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Watts CoTSE:2735 +1.50%61 EBITDA Margin % is 6.26% as of Feb. 2026, which is 105% above its 10-year median of 3.05. GuruFocus rates TSE:2735 with a GF Score™ of 61/100 and a GF Value™ of 円689.31 (Fairly Valued). The stock has 4 warning signs investors should review. Among 311 Retail - Defensive companies, Watts Co ranks worse than 57.56% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. Watts Co's EBITDA for the
three
months ended in Feb. 2026 was 円997 Mil. Watts Co's Revenue for the
three
months ended in Feb. 2026 was 円15,924 Mil. Therefore, Watts Co's EBITDA margin for the quarter that ended in Feb. 2026 was 6.26%.
Watts Co (TSE:2735) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
Watts Co EBITDA Margin % Related Terms
Watts Co EBITDA Margin % Historical Data
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The historical data trend for Watts Co's EBITDA Margin % 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.
For the Grocery Stores subindustry, Watts Co's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % 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.
Watts Co EBITDA Margin % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Watts Co's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where Watts Co's EBITDA Margin % falls into.
* 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.
Watts Co (TSE:2735) has a EBITDA Margin % of 6.26% as of Feb. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Watts Co and its competitors. This is 105% above median its historical median of 3.05. Over the past decade, Watts Co's EBITDA Margin % has ranged from 1.61 to 5.00. According to the industry distribution chart, Watts Co ranks #179 out of 311 companies in the Retail - Defensive industry, placing it in the top 57.6%.
Is Watts Co's EBITDA Margin % too high?
Watts Co's current EBITDA Margin % of 6.26% is 105% above median its 10-year median of 3.05. Over the past 10 years, this metric has ranged from a low of 1.61 to a high of 5.00. The Retail - Defensive industry median EBITDA Margin % is 6.05. Watts Co's value of 6.26% is 3.5% above this industry median. Based on the distribution chart, Watts Co ranks #179 out of 311 companies in the Retail - Defensive industry, which is below the industry midpoint. Overall, Watts Co has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Watts Co's EBITDA Margin % compare to KR?
According to the Retail - Defensive industry distribution chart, Watts Co ranks #179 out of 311 companies for EBITDA Margin %. This places Watts Co in the lower half of its industry. The industry median EBITDA Margin % is 6.05. Watts Co's value of 6.26% is 3.5% above this benchmark. Historically, Watts Co's own EBITDA Margin % has ranged from 1.61 to 5.00 over the past decade. While the company's 10-year median is 3.05 vs. the industry median of 6.05, Watts Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Retail - Defensive company?
The median EBITDA Margin % among Retail - Defensive companies is 6.05, based on 311 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Watts Co's current EBITDA Margin % of 6.26% is 3.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Watts Co and its competitors. For the Retail - Defensive industry, the median EBITDA Margin % is 6.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Watts Co's current EBITDA Margin % is 6.26%, which is 105% above median its own 10-year median of 3.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watts Co stock overvalued right now?
Based on GuruFocus' analysis, Watts Co (TSE:2735) is currently considered Fairly Valued. The stock's GF Value™ is 円689.31, compared to a current price of 円675.00 — trading 2.1% below its estimated fair value. The current EBITDA Margin % is 6.26%, which is 105% above median its 10-year median of 3.05 and 3.5% above the Retail - Defensive industry median of 6.05. Watts Co's overall GF Score™ is 61/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For Watts Co (TSE:2735), the current EBITDA Margin % is 6.26% as of Feb. 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 Watts Co (TSE:2735) Overvalued in 2026?
Based on GuruFocus' analysis, Watts Co stock appears to be undervalued.
The current stock price of 円675.00 is trading 2.1% below its estimated GF Value™ of 円689.31.
GuruFocus considers Watts Co to be Fairly Valued.
Key valuation signals for TSE:2735:
EBITDA Margin %: 6.26% (105% above median its 10-year median of 3.05)
GF Value™: 円689.31 vs. price of 円675.00 (2.1% below fair value)
Industry Position: 3.5% above the Retail - Defensive median (#179 of 311)
No single metric tells the full story. See the TSE:2735 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Watts Co Ltd is engaged in the wholesale of daily necessities, grocery and food products, and other goods. The company's product profile includes Sanitary goods, Cleaning sheet, Water supply equipment, Lunch supplies, and other related products.
61GF Score
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