How does WEJ0's PE Ratio compare to its peers?

WEJ0 is expensive based on its Price-To-Earnings Ratio (12.3x) compared to the peer average (11.5x).

How does WEJ0's PE Ratio compare vs other companies in the European Transportation Industry?

WEJ0 is good value based on its Price-To-Earnings Ratio (12.3x) compared to the European Transportation industry average (12.9x).

What is WEJ0's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

WEJ0 is good value based on its Price-To-Earnings Ratio (12.3x) compared to the estimated Fair Price-To-Earnings Ratio (13.8x).

What is the Fair Price of WEJ0 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

WEJ0 (€16.9) is trading above our estimate of [[fair value]] (€9.97)

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Insufficient data to show price forecast.

WEJ0 Stock Overview

Provides railway transport services in Japan. More details

WEJ0 fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	1/6
Past Performance	4/6
Financial Health	2/6
Dividends	3/6

Rewards

Price-To-Earnings ratio (12.3x) is below the German market (15.5x)

Earnings are forecast to grow 3.92% per year

Earnings grew by 11.2% over the past year

Risk Analysis

Has a high level of debt

Dividend of 2.7% is not well covered by free cash flows

My Notes

Capture your thoughts, links and company narrative

West Japan Railway Company Competitors

Sixt

XTRA:SIX2

€3.3b

Deutsche Lufthansa

XTRA:LHA

€7.4b

Fraport

XTRA:FRA

€5.1b

Hankyu Hanshin Holdings

TSE:9042

JP¥971.1b

Price History & Performance

Summary of share price highs, lows and changes for West Japan Railway
Historical stock prices
Current Share Price	JP¥16.90
52 Week High	JP¥18.60
52 Week Low	JP¥15.90
Beta	0.28
1 Month Change	1.81%
3 Month Change	0%
1 Year Change	n/a
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-6.11%

Recent updates

Shareholder Returns

	WEJ0	DE Transportation	DE Market
7D	-4.0%	0.09%	-2.6%
1Y	n/a	4.9%	7.1%

Return vs Industry: Insufficient data to determine how WEJ0 performed against the German Transportation industry.

Return vs Market: Insufficient data to determine how WEJ0 performed against the German Market.

Price Volatility

Is WEJ0's price volatile compared to industry and market?
WEJ0 volatility
WEJ0 Average Weekly Movement	2.8%
Transportation Industry Average Movement	4.8%
Market Average Movement	4.9%
10% most volatile stocks in DE Market	11.6%
10% least volatile stocks in DE Market	2.5%

Stable Share Price: WEJ0 has not had significant price volatility in the past 3 months compared to the German market.

Volatility Over Time: WEJ0's weekly volatility (3%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1987	44,366	Kazuaki Hasegawa	www.westjr.co.jp

West Japan Railway Company provides railway transport services in Japan. The company operates through Mobility, Retail, Real Estate, Travel and Regional Solutions, and Other segments. The Mobility segment provides passenger transportation, station operation and management, cleaning and maintenance, construction, machinery and equipment installation, and rolling stock services, as well as engages in the railway operations and electrical engineering.

West Japan Railway Company Fundamentals Summary

How do West Japan Railway's earnings and revenue compare to its market cap?
WEJ0 fundamental statistics
Market cap	€7.62b
Earnings (TTM)	€621.15m
Revenue (TTM)	€10.28b

12.3x

P/E Ratio

0.7x

P/S Ratio

Is WEJ0 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
WEJ0 income statement (TTM)
Revenue	JP¥1.68t
Cost of Revenue	JP¥1.27t
Gross Profit	JP¥409.10b
Other Expenses	JP¥307.77b
Earnings	JP¥101.33b

Last Reported Earnings

Sep 30, 2024

Next Earnings Date

Jan 31, 2025

Earnings per share (EPS)	223.44
Gross Margin	24.40%
Net Profit Margin	6.04%
Debt/Equity Ratio	115.7%

How did WEJ0 perform over the long term?

See historical performance and comparison

Dividends

2.7%

Current Dividend Yield

38%

Payout Ratio

Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2024/12/19 08:44
End of Day Share Price	2024/12/19 00:00
Earnings	2024/09/30
Annual Earnings	2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

West Japan Railway Company is covered by 35 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
Takayuki Hayano	Barclays
Yasuharu Sugimura	BNP Paribas Securities (Asia)
Nathan Gee	BofA Global Research

West Japan Railway DB:WEJ0 Stock Report