Hikari Tsushin (FRA:HIK) PEG Ratio: 0.66 (As of Jul. 13, 2026) — 20% Below Median

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Director of Data and Quant Analytics at GuruFocus
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FRA:HIK Hikari Tsushin Inc FRA:HIK
82 GF Score
Price €202.00
GF Value €218.34
Valuation Fairly Valued
! 5 Warning Signs
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What is Hikari Tsushin PEG Ratio?

Hikari Tsushin FRA:HIK +2.02% 82 PEG Ratio is 0.66 as of Jul. 13, 2026, which is 20% below its 10-year median of 0.82. GuruFocus rates FRA:HIK with a GF Score™ of 82/100 and a GF Value™ of €218.34 (Fairly Valued). The stock has 5 warning signs investors should review. Among 266 Conglomerates companies, Hikari Tsushin ranks better than 64.29% on this metric.

PE Ratio without NRI / 5-Year EBITDA Growth Rate*

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, Hikari Tsushin's PE Ratio without NRI is 10.41. Hikari Tsushin's 5-Year EBITDA growth rate is 15.70%. Therefore, Hikari Tsushin's PEG Ratio for today is 0.66.

* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


The historical rank and industry rank for Hikari Tsushin's PEG Ratio or its related term are showing as below:

FRA:HIK' s PEG Ratio Range Over the Past 10 Years
Min: 0.3   Med: 0.82   Max: 1.81
Current: 0.69


During the past 13 years, Hikari Tsushin's highest PEG Ratio was 1.81. The lowest was 0.30. And the median was 0.82.


FRA:HIK's PEG Ratio is ranked better than
64.29% of 266 companies
in the Conglomerates industry
Industry Median: 1.05 vs FRA:HIK: 0.69

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


Hikari Tsushin  (FRA:HIK) PEG Ratio Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Hikari Tsushin PEG Ratio Related Terms


Hikari Tsushin PEG Ratio Historical Data

* Premium members only.

The historical data trend for Hikari Tsushin's PEG Ratio 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.

Hikari Tsushin PEG Ratio Chart

Hikari Tsushin Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
PEG Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.46 0.71 0.66 0.80 0.76

Hikari Tsushin Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
PEG Ratio 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 0.80 1.14 0.83 0.99 0.76

FRA:HIK vs HON, MMM: PEG Ratio Comparison

For the Conglomerates subindustry, Hikari Tsushin's PEG Ratio, along with its competitors' market caps and PEG Ratio 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.


Hikari Tsushin PEG Ratio vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Hikari Tsushin's PEG Ratio distribution charts can be found below:

* The bar in red indicates where Hikari Tsushin's PEG Ratio falls into.


FRA:HIK
82GF Score
Hikari Tsushin Inc FRA:HIK
PEG Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hikari Tsushin PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

Hikari Tsushin's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=10.406470557931/15.70
=0.66

* 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.

* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.

Frequently Asked Questions Learn more about PEG Ratio →
What does a PEG Ratio of 0.66 mean?
Hikari Tsushin (FRA:HIK) has a PEG Ratio of 0.66 as of Jul. 13, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Hikari Tsushin and its competitors. This is 20% below median its historical median of 0.82. Over the past decade, Hikari Tsushin's PEG Ratio has ranged from 0.30 to 1.81. According to the industry distribution chart, Hikari Tsushin ranks #95 out of 266 companies in the Conglomerates industry, placing it in the top 35.7%.
Is Hikari Tsushin's PEG Ratio too high?
Hikari Tsushin's current PEG Ratio of 0.66 is 20% below median its 10-year median of 0.82. Over the past 10 years, this metric has ranged from a low of 0.30 to a high of 1.81. The Conglomerates industry median PEG Ratio is 1.05. Hikari Tsushin's value of 0.66 is 37.1% below this industry median. Based on the distribution chart, Hikari Tsushin ranks #95 out of 266 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Hikari Tsushin has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hikari Tsushin's PEG Ratio compare to HON and MMM?
According to the Conglomerates industry distribution chart, Hikari Tsushin ranks #95 out of 266 companies for PEG Ratio. This puts Hikari Tsushin in the upper half of its industry. The industry median PEG Ratio is 1.05. Hikari Tsushin's value of 0.66 is 37.1% below this benchmark. Historically, Hikari Tsushin's own PEG Ratio has ranged from 0.30 to 1.81 over the past decade. While the company's 10-year median is 0.82 vs. the industry median of 1.05, Hikari Tsushin 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 PEG Ratio for a Conglomerates company?
The median PEG Ratio among Conglomerates companies is 1.05, based on 266 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hikari Tsushin's current PEG Ratio of 0.66 is 37.1% 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 PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Hikari Tsushin and its competitors. For the Conglomerates industry, the median PEG Ratio is 1.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hikari Tsushin's current PEG Ratio is 0.66, which is 20% below median its own 10-year median of 0.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hikari Tsushin stock overvalued right now?
Based on GuruFocus' analysis, Hikari Tsushin (FRA:HIK) is currently considered Fairly Valued. The stock's GF Value™ is €218.34, compared to a current price of €202.00 — trading 7.5% below its estimated fair value. The current PEG Ratio is 0.66, which is 20% below median its 10-year median of 0.82 and 37.1% below the Conglomerates industry median of 1.05. Hikari Tsushin's overall GF Score™ is 82/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Hikari Tsushin (FRA:HIK), the current PEG Ratio is 0.66 as of Jul. 13, 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 Hikari Tsushin (FRA:HIK) Overvalued in 2026?

Based on GuruFocus' analysis, Hikari Tsushin stock appears to be undervalued. The current stock price of €202.00 is trading 7.5% below its estimated GF Value™ of €218.34. GuruFocus considers Hikari Tsushin to be Fairly Valued.

Key valuation signals for FRA:HIK:

  • PEG Ratio: 0.66 (20% below median its 10-year median of 0.82)
  • GF Value™: €218.34 vs. price of €202.00 (7.5% below fair value)
  • GF Score™: 82/100 with 5 warning signs
  • Industry Position: 37.1% below the Conglomerates median (#95 of 266)

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


Hikari Tsushin Business Description

Other Exchanges HKTGF:USA9435:Japan
Address 1-4-10 Nishi-Ikebukuro, Hikari West Gate Building, Toshima-ku, Tokyo, JPN, 171-0021
Hikari Tsushin Inc operates as a holding company engaged in diversified businesses through seven segments: Electricity and Gas, Telecommunications, Beverages, Insurance, Finance, Solutions, and Agency Sales. The group provides electricity and gas supply, communication services, natural mineral water, non-life insurance, and warranty services, as well as financial services such as microfinance, industry-specific solution platforms, and agency sales of various products from telecommunications carriers and manufacturers. It generates the majority of its revenue from the Electricity and Gas segment.
82GF Score

Get the complete analysis for FRA:HIK

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

€202.00
Price
€218.34
GF Value