Kato Works Co (TSE:6390) 3-Year ROIIC % : -87.98% (As of Mar. 2026)

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TSE:6390 Kato Works Co Ltd TSE:6390
57 GF Score
Price 円1,347.00
GF Value 円1,345.69
Valuation Fairly Valued
! 6 Warning Signs
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What is Kato Works Co 3-Year ROIIC %?

Kato Works Co TSE:6390 +0.67% 57 3-Year ROIIC % is -87.98 as of Mar. 2026. GuruFocus rates TSE:6390 with a GF Score™ of 57/100 and a GF Value™ of 円1,345.69 (Fairly Valued). The stock has 6 warning signs investors should review. Among 204 Farm & Heavy Construction Machinery companies, Kato Works Co ranks worse than 94.12% on this metric.

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Kato Works Co's 3-Year ROIIC % for the quarter that ended in Mar. 2026 was -87.98%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Kato Works Co's 3-Year ROIIC % or its related term are showing as below:

TSE:6390's 3-Year ROIIC % is ranked worse than
94.12% of 204 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 2.32 vs TSE:6390: -87.98

Kato Works Co  (TSE:6390) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Kato Works Co 3-Year ROIIC % Related Terms


Kato Works Co 3-Year ROIIC % Historical Data

* Premium members only.

The historical data trend for Kato Works Co's 3-Year ROIIC % 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.

Kato Works Co 3-Year ROIIC % Chart

Kato Works Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 44.77 -4.51 -22.87 159.08 -87.98

Kato Works Co Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Sep24 Mar25 Jun25 Sep25 Dec25 Mar26
3-Year ROIIC % 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 159.08 0.00 0.00 0.00 -87.98

TSE:6390 vs CAT, DE, PCAR: 3-Year ROIIC % Comparison

For the Farm & Heavy Construction Machinery subindustry, Kato Works Co's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.


Kato Works Co 3-Year ROIIC % vs Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Kato Works Co's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Kato Works Co's 3-Year ROIIC % falls into.


TSE:6390
57GF Score
Kato Works Co Ltd TSE:6390
3-Year ROIIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kato Works Co 3-Year ROIIC % Calculation

Kato Works Co's 3-Year ROIIC % for the quarter that ended in Mar. 2026 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( -2221.6612 (Mar. 2026) - 1234.3236 (Mar. 2023) )/( 77204 (Mar. 2026) - 73276 (Mar. 2023) )
=-3455.9848/3928
=-87.98%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

Frequently Asked Questions Learn more about 3-Year ROIIC % →
What does a 3-Year ROIIC % of -87.98 mean?
Kato Works Co (TSE:6390) has a 3-Year ROIIC % of -87.98 as of Mar. 2026. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Kato Works Co and its competitors. According to the industry distribution chart, Kato Works Co ranks #192 out of 204 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 94.1%.
Is Kato Works Co's 3-Year ROIIC % too high?
Kato Works Co's current 3-Year ROIIC % is -87.98. Based on the distribution chart, Kato Works Co ranks #192 out of 204 companies in the Farm & Heavy Construction Machinery industry, which is in the bottom quartile relative to peers. Overall, Kato Works Co has a GF Score™ of 57/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kato Works Co's 3-Year ROIIC % compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Kato Works Co ranks #192 out of 204 companies for 3-Year ROIIC %. This places Kato Works Co in the lower half of its industry. The industry median 3-Year ROIIC % is 2.32. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for a Farm & Heavy Construction Machinery company?
The median 3-Year ROIIC % among Farm & Heavy Construction Machinery companies is 2.32, based on 204 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Kato Works Co and its competitors. For the Farm & Heavy Construction Machinery industry, the median 3-Year ROIIC % is 2.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kato Works Co's current 3-Year ROIIC % is -87.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kato Works Co stock overvalued right now?
Based on GuruFocus' analysis, Kato Works Co (TSE:6390) is currently considered Fairly Valued. The stock's GF Value™ is 円1,345.69, compared to a current price of 円1,347.00 — trading 0.1% above its estimated fair value. The current 3-Year ROIIC % is -87.98. Kato Works Co's overall GF Score™ is 57/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Kato Works Co (TSE:6390), the current 3-Year ROIIC % is -87.98 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 Kato Works Co (TSE:6390) Overvalued in 2026?

Based on GuruFocus' analysis, Kato Works Co stock appears to be overvalued. The current stock price of 円1,347.00 is trading 0.1% above its estimated GF Value™ of 円1,345.69. GuruFocus considers Kato Works Co to be Fairly Valued.

Key valuation signals for TSE:6390:

  • 3-Year ROIIC %: -87.98
  • GF Value™: 円1,345.69 vs. price of 円1,347.00 (0.1% above fair value)
  • GF Score™: 57/100 with 6 warning signs

No single metric tells the full story. See the TSE:6390 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kato Works Co Business Description

Address 9-37, Higashi-ohi 1-chome, Shinagawa-ku, Tokyo, JPN, 140-0011
Kato Works Co Ltd is a Japan-based machinery manufacturer. The company is mainly engaged in the manufacturing and sales of machinery used for the lifting and construction industries. It offers various construction equipment, mobile cranes, and industrial equipment, including truck cranes, hydraulic excavators, rough terrain cranes, all-terrain cranes, crawler cranes, mini excavators, earth boring rigs, vacuum trucks, street sweepers, and snow sweepers. Kato also offers related spare parts and services. The group's reportable segments are Japan, which is its key revenue-generating market, China, Europe, and Others.
57GF Score

Get the complete analysis for TSE:6390

3-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円1,347.00
Price
円1,345.69
GF Value