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West Japan Railway (WJRYY)
OTHER OTC:WJRYY
US Market
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West Japan Railway (WJRYY) AI Stock Analysis

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WJRYY

West Japan Railway

(OTC:WJRYY)

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Neutral 66 (OpenAI - 5.2)
Rating:66Neutral
Price Target:
$20.00
â–²(6.67% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by improving financial performance but held back by leverage and inconsistent free cash flow. Valuation is a key positive (low P/E and a solid dividend yield), while technical signals are mixed with neutral momentum and the price still below the long-term average.
Positive Factors
Revenue & Margin Recovery
Revenue growth (~13.0% in FY2026) and margin recovery (EBIT ~10.7%) indicate a durable demand rebound and improved operating leverage across core rail services. Sustained margin expansion strengthens cash generation from operations and supports station retail and development investments over months.
Negative Factors
Elevated Leverage
Leverage remains meaningfully elevated (FY2026 debt-to-equity ~1.28x and historically higher), which reduces financial flexibility. High debt increases interest and refinancing burdens, limits buffer for downturns, and constrains the company's ability to pursue opportunistic investments without raising more debt.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & Margin Recovery
Revenue growth (~13.0% in FY2026) and margin recovery (EBIT ~10.7%) indicate a durable demand rebound and improved operating leverage across core rail services. Sustained margin expansion strengthens cash generation from operations and supports station retail and development investments over months.
Read all positive factors

West Japan Railway (WJRYY) vs. SPDR S&P 500 ETF (SPY)

West Japan Railway Business Overview & Revenue Model

Company Description
Founded in 1987 and based in Osaka, Japan, West Japan Railway Company is a key provider of passenger rail services across the nation. Its operations are segmented into four main areas: Transportation, Retail, Real Estate, and various Other Busines...
How the Company Makes Money
The company primarily earns revenue by operating passenger rail services and monetizing the station-and-corridor ecosystem around its rail network. Key revenue streams include: (1) Transportation revenue: Fare revenue from commuter, regional, and ...

West Japan Railway Financial Statement Overview

Summary
Operating recovery is clear (income statement score 74) with improving revenue and profitability, but overall quality is constrained by elevated leverage (balance sheet score 63) and uneven free cash flow with weak FY2026 conversion (cash flow score 56).
Income Statement
74
Positive
Balance Sheet
63
Positive
Cash Flow
56
Neutral
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue1.87T1.96T1.71T1.64T1.40T1.03T
Gross Profit462.55B490.20B418.18B395.45B268.70B43.25B
EBITDA364.21B398.60B353.35B328.61B245.33B41.78B
Net Income119.10B135.19B113.96B98.76B88.53B-113.20B
Balance Sheet
Total Assets3.90T4.00T3.75T3.78T3.74T3.70T
Cash, Cash Equivalents and Short-Term Investments199.91B236.23B125.62B233.47B290.17B319.92B
Total Debt1.56T1.55T1.44T1.48T1.57T1.64T
Total Liabilities2.55T2.66T2.47T2.55T2.59T2.63T
Stockholders Equity1.22T1.21T1.16T1.11T1.03T968.94B
Cash Flow
Free Cash Flow0.0083.23B281.43B68.96B27.95B-326.95B
Operating Cash Flow0.00383.44B281.43B318.31B273.96B-86.47B
Investing Cash Flow0.00-268.99B-263.11B-243.65B-214.90B-188.71B
Financing Cash Flow0.0079.52M-126.17B-131.62B-88.77B384.69B

West Japan Railway Technical Analysis

Technical Analysis Sentiment
Positive
Last Price18.75
Price Trends
50DMA
18.29
Positive
100DMA
17.75
Positive
200DMA
19.04
Positive
Market Momentum
MACD
0.26
Negative
RSI
66.62
Neutral
STOCH
92.54
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WJRYY, the sentiment is Positive. The current price of 18.75 is above the 20-day moving average (MA) of 18.52, above the 50-day MA of 18.29, and below the 200-day MA of 19.04, indicating a bullish trend. The MACD of 0.26 indicates Negative momentum. The RSI at 66.62 is Neutral, neither overbought nor oversold. The STOCH value of 92.54 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WJRYY.

West Japan Railway Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$91.53B28.5624.06%1.11%2.52%6.32%
70
Outperform
$74.00B28.1116.80%1.64%2.97%-20.83%
69
Neutral
$172.06B23.4138.65%1.92%4.17%7.24%
66
Neutral
$8.97B11.679.82%2.99%3.18%-5.97%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
46
Neutral
$4.69B-26.61-4.50%2.16%9.79%-161.50%
46
Neutral
$8.69B-26.808.29%1.41%7.53%-157.37%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WJRYY
West Japan Railway
19.56
-3.60
-15.54%
ALK
Alaska Air
40.74
-21.55
-34.60%
CSX
CSX
49.00
17.21
54.13%
NSC
Norfolk Southern
327.92
59.21
22.03%
UNP
Union Pacific
288.45
76.86
36.32%
AAL
American Airlines
12.91
0.15
1.18%
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 06, 2026