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Central Japan Railway Company (CJPRF) Fair Value & Analysis

Industrials · US · Market cap $22.9B

CJ Central Japan Railway Company logo Central Japan Railway Company CJPRF · US
Price$22.50
Fair Value$37.19
Upside+65.3%
Quality60/100
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Expensive Growth
Highly profitable · 27.6% net margin
Moderate debt · generates free cash flow
0.83% dividend yield
Ranks above peers (10/12)
Wide moat 80/100
Evidence: High Range $30.87 – $80.35 Share as image

Fair value as of: Jul 15, 2026

From 23 valuation models · updated 26 days ago

Share price −6.4% over the past month.

A solid business, screening 65% undervalued on our models.

What matters now

  • The price is below even our cautious bear case ($30.87). The market is more pessimistic than our downside scenario.
  • The model range is unusually wide ($30.87 to $80.35). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

$39.97 $11.58 Fair Value $37.19 Jul 2015 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.

How to read this chart

60‑month range $11.58 – $39.97 · fair‑value band $30.87 – $80.35 · the $22.50 price screens below the $37.19 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 15, 2026.

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Analysis

Central Japan Railway Company (CJPRF) currently trades at $22.50, while our model-based Fair Value estimate is $37.19, implying the stock looks roughly 65.3% undervalued today. The Quality Score stands at 60/100 (solid quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Central Japan Railway Company generated revenue of $2.0T at a net margin of 27.6%. Revenue grew 6.1% year over year. It earns a return on equity of 11.5%. Net debt stands at $3.1T. Fundamentals as of Jul 15, 2026

Our scenario range runs from $30.87 (bear case) to $80.35 (bull case); at $22.50, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 27% below its 52-week high and 94% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -28% fair-value upside, at 65%, CJPRF screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF $7.58 $19.83 80
Rev-Margin DCF $6.51 $17.57 74
ROIC Compounder $22.62 $30.31 $37.04 72
All 23 models by family
DCF Models
FCF DCF $7.65 $21.46 38
Owner Earnings $8.95 $23.33 31
5Y Revenue Exit $6.28 $18.62 39
5Y EBITDA Exit $28.91 $64.50 $104.68 41
5Y P/E Exit $22.74 $53.52 $84.42 38
10Y Revenue Exit $5.22 $16.45 36
10Y EBITDA Exit $17.13 $44.62 $79.28 37
10Y P/E Exit $13.28 $37.19 $64.49 35
Earnings-Based
Graham-Dodd $29.75 $70.67 $91.08 54
PEG = 1.0 $12.28 $17.54 $22.81 46
EPV $22.62 $30.31 $37.04 59
Multiples
P/E Multiple $68.90 $91.87 $114.84 63
P/S Multiple $23.81 $31.75 $39.69 58
P/B Multiple $55.78 $74.37 $92.97 55
EV/EBIT $60.21 $88.13 $116.05 53
EV/EBITDA $56.39 $83.04 $109.68 54
EV/Revenue $5.03 $13.60 43
Asset-Based
NCAV (Graham) $20.05 $26.87 $40.10 50
Growth DCF
Growth DCF $7.58 $19.83 80
Rev-Margin DCF $6.51 $17.57 74
Economic Profit
Residual Income $36.11 $41.14 $73.02 61
ROIC Compounder $22.62 $30.31 $37.04 72
Growth Earnings
Growth-Adj P/E $52.31 $74.73 $97.15 68

Widest divergence: Growth Earnings ($74.73) versus Growth DCF ($6.51). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) $2.0T
Revenue growth (YoY) +6.1%
Net margin 27.6%
Return on equity 11.5%
Free cash flow $256B FY2026
P/E ratio 6.7
More key figures
Operating margin 27.1%
EPS (TTM) $3.57
Dividend yield 0.8%
EPS growth (YoY) +18.1%
Net debt $3.1T FY2026

Figures from reported company fundamentals · as of Jul 15, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 55 · Market factors (momentum, volatility) 37

Profitability 42
Margins and returns on capital today
Quality Growth 59
Are margins and returns improving?
Cashflow 54
Earnings quality: real cash, not paper profit
Fin. Strength 47
Balance sheet, leverage, solvency risk
Investment 41
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 26
Price trend over the last 3–12 months (market factor)
52W Momentum 42
Distance to the 52-week high (market factor)
Net Issuance 92
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Central Japan Railway Company engages in the railway and related businesses in Japan. The company operates through Transportation, Distribution, and Real Estate segments. It operates Tokaido Shinkansen, a transportation artery that links metropolitan areas of Tokyo, Nagoya, and Osaka; and department stores within JR Central Towers, as well as bus operations.

Full company description

Central Japan Railway Company engages in the railway and related businesses in Japan. The company operates through Transportation, Distribution, and Real Estate segments. It operates Tokaido Shinkansen, a transportation artery that links metropolitan areas of Tokyo, Nagoya, and Osaka; and department stores within JR Central Towers, as well as bus operations. The company is also involved in sale of goods on board trains and within stations; renting real estate properties, such as station buildings; sale of real estate in condominiums; and manufacturing and maintain of railway rolling stock and machinery. In addition, it engages in hotel, travel, and advertising business. The company was incorporated in 1987 and is headquartered in Nagoya, Japan.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Central Japan Railway Company reported revenue of $2.0T in FY2026 versus $935B in FY2022, a compound +21.2%/yr. Reported net income was $556B in FY2026.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
$2.0T
Latest YoY
+10.2%
Avg. growth/yr (3Y)
+13.0%
Avg. growth/yr (5Y)
+19.6%
Avg. growth/yr (21Y)
+1.7%
Revenue +21.2%/yr
FY22 $935B
FY23 $1.4T
FY24 $1.7T
FY25 $1.8T
FY26 $2.0T
Net income
FY22 −$51.9B
FY23 $219B
FY24 $384B
FY25 $458B
FY26 $556B

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Cite: Fair Value Calculator (2026). "Central Japan Railway Company Fair Value". https://www.fairvalue-calculator.com/stock/CJPRF

Peer Group

Railroads · 111 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 60 · Above median
Fair Value upside +65% · Top 25%
Return on equity (TTM) 11% · Top 25%
Return on assets 5% · Above median
Net margin (TTM) 28% · Top 25%
Operating margin (TTM) 27% · Top 25%
Revenue growth 6% · Above median
Dividend yield (TTM) 0.8% · Below median
Debt / equity 0.82× · Higher than 75% of peers

Valuation Multiples vs Railroads median · lower = cheaper

P/E (TTM) 6.7× · Cheaper than 75% of peers
P/FCF 0.1× · Cheaper than 75% of peers
PEG 0.72× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 28
FUTURE 31 · sector 20
PAST 46 · sector 31
HEALTH 59 · sector 88
DIVIDEND 17 · sector 41

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Railroads stocks, each showing price versus our Fair Value estimate (as of Jul 15, 2026).

Stock Price Fair Value vs Fair Value
Union Pacific Corporation UNP $301.75 $144.60 -52%
CSX Corporation CSX $49.41 $12.85 -74%
Canadian Pacific Kansas City Limited CP $92.91 $35.00 -62%
Canadian National Railway Company CNI $128.22 $92.63 -28%
Norfolk Southern Corporation NSC $327.47 $117.90 -64%
Westinghouse Air Brake Technologies Corporation WAB $259.71 $144.80 -44%
Beijing-Shanghai High-Speed Railway Co 601816 ¥4.82 ¥5.65 +17%
CRRC Corporation 601766 ¥5.65 ¥9.53 +69%
Daqin Railway Co 601006 ¥4.85 ¥6.24 +29%
Hyundai Rotem Company 064350 167,700 KRW 125,182 KRW -25%

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Frequently asked questions

Is Central Japan Railway Company (CJPRF) overvalued or undervalued?
As of Jul 15, 2026, our model estimates a fair value of $37.19 versus a price of $22.50, about +65% (undervalued).
What is the fair value of CJPRF?
Our model-based fair value for Central Japan Railway Company is $37.19 (as of Jul 15, 2026), built from audited fundamentals. The current price is $22.50.
What is the quality score of CJPRF?
Central Japan Railway Company has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Central Japan Railway Company (CJPRF)?
Central Japan Railway Company reported trailing-twelve-month revenue of about $2.0T (latest available figure, as of Jul 15, 2026).
What is the net profit margin of CJPRF?
The net profit margin of Central Japan Railway Company is about 27.6%, meaning it keeps roughly 27.6% of revenue as net income. Based on the latest reported figures.
Does Central Japan Railway Company pay a dividend?
Central Japan Railway Company currently shows a dividend yield of about 0.83% relative to its recent price (as of Jul 15, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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