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Market Cap

JP¥2.9t

Last Updated

2021/04/17 08:15 UTC

Data Sources

Company Financials +

Executive Summary

East Japan Railway Company operates as a passenger railway company in Japan and internationally. More Details


Snowflake Analysis

Reasonable growth potential not a dividend payer.


Similar Companies

Share Price & News

How has East Japan Railway's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 9020 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 9020's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

1.6%

9020

-0.2%

JP Transportation

0.1%

JP Market


1 Year Return

-7.2%

9020

-3.0%

JP Transportation

37.4%

JP Market

Return vs Industry: 9020 underperformed the JP Transportation industry which returned -3% over the past year.

Return vs Market: 9020 underperformed the JP Market which returned 37.4% over the past year.


Shareholder returns

9020IndustryMarket
7 Day1.6%-0.2%0.1%
30 Day-10.3%-10.4%-1.2%
90 Day12.4%2.6%5.7%
1 Year-5.9%-7.2%-2.0%-3.0%40.3%37.4%
3 Year-22.3%-25.7%-11.0%-14.2%21.3%12.9%
5 Year-21.2%-26.7%-5.8%-11.1%57.3%40.0%

Long-Term Price Volatility Vs. Market

How volatile is East Japan Railway's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is East Japan Railway undervalued compared to its fair value and its price relative to the market?

1.02x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 9020 (¥7570) is trading above our estimate of fair value (¥1386.9)

Significantly Below Fair Value: 9020 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 9020 is unprofitable, so we can't compare its PE Ratio to the JP Transportation industry average.

PE vs Market: 9020 is unprofitable, so we can't compare its PE Ratio to the JP market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 9020's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 9020 is overvalued based on its PB Ratio (1x) compared to the JP Transportation industry average (0.8x).


Future Growth

How is East Japan Railway forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

73.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 9020 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0%).

Earnings vs Market: 9020 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 9020's is expected to become profitable in the next 3 years.

Revenue vs Market: 9020's revenue (10.8% per year) is forecast to grow faster than the JP market (5.7% per year).

High Growth Revenue: 9020's revenue (10.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 9020's Return on Equity is forecast to be low in 3 years time (7.6%).


Past Performance

How has East Japan Railway performed over the past 5 years?

-24.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 9020 is currently unprofitable.

Growing Profit Margin: 9020 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 9020 is unprofitable, and losses have increased over the past 5 years at a rate of 24.8% per year.

Accelerating Growth: Unable to compare 9020's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 9020 is unprofitable, making it difficult to compare its past year earnings growth to the Transportation industry (-11.8%).


Return on Equity

High ROE: 9020 has a negative Return on Equity (-12.36%), as it is currently unprofitable.


Financial Health

How is East Japan Railway's financial position?


Financial Position Analysis

Short Term Liabilities: 9020's short term assets (¥1,036.8B) do not cover its short term liabilities (¥1,793.9B).

Long Term Liabilities: 9020's short term assets (¥1,036.8B) do not cover its long term liabilities (¥4,281.5B).


Debt to Equity History and Analysis

Debt Level: 9020's debt to equity ratio (122.3%) is considered high.

Reducing Debt: 9020's debt to equity ratio has increased from 111.4% to 122.3% over the past 5 years.

Debt Coverage: 9020's debt is not well covered by operating cash flow (2%).

Interest Coverage: Insufficient data to determine if 9020's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is East Japan Railway current dividend yield, its reliability and sustainability?

1.32%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 9020's dividend (1.32%) is higher than the bottom 25% of dividend payers in the JP market (1.21%).

High Dividend: 9020's dividend (1.32%) is low compared to the top 25% of dividend payers in the JP market (2.79%).


Stability and Growth of Payments

Stable Dividend: 9020's dividend payments have been volatile in the past 10 years.

Growing Dividend: 9020's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: 9020 is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.8yrs

Average management tenure


CEO

Yuji Fukasawa (63 yo)

3.08yrs

Tenure

Mr. Yuji Fukasawa serves as President and CEO at East Japan Railway Company since March 20, 2018. He served as Executive Vice President and Assistant to President at East Japan Railway Company from June 20...


Leadership Team

Experienced Management: 9020's management team is considered experienced (3.8 years average tenure).


Board Members

Experienced Board: 9020's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

East Japan Railway Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: East Japan Railway Company
  • Ticker: 9020
  • Exchange: TSE
  • Founded: 1987
  • Industry: Railroads
  • Sector: Transportation
  • Market Cap: JP¥2.856t
  • Shares outstanding: 377.24m
  • Website: https://www.jreast.co.jp

Number of Employees


Location

  • East Japan Railway Company
  • 2-2-2 Yoyogi
  • Shibuya-ku
  • Tokyo
  • 151-8578
  • Japan

Listings


Biography

East Japan Railway Company operates as a passenger railway company in Japan and internationally. The company operates through Transportation, Retail & Services, Real Estate & Hotels, and Others segments. I...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/17 08:15
End of Day Share Price2021/04/16 00:00
Earnings2020/12/31
Annual Earnings2020/03/31


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.