Keio (9008) AI Stock Analysis

• Market Cap: $428.88B
• Dividend Yield: 2.71%
• Average Volume (3M): 343.18K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.64
• Revenue Growth: 8.78%
• EPS Growth: 16.87%
• Country: JP
• Employees: 12,918
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 101.27
• Shares Outstanding: 119,701,730
• 10 Day Avg. Volume: 345,760
• 30 Day Avg. Volume: 343,180
• PEG Ratio: 0.23
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 1.02
• P/FCF Ratio: -22.76
• Enterprise Value/Market Cap: 1.95
• Enterprise Value/Revenue: 1.81
• Enterprise Value/Gross Profit: 7.30
• Enterprise Value/Ebitda: 9.60
• 1Y Price Target: $3,827.53
• Price Target Upside: 1.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: ¥3,827.00 ▲(1.92% Upside)

Keio is well-positioned with a strong financial performance and attractive valuation. The primary strengths are its robust revenue and profit growth and low P/E ratio, which suggest potential undervaluation. However, concerns over high leverage and cash flow volatility, combined with neutral technical signals, temper the overall outlook.

Keio Business Overview & Revenue Model

Company Description

Keio Corporation (9008) is a leading Japanese transportation and real estate company primarily engaged in the operation of a railway network in the Greater Tokyo area. Founded in 1906, Keio operates commuter rail services, providing critical transportation links for daily commuters. In addition to its transportation services, the company has diversified into real estate development, retail, and leisure services, managing shopping centers, hotels, and other facilities along its railway lines.

How the Company Makes Money

Keio Corporation generates revenue primarily through its railway operations, which include passenger fares from its extensive train services. This segment is bolstered by the high demand for commuter travel in the Tokyo metropolitan area. Additionally, the company earns significant income from real estate activities, including leasing and managing properties developed along its railway lines, which attract shoppers and visitors. Retail operations within its station complexes, as well as revenues from hotels and leisure facilities, contribute further to its earnings. Strategic partnerships with various businesses, such as retail brands and hospitality services, also enhance its profitability by driving foot traffic and customer engagement in its properties.

Keio Financial Statement Overview

Summary

Keio's financial position is robust, with impressive revenue and profit growth indicating operational strength. However, the high leverage is a concern, and cash flow management needs improvement to stabilize free cash flow for sustainable growth.

Income Statement

Keio has demonstrated strong revenue growth with a consistent upward trajectory since 2021. The gross profit margin and net profit margin have improved significantly over the years, showcasing enhanced profitability. The EBIT and EBITDA margins have also shown positive trends, reflecting operational efficiency. This impressive performance is indicative of a robust income statement position in the conglomerates industry.

Balance Sheet

The company's debt-to-equity ratio is relatively high, indicating significant leverage, which could pose a risk if not managed properly. However, the return on equity (ROE) has improved, suggesting efficient use of shareholders' funds. The equity ratio indicates a stable financial structure, with a substantial portion of assets funded by equity. Overall, the balance sheet is strong but requires careful monitoring of leverage levels.

Cash Flow

Keio's cash flow performance presents a mixed picture. The operating cash flow to net income ratio indicates good cash generation relative to profitability. However, the free cash flow has been volatile, with substantial negative values in recent years due to high capital expenditures. The free cash flow to net income ratio highlights a need for better capital management to ensure long-term liquidity and financial health.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	461.93B	452.92B	408.69B	347.13B	299.87B	315.44B
Gross Profit	114.34B	112.98B	96.99B	70.19B	47.79B	26.68B
EBITDA	86.97B	89.31B	75.50B	53.05B	48.63B	17.16B
Net Income	40.29B	42.86B	29.24B	13.11B	5.58B	-27.52B
Balance Sheet
Total Assets	1.10T	1.12T	1.08T	955.23B	906.21B	912.62B
Cash, Cash Equivalents and Short-Term Investments	37.18B	48.25B	73.06B	71.03B	67.40B	76.77B
Total Debt	457.00B	446.94B	435.35B	402.65B	375.71B	399.61B
Total Liabilities	677.68B	707.83B	685.46B	603.67B	563.93B	568.23B
Stockholders Equity	422.10B	414.64B	393.18B	351.59B	342.32B	344.34B
Cash Flow
Free Cash Flow	0.00	-20.27B	7.96B	-31.05B	-8.76B	-39.27B
Operating Cash Flow	0.00	28.61B	52.26B	25.04B	28.22B	6.90B
Investing Cash Flow	0.00	-38.11B	-42.48B	-42.05B	-14.32B	-30.82B
Financing Cash Flow	0.00	-15.36B	-7.76B	20.63B	-23.26B	58.77B

Keio Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3755.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9008, the sentiment is Neutral. The current price of 3755 is below the 20-day moving average (MA) of 3845.27, below the 50-day MA of 3779.77, and above the 200-day MA of 3674.56, indicating a neutral trend. The MACD of 1.13 indicates Positive momentum. The RSI at 42.92 is Neutral, neither overbought nor oversold. The STOCH value of 9.42 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9008.

Keio Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9041	71 Outperform	$585.58B	13.07	8.41%	1.85%	6.01%	-11.07%
9008	70 Outperform	$428.88B	11.32	9.93%	2.71%	8.78%	16.87%
9045	70 Outperform	$339.87B	12.26	9.48%	1.24%	-3.86%	17.34%
9024	68 Neutral	¥1.51T	5.83	―	0.81%	86.55%	745.06%
9048	68 Neutral	¥337.45B	9.92	―	2.19%	10.66%	23.01%
9010	67 Neutral	¥128.61B	26.18	―	1.19%	1.32%	-1.75%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Keio Corporate Events

Keio Corporation Withdraws Stock Acquisition Rights Registration

Keio Corporation has announced the withdrawal of its shelf registration of stock acquisition rights following the abolition of its takeover defense measures. This decision marks a significant shift in the company’s approach to large-scale acquisitions, potentially impacting its market strategy and shareholder relations.

The most recent analyst rating on (JP:9008) stock is a Buy with a Yen4700.00 price target. To see the full list of analyst forecasts on Keio stock, see the JP:9008 Stock Forecast page.

Keio Corporation Announces Major Personnel and Organizational Changes

Keio Corporation announced significant personnel changes, including new appointments and retirements among its directors and executive officers, as well as adjustments to its organizational structure. These changes are expected to enhance operational efficiency and strengthen the company’s leadership, potentially impacting its strategic direction and market competitiveness.

The most recent analyst rating on (JP:9008) stock is a Buy with a Yen4700.00 price target. To see the full list of analyst forecasts on Keio stock, see the JP:9008 Stock Forecast page.

Keio Corporation Unveils ‘HIRAKU2030’ Medium-Term Management Plan

Keio Corporation has announced its Medium-Term Management Plan, ‘HIRAKU2030,’ which aims to enhance corporate value and urban development through large-scale projects and digital transformation initiatives. The plan focuses on improving asset efficiency, shareholder returns, and sustainability management, positioning FY2030 as a key milestone for future growth and establishing Keio as a top brand in trust.

The most recent analyst rating on (JP:9008) stock is a Buy with a Yen4700.00 price target. To see the full list of analyst forecasts on Keio stock, see the JP:9008 Stock Forecast page.

Keio Corporation Unveils ‘HIRAKU 2030’ Management Plan

Keio Corporation has announced the establishment of its Medium-Term Management Plan, ‘HIRAKU 2030,’ which will guide the company’s strategic initiatives from fiscal year 2025 through 2030. This plan is expected to significantly impact Keio’s operations and industry positioning by outlining the company’s future growth and development strategies, although specific implications for stakeholders are not detailed in the release.

The most recent analyst rating on (JP:9008) stock is a Buy with a Yen4700.00 price target. To see the full list of analyst forecasts on Keio stock, see the JP:9008 Stock Forecast page.

Keio Corporation Announces Key Officer Personnel Changes

Keio Corporation announced a series of officer personnel changes, which were internally approved at the Board of Directors meeting. These changes, set to be officially decided at the upcoming Annual General Meeting, include new director appointments and retirements, potentially impacting the company’s strategic direction and operational management.

The most recent analyst rating on (JP:9008) stock is a Buy with a Yen4700.00 price target. To see the full list of analyst forecasts on Keio stock, see the JP:9008 Stock Forecast page.

Keio Corporation Abolishes Takeover Defense Measures

Keio Corporation has decided to discontinue its takeover defense measures, which were initially introduced to protect corporate value and shareholder interests. This decision, made at the Board of Directors meeting, reflects a shift in strategy as the company adapts to changing business environments and shareholder opinions, potentially impacting its future acquisition strategies and corporate governance.

The most recent analyst rating on (JP:9008) stock is a Buy with a Yen4700.00 price target. To see the full list of analyst forecasts on Keio stock, see the JP:9008 Stock Forecast page.

Keio Corporation Reports Strong 2025 Financial Results Amid Forecasted Challenges

Keio Corporation reported a significant increase in its consolidated financial results for the fiscal year ending March 31, 2025, with operating revenues rising by 10.8% and profit attributable to owners of the parent increasing by 46.6%. Despite a positive performance in 2025, the company forecasts a decline in profits for the fiscal year ending March 31, 2026, indicating potential challenges ahead in maintaining its growth trajectory.