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Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.
Here, as of today, Kawasaki Heavy Industries's PEG is 1. Kawasaki Heavy Industries's 5-Year TTM EBITDA Growth Rate is 22.35.
Kawasaki Heavy Industries's EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2026 was 円143.06. Therefore, the Peter Lynch Fair Value for today is 円3,197.46.
The historical rank and industry rank for Kawasaki Heavy Industries's Peter Lynch Fair Value or its related term are showing as below:
TSE:7012'
s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 0.65 Med: 2.15 Max: 3.09
Current: 0.67
During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Kawasaki Heavy Industries was 3.09. The lowest was 0.65. And the median was 2.15.
TSE:7012's Price-to-Peter-Lynch-Fair-Value is ranked better than 67.02% of 188
companies
in the Conglomerates industry
Industry Median: 0.935
vs TSE:7012: 0.67
Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.
Kawasaki Heavy Industries (TSE:7012) Peter Lynch Fair Value Explanation
Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.
Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.
Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 22.35 instead of 15 in this case.
Kawasaki Heavy Industries's Price to Peter Lynch Fair Value Ratio for today is calculated as
Price to Peter Lynch Fair Value
=
Share Price
/
Peter Lynch Fair Value
=
2404.50
/
3,197.46
=
0.75
* 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.
Kawasaki Heavy Industries Peter Lynch Fair Value Related Terms
Kawasaki Heavy Industries Peter Lynch Fair Value Historical Data
* 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.
Kawasaki Heavy Industries Peter Lynch Fair Value Chart
TSE:7012 vs MMM, HON: Peter Lynch Fair Value Comparison
For the Conglomerates subindustry, Kawasaki Heavy Industries's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value 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.
Kawasaki Heavy Industries Price-to-Peter-Lynch-Fair-Value vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Kawasaki Heavy Industries's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:
* The bar in red indicates where Kawasaki Heavy Industries's Price-to-Peter-Lynch-Fair-Value falls into.
Kawasaki Heavy Industries's EPS without NRI 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143.06.
* 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.
** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.
If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.
If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.
Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.
What does a Peter Lynch Fair Value of 円3,197.46 mean?
Kawasaki Heavy Industries (TSE:7012) has a Peter Lynch Fair Value of 円3,197.46 as of Sep. 21, 2026. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Kawasaki Heavy Industries and its competitors. According to the industry distribution chart, Kawasaki Heavy Industries ranks #62 out of 188 companies in the Conglomerates industry, placing it in the top 33%.
Is Kawasaki Heavy Industries' Peter Lynch Fair Value too high?
Kawasaki Heavy Industries' current Peter Lynch Fair Value is 円3,197.46. Based on the distribution chart, Kawasaki Heavy Industries ranks #62 out of 188 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Kawasaki Heavy Industries has a GF Score™ of 84/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kawasaki Heavy Industries' Peter Lynch Fair Value compare to MMM and HON?
According to the Conglomerates industry distribution chart, Kawasaki Heavy Industries ranks #62 out of 188 companies for Peter Lynch Fair Value. This puts Kawasaki Heavy Industries in the upper half of its industry. The industry median Peter Lynch Fair Value is 0.94. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Peter Lynch Fair Value for a Conglomerates company?
The median Peter Lynch Fair Value among Conglomerates companies is 0.94, based on 188 companies in the industry. Companies in the top quartile (top 25%) have a Peter Lynch Fair Value significantly above this median, while those in the bottom quartile fall well below. However, Peter Lynch Fair Value 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 Peter Lynch Fair Value mean?
A high Peter Lynch Fair Value can signal that a stock is expensive relative to its fundamentals. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Kawasaki Heavy Industries and its competitors. For the Conglomerates industry, the median Peter Lynch Fair Value is 0.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kawasaki Heavy Industries's current Peter Lynch Fair Value is 円3,197.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kawasaki Heavy Industries stock overvalued right now?
Based on GuruFocus' analysis, Kawasaki Heavy Industries (TSE:7012) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,801.65, compared to a current price of 円2,404.50 — trading 33.5% above its estimated fair value. The current Peter Lynch Fair Value is 円3,197.46. Kawasaki Heavy Industries' overall GF Score™ is 84/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Peter Lynch Fair Value calculated?
Peter Lynch Fair Value is calculated from a company's financial statements. For Kawasaki Heavy Industries (TSE:7012), the current Peter Lynch Fair Value is 円3,197.46 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 Kawasaki Heavy Industries (TSE:7012) Overvalued in 2026?
Based on GuruFocus' analysis, Kawasaki Heavy Industries stock appears to be overvalued.
The current stock price of 円2,404.50 is trading 33.5% above its estimated GF Value™ of 円1,801.65.
GuruFocus considers Kawasaki Heavy Industries to be Significantly Overvalued.
Key valuation signals for TSE:7012:
Peter Lynch Fair Value: 円3,197.46
GF Value™: 円1,801.65 vs. price of 円2,404.50 (33.5% above fair value)
No single metric tells the full story. See the TSE:7012 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kawasaki Heavy Industries Ltd is a Japan-based conglomerate with operations in aerospace, marine, and vehicles. The company operates through six segments. The Aerospace Systems segment manufactures and sells aircraft, engines, and space-related equipment. The Energy Solutions & Marine segment provides energy equipment, hydrogen systems, marine propulsion, plants, ships, and crushers. The Power Sports & Engine segment produces motorcycles, off-road vehicles, personal watercraft, and general-purpose engines. The Precision Machinery and Robots segment offers hydraulic equipment and industrial robots. The Vehicle segment manufactures railway vehicles and snow removal machinery. The Other segment covers commerce mediation, sales, orders, and welfare facility management.
84GF Score
Get the complete analysis for TSE:7012
Peter Lynch Fair Value is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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