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Electrical and signal construction contractor affiliated with East Japan Railway (JR East), building railway and telecom infrastructure.
Electrical and signal construction contractor affiliated with East Japan Railway (JR East), building railway and telecom infrastructure.
Works as a contractor on projects ordered mostly by JR East and telecom carriers, billed as work progresses, so revenue follows East Japan Railway's maintenance and renewal budgets and telecom network upgrades. It belongs to JR East's group of contractors.
Moat: narrow (customer qualification, installed base). Long-standing captive relationship with JR East for railway electrical/signal work.
Headquarters: Tokyo, Japan · Employees: 4,645
Size Nippon Densetsu Kogyo (1950.T) is a Japan Industrials company (Engineering & Construction) with a market value of $1.29B, the 628th largest of 1,379 Japan companies the cockpit tracks. Shares closed at ¥3,425 on 6 Nov 2026.
Performance Over six months the shares fell 30.0%, against -15.2% for the median peer and +1.8% for the Japan market (cap-weighted) — 3rd lowest of 21 in its peer set.
Growth Revenue grew 9.6% over the last twelve months (peer median +3.9%); the operating margin is 11.8% (peer median 5.9%).
Valuation It trades at 9.9× forward earnings against a peer median of 18.1× (6th cheapest of 14).
Price implies For today's price to make sense, revenue must grow about 0% a year for seven years (Req g). Recent delivered growth is +3%, so the hurdle is -3 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 0.4 points above its cost of capital (8.3% WACC).
Next results Next results expected around 29 Jan 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | ¥241B | ¥229B | ¥217B | ¥194B | ¥172B |
| Revenue growth | — | +6% | +12% | +13% | — |
| Gross profit | ¥50.8B | ¥39.6B | ¥33.2B | ¥27.4B | ¥22.9B |
| EBITDA | n/a | ¥28.7B | ¥22.4B | ¥17.2B | ¥13.3B |
| Net income | ¥20.7B | ¥18.1B | ¥13.2B | ¥10.0B | ¥7.17B |
| Free cash flow | n/a | ¥4.67B | -¥9.12B | ¥3.76B | -¥93.0M |
| Capital expenditure | n/a | ¥6.42B | ¥5.51B | ¥5.80B | ¥15.8B |
| Total debt | ¥16.1B | ¥13.3B | ¥5.06B | ¥1.06B | ¥1.20B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Nippon Densetsu Kogyo 1950.T | $1.29B | -30% | +10% | 12% | 9.9× | -0.1% |
| MIRAIT ONE 1417.T | $1.60B | -24% | +5% | 6% | 10.4× | -5.7% |
| Comsys 1721.T | $3.55B | -15% | +4% | 8% | 13.3× | -0.7% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | 1950.T | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | -12.1% | -4.6% | 4th lowest of 21 |
| 6-month return | -30.0% | -15.2% | 3rd lowest of 21 |
| Distance from 52-week high | -36.3% | -35.3% | 11th highest of 21 |
| Revenue growth (TTM) | +9.6% | +3.9% | 9th highest of 21 |
| Operating margin | 11.8% | 5.9% | 5th highest of 21 |
| Forward P/E | 9.9× | 18.1× | 6th cheapest of 14 |
| Growth the price implies (Req g, 7 yrs) | -0.1% | -6.3% | 5th most demanding of 11 |
| Growth delivered (Del g) | +3.2% | +4.4% | 4th lowest of 11 |
| Hurdle (Req g minus delivered) | -3.3 pp | -11.0 pp | 4th most demanding of 11 |
| ROIC minus cost of capital | +0.4 pp | -1.7 pp | 7th highest of 20 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Nippon Densetsu Kogyo 1950.T | Japan | $1.29B | -30% | +10% | 12% | 9.9× | -0.1% | +3.2% |
| CTCI 9933.TW | Taiwan | $1.29B | +22% | -22% | 9% | 8.5× | n/a | n/a |
| Shenzhen Urban Transport Technology 301091.SZ | China | $1.29B | -23% | +17% | 2% | 79.8× | n/a | n/a |
| Lloyds Engineering Works LLOYDSENGG.NS | India | $1.29B | +36% | +83% | 11% | n/a | n/a | n/a |
| Kumagai Gumi 1861.T | Japan | $1.30B | -20% | -4% | 6% | 9.0× | -9.2% | +1.6% |
| Taiwan Cogeneration 8926.TW | Taiwan | $1.30B | +9% | +324% | 8% | n/a | n/a | n/a |
| Zhejiang Communications Technology 002061.SZ | China | $1.30B | -15% | -12% | 3% | 8.0× | -6.5% | +4.8% |
| VA Tech Wabag WABAG.NS | India | $1.32B | +33% | +20% | 11% | 27.1× | 34.6% | +6.8% |
| JiShi Media 601929.SS | China | $1.25B | -18% | -2% | -24% | n/a | n/a | n/a |
| Farglory Land Development 5522.TW | Taiwan | $1.34B | -18% | +164% | 26% | 7.7× | -13.6% | +3.0% |
| Lendlease LLC.AX | Australia | $1.23B | -16% | -30% | 0% | 147.4× | n/a | n/a |
| Xinjiang Communications Construction 002941.SZ | China | $1.22B | -20% | +23% | 5% | n/a | n/a | n/a |
| Kepco Kps 051600.KS | South Korea | $1.37B | -34% | +6% | 9% | 12.6× | -6.1% | +3.9% |
| Tianjin Capital Environmental Protection 1065.HK | Hong Kong | $1.22B | -13% | +2% | 29% | 5.4× | -16.4% | +6.5% |
| Beijing Gehua CATV Network 600037.SS | China | $1.40B | -16% | +24% | -5% | 39.4× | n/a | n/a |
| GenusPlus GNP.AX | Australia | $1.18B | -12% | +71% | 6% | 18.1× | 6.2% | +32.1% |
| Zhejiang Construction Investment 002761.SZ | China | $1.42B | -14% | -12% | 0% | n/a | 13.0% | +0.4% |
| EPIC Suisse EPIC.SW | Switzerland | $1.17B | +2% | +4% | 78% | 20.8× | 7.1% | +4.3% |
| China Bester Group Telecom 603220.SS | China | $1.17B | -48% | +3% | 6% | 20.0× | n/a | n/a |
| Jiangxi Ganyue Expressway 600269.SS | China | $1.44B | -7% | +3% | 28% | n/a | -11.6% | +4.4% |
| Shenzhen Zhongzhuang Construction 002822.SZ | China | $1.15B | -15% | -56% | -96% | n/a | n/a | n/a |