Kawasaki Heavy Industries (TSE:7012) Cyclically Adjusted PB Ratio: (As of Sep. 22, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:7012 Kawasaki Heavy Industries Ltd TSE:7012
84 GF Score
Price 円2,404.50
GF Value 円1,802.68
Valuation Significantly Overvalued
! 5 Warning Signs
View Full Analysis

What is Kawasaki Heavy Industries Cyclically Adjusted PB Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


Kawasaki Heavy Industries  (TSE:7012) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Kawasaki Heavy Industries Cyclically Adjusted PB Ratio Related Terms


Kawasaki Heavy Industries Cyclically Adjusted PB Ratio Historical Data

* Premium members only.

The historical data trend for Kawasaki Heavy Industries's Cyclically Adjusted PB Ratio can be seen below:

* 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.

Kawasaki Heavy Industries Cyclically Adjusted PB Ratio Chart

Kawasaki Heavy Industries Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.80 0.97 1.59 2.58 3.85

Kawasaki Heavy Industries Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.22 2.84 2.95 4.05 3.98

TSE:7012 vs MMM, HON: Cyclically Adjusted PB Ratio Comparison

For the Conglomerates subindustry, Kawasaki Heavy Industries's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio 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.


Kawasaki Heavy Industries Cyclically Adjusted PB Ratio vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Kawasaki Heavy Industries's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Kawasaki Heavy Industries's Cyclically Adjusted PB Ratio falls into.


TSE:7012
84GF Score
Kawasaki Heavy Industries Ltd TSE:7012
Cyclically Adjusted PB Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kawasaki Heavy Industries Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Kawasaki Heavy Industries's Cyclically Adjusted Book per Share for the quarter that ended in Jun. 2026 is calculated as:

For example, Kawasaki Heavy Industries's adjusted Book Value per Share data for the three months ended in Jun. 2026 was:

Adj_Book=Book Value per Share/CPI of Jun. 2026 (Change)*Current CPI (Jun. 2026)
=1144.413/113.6000*113.6000
=1,144.413

Current CPI (Jun. 2026) = 113.6000.

Kawasaki Heavy Industries Quarterly Data

Book Value per Share CPI Adj_Book
201609 480.910 98.000 557.463
201612 510.103 98.400 588.899
201703 540.335 98.100 625.709
201706 539.644 98.500 622.371
201709 546.233 98.800 628.057
201712 558.549 99.400 638.342
201803 576.346 99.200 660.009
201806 571.754 99.200 654.751
201809 565.793 99.900 643.384
201812 576.195 99.700 656.527
201903 589.374 99.700 671.543
201906 568.364 99.800 646.955
201909 566.532 100.100 642.937
201912 568.728 100.500 642.861
202003 564.596 100.300 639.463
202006 547.829 99.900 622.957
202009 528.289 99.900 600.737
202012 546.725 99.300 625.458
202103 578.027 99.900 657.296
202106 546.195 99.500 623.595
202109 540.027 100.100 612.858
202112 546.381 100.100 620.069
202203 626.839 101.100 704.341
202206 640.567 101.800 714.817
202209 667.466 103.100 735.443
202212 689.387 104.100 752.299
202303 712.760 104.400 775.570
202306 722.761 105.200 780.472
202309 694.621 106.200 743.022
202312 703.673 106.800 748.476
202403 781.543 107.200 828.202
202406 809.314 108.200 849.705
202409 790.305 108.900 824.414
202412 824.145 110.700 845.735
202503 867.629 111.100 887.153
202506 950.395 111.700 966.561
202509 985.619 112.000 999.699
202512 1,046.973 113.000 1,052.532
202603 1,134.767 112.700 1,143.829
202606 1,144.413 113.600 1,144.413

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

Is Kawasaki Heavy Industries (TSE:7012) Overvalued in 2026?

Based on GuruFocus' analysis, Kawasaki Heavy Industries stock appears to be overvalued. The current stock price of 円2,404.50 is trading 33.4% above its estimated GF Value™ of 円1,802.68. GuruFocus considers Kawasaki Heavy Industries to be Significantly Overvalued.

Key valuation signals for TSE:7012:

  • Cyclically Adjusted PB Ratio:
  • GF Value™: 円1,802.68 vs. price of 円2,404.50 (33.4% above fair value)
  • GF Score™: 84/100 with 5 warning signs

No single metric tells the full story. See the TSE:7012 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kawasaki Heavy Industries Business Description

Address 1-1-3 Higashikawasakicho, Kobe Crystal Tower, Chuo-ku, Kobe, JPN, 650-8680
Kawasaki Heavy Industries Ltd is a Japan-based conglomerate with operations in aerospace, marine, and vehicles. The company operates through six segments. The Aerospace Systems segment manufactures and sells aircraft, engines, and space-related equipment. The Energy Solutions & Marine segment provides energy equipment, hydrogen systems, marine propulsion, plants, ships, and crushers. The Power Sports & Engine segment produces motorcycles, off-road vehicles, personal watercraft, and general-purpose engines. The Precision Machinery and Robots segment offers hydraulic equipment and industrial robots. The Vehicle segment manufactures railway vehicles and snow removal machinery. The Other segment covers commerce mediation, sales, orders, and welfare facility management.
84GF Score

Get the complete analysis for TSE:7012

Cyclically Adjusted PB Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円2,404.50
Price
円1,802.68
GF Value