9501.T Stock Today: January 27 Govt OKs Rebuild; JPY 6T Capex, Nuclear Restart
TEPCO stock fell after Japan approved Tokyo Electric Power’s fifth rebuild plan on January 27. Shares of 9501.T slid to ¥609.6, with investors weighing about ¥6 trillion of investment in nuclear and renewables, ¥3.1 trillion in cost cuts, asset sales, and possible outside capital. The turnaround depends on restarting Kashiwazaki-Kariwa Units 6–7 to lift cash flow by FY2027. We explain today’s market reaction, what the plan changes, and how risks around nuclear restart Japan and funding could shape returns.
Market reaction and valuation
TEPCO stock closed at ¥609.6, down ¥78.4 or 11.40%. The session opened at ¥660.0, traded between ¥665.5 and ¥609.6, and posted volume of 106,047,000 versus a 92,206,054 average. Year to date the stock is down 7.80%, yet it is up 55.33% over one year. Today’s weak tape followed the government’s approval of the new plan and investor focus on execution risk.
At ¥609.6, the price sits below the 50-day average of ¥709.95 and slightly under the 200-day average of ¥612.974. The 52-week range spans ¥360.0 to ¥939.4. Market cap is ¥1,060,567,161,076. Valuation screens as distressed: PE −1.43 on negative EPS, price-to-book 0.354, and price-to-sales 0.161, reflecting profitability and balance sheet concerns.
TEPCO stock carries EPS of −¥462.34 and ROE of roughly −22%. Leverage is high with debt-to-equity at 2.156 and liquidity thin with a 0.483 current ratio. Interest coverage is 3.08. On January 26, the company rating printed C with a Sell stance, while our Stock Grade is B (score 67.85) suggesting HOLD. These flags support a cautious posture pending plan execution.
What the fifth rebuild plan changes
Japan approved around ¥6 trillion of investment centered on nuclear safety and renewable projects, aiming to stabilize power supply and improve earnings capacity. The plan, confirmed on January 27, marks a critical phase for Tokyo Electric Power’s recovery as it balances legacy issues with growth assets. See coverage in Nikkei for details source.
Management targets ¥3.1 trillion in cost reductions, alongside asset sales and cooperation with external firms. The plan also keeps the door open to outside capital, and private equity interest has been reported. These steps could strengthen finances but may dilute existing holders if equity is issued. See report highlights via Yahoo Japan News source.
The centerpiece is restarting Kashiwazaki-Kariwa Units 6–7, with the company indicating a cash flow uplift by FY2027 if operations resume. TEPCO stock will likely track progress against this milestone, plus execution on renewables buildout, cost-cut targets, and asset disposals. Any slippage could force a greater reliance on external capital, raising dilution and timeline risk.
Nuclear restart path and risks
If Units 6–7 restart as planned, higher-capacity nuclear output should lift operating cash flow by FY2027 and reduce reliance on thermal inputs. TEPCO stock could benefit as cash generation improves and debt metrics stabilize. The market will seek clear updates on restart status and how incremental cash is allocated across debt, capex, and shareholder priorities.
If restarts are delayed, cash flow could undershoot targets, increasing pressure to raise funds. The plan allows for outside capital, which introduces dilution risk for current shareholders. TEPCO stock would then depend more on cost cuts and asset sales to bridge gaps, outcomes that may weigh on service quality or growth pace if pushed too hard.
Investors should track restart progress at Kashiwazaki-Kariwa Units 6–7, timing of nuclear and renewable project spend, realized cost savings, and the mix of funding instruments. Watch for updates on asset sale proceeds and any move toward private equity interest or new share issuance. Consistent disclosures against the plan’s milestones can support sentiment.
How to trade TEPCO stock now
The next checkpoint is earnings on January 29, 2026 at 06:30 UTC. We will look for commentary on capex phasing for the ¥6 trillion program, cost-down cadence, asset sale pipeline, and any signal on restart milestones. Guidance around cash flow through FY2027 is key for TEPCO stock positioning and funding expectations.
Price sits near the Bollinger lower band at ¥593.22, with the middle at ¥658.17 and upper at ¥723.12. RSI is 52.30, ADX 25.25, and CCI 140.64. Momentum is mixed after a sharp drop, and the stock trades below its 200-day average. For TEPCO stock, sustained closes back above the mid-band would help rebuild confidence.
We favor measured sizing until restart visibility improves. TEPCO stock offers optionality if milestones hold and funding tilts to non-dilutive sources. However, balance sheet strain and execution risk argue for strict risk controls. Long-term holders can track plan delivery, while traders may center decisions on earnings updates and band breakouts for signals.
Final Thoughts
Japan’s approval of the fifth rebuild plan sets clear priorities: invest about ¥6 trillion in nuclear and renewables, deliver ¥3.1 trillion in cost cuts, and use partnerships or external capital if needed. TEPCO stock now hinges on restarting Kashiwazaki-Kariwa Units 6–7 to lift cash flow by FY2027. Valuation looks low on price-to-book, but negative earnings, leverage, and liquidity keep risk elevated. Near term, watch the January 29 earnings call for capex timing, funding mix, asset sales, and any restart updates. For positioning, keep sizes modest, focus on milestones, and be prepared for volatility around policy and execution news. This article is for information only.
FAQs
Why did TEPCO stock drop today?
Markets reacted to Japan’s approval of a large rebuild plan that needs precise execution. The plan calls for about ¥6 trillion of investment and ¥3.1 trillion in cost cuts, with potential outside capital. Investors are weighing restart timing, funding dilution risk, and near-term cash flow before re-rating the shares.
What is the key catalyst for TEPCO’s turnaround?
Restarting Kashiwazaki-Kariwa Units 6–7 is central. Management expects a cash flow lift by FY2027 if operations resume. Delivery on renewables projects, cost-down progress, and asset sales also matter, but the nuclear restart timeline will likely drive sentiment and valuation for TEPCO stock over the coming quarters.
Will TEPCO raise equity and dilute shareholders?
The plan includes options for outside capital, and private equity interest has been reported. No final decision has been disclosed. If restarts slip or cash needs rise, equity issuance is possible, which would dilute existing holders. Investors should monitor funding updates and terms disclosed by the company.
What should investors watch next?
Watch the January 29, 2026 earnings update for details on capex phasing, cost savings, asset sale progress, and any restart commentary. Also track how TEPCO balances funding sources between debt, asset sales, and potential equity. These signals will shape near-term trading and longer-term value for TEPCO stock.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
