Kato Works Co (TSE:6390) EV-to-EBIT: 7.48 (As of Sep. 21, 2026) — Near Median

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TSE:6390 Kato Works Co Ltd TSE:6390
56 GF Score
Price 円1,330.00
GF Value 円1,346.31
Valuation Fairly Valued
! 6 Warning Signs
View Full Analysis

What is Kato Works Co EV-to-EBIT?

Kato Works Co TSE:6390 -0.82% 56 EV-to-EBIT is 7.48 as of Sep. 21, 2026, which is 4% above its 10-year median of 7.21. GuruFocus rates TSE:6390 with a GF Score™ of 56/100 and a GF Value™ of 円1,346.31 (Fairly Valued). The stock has 6 warning signs investors should review. Among 180 Farm & Heavy Construction Machinery companies, Kato Works Co ranks better than 74.44% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Kato Works Co's Enterprise Value is 円43,891 Mil. Kato Works Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was 円5,865 Mil. Therefore, Kato Works Co's EV-to-EBIT for today is 7.48.

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

TSE:6390' s EV-to-EBIT Range Over the Past 10 Years
Min: -216.63   Med: 7.21   Max: 69.59
Current: 7.49

During the past 13 years, the highest EV-to-EBIT of Kato Works Co was 69.59. The lowest was -216.63. And the median was 7.21.

TSE:6390's EV-to-EBIT is ranked better than
74.44% of 180 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 13.04 vs TSE:6390: 7.49

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Kato Works Co's Enterprise Value for the quarter that ended in Jun. 2026 was 円42,854 Mil. Kato Works Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was 円5,865 Mil. Kato Works Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 13.69%.


Kato Works Co  (TSE:6390) 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) %.

Kato Works Co'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 )
=5865/42854.368864
=13.69 %

Kato Works Co's Enterprise Value for the quarter that ended in Jun. 2026 was 円42,854 Mil.
Kato Works Co'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5,865 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.


Kato Works Co EV-to-EBIT Related Terms


Kato Works Co EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Kato Works Co'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.

Kato Works Co EV-to-EBIT Chart

Kato Works Co 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 -3.51 9.85 9.54 -8.59 8.32

Kato Works Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 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 -8.03 -26.43 7.48 8.28 7.31

TSE:6390 vs CAT, DE, PCAR: EV-to-EBIT Comparison

For the Farm & Heavy Construction Machinery subindustry, Kato Works Co'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.


Kato Works Co EV-to-EBIT vs Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Kato Works Co's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Kato Works Co's EV-to-EBIT falls into.


TSE:6390
56GF Score
Kato Works Co Ltd TSE:6390
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kato Works Co EV-to-EBIT Calculation

Kato Works Co's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=43891.216/5865
=7.48

Kato Works Co's current Enterprise Value is 円43,891 Mil.
Kato Works Co'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5,865 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 7.48 mean?
Kato Works Co (TSE:6390) has a EV-to-EBIT of 7.48 as of Sep. 21, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Kato Works Co and its competitors. This is near median its historical median of 7.21. According to the industry distribution chart, Kato Works Co ranks #46 out of 180 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 25.6%.
Is Kato Works Co's EV-to-EBIT too high?
Kato Works Co's current EV-to-EBIT of 7.48 is near median its 10-year median of 7.21. The Farm & Heavy Construction Machinery industry median EV-to-EBIT is 13.04. Kato Works Co's value of 7.48 is 42.6% below this industry median. Based on the distribution chart, Kato Works Co ranks #46 out of 180 companies in the Farm & Heavy Construction Machinery industry, which is above the industry midpoint. Overall, Kato Works Co has a GF Score™ of 56/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kato Works Co's EV-to-EBIT compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Kato Works Co ranks #46 out of 180 companies for EV-to-EBIT. This puts Kato Works Co in the upper half of its industry. The industry median EV-to-EBIT is 13.04. Kato Works Co's value of 7.48 is 42.6% below this benchmark. While the company's 10-year median is 7.21 vs. the industry median of 13.04, Kato Works Co 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 Farm & Heavy Construction Machinery company?
The median EV-to-EBIT among Farm & Heavy Construction Machinery companies is 13.04, based on 180 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. Kato Works Co's current EV-to-EBIT of 7.48 is 42.6% 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 Kato Works Co and its competitors. For the Farm & Heavy Construction Machinery industry, the median EV-to-EBIT is 13.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kato Works Co's current EV-to-EBIT is 7.48, which is near median its own 10-year median of 7.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kato Works Co stock overvalued right now?
Based on GuruFocus' analysis, Kato Works Co (TSE:6390) is currently considered Fairly Valued. The stock's GF Value™ is 円1,346.31, compared to a current price of 円1,330.00 — trading 1.2% below its estimated fair value. The current EV-to-EBIT is 7.48, which is near median its 10-year median of 7.21 and 42.6% below the Farm & Heavy Construction Machinery industry median of 13.04. Kato Works Co's overall GF Score™ is 56/100 with 6 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 Kato Works Co (TSE:6390), the current EV-to-EBIT is 7.48 as of Sep. 21, 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 Kato Works Co (TSE:6390) Overvalued in 2026?

Based on GuruFocus' analysis, Kato Works Co stock appears to be undervalued. The current stock price of 円1,330.00 is trading 1.2% below its estimated GF Value™ of 円1,346.31. GuruFocus considers Kato Works Co to be Fairly Valued.

Key valuation signals for TSE:6390:

  • EV-to-EBIT: 7.48 (near median its 10-year median of 7.21)
  • GF Value™: 円1,346.31 vs. price of 円1,330.00 (1.2% below fair value)
  • GF Score™: 56/100 with 6 warning signs
  • Industry Position: 42.6% below the Farm & Heavy Construction Machinery median (#46 of 180)

No single metric tells the full story. See the TSE:6390 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kato Works Co Business Description

Address 9-37, Higashi-ohi 1-chome, Shinagawa-ku, Tokyo, JPN, 140-0011
Kato Works Co Ltd is a Japan-based machinery manufacturer. The company is mainly engaged in the manufacturing and sales of machinery used for the lifting and construction industries. It offers various construction equipment, mobile cranes, and industrial equipment, including truck cranes, hydraulic excavators, rough terrain cranes, all-terrain cranes, crawler cranes, mini excavators, earth boring rigs, vacuum trucks, street sweepers, and snow sweepers. Kato also offers related spare parts and services. The group's reportable segments are Japan, which is its key revenue-generating market, China, Europe, and Others.
56GF Score

Get the complete analysis for TSE:6390

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

円1,330.00
Price
円1,346.31
GF Value