West Japan Railway Company
West Japan Railway Company Fundamental Analysis
West Japan Railway Company (WJRYY) shows moderate financial fundamentals with a PE ratio of 11.95, profit margin of 6.69%, and ROE of 10.40%. The company generates $1825.4B in annual revenue with moderate year-over-year growth of 4.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 32.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze WJRYY's fundamental strength across five key dimensions:
Efficiency Score
WeakWJRYY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentWJRYY trades at attractive valuation levels.
Growth Score
ModerateWJRYY shows steady but slowing expansion.
Financial Health Score
ModerateWJRYY shows balanced financial health with some risks.
Profitability Score
WeakWJRYY struggles to sustain strong margins.
Key Financial Metrics
Is WJRYY Expensive or Cheap?
P/E Ratio
WJRYY trades at 11.95 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, WJRYY's PEG of -0.01 indicates potential undervaluation.
Price to Book
The market values West Japan Railway Company at 1.22 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.10 times EBITDA. This is generally considered low.
How Well Does WJRYY Make Money?
Net Profit Margin
For every $100 in sales, West Japan Railway Company keeps $6.69 as profit after all expenses.
Operating Margin
Core operations generate 11.24 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.40 in profit for every $100 of shareholder equity.
ROA
West Japan Railway Company generates $3.16 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
West Japan Railway Company generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
West Japan Railway Company generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
WJRYY converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.95
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.22
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.80
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.33
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.10
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How WJRYY Stacks Against Its Sector Peers
| Metric | WJRYY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.95 | 25.96 | Better (Cheaper) |
| ROE | 10.40% | 1263.00% | Weak |
| Net Margin | 6.69% | -41827.00% (disorted) | Weak |
| Debt/Equity | 1.33 | 0.79 | Weak (High Leverage) |
| Current Ratio | 1.10 | 10.05 | Neutral |
| ROA | 3.16% | -1497918.00% (disorted) | Weak |
WJRYY outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews West Japan Railway Company's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-54.38%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
-48.64%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
-52.79%
Industry Style: Cyclical, Value, Infrastructure
Declining