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Digital ArtsTSE:2326 -1.11%87 EV-to-EBIT is 7.25 as of Sep. 08, 2026, which is 69% below its 10-year median of 23.55. GuruFocus rates TSE:2326 with a GF Score™ of 87/100 and a GF Value™ of 円6,249.43 (Modestly Undervalued). Among 1,764 Software companies, Digital Arts ranks better than 75.62% on this metric.
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Digital Arts's Enterprise Value for the quarter that ended in Mar. 2026 was 円45,842 Mil.
Digital Arts's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was 円5,032 Mil.
* 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.
Digital Arts EV-to-EBIT Related Terms
Digital Arts EV-to-EBIT Historical Data
* Premium members only.
The historical data trend for Digital Arts's EV-to-EBIT 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.
TSE:2326 vs MSFT, PLTR, ORCL: EV-to-EBIT Comparison
For the Software - Infrastructure subindustry, Digital Arts's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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.
Digital Arts EV-to-EBIT vs Software Industry
For the Software industry and Technology sector, Digital Arts's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Digital Arts's EV-to-EBIT falls into.
Digital Arts's current Enterprise Value is 円36,460 Mil.
Digital Arts's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was 円5,032 Mil.
* 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.
Digital Arts (TSE:2326) has a EV-to-EBIT of 7.25 as of Sep. 08, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Digital Arts and its competitors. This is 69% below median its historical median of 23.55. Over the past decade, Digital Arts' EV-to-EBIT has ranged from 5.25 to 54.73. According to the industry distribution chart, Digital Arts ranks #430 out of 1764 companies in the Software industry, placing it in the top 24.4%.
Is Digital Arts' EV-to-EBIT too high?
Digital Arts' current EV-to-EBIT of 7.25 is 69% below median its 10-year median of 23.55. Over the past 10 years, this metric has ranged from a low of 5.25 to a high of 54.73. The Software industry median EV-to-EBIT is 13.78. Digital Arts' value of 7.25 is 47.4% below this industry median. Based on the distribution chart, Digital Arts ranks #430 out of 1764 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Digital Arts has a GF Score™ of 87/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Digital Arts' EV-to-EBIT compare to MSFT and PLTR?
According to the Software industry distribution chart, Digital Arts ranks #430 out of 1764 companies for EV-to-EBIT. This places Digital Arts in the top 24% of its industry — outperforming the majority of peers. The industry median EV-to-EBIT is 13.78. Digital Arts' value of 7.25 is 47.4% below this benchmark. Historically, Digital Arts' own EV-to-EBIT has ranged from 5.25 to 54.73 over the past decade. While the company's 10-year median is 23.55 vs. the industry median of 13.78, Digital Arts has consistently been below 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 EV-to-EBIT for a Software company?
The median EV-to-EBIT among Software companies is 13.78, based on 1,764 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Digital Arts's current EV-to-EBIT of 7.25 is 47.4% below 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 EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Digital Arts and its competitors. For the Software industry, the median EV-to-EBIT is 13.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digital Arts's current EV-to-EBIT is 7.25, which is 69% below median its own 10-year median of 23.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digital Arts stock overvalued right now?
Based on GuruFocus' analysis, Digital Arts (TSE:2326) is currently considered Modestly Undervalued. The stock's GF Value™ is 円6,249.43, compared to a current price of 円4,450.00 — trading 28.8% below its estimated fair value. The current EV-to-EBIT is 7.25, which is 69% below median its 10-year median of 23.55 and 47.4% below the Software industry median of 13.78. Digital Arts' overall GF Score™ is 87/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Digital Arts (TSE:2326), the current EV-to-EBIT is 7.25 as of Sep. 08, 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 Digital Arts (TSE:2326) Overvalued in 2026?
Based on GuruFocus' analysis, Digital Arts stock appears to be undervalued.
The current stock price of 円4,450.00 is trading 28.8% below its estimated GF Value™ of 円6,249.43.
GuruFocus considers Digital Arts to be Modestly Undervalued.
Key valuation signals for TSE:2326:
EV-to-EBIT: 7.25 (69% below median its 10-year median of 23.55)
GF Value™: 円6,249.43 vs. price of 円4,450.00 (28.8% below fair value)
Industry Position: 47.4% below the Software median (#430 of 1764)
No single metric tells the full story. See the TSE:2326 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Digital Arts Inc develops Internet filtering software for business, private, and educational use. Its products protect users and networks from harmful Internet content and prevent inappropriate usage. Its software products are supplied to the corporate, public-sector (government ministries and agencies and schools), and consumer markets.
87GF Score
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