B	-81.14B	-18.64B	400.00M
Operating Cash Flow	4.67B	34.08B	25.63B	-38.06B	17.33B	31.69B
Investing Cash Flow	-8.51B	-34.04B	-32.00B	-38.48B	-34.93B	-29.48B
Financing Cash Flow	4.94B	-3.44B	9.54B	75.04B	12.79B	1.39B

Okinawa Electric Power Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1106.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9511, the sentiment is Negative. The current price of 1106 is above the 20-day moving average (MA) of 1099.75, below the 50-day MA of 1124.36, and above the 200-day MA of 1027.15, indicating a neutral trend. The MACD of -31.02 indicates Positive momentum. The RSI at 36.82 is Neutral, neither overbought nor oversold. The STOCH value of 36.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9511.

Okinawa Electric Power Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9506	74 Outperform	¥571.52B	5.14	16.40%	3.47%	-8.73%	-6.98%
9509	71 Outperform	¥217.12B	13.52	13.70%	2.36%	-1.60%	-10.41%
9505	69 Neutral	¥227.14B	4.18	17.23%	2.31%	1.75%	38.58%
9504	69 Neutral	¥360.23B	16.42	12.27%	3.23%	-1.02%	79.80%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
9511	63 Neutral	¥55.83B	3.56	4.73%	2.31%	-1.96%	33.15%
9501	52 Neutral	¥1.05T	5.29	-22.13%	―	-2.28%	-794.92%

Okinawa Electric Power Co Corporate Events

Okinawa Electric Power Reshapes Top Leadership, Appoints New President

The Okinawa Electric Power Company has announced a leadership reshuffle, with current President Hiroyuki Motonaga becoming Representative Director and Chairman and Tetsu Yokoda, now Executive Vice President, stepping up as Representative Director and President. The move, effective April 1, 2026, is attributed to a change in the company’s management structure and signals an evolution in executive responsibilities that could influence strategic direction and operational oversight for stakeholders in Okinawa’s power sector.

The most recent analyst rating on (JP:9511) stock is a Buy with a Yen1346.00 price target. To see the full list of analyst forecasts on Okinawa Electric Power Co stock, see the JP:9511 Stock Forecast page.

Okinawa Electric Power Lifts Profits and Dividend Despite Lower Sales

Okinawa Electric Power reported consolidated results for the nine months ended December 31, 2025, showing a 5.9% year-on-year decline in net sales to ¥175.3 billion but solid profit growth, with operating profit up 28.4% to ¥15.9 billion, ordinary profit up 26.7% to ¥14.7 billion and profit attributable to owners of parent rising 20.8% to ¥11.3 billion, helped by improved profitability despite weaker topline. Total assets increased to ¥520.8 billion and equity strengthened, lifting the equity-to-asset ratio to 25.5%, while the company maintained its full-year guidance calling for lower sales but higher earnings and raised annual dividends to a projected ¥30 per share for the year ending March 31, 2026, signalling improved financial stability and a more shareholder-friendly capital policy in a still-challenging demand environment.

The most recent analyst rating on (JP:9511) stock is a Hold with a Yen1169.00 price target. To see the full list of analyst forecasts on Okinawa Electric Power Co stock, see the JP:9511 Stock Forecast page.