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Heiwa Real Estate Co (HWARF) Fair Value & Analysis

Real Estate · US · Market cap $907M

HR Heiwa Real Estate Co logo Heiwa Real Estate Co HWARF · US
Price$13.67
Fair Value$14.94
Upside+9.3%
Quality52/100
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Weak Growth
Highly profitable · 21.7% net margin
High debt · negative free cash flow
3.42% dividend yield
Ranks above peers (7/10)
Moderate moat 61/100
Evidence: Medium Range $11.20 – $18.24 Share as image

Fair value as of: Jul 26, 2026

From 7 valuation models · updated 15 days ago

Fair value updated Jul 26, 2026, revised from $15.18 to $14.94 (−1.6%) since Jun 26, 2026.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.
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Price vs Fair Value (19 months)

$938,832 $12.14 Fair Value $14.94 Jan 2025 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 26, 2026.

How to read this chart

19‑month range $12.14 – $938,832 · fair‑value band $11.20 – $18.24 · the $13.67 price screens below the $14.94 fair value. Dashed = 300-day average. As of Jul 26, 2026.

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Analysis

Heiwa Real Estate Co (HWARF) currently trades at $13.67, while our model-based Fair Value estimate is $14.94, implying the stock looks roughly 9.3% fairly valued today. The Quality Score stands at 52/100 (solid quality), in the Real Estate sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium), always confirm before acting.

Over the trailing twelve months, Heiwa Real Estate Co generated revenue of $50.9B at a net margin of 21.7%. Revenue grew 19.5% year over year. It earns a return on equity of 9.0%. Net debt stands at $226B. Fundamentals as of Jul 26, 2026

Our scenario range runs from $11.20 (bear case) to $18.24 (bull case); at $13.67, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 7% above its 52-week low, currently above its 200-day average. For context, the median of 10 Real Estate peers we cover trades at -30% fair-value upside, at 9%, HWARF screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Residual Income $1,395 $1,463 $1,543 61
P/S Multiple $1,837 $2,449 $3,061 58
P/B Multiple $1,837 $2,449 $3,061 55
All 7 models by family
Multiples
P/S Multiple $1,837 $2,449 $3,061 58
P/B Multiple $1,837 $2,449 $3,061 55
EV/EBIT $228.95 $1,322 $2,416 53
EV/EBITDA $573.83 $1,782 $2,990 54
EV/Revenue $308.47 43
Asset-Based
NCAV (Graham) $888.59 $1,191 $1,777 50
Economic Profit
Residual Income $1,395 $1,463 $1,543 61

Widest divergence: Multiples ($1,782) versus Asset-Based ($1,191). Highest evidence: Residual Income (61).

Key figures & financial health

Revenue (TTM) $50.9B
Revenue growth (YoY) +19.5%
Net margin 21.7%
Return on equity 9.0%
Free cash flow −$8.6B FY2025
P/E ratio 24.4
More key figures
Operating margin 36.7%
EPS (TTM) $0.5600
Dividend yield 3.4%
EPS growth (YoY) +6.0%
Net debt $226B FY2025

Figures from reported company fundamentals · as of Jul 26, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 52/100

Of which business quality 48 · Market factors (momentum, volatility) 67

Profitability 34
Margins and returns on capital today
Quality Growth 46
Are margins and returns improving?
Cashflow 45
Earnings quality: real cash, not paper profit
Fin. Strength 25
Balance sheet, leverage, solvency risk
Investment 61
Disciplined investing over empire-building
Low Volatility 100
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 70
Distance to the 52-week high (market factor)
Net Issuance 100
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Heiwa Real Estate Co., Ltd. operates as a real estate company in Japan. It operates in two segments, Building Business and Asset Management Business. The company develops, leases, manages, and sells stock exchange buildings, office buildings, commercial facilities, and housing. It also provides property management and real estate agency services.

Full company description

Heiwa Real Estate Co., Ltd. operates as a real estate company in Japan. It operates in two segments, Building Business and Asset Management Business. The company develops, leases, manages, and sells stock exchange buildings, office buildings, commercial facilities, and housing. It also provides property management and real estate agency services. The company was incorporated in 1947 and is headquartered in Tokyo, Japan.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Heiwa Real Estate Co reported revenue of $42.1B in FY2025 versus $35.0B in FY2021, a compound +4.7%/yr. Reported net income was $9.6B in FY2025, compounding +7.7%/yr from FY2021.

Growth Quality 13/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
$42.1B
Latest YoY
−5.3%
Avg. growth/yr (3Y)
−10.1%
Revenue +4.7%/yr
FY21 $35.0B
FY22 $57.8B
FY23 $44.5B
FY24 $44.4B
FY25 $42.1B
Net income +7.7%/yr
FY21 $7.1B
FY22 $8.7B
FY23 $9.1B
FY24 $8.5B
FY25 $9.6B

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Cite: Fair Value Calculator (2026). "Heiwa Real Estate Co Fair Value". https://www.fairvalue-calculator.com/stock/HWARF

Peer Group

Real Estate - Diversified · 138 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 53 · Above median
Fair Value upside +9% · Below median
Return on equity (TTM) 9% · Top 25%
Return on assets 2% · Above median
Net margin (TTM) 22% · Above median
Operating margin (TTM) 37% · Above median
Revenue growth 20% · Above median
Dividend yield (TTM) 3.4% · Above median
Debt / equity 1.88× · Higher than 75% of peers

Valuation Multiples vs Real Estate - Diversified median · lower = cheaper

P/E (TTM) 24.4× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 46 · sector 46
FUTURE 98 · sector 33
PAST 36 · sector 17
HEALTH 6 · sector 75
DIVIDEND 68 · sector 45

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

Is Heiwa Real Estate Co (HWARF) overvalued or undervalued?
As of Jul 26, 2026, our model estimates a fair value of $14.94 versus a price of $13.67, about +9% (fairly valued).
What is the fair value of HWARF?
Our model-based fair value for Heiwa Real Estate Co is $14.94 (as of Jul 26, 2026), built from audited fundamentals. The current price is $13.67.
What is the quality score of HWARF?
Heiwa Real Estate Co has a Quality Score of 52/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Heiwa Real Estate Co (HWARF)?
Heiwa Real Estate Co reported trailing-twelve-month revenue of about $50.9B (latest available figure, as of Jul 26, 2026).
What is the net profit margin of HWARF?
The net profit margin of Heiwa Real Estate Co is about 21.7%, meaning it keeps roughly 21.7% of revenue as net income. Based on the latest reported figures.
Does Heiwa Real Estate Co pay a dividend?
Heiwa Real Estate Co currently shows a dividend yield of about 3.42% relative to its recent price (as of Jul 26, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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