Nippon RAD (TSE:4736) EV-to-EBIT: 4.41 (As of Sep. 01, 2026) — 34% Below Median

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TSE:4736 Nippon RAD Inc TSE:4736
64 GF Score
Price 円591.00
GF Value 円720.88
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Nippon RAD EV-to-EBIT?

Nippon RAD TSE:4736 64 EV-to-EBIT is 4.41 as of Sep. 01, 2026, which is 34% below its 10-year median of 6.64. GuruFocus rates TSE:4736 with a GF Score™ of 64/100 and a GF Value™ of 円720.88 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,771 Software companies, Nippon RAD ranks better than 86.73% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Nippon RAD's Enterprise Value is 円777 Mil. Nippon RAD's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was 円176 Mil. Therefore, Nippon RAD's EV-to-EBIT for today is 4.41.

The historical rank and industry rank for Nippon RAD's EV-to-EBIT or its related term are showing as below:

TSE:4736' s EV-to-EBIT Range Over the Past 10 Years
Min: -178.94   Med: 6.64   Max: 938.29
Current: 4.41

During the past 13 years, the highest EV-to-EBIT of Nippon RAD was 938.29. The lowest was -178.94. And the median was 6.64.

TSE:4736's EV-to-EBIT is ranked better than
86.73% of 1771 companies
in the Software industry
Industry Median: 13.9 vs TSE:4736: 4.41

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Nippon RAD's Enterprise Value for the quarter that ended in Jun. 2026 was 円835 Mil. Nippon RAD's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was 円176 Mil. Nippon RAD's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 21.09%.


Nippon RAD  (TSE:4736) EV-to-EBIT Explanation

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.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Nippon RAD's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Jun. 2026 ) =EBIT / Enterprise Value (Q: Jun. 2026 )
=176.143/835.002
=21.09 %

Nippon RAD's Enterprise Value for the quarter that ended in Jun. 2026 was 円835 Mil.
Nippon RAD's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was 円176 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.


Nippon RAD EV-to-EBIT Related Terms


Nippon RAD EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Nippon RAD'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.

Nippon RAD EV-to-EBIT Chart

Nippon RAD Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.71 2.73 11.41 4.63 4.32

Nippon RAD Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
EV-to-EBIT 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 10.38 15.36 7.54 4.32 4.74

TSE:4736 vs IBM, ACN, CTSH: EV-to-EBIT Comparison

For the Information Technology Services subindustry, Nippon RAD'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.


Nippon RAD EV-to-EBIT vs Software Industry

For the Software industry and Technology sector, Nippon RAD's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Nippon RAD's EV-to-EBIT falls into.


TSE:4736
64GF Score
Nippon RAD Inc TSE:4736
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nippon RAD EV-to-EBIT Calculation

Nippon RAD's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=776.877/176.143
=4.41

Nippon RAD's current Enterprise Value is 円777 Mil.
Nippon RAD's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was 円176 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.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 4.41 mean?
Nippon RAD (TSE:4736) has a EV-to-EBIT of 4.41 as of Sep. 01, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Nippon RAD and its competitors. This is 34% below median its historical median of 6.64. According to the industry distribution chart, Nippon RAD ranks #235 out of 1771 companies in the Software industry, placing it in the top 13.3%.
Is Nippon RAD's EV-to-EBIT too high?
Nippon RAD's current EV-to-EBIT of 4.41 is 34% below median its 10-year median of 6.64. The Software industry median EV-to-EBIT is 13.90. Nippon RAD's value of 4.41 is 68.3% below this industry median. Based on the distribution chart, Nippon RAD ranks #235 out of 1771 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Nippon RAD has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nippon RAD's EV-to-EBIT compare to IBM and ACN?
According to the Software industry distribution chart, Nippon RAD ranks #235 out of 1771 companies for EV-to-EBIT. This places Nippon RAD in the top 13% of its industry — outperforming the majority of peers. The industry median EV-to-EBIT is 13.90. Nippon RAD's value of 4.41 is 68.3% below this benchmark. While the company's 10-year median is 6.64 vs. the industry median of 13.90, Nippon RAD 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 13.90, based on 1,771 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. Nippon RAD's current EV-to-EBIT of 4.41 is 68.3% 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 Nippon RAD and its competitors. For the Software industry, the median EV-to-EBIT is 13.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon RAD's current EV-to-EBIT is 4.41, which is 34% below median its own 10-year median of 6.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon RAD stock overvalued right now?
Based on GuruFocus' analysis, Nippon RAD (TSE:4736) is currently considered Modestly Undervalued. The stock's GF Value™ is 円720.88, compared to a current price of 円591.00 — trading 18% below its estimated fair value. The current EV-to-EBIT is 4.41, which is 34% below median its 10-year median of 6.64 and 68.3% below the Software industry median of 13.90. Nippon RAD's overall GF Score™ is 64/100 with 2 warning signs to review. 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 Nippon RAD (TSE:4736), the current EV-to-EBIT is 4.41 as of Sep. 01, 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 Nippon RAD (TSE:4736) Overvalued in 2026?

Based on GuruFocus' analysis, Nippon RAD stock appears to be undervalued. The current stock price of 円591.00 is trading 18% below its estimated GF Value™ of 円720.88. GuruFocus considers Nippon RAD to be Modestly Undervalued.

Key valuation signals for TSE:4736:

  • EV-to-EBIT: 4.41 (34% below median its 10-year median of 6.64)
  • GF Value™: 円720.88 vs. price of 円591.00 (18% below fair value)
  • GF Score™: 64/100 with 2 warning signs
  • Industry Position: 68.3% below the Software median (#235 of 1771)

No single metric tells the full story. See the TSE:4736 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nippon RAD Business Description

Address Akasaka, 1-12-32 Ark Mori Building 30th floor, Minato-ku, Tokyo, JPN, 107-6030
Nippon RAD Inc is engaged in the development of systems and software for various industries and operations. The solutions of the company include the GW system, card operation system, risk management system, vehicle management system, risk management system, and others.
64GF Score

Get the complete analysis for TSE:4736

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円591.00
Price
円720.88
GF Value