We use cookies to analyze site traffic and improve your experience.
By accepting, you consent to the use of analytics cookies.

9508:TSEKyushu Electric Power Company,Incorporated Analysis

Data as of 2026-03-12 - not real-time

¥1,768.00

Latest Price

4/10Risk

Risk Level: Medium

Executive Summary

Kyushu Electric Power (9508.T) trades at a strikingly low PE of 4.86 versus the industry average of 22.86 and a PB of 0.74, signaling clear undervaluation. The stock sits comfortably above its recent support level of 1,645 JPY (current price 1,768 JPY) with a resistance ceiling near 2,018 JPY, offering upside potential of roughly 12%. Technical signals are mixed: the 20‑day SMA (1,868) and 50‑day SMA (1,786) sit above price, while the MACD shows a bearish histogram and the RSI is neutral at 45, suggesting short‑term caution. However, the broader trend is labeled bullish and the beta of 0.15 indicates very low market sensitivity, reinforced by a modest 30‑day volatility of 41%. The company’s dividend yield of 2.83% with a low payout ratio (13.75%) adds income appeal, though its massive debt‑to‑equity ratio (≈283) and zero operating cash flow warrant monitoring.
Overall, the combination of deep valuation discounts, stable sector fundamentals, and attractive dividend income makes the stock a compelling value play, while the high leverage and mixed short‑term technicals suggest a measured, hold‑or‑buy approach depending on investment horizon.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Price below 20‑day and 50‑day SMAs
  • Bearish MACD histogram
  • Support cushion above current level

Medium Term

1–3 years
Positive
Model confidence: 7/10

Key Factors

  • Undervalued PE and PB relative to peers
  • Attractive dividend yield with low payout ratio
  • Low beta and sector stability

Long Term

> 3 years
Positive
Model confidence: 8/10

Key Factors

  • Sustained income from regulated utility operations
  • Potential for debt reduction and cash generation
  • Consistent dividend policy and defensive market profile

Key Metrics & Analysis

Financial Health

Revenue Growth-7.60%
Profit Margin7.90%
P/E Ratio4.9
ROE16.84%
ROA2.88%
Debt/Equity282.86
P/B Ratio0.7
Industry P/E22.9

Technical Analysis

TrendBullish
RSI45.5
Support¥1,645.00
Resistance¥2,017.50
MA 20¥1,868.45
MA 50¥1,786.16
MA 200¥1,537.53
MACDBearish
VolumeStable
Fear & Greed Index78.16

Valuation

Target Price¥1,976.00
Upside/Downside11.76%
GradeUndervalued
TypeValue
Dividend Yield2.83%

Risk Assessment

Beta0.30
Volatility41.01%
Sector RiskLow
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.