Obermatt

Flags

Earnings warning

Ebara

TYO:6361 · JP3166000004
MachineryX-Large

360

18
EV / EBIT48
Price / Owner Earnings5
Owner Earnings Yield6
Dividend Yield61
Price/Sales52
EV / Gross Profit58
Price/Book29
Return on Capital58
Cash Return on Capital12
Return on Equity51
EBIT Margin25
Gross Profitability63
Cash Conversion8
Accruals13
Owner Earnings Margin6
Sales growth34
Profit Growth47
Long-Term EPS Growth45
Owner Earnings Growth15
Reinvestment17
Price momentum93
Debt load21
Refinancing37
Debt Payback27
Liquidity53
Analyst ratings68
Opinion Changes50
Price Target Upside19
Market mood87
Value Creation12/20creating some value
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Ebara clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.

Profile

CountryJapan
IndustryMachinery
SizeX-Large
TypePublic Company
ExchangeTSE
Founded1920
Employees330
Websiteebara.com
ISINJP3166000004
Last UpdateApr 2, 2026
Themes
Water PurificationDisposal and RecyclingEnvironmental EngineeringPollution ControlBiomass EnergyMachinery Manufacturing

Description

EBARA CORPORATION engages in the manufacture of transfer machinery for fluids and gaseous substances in pumps, compressors, fans, and chillers. The company is also a contractor for environmental engineering and equipment, including water treatment sy…

Analysis

Weak and unloved

Ebara Corporation scores below average on quality and is priced accordingly, a low-conviction position in either direction. Worth noting: the cash the business generates has lagged behind what the income statement shows.

On valuation, the picture is expensive. The owner-earnings multiple stands at 96.1×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 28% a year, against analyst forecasts of 10%. The market is pricing in far more than analysts expect: heroic expectations.

Growth is moderate; the safety picture is adequate. The company scores 12/20 on our value-creation score: creating some value.

Flags to be aware of: Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.

360° rank · history

1007550250
34
2023202420252026

All-time high

95

Jan 2023

All-time low

32

Jan 2025

Average rank

60

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
52
47
50
66
Price/Earnings
31
40
53
64
Price/Book
29
27
26
42
Dividend Yield
61
55
50
75
Value (overall)
36
51
37
53

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →