Kawasaki Heavy IndustriesKWHIF -1.33%76 Pretax Margin % is 7.56% as of Mar. 2026, which is 216% above its 10-year median of 2.39. GuruFocus rates KWHIF with a GF Score™ of 76/100 and a GF Value™ of $9.85 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 3,032 Industrial Products companies, Kawasaki Heavy Industries ranks better than 52.18% on this metric.
The historical rank and industry rank for Kawasaki Heavy Industries's Pretax Margin % or its related term are showing as below:
KWHIF'
s Pretax Margin % Range Over the Past 10 Years
Min: -0.99 Med: 2.39 Max: 6.3
Current: 6.3
KWHIF's Pretax Margin % is ranked better than 52.18% of 3032
companies
in the Industrial Products industry
Industry Median: 5.85
vs KWHIF: 6.30
Kawasaki Heavy Industries (OTCPK:KWHIF) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Kawasaki Heavy Industries Pretax Margin % Related Terms
Kawasaki Heavy Industries Pretax Margin % 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.
For the Specialty Industrial Machinery subindustry, Kawasaki Heavy Industries's Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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 Pretax Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Kawasaki Heavy Industries's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Kawasaki Heavy Industries's Pretax Margin % falls into.
* 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 (KWHIF) has a Pretax Margin % of 7.56% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Kawasaki Heavy Industries and its competitors. This is 216% above median its historical median of 2.39. According to the industry distribution chart, Kawasaki Heavy Industries ranks #1450 out of 3032 companies in the Industrial Products industry, placing it in the top 47.8%.
Is Kawasaki Heavy Industries' Pretax Margin % too high?
Kawasaki Heavy Industries' current Pretax Margin % of 7.56% is 216% above median its 10-year median of 2.39. The Industrial Products industry median Pretax Margin % is 5.85. Kawasaki Heavy Industries' value of 7.56% is 29.2% above this industry median. Based on the distribution chart, Kawasaki Heavy Industries ranks #1450 out of 3032 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Kawasaki Heavy Industries has a GF Score™ of 76/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kawasaki Heavy Industries' Pretax Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Kawasaki Heavy Industries ranks #1450 out of 3032 companies for Pretax Margin %. This puts Kawasaki Heavy Industries in the upper half of its industry. The industry median Pretax Margin % is 5.85. Kawasaki Heavy Industries' value of 7.56% is 29.2% above this benchmark. While the company's 10-year median is 2.39 vs. the industry median of 5.85, Kawasaki Heavy Industries has consistently been above 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 Pretax Margin % for an Industrial Products company?
The median Pretax Margin % among Industrial Products companies is 5.85, based on 3,032 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Kawasaki Heavy Industries's current Pretax Margin % of 7.56% is 29.2% above 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Kawasaki Heavy Industries and its competitors. For the Industrial Products industry, the median Pretax Margin % is 5.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kawasaki Heavy Industries's current Pretax Margin % is 7.56%, which is 216% above median its own 10-year median of 2.39. 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 (KWHIF) is currently considered Significantly Overvalued. The stock's GF Value™ is $9.85, compared to a current price of $17.77 — trading 80.4% above its estimated fair value. The current Pretax Margin % is 7.56%, which is 216% above median its 10-year median of 2.39 and 29.2% above the Industrial Products industry median of 5.85. Kawasaki Heavy Industries' overall GF Score™ is 76/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Kawasaki Heavy Industries (KWHIF), the current Pretax Margin % is 7.56% as of Mar. 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 (KWHIF) Overvalued in 2026?
Based on GuruFocus' analysis, Kawasaki Heavy Industries stock appears to be overvalued.
The current stock price of $17.77 is trading 80.4% above its estimated GF Value™ of $9.85.
GuruFocus considers Kawasaki Heavy Industries to be Significantly Overvalued.
Key valuation signals for KWHIF:
Pretax Margin %: 7.56% (216% above median its 10-year median of 2.39)
GF Value™: $9.85 vs. price of $17.77 (80.4% above fair value)
Industry Position: 29.2% above the Industrial Products median (#1450 of 3032)
No single metric tells the full story. See the KWHIF 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.
76GF Score
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