Nippon Gear Co (TSE:6356) 5-Year Yield-on-Cost %: 2.08 (As of Sep. 04, 2026) — 38% Below 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:6356 Nippon Gear Co Ltd TSE:6356
71 GF Score
Price 円1,317.00
GF Value 円590.21
Valuation Significantly Overvalued
! 1 Warning Sign
View Full Analysis

What is Nippon Gear Co 5-Year Yield-on-Cost %?

Nippon Gear Co TSE:6356 +1.07% 71 5-Year Yield-on-Cost % is 2.08 as of Sep. 04, 2026, which is 38% below its 10-year median of 3.35. GuruFocus rates TSE:6356 with a GF Score™ of 71/100 and a GF Value™ of 円590.21 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 844 Vehicles & Parts companies, Nippon Gear Co ranks worse than 63.27% on this metric.

Nippon Gear Co's yield on cost for the quarter that ended in Mar. 2026 was 2.08.


The historical rank and industry rank for Nippon Gear Co's 5-Year Yield-on-Cost % or its related term are showing as below:

TSE:6356' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.54   Med: 3.35   Max: 5.59
Current: 2.08


During the past 13 years, Nippon Gear Co's highest Yield on Cost was 5.59. The lowest was 0.54. And the median was 3.35.


TSE:6356's 5-Year Yield-on-Cost % is ranked worse than
63.27% of 844 companies
in the Vehicles & Parts industry
Industry Median: 3.21 vs TSE:6356: 2.08

Nippon Gear Co  (TSE:6356) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Nippon Gear Co 5-Year Yield-on-Cost % Related Terms


TSE:6356 vs ORLY, AZO, GPC: 5-Year Yield-on-Cost % Comparison

For the Auto Parts subindustry, Nippon Gear Co's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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.


Nippon Gear Co 5-Year Yield-on-Cost % vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Nippon Gear Co's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Nippon Gear Co's 5-Year Yield-on-Cost % falls into.


TSE:6356
71GF Score
Nippon Gear Co Ltd TSE:6356
5-Year Yield-on-Cost % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nippon Gear Co 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Nippon Gear Co is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5
Frequently Asked Questions Learn more about 5-Year Yield-on-Cost % →
What does a 5-Year Yield-on-Cost % of 2.08 mean?
Nippon Gear Co (TSE:6356) has a 5-Year Yield-on-Cost % of 2.08 as of Sep. 04, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Nippon Gear Co and its competitors. This is 38% below median its historical median of 3.35. Over the past decade, Nippon Gear Co's 5-Year Yield-on-Cost % has ranged from 0.54 to 5.59. According to the industry distribution chart, Nippon Gear Co ranks #534 out of 844 companies in the Vehicles & Parts industry, placing it in the top 63.3%.
Is Nippon Gear Co's 5-Year Yield-on-Cost % too high?
Nippon Gear Co's current 5-Year Yield-on-Cost % of 2.08 is 38% below median its 10-year median of 3.35. Over the past 10 years, this metric has ranged from a low of 0.54 to a high of 5.59. The Vehicles & Parts industry median 5-Year Yield-on-Cost % is 3.21. Nippon Gear Co's value of 2.08 is 35.2% below this industry median. Based on the distribution chart, Nippon Gear Co ranks #534 out of 844 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Nippon Gear Co has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Gear Co's 5-Year Yield-on-Cost % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Nippon Gear Co ranks #534 out of 844 companies for 5-Year Yield-on-Cost %. This places Nippon Gear Co in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.21. Nippon Gear Co's value of 2.08 is 35.2% below this benchmark. Historically, Nippon Gear Co's own 5-Year Yield-on-Cost % has ranged from 0.54 to 5.59 over the past decade. While the company's 10-year median is 3.35 vs. the industry median of 3.21, Nippon Gear Co 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 5-Year Yield-on-Cost % for a Vehicles & Parts company?
The median 5-Year Yield-on-Cost % among Vehicles & Parts companies is 3.21, based on 844 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Nippon Gear Co's current 5-Year Yield-on-Cost % of 2.08 is 35.2% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Nippon Gear Co and its competitors. For the Vehicles & Parts industry, the median 5-Year Yield-on-Cost % is 3.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Gear Co's current 5-Year Yield-on-Cost % is 2.08, which is 38% below median its own 10-year median of 3.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Gear Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Gear Co (TSE:6356) is currently considered Significantly Overvalued. The stock's GF Value™ is 円590.21, compared to a current price of 円1,317.00 — trading 123.1% above its estimated fair value. The current 5-Year Yield-on-Cost % is 2.08, which is 38% below median its 10-year median of 3.35 and 35.2% below the Vehicles & Parts industry median of 3.21. Nippon Gear Co's overall GF Score™ is 71/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Nippon Gear Co (TSE:6356), the current 5-Year Yield-on-Cost % is 2.08 as of Sep. 04, 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 Nippon Gear Co (TSE:6356) Overvalued in 2026?

Based on GuruFocus' analysis, Nippon Gear Co stock appears to be overvalued. The current stock price of 円1,317.00 is trading 123.1% above its estimated GF Value™ of 円590.21. GuruFocus considers Nippon Gear Co to be Significantly Overvalued.

Key valuation signals for TSE:6356:

  • 5-Year Yield-on-Cost %: 2.08 (38% below median its 10-year median of 3.35)
  • GF Value™: 円590.21 vs. price of 円1,317.00 (123.1% above fair value)
  • GF Score™: 71/100 with 1 warning sign
  • Industry Position: 35.2% below the Vehicles & Parts median (#534 of 844)

No single metric tells the full story. See the TSE:6356 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nippon Gear Co Business Description

Address 1-7-14 Nishi-Shinbashi, 2nd Floor, Keihanshin Toranomon Building, Tokyo, JPN, 252-0811
Nippon Gear Co Ltd is engaged in the design, production, and sale of valve actuators, high-speed gear drivers, mixers, screw jacks, monitoring equipment, data communication equipment, control equipment, and software. It offers valve actuators for a range of applications in petroleum, nuclear, generating plants, and water/sewer pipelines; jacks for use in lifting/lowering, inclines, pulling, opening/closing, adjustment, and holding; gear drives for power plant, chemical plant, wastewater treatment plant, and other applications; and gears for automotive, railroad, industrial machine, and other industries.
71GF Score

Get the complete analysis for TSE:6356

5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円1,317.00
Price
円590.21
GF Value