Arata (TSE:2733) Margin of Safety % (DCF FCF Based): 36.77% (As of Jul. 21, 2026)

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Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
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.
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Charlie Tian
Founder & CEO of GuruFocus
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.

TSE:2733 Arata Corp TSE:2733
71 GF Score
Price 円2,604.00
GF Value 円3,267.97
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Arata Margin of Safety % (DCF FCF Based)?

Arata TSE:2733 +1.32% 71 Margin of Safety % (DCF FCF Based) is 36.77% as of Jul. 21, 2026. GuruFocus rates TSE:2733 with a GF Score™ of 71/100 and a GF Value™ of 円3,267.97 (Modestly Undervalued). The stock has 2 warning signs investors should review.

Margin of Safety % (DCF FCF Based) = (Intrinsic Value: DCF (FCF Based) - Current Price) / Intrinsic Value: DCF (FCF Based).

Note: Discounted FCF model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-07-21), Arata's Predictability Rank is 2.5-Stars. Arata's intrinsic value calculated from the Discounted FCF model is 円5112.76 and current share price is 円2604.00. Consequently,

Arata's Margin of Safety % (DCF FCF Based) using Discounted FCF model is 36.77%.

TSE:2733 vs DDS: Margin of Safety % (DCF FCF Based) Comparison

For the Department Stores subindustry, Arata's Margin of Safety % (DCF FCF Based), along with its competitors' market caps and Margin of Safety % (DCF FCF Based) 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.

Arata Margin of Safety % (DCF FCF Based) vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Arata's Margin of Safety % (DCF FCF Based) distribution charts can be found below:

* The bar in red indicates where Arata's Margin of Safety % (DCF FCF Based) falls into.


TSE:2733
71GF Score
Arata Corp TSE:2733
Margin of Safety % (DCF FCF Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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Arata Margin of Safety % (DCF FCF Based) Calculation

Arata's Margin of Safety % (DCF FCF Based) for today is calculated as

Margin of Safety % (DCF FCF Based)=(Intrinsic Value: DCF (FCF Based)-Current Price)/Intrinsic Value: DCF (FCF Based)
=(4118.34-2604.00)/4118.34
=36.77 %

* 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.

The intrinsic value is calculated from the Discounted FCF model with default parameters. The calculation method is the same as Discounted Earnings model except free cash flow are used in the calculation instead of earnings per share.

What does a Margin of Safety % (DCF FCF Based) of 36.77% mean?
Arata (TSE:2733) has a Margin of Safety % (DCF FCF Based) of 36.77% as of Jul. 21, 2026. Margin of Safety % (DCF FCF Based) is the percent difference between the current price and the intrinsic DCF FCF price. View historical data on Arata.
Is Arata's Margin of Safety % (DCF FCF Based) too high?
Arata's current Margin of Safety % (DCF FCF Based) is 36.77%. Overall, Arata has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arata's Margin of Safety % (DCF FCF Based) compare to DDS?
Arata's Margin of Safety % (DCF FCF Based) of 36.77% can be compared against companies in the Retail - Cyclical industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Margin of Safety % (DCF FCF Based) for a Retail - Cyclical company?
A good Margin of Safety % (DCF FCF Based) depends on the Retail - Cyclical industry context. However, Margin of Safety % (DCF FCF Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Margin of Safety % (DCF FCF Based) mean?
A high Margin of Safety % (DCF FCF Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF FCF Based) is the percent difference between the current price and the intrinsic DCF FCF price. View historical data on Arata. Arata's current Margin of Safety % (DCF FCF Based) is 36.77%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arata stock overvalued right now?
Based on GuruFocus' analysis, Arata (TSE:2733) is currently considered Modestly Undervalued. The stock's GF Value™ is 円3,267.97, compared to a current price of 円2,604.00 — trading 20.3% below its estimated fair value. The current Margin of Safety % (DCF FCF Based) is 36.77%. Arata's overall GF Score™ is 71/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF FCF Based) calculated?
Margin of Safety % (DCF FCF Based) is calculated from a company's financial statements. For Arata (TSE:2733), the current Margin of Safety % (DCF FCF Based) is 36.77% as of Jul. 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 Arata (TSE:2733) Overvalued in 2026?

Based on GuruFocus' analysis, Arata stock appears to be undervalued. The current stock price of 円2,604.00 is trading 20.3% below its estimated GF Value™ of 円3,267.97. GuruFocus considers Arata to be Modestly Undervalued.

Key valuation signals for TSE:2733:

  • Margin of Safety % (DCF FCF Based): 36.77%
  • GF Value™: 円3,267.97 vs. price of 円2,604.00 (20.3% below fair value)
  • GF Score™: 71/100 with 2 warning signs

No single metric tells the full story. See the TSE:2733 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Arata Business Description

Address 2-10-4, Hamamatsu-Cho, Minato-Ku, Tokyo, JPN
Arata Corp is engaged in wholesale trade of household goods such as pet supplies, cosmetics. Its products include supplies-pet household goods, paper, toiletries, cosmetics.
71GF Score

Get the complete analysis for TSE:2733

Margin of Safety % (DCF FCF Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円2,604.00
Price
円3,267.97
GF Value