9506.T Stock Today: January 30 Fuel Costs Lift Feb Power Bills Nationwide
Tohoku Electric is in focus as Japan electricity prices for February rise across regions due to a fuel cost adjustment. Government subsidies from January keep year-on-year bills lower, which can steady demand while allowing revenue to normalize. Shares of 9506.T trade at ¥1,116, up 1.0% today, with a year high of ¥1,205.5. The company is scheduled to report earnings today, which makes the pricing update timely for investors tracking Japanese utilities and household cost trends.
February bills climb, subsidies cushion households
Japan’s major utilities will raise February electricity and gas charges as higher fuel costs flow through monthly formulas. A national TV report confirms a broad move, noting that subsidies starting January keep year-on-year bills lower despite the month-on-month increase. See the overview by TBS for context on the nationwide adjustment and subsidy effect source.
For Tohoku Electric, pass-through of fuel costs helps margins stabilize, while subsidies reduce bill shock and churn risk. That mix can support steady usage in colder northern regions during peak winter demand. Investors should focus on the lag between fuel cost recognition and tariff adjustments, which influences quarterly earnings cadence across Japanese utilities.
Stock snapshot: price action and valuation
Tohoku Electric trades at ¥1,116, within a ¥1,109 to ¥1,129 intraday range. The stock sits below the 50-day average of ¥1,137.42 and above the 200-day average of ¥1,083.86, about 7% under the ¥1,205.5 year high. RSI is 61.3, MACD is positive, and ADX at 26.1 signals a firm trend as price tracks near the Bollinger middle band of ¥1,132.80.
At a PE of 3.37 and PB of 0.52, Tohoku Electric screens inexpensive versus many Japanese utilities. EPS is ¥328.74 and the trailing dividend was ¥40 per share, implying a 3.6% yield at today’s price. ROE runs at 16.4%. Leverage is notable with debt-to-equity near 2.78, so interest coverage and cash generation are key watch points.
Earnings watch: what we will track today
Management is slated to report today at 15:30 JST. We will look for commentary on fuel cost adjustment timing, the scale of subsidy pass-through in reported figures, and winter demand trends in the Tohoku service area. Updates on generation mix and thermal efficiency could inform margin durability through late winter and early spring.
Tohoku Electric’s revenue normalization depends on stable pass-through and demand resilience. We will monitor capex pacing across generation and networks, potential retail competition impacts, and debt management plans. Any guidance on price sensitivity or subsidy duration can shift earnings visibility for Japanese utilities and shape near-term investor positioning.
Technical view and risk radar
Momentum indicators are constructive for Tohoku Electric. RSI is 61.3, MACD histogram is 3.28, and ADX at 26.1 indicates trend strength. Bollinger bands span ¥1,078.76 to ¥1,186.84, with price near the center. ATR at 21.16 suggests moderate daily swings. A sustained close above the upper Keltner channel near ¥1,183 would confirm upside follow-through.
Fuel prices are the key swing factor for Japanese utilities, and subsidy policy shapes household bills. Regional examples show modest month-on-month increases, such as Chugoku Electric’s ¥26 rise for February usage source. For Tohoku Electric, colder weather, policy tweaks, and retail competition remain important risks and catalysts alongside today’s earnings detail.
Final Thoughts
February’s fuel cost adjustment lifts bills month on month, while subsidies keep year-on-year costs lower. That backdrop supports steadier demand and improves revenue visibility for Tohoku Electric. The stock trades at a low PE and PB with a roughly 3.6% yield, and technicals lean positive as price holds above the 200-day average. Into today’s earnings, we will watch the pass-through timing, demand trends, and subsidy accounting. For investors tracking Japanese utilities, a close read of guidance on fuel, policy, and capex will help set expectations for spring and early summer performance.
FAQs
Why are Japan electricity prices rising in February?
Utilities apply a fuel cost adjustment that reflects prior fuel import prices. Recent increases in fuel costs lifted the monthly formula, so February bills are higher than January. Government subsidies that restarted in January reduce the net burden, which is why year-on-year bills can still be lower despite the month-on-month rise.
How does this affect Tohoku Electric’s earnings outlook?
The ability to pass fuel costs through supports margin stability, while subsidies help keep demand resilient. For Tohoku Electric, the key is timing. Any lag between fuel costs and tariff adjustments can shift quarterly results, so investors should watch guidance on pass-through cadence and any updates on demand and retail competition.
Is Tohoku Electric attractively valued today?
On today’s figures, the stock trades around 3.4 times earnings and about 0.52 times book with a trailing dividend yield near 3.6%. Those metrics look inexpensive versus many utilities. Investors should weigh this against leverage, capital needs, and any policy changes that could affect cash flows or the pace of revenue normalization.
What technical levels are important right now?
Price sits near the Bollinger middle band around ¥1,133, with bands at roughly ¥1,079 and ¥1,187. The 50-day average is ¥1,137 and the 200-day is ¥1,084. RSI near 61 suggests positive momentum. A decisive move above ¥1,187 would signal strength, while a drop below ¥1,084 would weaken the trend.
Do subsidies reduce demand risk for Japanese utilities?
Yes, subsidies lower the effective bill for households, which can ease demand pressure when monthly adjustments raise prices. That helps utilities like Tohoku Electric maintain usage during peak winter months. The duration and size of subsidies remain important, so policy updates can influence both demand resilience and revenue visibility.
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.
