Central Japan Railway (OTCMKTS:CJPRY) & Seven & i (OTCMKTS:SVNDY) Financial Comparison

Profitability

This table compares Central Japan Railway and Seven & i’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Central Japan Railway	19.65%	10.08%	4.49%
Seven & i	N/A	N/A	N/A

Dividends

Central Japan Railway pays an annual dividend of $0.06 per share and has a dividend yield of 0.6%. Seven & i pays an annual dividend of $0.08 per share and has a dividend yield of 0.5%. Central Japan Railway pays out 3.9% of its earnings in the form of a dividend. Seven & i pays out 18.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Central Japan Railway is clearly the better dividend stock, given its higher yield and lower payout ratio.

Volatility and Risk

Central Japan Railway has a beta of 0.37, indicating that its share price is 63% less volatile than the S&P 500. Comparatively, Seven & i has a beta of 0.47, indicating that its share price is 53% less volatile than the S&P 500.

Valuation and Earnings

This table compares Central Japan Railway and Seven & i”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Central Japan Railway	$11.85 billion	1.76	$2.66 billion	$1.53	6.93
Seven & i	$79.46 billion	0.51	$1.57 billion	$0.43	35.91

Central Japan Railway has higher earnings, but lower revenue than Seven & i. Central Japan Railway is trading at a lower price-to-earnings ratio than Seven & i, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

0.0% of Central Japan Railway shares are held by institutional investors. Comparatively, 0.0% of Seven & i shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Central Japan Railway beats Seven & i on 8 of the 11 factors compared between the two stocks.

About Central Japan Railway

Central Japan Railway Company engages in the railway and related businesses in Japan. The company operates through Transportation, Merchandise and Other, Real Estate, and Other segments. It primarily operates Tokaido Shinkansen, a transportation artery that links metropolitan areas of Tokyo, Nagoya, and Osaka, as well as a network of 12 conventional lines centered on the Nagoya and Shizuoka areas. The company also provides bus, logistics, travel agency, advertising, linen supply, track maintenance, construction and construction consulting, and contracted accounting and financial services; and manufactures and maintains railway rolling stock and machinery. In addition, it is involved in the operation of a department store; wholesale and retail sales business; sale of food and beverages; leasing and sale of real estate; hotel business; and development, improvement, and maintenance of computer systems. The company was incorporated in 1987 and is headquartered in Nagoya, Japan.

About Seven & i

Seven & i Holdings Co., Ltd. operates convenience stores, superstores, department stores, supermarkets, and specialty stores. It operates through six segments: Domestic Convenience Store operations, Overseas Convenience Store Operations, Superstore Operations, Department and Specialty Store Operations, Financial Services, and Others. The company engages in the operation of convenience stores comprising directly managed corporate stores and franchised stores; retail business that provides daily life necessities, such as food and other daily necessities and dollar merchandise and services; banking, leasing, and credit card business; and real estate business. Seven & i Holdings Co., Ltd. was incorporated in 2005 and is headquartered in Tokyo, Japan.