Kuraray Co Ltd
TSE:3405

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Kuraray Co Ltd
TSE:3405
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Price: 1 675 JPY 0.18% Market Closed
Market Cap: ¥515.8B

EV/EBIT

11.9
Current
30%
More Expensive
vs 3-y average of 9.2

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
11.9
=
Enterprise Value
¥706.5B
/
EBIT
¥58.9B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
11.9
=
Enterprise Value
¥706.5B
/
EBIT
¥58.9B

Valuation Scenarios

Kuraray Co Ltd is trading above its 3-year average

If EV/EBIT returns to its 3-Year Average (9.2), the stock would be worth ¥1 289.91 (23% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-27%
Maximum Upside
+14%
Average Downside
7%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 11.9 ¥1 675
0%
3-Year Average 9.2 ¥1 289.91
-23%
5-Year Average 8.7 ¥1 221.49
-27%
Industry Average 12.7 ¥1 780.69
+6%
Country Average 13.6 ¥1 917.82
+14%

Forward EV/EBIT
Today’s price vs future ebit

Not enough data available to calculate forward EV/EBIT

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close

Market Distribution

In line with most companies in Japan
Percentile
41st
Based on 4 801 companies
41st percentile
11.9
Low
0.1 — 9.8
Typical Range
9.8 — 18.1
High
18.1 —
Distribution Statistics
Japan
Min 0.1
30th Percentile 9.8
Median 13.6
70th Percentile 18.1
Max 414 821 439

Kuraray Co Ltd
Glance View

Market Cap
515.8B JPY
Industry
Chemicals

Kuraray Co., Ltd. stands as a beacon of innovation in the realm of specialty chemicals and fibers, originating from its roots in Japan. Established in 1926, Kuraray initially made its mark with the pioneering production of synthetic rayon. However, over time, the company evolved to encompass a diverse portfolio, becoming a global leader known for a wide array of products that include resins, films, and textiles. Central to Kuraray's strategy is its commitment to research and development, which drives its ability to produce highly specialized materials. This focus allows the company to cater to niche markets where advanced product properties are critical. For example, their EVOH (ethylene vinyl alcohol) resins, branded as EVAL, are highly prized for their exceptional barrier properties in food packaging and automotive fuel systems. Through this relentless innovation, Kuraray addresses some of the most pressing industrial challenges, thus solidifying its position in the global market. Kuraray’s operational ethos emphasizes sustainability, which is integral to both its product development and corporate practices. The company generates substantial revenue by deploying its technologies across multiple sectors, including automotive, healthcare, and electronics—industries where performance and reliability are paramount. The synthesis of advanced materials enables Kuraray to capture value through direct sales and long-term contracts with other multinational corporations. Strategically, Kuraray’s breadth in specialty chemical solutions also allows it to hedge against market downturns by diversifying its revenue streams across a spectrum of applications. Apart from its flagship EVOH and PVB (polyvinyl butyral) films, used predominantly in safety glass laminates, Kuraray has also expanded into environmental solutions, offering products that contribute to energy savings and reduced emissions in industrial processes. This holistic approach not only fuels their economic engine but also aligns with the core sustainability goals that resonate with their global clientele.

Intrinsic Value
2 273.1 JPY
Undervaluation 26%
Intrinsic Value
Price ¥1 675
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