Komatsu Ltd
TSE:6301

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Komatsu Ltd
TSE:6301
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Price: 6 856 JPY -2.79%
Market Cap: ¥6.4T

P/E

15.5
Current
50%
More Expensive
vs 3-y average of 10.3

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
15.5
=
Market Cap
¥6.9T
/
Net Income
¥399.4B

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
15.5
=
Market Cap
¥6.9T
/
Net Income
¥399.4B

Valuation Scenarios

Komatsu Ltd is trading above its 3-year average

If P/E returns to its 3-Year Average (10.3), the stock would be worth ¥4 575.25 (33% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-33%
Maximum Upside
+17%
Average Downside
9%
Scenario P/E Value Implied Price Upside/Downside
Current Multiple 15.5 ¥6 856
0%
3-Year Average 10.3 ¥4 575.25
-33%
5-Year Average 10.7 ¥4 736.75
-31%
Industry Average 18.1 ¥8 028.74
+17%
Country Average 17 ¥7 539
+10%

Forward P/E
Today’s price vs future net income

Today's Market Cap Net Income Forward P/E
¥6.9T
/
Jan 2026
¥399.4B
=
15.5
Current
¥6.9T
/
Mar 2026
¥372.7B
=
18.4
Forward
¥6.9T
/
Mar 2027
¥409.7B
=
16.8
Forward
¥6.9T
/
Mar 2028
¥458.2B
=
15
Forward

Forward P/E shows whether today’s P/E still looks high or low once future net income are taken into account.

Market Distribution

In line with most companies in Japan
Percentile
42nd
Based on 5 185 companies
42nd percentile
15.5
Low
0 — 13.1
Typical Range
13.1 — 23
High
23 —
Distribution Statistics
Japan
Min 0
30th Percentile 13.1
Median 17
70th Percentile 23
Max 7 956 708

Komatsu Ltd
Glance View

Komatsu Ltd., founded in Japan in 1921, has evolved from a small repair shop to a global titan in the field of heavy equipment and industrial machinery. Originally part of the Takeuchi Mining Company, Komatsu carved its own path by developing its machinery, gradually expanding its portfolio beyond mining equipment to include a comprehensive array of construction, forestry, and industrial equipment. The company’s commitment to innovation and quality has anchored its reputation, enabling it to traverse the turbulent economic landscapes of the 20th century and emerge as a leader in equipment manufacturing. Today, Komatsu operates globally, with manufacturing plants in multiple continents, offering a range of products such as hydraulic excavators, bulldozers, and forklifts. These machines are best known for their durability and technological advances, which frequently incorporate automation and sustainability-focused features. Revenue generation at Komatsu is multifaceted. Primarily, it stems from the sale of heavy machinery, which is used across varied sectors such as construction, mining, agriculture, and forestry. However, it's not just the large upfront sales that drive Komatsu's financial engine. The company has cultivated a robust after-sales service network that includes maintenance, repair services, and spare parts supply, establishing steady revenue streams that persist long after the initial sale. Furthermore, Komatsu invests heavily in research and development, reflecting a commitment to innovation that not only enhances product offerings but also creates additional value through revenue-sharing technologies like automated systems and IoT solutions embedded in their machinery. This diversified approach enables Komatsu to navigate the challenges of fluctuating market demands and economic conditions, maintaining its position as a pillar in the heavy machinery industry.

Intrinsic Value
5 255.82 JPY
Overvaluation 23%
Intrinsic Value
Price ¥6 856
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