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Tobu Railway Co (9001) AI Stock Analysis

JP:9001

Tobu Railway Co

(TSE/TYO:9001)

Select Model
Rating:66Neutral
Price Target:JPY 3,169.00â–²(6.90% Upside)
Action:downgraded
Date:08/07/26

The score is supported most by improving profitability and a reasonable valuation, while cash flow remains the biggest risk. Technicals are mixed rather than strong, keeping the overall score in the mid-range.

Positive Factors
Integrated rail + real estate business modelTobu's integrated model ties rail operations to real estate, retail and leisure assets along its corridors, creating recurring rental and retail income that is directly supported by ridership. This diversification across corridor-linked businesses enhances revenue stability and a durable competitive moat versus standalone rail peers.
Negative Factors
Negative free cash flow in recent yearsPersistent negative free cash flow despite positive operating cash flow signals higher capex or working-capital consumption tied to development projects. This weakens ability to self-finance growth or accelerate debt reduction, raising reliance on external funding and constraining capital allocation flexibility over the medium term.

Tobu Railway Co (9001) vs. iShares MSCI Japan ETF (EWJ)

-5%0%5%10%15%20%25%30%JP:9001+20.66%EWJ+17.00%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 3.66B
Dividend Yield
2.56%
Average Volume (3M)
685.37K
Price to Earnings (P/E)
10.3
Beta (1Y)
0.40
Revenue Growth
5.23%
EPS Growth
13.35%
Country
Japan
Employees
18,148
Sector
Industrials
Sector Strength
63
Industry
Railroads

Tobu Railway Co Business Overview & Revenue Model

Company Description

Established in 1896 and headquartered in Tokyo, Japan, Tobu Railway Co., Ltd. manages an extensive private rail network throughout the Kanto region. Beyond its core transportation business, the company has diversified into several sectors, including...

How the Company Makes Money

Tobu Railway generates earnings primarily through (1) transportation revenue and (2) non-transport businesses built around its rail corridor. In transportation, it earns passenger fare revenue from commuting and leisure ridership across its railway n...

Tobu Railway Co Financial Statement Overview

Summary

Solid overall recovery: income is strong with improving margins and revenue growth, and the balance sheet is gradually improving with lower leverage. Cash flow remains the main weakness because free cash flow is negative and capex pressure is high.

Income Statement

82Very Positive

Balance Sheet

65Positive

Cash Flow

58Neutral
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue663.11B655.43B631.46B635.96B614.75B506.02B
Gross Profit204.44B202.19B180.44B177.31B156.04B119.56B
EBITDA143.47B142.97B135.72B126.80B104.55B85.68B
Net Income55.82B55.62B51.33B48.16B29.18B13.45B
Balance Sheet
Total Assets1.85T1.86T1.76T1.71T1.75T1.73T
Cash, Cash Equivalents and Short-Term Investments37.30B44.37B35.11B31.45B69.25B46.07B
Total Debt803.89B788.99B782.87B752.45B798.41B811.74B
Total Liabilities1.22T1.24T1.20T1.17T1.27T1.27T
Stockholders Equity627.22B615.61B554.51B535.69B474.75B452.57B
Cash Flow
Free Cash Flow0-1.94B-20.81B8.76B43.85B12.87B
Operating Cash Flow0106.64B90.07B91.69B101.11B66.85B
Investing Cash Flow0-82.72B-86.78B-61.63B-52.71B-30.96B
Financing Cash Flow0-14.65B321.00M-67.92B-25.29B-35.01B

Tobu Railway Co Technical Analysis

Technical Analysis SentimentPositive
Last Price2964.50

Price Trends

50DMA2891.30Positive
100DMA2898.82Positive
200DMA2854.73Positive

Market Momentum

MACD12.03Negative
RSI57.92Neutral
STOCH43.47Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9001, the sentiment is Positive. The current price of 2964.50 is above the 20-day moving average (MA) of 2844.60, above the 50-day MA of 2891.30, and above the 200-day MA of 2854.73, indicating a bullish trend. The MACD of 12.03 indicates Negative momentum. The RSI at 57.92 is Neutral, neither overbought nor oversold. The STOCH value of 43.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9001.

Tobu Railway Co Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:9001 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:9009JP:900979OutperformJPY 719.48B13.479.18%1.62%4.15%-26.13%
JP:9001JP:900166NeutralJPY 574.89B10.279.24%2.56%5.23%13.35%
JP:9021JP:902166NeutralJPY 1.41T11.939.82%3.27%6.41%-2.64%
JP:9020JP:902064NeutralJPY 4.11T16.258.23%2.28%8.51%9.19%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:9007JP:900760NeutralJPY 626.01B17.226.99%3.43%2.63%-13.44%
JP:9044JP:904455NeutralJPY 327.84B12.95―1.73%3.35%12.80%

* Industrials Sector Average

Performance Comparison

-20%0%20%JP:9001JP:9020JP:9009JP:9007JP:9021JP:9044Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:9001 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:9001Tobu Railway Co 2932.00498.7120.50%
JP:9020East Japan Railway Company3638.0048.511.35%
JP:9009Keisei Electric Railway Co 1417.00190.2315.51%
JP:9007Odakyu Electric Railway Co 1749.50172.5710.94%
JP:9021West Japan Railway Company3086.0028.660.94%
JP:9044Nankai Electric Railway Co., Ltd.3026.00259.889.40%

Tobu Railway Co Corporate Events

Tobu Railway Posts Broad-Based Earnings Growth in First Quarter 2026

Aug 4, 2026

Tobu Railway reported consolidated results for the three months ended June 30, 2026, showing operating revenue rising to ¥156.2 billion and operating profit to ¥21.0 billion, both up year-on-year and above its plan. Ordinary profit and prof...

Tobu Railway Posts Higher Q1 Profits and Raises Annual Dividend Target

Aug 4, 2026

Tobu Railway reported consolidated operating revenue of ¥156.3 billion for the three months ended June 30, 2026, up 5.2% year on year, with operating profit rising 10.6% to ¥21.0 billion and profit attributable to owners of parent edging up...

Tobu Railway Raises Annual Dividend and Signals Further Payout Increase

May 15, 2026

Tobu Railway has approved a year-end dividend of ¥37.50 per share for the fiscal year ended March 31, 2026, matching its latest forecast and lifting the total annual dividend to ¥70 including the interim payout. The total year-end distribut...

Tobu Railway Lifts Annual Dividend on Improved Earnings

May 15, 2026

Tobu Railway’s board has approved a year-end dividend of ¥37.50 per share for the fiscal year ended March 31, 2026, with a total payout of ¥7,362 million, up from ¥32.50 per share a year earlier. This brings the total annual divi...

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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: Aug 04, 2026