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Mitsubishi Heavy Industries Ltd
TSE:7011

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Mitsubishi Heavy Industries Ltd
TSE:7011
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Price: 4 586 JPY -0.63% Market Closed
Market Cap: ¥15.5T

EV/IC

2.6
Current
131%
More Expensive
vs 3-y average of 1.1

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
2.6
=
Enterprise Value
¥15.9T
/
Invested Capital
¥5.8T

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
2.6
=
Enterprise Value
¥15.9T
/
Invested Capital
¥5.8T

Valuation Scenarios

Mitsubishi Heavy Industries Ltd is trading above its 3-year average

If EV/IC returns to its 3-Year Average (1.1), the stock would be worth ¥1 982.14 (57% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-91%
Maximum Upside
No Upside Scenarios
Average Downside
68%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 2.6 ¥4 586
0%
3-Year Average 1.1 ¥1 982.14
-57%
5-Year Average 0.2 ¥396.72
-91%
Industry Average 1 ¥1 797.69
-61%
Country Average 1 ¥1 669.97
-64%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close
Market Cap EV/IC P/E
JP
Mitsubishi Heavy Industries Ltd
TSE:7011
15.4T JPY 2.6 54.9
JP
Fujitec Co Ltd
TSE:6406
2 720 795.8T JPY 2.2 0
JP
Ishii Iron Works Co Ltd
TSE:6362
304.2T JPY 17 333.2 363 670.8
JP
Star Micronics Co Ltd
TSE:7718
48T JPY 0.9 29.8
US
Parker-Hannifin Corp
NYSE:PH
111.3B USD 4.2 31.5
JP
Freund Corp
TSE:6312
16.9T JPY 908.7 8 494.3
SE
Atlas Copco AB
STO:ATCO A
848.5B SEK 5.1 32.1
US
Illinois Tool Works Inc
NYSE:ITW
73.7B USD 5.4 24
US
Barnes Group Inc
NYSE:B
65B USD 1.5 13
SE
Sandvik AB
STO:SAND
480.6B SEK 2.9 32.4
JP
Fanuc Corp
TSE:6954
6.4T JPY 4.3 38.2

Market Distribution

Higher than 84% of companies in Japan
Percentile
84th
Based on 5 142 companies
84th percentile
2.6
Low
0 — 0.7
Typical Range
0.7 — 1.5
High
1.5 —
Distribution Statistics
Japan
Min 0
30th Percentile 0.7
Median 1
70th Percentile 1.5
Max 23 050 349

Mitsubishi Heavy Industries Ltd
Glance View

In the vibrant tapestry of Japan’s industrial landscape, Mitsubishi Heavy Industries Ltd. (MHI) stands as a formidable player with a storied legacy spanning over a century. Established in 1884, MHI has evolved from its origins as a shipbuilding powerhouse into a multifaceted conglomerate at the heart of modern technological advancement. Today, its operations are staggeringly diverse, encompassing sectors such as aerospace, defense, energy, machinery, and environment-related products. By leveraging its engineering prowess, MHI crafts complex machinery that powers economies—ranging from jet engines and defense equipment to state-of-the-art power generation systems. The company's commitment to heavy machinery and high-performance engineering solutions grounds its business model, creating cutting-edge technologies that underpin critical infrastructure globally. Central to MHI’s profitability is its strategy of integrating advanced engineering and production efficiencies to meet the demands of various industries worldwide. The company’s aerospace division partners with leading aircraft manufacturers, contributing key components that soar through the skies. Meanwhile, its energy systems arm is pivotal in developing sustainable power solutions, offering nuclear, wind, and gas turbine technologies that address the urgent need for cleaner energy. With these capabilities, MHI secures substantial contracts and drives revenue through a blend of large-scale projects and long-term service agreements, ensuring a steady inflow of capital. By continuously adapting to global trends, such as digital transformation and the push for decarbonization, Mitsubishi Heavy Industries not only maintains its historical strength but also positions itself at the forefront of innovation and sustainable progress.

Intrinsic Value
1 931.03 JPY
Overvaluation 58%
Intrinsic Value
Price ¥4 586
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