East Japan Railway AI Stock Analysis
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East Japan Railway (EJPRY) AI Stock Analysis
East Japan Railway
(Other OTC:EJPRY)
East Japan Railway earns a moderate score. The dominant factor is its mixed financial profile: revenue and earnings have recovered strongly past pre-pandemic levels and operating cash flow is robust, but persistent negative free cash flow and a rising debt load (debt-to-equity ~1.63x) limit financial flexibility and the ability to deleverage. Technicals are the clearest positive, with the price trading above all major moving averages and a positive MACD, though the elevated RSI and Stochastic readings suggest the stock is extended in the short term. Valuation is fair at 17.3x earnings with a 1.82% dividend yield, and the negative beta points to defensive, low-correlation characteristics. Key items to watch are whether projected FY2026 growth converts into positive free cash flow and stabilized debt.
East Japan Railway (EJPRY) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $28.99B
- Dividend Yield
- 1.81%
- Average Volume (3M)
- 52.96K
- Price to Earnings (P/E)
- 18.3
- Beta (1Y)
- -0.17
- Revenue Growth
- 2.85%
- EPS Growth
- 2.73%
- Country
- US
- Employees
- 70,623
- Sector
- Industrials
- Sector Strength
- 63
- Industry
- Railroads
East Japan Railway Business Overview & Revenue Model
Company Description
East Japan Railway Co. engages in the business of railway transportation services. It operates through the following segments: Transportation, Retails and Services, Real Estate and Hotels, and Others. The Transportation segment handles the transporta...
How the Company Makes Money
JR East generates revenue through multiple, network-linked businesses. (1) Transportation (railway) revenue: The core earnings engine is passenger rail, including (a) commuter and urban rail fares in the Greater Tokyo area and other regional cities,...
East Japan Railway Financial Statement Overview
Summary
Income statement strength (62) reflects a solid post-pandemic recovery, with revenue rising to ¥2.89 trillion in FY2025 and projected 12.2% growth in FY2026, alongside a return to consistent profitability (¥224.3 billion net income) and a healthy ~27% EBITDA margin. However, the balance sheet (45) is weighed down by elevated leverage, with debt-to-equity near 1.63x and total debt projected to climb to ¥5.18 trillion in FY2026. Cash flow (48) shows strong operating cash generation of ¥732.3 billion, but free cash flow remains negative (-¥38.7 billion in FY2025, projected to worsen to -¥130.4 billion), as heavy capital expenditure absorbs operating cash and keeps the company reliant on external financing.
Income Statement
62PositiveBalance Sheet
45NeutralCash Flow
48Neutral| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.25T | 3.27T | 2.89T | 2.73T | 2.41T | 1.98T |
| Gross Profit | 1.21T | 1.20T | 1.03T | 964.48B | 636.22B | 299.43B |
| EBITDA | 901.17B | 908.88B | 778.32B | 737.33B | 541.16B | 249.97B |
| Net Income | 255.28B | 262.79B | 224.28B | 196.45B | 99.23B | -94.95B |
Balance Sheet | ||||||
| Total Assets | 10.88T | 10.87T | 10.17T | 9.77T | 9.41T | 9.16T |
| Cash, Cash Equivalents and Short-Term Investments | 271.86B | 263.38B | 233.67B | 281.00B | 215.19B | 171.29B |
| Total Debt | 5.39T | 5.18T | 4.65T | 4.56T | 4.46T | 4.05T |
| Total Liabilities | 7.70T | 7.79T | 7.30T | 7.03T | 6.91T | 6.74T |
| Stockholders Equity | 3.17T | 3.06T | 2.86T | 2.72T | 2.47T | 2.39T |
Cash Flow | ||||||
| Free Cash Flow | 0 | -130.41B | -38.68B | -26.81B | 26.17B | -392.55B |
| Operating Cash Flow | 0 | 811.21B | 732.25B | 688.10B | 581.75B | 190.51B |
| Investing Cash Flow | 0 | -930.53B | -783.42B | -690.62B | -565.51B | -526.36B |
| Financing Cash Flow | 0 | 147.08B | 3.66B | 66.10B | 26.83B | 304.64B |
East Japan Railway Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EJPRY, the sentiment is Positive. The current price of 12.82 is above the 20-day moving average (MA) of 11.83, above the 50-day MA of 11.30, and above the 200-day MA of 11.31, indicating a bullish trend. The MACD of 0.41 indicates Negative momentum. The RSI at 64.77 is Neutral, neither overbought nor oversold. The STOCH value of 77.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EJPRY.
East Japan Railway Peers Comparison
Overall Rating
GATX75Outperform
FSTR74Outperform
WAB74Outperform- EJPRY59Neutral
GBX54Neutral
RVSN42Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| GATX | 75Outperform | $6.61B | 17.64 | 14.10% | 1.35% | 29.67% | 25.84% |
| FSTR | 74Outperform | $453.74M | 31.57 | 7.74% | ― | 15.80% | 182.29% |
| WAB | 74Outperform | $50.43B | 36.92 | 12.17% | 0.40% | 13.25% | 16.83% |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| EJPRY | 59Neutral | $28.31B | 18.32 | 8.23% | 1.81% | 2.85% | 2.73% |
| GBX | 54Neutral | $1.30B | 16.23 | 4.73% | 3.24% | -23.97% | -60.98% |
| RVSN | 42Neutral | $5.02M | -0.36 | -70.18% | ― | 191.88% | 51.03% |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| EJPRY | East Japan Railway (EJPRY) | 12.82 | 0.68 | 5.63% | |
| GATX | GATX Corporation | 191.43 | 40.98 | 27.24% | |
| GBX | Greenbrier Companies | 41.40 | 0.88 | 2.18% | |
| FSTR | L. B. Foster Company | 42.30 | 15.80 | 59.62% | |
| WAB | Westinghouse Air Brake Technologies Corporation | 297.96 | 99.07 | 49.81% | |
| RVSN | Rail Vision Ltd. | 2.19 | -7.78 | -77.99% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 07, 2026