West Japan Railway Company (9021.T) stock analysis

In our weekly check, West Japan Railway Company is graded B (A to F). Of 24 checks on debt, profit, cash flow and trend: 15 pass, warnings: 9, red flags: 0.

About West Japan Railway Company

West Japan Railway Company is an Industrials company (Railroads) based in Japan, listed on JPX as 9021.T.

What our checks show for 9021.T

Warning signs

• Net debt is 3.9x a year of EBITDA (debt/equity 1.35). That limits room in a downturn and raises refinancing risk.
• Analysts expect earnings per share to shrink about 4.5% a year.
• Analysts expect only about 2.1% a year of growth in revenue.
• Analysts expect the net margin to shrink by 1.2 points from today's 6.4%.
• The net margin is only 6.4%: little room if costs rise.
• Free cash flow is only 4.3% of revenue.
• The stock has fallen as much as 55% from a peak. Would you have held through that?
• The stock is still below its previous peak.
• Return on capital (ROCE) is only 5.8%.

Strengths

• Operating profit covers interest 8.4 times over.
• The net margin rose by 17.4 points over 5 years, to 6.4%.
• The gross margin is 24.8% and has risen by 21.8 points: pricing power is holding.
• Operating cash flow is 3.07x net profit: the profit arrives as real cash.
• Earnings per share grew 12.5% a year over the last 3 years.
• The price is 11.9 times earnings (P/E), reasonable for its growth.

Next earnings report: 2026-11-05

Similar companies

9022.T · 9020.T · 601816.SS · 064350.KS · 0066.HK · 1766.HK

Questions

What grade does West Japan Railway Company (9021.T) have?

In our weekly check, West Japan Railway Company is graded B (A to F). Of 24 checks on debt, profit, cash flow and trend: 15 pass, warnings: 9, red flags: 0. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 9021.T stock?

This week's biggest flags for West Japan Railway Company: High debt, Weak EPS forecast, Weak revenue forecast. In total 9 of 24 checks show a warning or a red flag.

What does West Japan Railway Company do?

West Japan Railway Company is an Industrials company (Railroads) based in Japan, listed on JPX as 9021.T.

When does West Japan Railway Company report earnings next?

The next earnings report is expected on 2026-11-05. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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