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.
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.
Watami CoTSE:7522 -0.31%74 EV-to-EBIT is 3.10 as of Aug. 30, 2026, which is 38% below its 10-year median of 4.96. GuruFocus rates TSE:7522 with a GF Score™ of 74/100 and a GF Value™ of 円1,044.58 (Fairly Valued). The stock has 3 warning signs investors should review. Among 265 Restaurants companies, Watami Co ranks better than 98.11% 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.
Watami Co's Enterprise Value for the quarter that ended in Jun. 2026 was 円20,501 Mil.
Watami 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6,985 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.
Watami Co EV-to-EBIT Related Terms
Watami Co EV-to-EBIT Historical Data
* Premium members only.
The historical data trend for Watami 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.
For the Restaurants subindustry, Watami 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.
Watami Co EV-to-EBIT vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Watami Co's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Watami Co's EV-to-EBIT falls into.
Watami Co's current Enterprise Value is 円21,665 Mil.
Watami 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6,985 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.
Watami Co (TSE:7522) has a EV-to-EBIT of 3.10 as of Aug. 30, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Watami Co and its competitors. This is 38% below median its historical median of 4.96. According to the industry distribution chart, Watami Co ranks #5 out of 265 companies in the Restaurants industry, placing it in the top 1.9%.
Is Watami Co's EV-to-EBIT too high?
Watami Co's current EV-to-EBIT of 3.10 is 38% below median its 10-year median of 4.96. The Restaurants industry median EV-to-EBIT is 17.12. Watami Co's value of 3.10 is 81.9% below this industry median. Based on the distribution chart, Watami Co ranks #5 out of 265 companies in the Restaurants industry, which is in the top quartile — a strong position relative to peers. Overall, Watami Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Watami Co's EV-to-EBIT compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Watami Co ranks #5 out of 265 companies for EV-to-EBIT. This places Watami Co in the top 2% of its industry — outperforming the majority of peers. The industry median EV-to-EBIT is 17.12. Watami Co's value of 3.10 is 81.9% below this benchmark. While the company's 10-year median is 4.96 vs. the industry median of 17.12, Watami 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 Restaurants company?
The median EV-to-EBIT among Restaurants companies is 17.12, based on 265 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. Watami Co's current EV-to-EBIT of 3.10 is 81.9% 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 Watami Co and its competitors. For the Restaurants industry, the median EV-to-EBIT is 17.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Watami Co's current EV-to-EBIT is 3.10, which is 38% below median its own 10-year median of 4.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watami Co stock overvalued right now?
Based on GuruFocus' analysis, Watami Co (TSE:7522) is currently considered Fairly Valued. The stock's GF Value™ is 円1,044.58, compared to a current price of 円964.00 — trading 7.7% below its estimated fair value. The current EV-to-EBIT is 3.10, which is 38% below median its 10-year median of 4.96 and 81.9% below the Restaurants industry median of 17.12. Watami Co's overall GF Score™ is 74/100 with 3 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 Watami Co (TSE:7522), the current EV-to-EBIT is 3.10 as of Aug. 30, 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 Watami Co (TSE:7522) Overvalued in 2026?
Based on GuruFocus' analysis, Watami Co stock appears to be undervalued.
The current stock price of 円964.00 is trading 7.7% below its estimated GF Value™ of 円1,044.58.
GuruFocus considers Watami Co to be Fairly Valued.
Key valuation signals for TSE:7522:
EV-to-EBIT: 3.10 (38% below median its 10-year median of 4.96)
GF Value™: 円1,044.58 vs. price of 円964.00 (7.7% below fair value)
Industry Position: 81.9% below the Restaurants median (#5 of 265)
No single metric tells the full story. See the TSE:7522 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Watami Co Ltd is engaged in the management and operation of restaurants. It is also involved in the production and sale of agricultural products; and home visit nursing, in-home nursing care support, and institutional care businesses. The company conducts organic farming, animal husbandry and dairy farming from Hokkaido to Kyushu.
74GF Score
Get the complete analysis for TSE:7522
EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSE:7522 has been successfully added to your 
