Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. As of today (2026-06-25), Japan Real Estate Investment's Beta is 0.0717.
Japan Real Estate Investment (TSE:8952) Beta Explanation
Beta is a measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the market as a whole. We usually compare beta to 1. A beta of 1 indicates that the security's price will move with the market. A beta of less than 1 means that the security will be less volatile than the market. A beta of greater than 1 indicates that the security's price will be more volatile than the market.
Beta is primarily used in the Capital Asset Pricing Model (CAPM) to calculate the Cost of Equity, which can be used in the calculation of WACC %. The formula of Cost of Equity is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the REIT - Office subindustry, Japan Real Estate Investment's Beta, along with its competitors' market caps and Beta data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Japan Real Estate Investment Beta vs REITs Industry
For the REITs industry and Real Estate sector, Japan Real Estate Investment's Beta distribution charts can be found below:
* The bar in red indicates where Japan Real Estate Investment's Beta falls into.
Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. A stock's beta can be calculated by dividing the product of the covariance of the individual stock's returns and the market's returns by the variance of the market's returns over a specified period. Basically, GuruFocus uses the returns calculated over three-year period.
Japan Real Estate Investment (TSE:8952) has a Beta of 0.0717 as of Jun. 25, 2026. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Japan Real Estate Investment and its competitors.
Is Japan Real Estate Investment's Beta too high?
Japan Real Estate Investment's current Beta is 0.0717. Overall, Japan Real Estate Investment has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Japan Real Estate Investment's Beta compare to BXP and ARE?
Japan Real Estate Investment's Beta of 0.0717 can be compared against companies in the REITs industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beta for a REITs company?
A good Beta depends on the REITs industry context. However, Beta should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Beta mean?
A high Beta can signal that a stock is expensive relative to its fundamentals. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Japan Real Estate Investment and its competitors. Japan Real Estate Investment's current Beta is 0.0717. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Real Estate Investment stock overvalued right now?
Based on GuruFocus' analysis, Japan Real Estate Investment (TSE:8952) is currently considered Fairly Valued. The stock's GF Value™ is 円111,886.70, compared to a current price of 円114,800.00 — trading 2.6% above its estimated fair value. The current Beta is 0.0717. Japan Real Estate Investment's overall GF Score™ is 64/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beta calculated?
Beta is calculated from a company's financial statements. For Japan Real Estate Investment (TSE:8952), the current Beta is 0.0717 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Japan Real Estate Investment (TSE:8952) Overvalued in 2026?
Based on GuruFocus' analysis, Japan Real Estate Investment stock appears to be overvalued.
The current stock price of 円114,800.00 is trading 2.6% above its estimated GF Value™ of 円111,886.70.
GuruFocus considers Japan Real Estate Investment to be Fairly Valued.
Key valuation signals for TSE:8952:
Beta: 0.0717
GF Value™: 円111,886.70 vs. price of 円114,800.00 (2.6% above fair value)
No single metric tells the full story. See the TSE:8952 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Japan Real Estate Investment Corp, or J-REIT, is a Japanese real estate investment trust that invests in, owns, and leases office properties. The vast majority of the company's real estate portfolio is located within Tokyo's 23 wards and the Tokyo metropolitan area in terms of total value. Within this area, J-REIT's offices reside within the Tokyo central business district. The company derives nearly all of its income in the form of rental revenue from the leasing of its office properties. While J-REIT tenants hail from a diverse assortment of industries, firms from the service, information services, electric devices, and financial services industries are its customers.
64GF Score
Get the complete analysis for TSE:8952
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