eREX Co., Ltd. (9517) AI Stock Analysis

• Market Cap: ¥55.24B
• Dividend Yield: 1.55%
• Average Volume (3M): 177.27K
• Price to Earnings (P/E): 148.8
• Beta (1Y): 1.02
• Revenue Growth: -21.43%
• EPS Growth: N/A
• Country: JP
• Employees: 269
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): -1.74
• Shares Outstanding: 78,161,606
• 10 Day Avg. Volume: 188,250
• 30 Day Avg. Volume: 177,273
• PEG Ratio: -0.26
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.35
• P/FCF Ratio: 4.28
• 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: ¥705.00
• Price Target Upside: -0.42% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 51 Neutral
• Price Target: ¥705.00 ▼(-0.42% Downside)

The overall stock score of 51 reflects a company in financial recovery with improved profitability and cash flow. However, the technical analysis indicates a bearish trend, and the high P/E ratio suggests overvaluation concerns. The lack of earnings call data and corporate events means these factors did not influence the score.

eREX Co., Ltd. Business Overview & Revenue Model

Company Description

eREX Co.,Ltd. engages in the generation and supply of power in Japan. The company operates a biomass power plant. It is also involved in electricity trading. The company was founded in 1999 and is headquartered in Tokyo, Japan.

How the Company Makes Money

eREX Co., Ltd. generates revenue through its electricity generation and retail operations. The company primarily earns money by selling electricity generated from its biomass and renewable energy facilities to end-users, such as households and businesses. eREX may also engage in power purchase agreements (PPAs) with other entities, securing stable revenue streams. Additionally, the company might receive government subsidies or incentives aimed at promoting renewable energy, which can further contribute to its earnings.

eREX Co., Ltd. Financial Statement Overview

Summary

eREX Co., Ltd. is showing signs of financial recovery with improved profitability and cash flow in the latest fiscal year. Despite revenue challenges, margins have stabilized, and the balance sheet remains solid with manageable leverage. The company's cash flow situation has improved, enhancing its liquidity position. Continued focus on revenue growth and cost management will be key to sustained financial health.

Income Statement

The company has shown volatility in its revenue and profitability over the years. Recent recovery in profitability is noted, with a gross profit margin of 11.98% and an EBIT margin of 5.61% for the year ending March 2025. The net profit margin improved to 1.24% from a significant loss in the previous year. However, revenue growth has been negative, indicating potential challenges in maintaining revenue levels.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.70, indicating balanced leverage. The equity ratio of 41.81% reflects a stable capital structure. Return on equity for 2025 was 3.30%, which is a recovery from losses in 2024 but still indicates room for improvement. Overall, the balance sheet shows a stable financial position.

Cash Flow

Cash flow has improved significantly, with a free cash flow of ¥13.9 billion in 2025 compared to negative figures in previous years. The operating cash flow to net income ratio is strong at 9.20, reflecting efficient cash generation relative to net income. Free cash flow growth has been positive, indicating improved cash management and operational efficiency.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	174.82B	171.22B	244.98B	296.31B	230.50B	141.88B
Gross Profit	20.37B	20.50B	-9.17B	25.73B	22.85B	24.56B
EBITDA	9.94B	11.33B	-16.27B	21.60B	19.48B	18.06B
Net Income	236.00M	2.12B	-22.26B	9.13B	9.65B	6.29B
Balance Sheet
Total Assets	149.04B	153.38B	145.18B	171.48B	157.16B	127.88B
Cash, Cash Equivalents and Short-Term Investments	25.55B	33.61B	23.51B	33.62B	27.16B	31.70B
Total Debt	46.17B	45.22B	57.78B	55.13B	53.59B	47.67B
Total Liabilities	79.88B	80.90B	89.95B	97.09B	90.34B	73.39B
Stockholders Equity	61.73B	64.14B	47.51B	62.07B	55.71B	44.08B
Cash Flow
Free Cash Flow	0.00	13.90B	-26.29B	20.12B	-595.00M	16.09B
Operating Cash Flow	0.00	19.50B	-23.23B	21.49B	13.31B	18.70B
Investing Cash Flow	0.00	-5.53B	-6.56B	-14.58B	-22.98B	-9.67B
Financing Cash Flow	0.00	32.00M	15.15B	-225.00M	4.66B	6.41B

eREX Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 708.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9517, the sentiment is Negative. The current price of 708 is below the 20-day moving average (MA) of 730.10, below the 50-day MA of 731.16, and below the 200-day MA of 763.82, indicating a bearish trend. The MACD of -3.75 indicates Positive momentum. The RSI at 42.94 is Neutral, neither overbought nor oversold. The STOCH value of 30.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9517.

eREX Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1407	72 Outperform	¥69.40B	12.64	―	3.62%	-6.23%	-19.98%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
9514	63 Neutral	¥9.17B	12.39	―	1.90%	0.72%	153.86%
9519	62 Neutral	¥83.65B	25.79	3.54%	―	50.30%	-63.98%
9511	56 Neutral	¥56.86B	9.76	5.05%	2.42%	-0.20%	13.11%
9517	51 Neutral	¥55.24B	148.82	―	1.55%	-21.43%	―
5074	48 Neutral	¥26.76B	124.78	―	1.35%	19.71%	-82.80%

eREX Co., Ltd. Corporate Events

eREX Co., Ltd. Advances De-carbonization Efforts in Southeast Asia

eREX Co., Ltd. is leveraging its expertise in biomass power generation to promote de-carbonization in Southeast Asia, addressing the region’s increasing power demand. The company’s solid foundation in Japan and strategic focus on sustainable energy solutions position it well for growth and impact in the energy industry.

The most recent analyst rating on (JP:9517) stock is a Sell with a Yen690.00 price target. To see the full list of analyst forecasts on eREX Co., Ltd. stock, see the JP:9517 Stock Forecast page.

eREX Co., Ltd. Reports Q1 2025 Financial Results with Mixed Performance

eREX Co., Ltd. reported its consolidated financial results for the first quarter ending June 30, 2025, showing a 10.8% increase in net sales compared to the previous year. However, the company experienced a significant decline in operating income and net income, with a notable decrease in income before taxes by 83%. Despite these challenges, eREX maintains its financial forecasts for the fiscal year ending March 31, 2026, projecting a 2.9% increase in net sales and a 61.3% rise in net income attributable to owners of the parent company. The company continues to focus on its strategic goals, although the current financial performance may impact its short-term market positioning.

The most recent analyst rating on (JP:9517) stock is a Sell with a Yen690.00 price target. To see the full list of analyst forecasts on eREX Co., Ltd. stock, see the JP:9517 Stock Forecast page.

eREX Co., Ltd. Reports Q1 2026 Financial Results with Sales Growth

eREX Co., Ltd. reported a 10.8% increase in net sales for the first quarter of fiscal year 2026, despite a significant drop in net income compared to the previous year. The company’s financial forecast for the full fiscal year anticipates a modest growth in net sales and a significant increase in net income, indicating a potential recovery in profitability.

The most recent analyst rating on (JP:9517) stock is a Sell with a Yen690.00 price target. To see the full list of analyst forecasts on eREX Co., Ltd. stock, see the JP:9517 Stock Forecast page.