Arakawa Chemical Industries (TSE:4968) PS Ratio: 0.52 (As of Jul. 18, 2026) — 58% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
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:4968 Arakawa Chemical Industries Ltd TSE:4968
62 GF Score
Price 円2,161.00
GF Value 円1,216.93
Valuation Significantly Overvalued
! 11 Warning Signs
View Full Analysis

What is Arakawa Chemical Industries PS Ratio?

Arakawa Chemical Industries TSE:4968 -10.33% 62 PS Ratio is 0.52 as of Jul. 18, 2026, which is 58% above its 10-year median of 0.33. GuruFocus rates TSE:4968 with a GF Score™ of 62/100 and a GF Value™ of 円1,216.93 (Significantly Overvalued). The stock has 11 warning signs investors should review. Among 1,574 Chemicals companies, Arakawa Chemical Industries ranks better than 78.65% on this metric.

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Arakawa Chemical Industries's share price is 円2161.00. Arakawa Chemical Industries's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 was 円4,140.08. Hence, Arakawa Chemical Industries's PS Ratio for today is 0.52.

Warning Sign:

Arakawa Chemical Industries Ltd stock PS Ratio (=0.55) is close to 5-year high of 0.55.

The historical rank and industry rank for Arakawa Chemical Industries's PS Ratio or its related term are showing as below:

TSE:4968' s PS Ratio Range Over the Past 10 Years
Min: 0.22   Med: 0.33   Max: 0.73
Current: 0.52

During the past 13 years, Arakawa Chemical Industries's highest PS Ratio was 0.73. The lowest was 0.22. And the median was 0.33.

TSE:4968's PS Ratio is ranked better than
78.65% of 1574 companies
in the Chemicals industry
Industry Median: 1.4 vs TSE:4968: 0.52

Arakawa Chemical Industries's Revenue per Sharefor the six months ended in Mar. 2026 was 円2,105.35. Its Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 was 円4,140.08.

During the past 12 months, the average Revenue per Share Growth Rate of Arakawa Chemical Industries was 2.40% per year. During the past 3 years, the average Revenue per Share Growth Rate was 1.10% per year. During the past 5 years, the average Revenue per Share Growth Rate was 1.90% per year. During the past 10 years, the average Revenue per Share Growth Rate was 0.60% per year.

During the past 13 years, Arakawa Chemical Industries's highest 3-Year average Revenue per Share Growth Rate was 6.00% per year. The lowest was -3.10% per year. And the median was 0.95% per year.

Back to Basics: PS Ratio


Arakawa Chemical Industries  (TSE:4968) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Arakawa Chemical Industries PS Ratio Related Terms


Arakawa Chemical Industries PS Ratio Historical Data

* Premium members only.

The historical data trend for Arakawa Chemical Industries's PS 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.

Arakawa Chemical Industries PS Ratio Chart

Arakawa Chemical Industries Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.26 0.25 0.32 0.27 0.30

Arakawa Chemical Industries Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
PS 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 0.32 0.65 0.27 0.00 0.30

TSE:4968 vs LIN, SHW, ECL: PS Ratio Comparison

For the Specialty Chemicals subindustry, Arakawa Chemical Industries's PS Ratio, along with its competitors' market caps and PS 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.


Arakawa Chemical Industries PS Ratio vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Arakawa Chemical Industries's PS Ratio distribution charts can be found below:

* The bar in red indicates where Arakawa Chemical Industries's PS Ratio falls into.


TSE:4968
62GF Score
Arakawa Chemical Industries Ltd TSE:4968
PS Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arakawa Chemical Industries PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Arakawa Chemical Industries's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=2161.00/4140.078
=0.52

Arakawa Chemical Industries's Share Price of today is 円2161.00.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Arakawa Chemical Industries's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 was 円4,140.08.

* 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.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.

Frequently Asked Questions Learn more about PS Ratio →
What does a PS Ratio of 0.52 mean?
Arakawa Chemical Industries (TSE:4968) has a PS Ratio of 0.52 as of Jul. 18, 2026. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on Arakawa Chemical Industries and its competitors. This is 58% above median its historical median of 0.33. Over the past decade, Arakawa Chemical Industries' PS Ratio has ranged from 0.22 to 0.73. According to the industry distribution chart, Arakawa Chemical Industries ranks #336 out of 1574 companies in the Chemicals industry, placing it in the top 21.3%.
Is Arakawa Chemical Industries' PS Ratio too high?
Arakawa Chemical Industries' current PS Ratio of 0.52 is 58% above median its 10-year median of 0.33. Over the past 10 years, this metric has ranged from a low of 0.22 to a high of 0.73. The Chemicals industry median PS Ratio is 1.40. Arakawa Chemical Industries' value of 0.52 is 62.9% below this industry median. Based on the distribution chart, Arakawa Chemical Industries ranks #336 out of 1574 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Arakawa Chemical Industries has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arakawa Chemical Industries' PS Ratio compare to LIN and SHW?
According to the Chemicals industry distribution chart, Arakawa Chemical Industries ranks #336 out of 1574 companies for PS Ratio. This places Arakawa Chemical Industries in the top 21% of its industry — outperforming the majority of peers. The industry median PS Ratio is 1.40. Arakawa Chemical Industries' value of 0.52 is 62.9% below this benchmark. Historically, Arakawa Chemical Industries' own PS Ratio has ranged from 0.22 to 0.73 over the past decade. While the company's 10-year median is 0.33 vs. the industry median of 1.40, Arakawa Chemical Industries 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 PS Ratio for a Chemicals company?
The median PS Ratio among Chemicals companies is 1.40, based on 1,574 companies in the industry. Companies in the top quartile (top 25%) have a PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arakawa Chemical Industries's current PS Ratio of 0.52 is 62.9% 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 PS Ratio mean?
A high PS Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on Arakawa Chemical Industries and its competitors. For the Chemicals industry, the median PS Ratio is 1.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arakawa Chemical Industries's current PS Ratio is 0.52, which is 58% above median its own 10-year median of 0.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arakawa Chemical Industries stock overvalued right now?
Based on GuruFocus' analysis, Arakawa Chemical Industries (TSE:4968) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,216.93, compared to a current price of 円2,161.00 — trading 77.6% above its estimated fair value. The current PS Ratio is 0.52, which is 58% above median its 10-year median of 0.33 and 62.9% below the Chemicals industry median of 1.40. Arakawa Chemical Industries' overall GF Score™ is 62/100 with 11 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PS Ratio calculated?
PS Ratio is calculated from a company's financial statements. For Arakawa Chemical Industries (TSE:4968), the current PS Ratio is 0.52 as of Jul. 18, 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 Arakawa Chemical Industries (TSE:4968) Overvalued in 2026?

Based on GuruFocus' analysis, Arakawa Chemical Industries stock appears to be overvalued. The current stock price of 円2,161.00 is trading 77.6% above its estimated GF Value™ of 円1,216.93. GuruFocus considers Arakawa Chemical Industries to be Significantly Overvalued.

Key valuation signals for TSE:4968:

  • PS Ratio: 0.52 (58% above median its 10-year median of 0.33)
  • GF Value™: 円1,216.93 vs. price of 円2,161.00 (77.6% above fair value)
  • GF Score™: 62/100 with 11 warning signs
  • Industry Position: 62.9% below the Chemicals median (#336 of 1574)

No single metric tells the full story. See the TSE:4968 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Arakawa Chemical Industries Business Description

Address No. 3, No. 1, Hirano-cho, Chuo-ku, Osaka, JPN, 541-0046
Arakawa Chemical Industries Ltd is engaged in the production and sales of paper chemicals, resins for printing inks, resins for adhesives/adhesives, and intermediates for electronic materials. It manufactures various paper chemicals including water-repellents, sizing agents, paper surface improving agents, and paper strengthening, and other types of papers. It also provides printing inks for offset printing; book (magazine)-gravures and food-package-gravures. It also offers electronic materials, including rosins for use as raw material of chemicals and electronic components.
62GF Score

Get the complete analysis for TSE:4968

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

円2,161.00
Price
円1,216.93
GF Value