Mitsubishi Heavy Industries, Ltd (MHVIY) Fair Value & Analysis

Industrials · US · Market cap $82.8B

A solid business, but screening 64% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case ($6.04). The favourable scenario is already priced in.
• Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
• A fairly wide model range ($3.23 to $6.04) leaves room in how you read the outcome.

Price vs Fair Value (2 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

25‑month range $4.50 – $16.61 · fair‑value band $3.23 – $6.04 · the $13.49 price screens above the $4.83 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Mitsubishi Heavy Industries, Ltd (MHVIY) currently trades at $13.49, while our model-based Fair Value estimate is $4.83, implying the stock looks roughly 64.2% overvalued today. The Quality Score stands at 56/100 (solid quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Mitsubishi Heavy Industries, Ltd generated revenue of $5.0T at a net margin of 6.7%. Revenue grew 11.3% year over year. It earns a return on equity of 12.6%. Net debt stands at $473B. Fundamentals as of Aug 13, 2026

Our scenario range runs from $3.23 (bear case) to $6.04 (bull case); at $13.49, the current price sits above 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 about 19% below its 52-week high and 25% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -46% fair-value upside, at -64%, MHVIY screens richer 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.

Widest divergence: DCF Models ($5.10) versus Dividend Discount ($1.16). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Mitsubishi Heavy Industries, Ltd. manufactures and sells heavy machinery worldwide. It operates through four segments: Energy Systems; Plants & Infrastructure Systems; Logistics, Thermal & Drive Systems; and Aircraft, Defense & Space segments.

Full company description

Mitsubishi Heavy Industries, Ltd. manufactures and sells heavy machinery worldwide. It operates through four segments: Energy Systems; Plants & Infrastructure Systems; Logistics, Thermal & Drive Systems; and Aircraft, Defense & Space segments. The company offers thermal, renewable energy, nuclear power generation, engine power plants, and oil and gas production plants, as well as distributed power for total energy solutions and fuel cells; civil aircrafts and aeroengines, aviation equipment, and maintenance, repair, and overhaul of aircrafts; and MHI launch services, rocket engines, human spaceflight and exploration related equipment, rocket launch facility, rocket engine combustion test facility, and satellite/components. It also provides cruise ships and ferries, LNG and LPG carrier, commercial and special purpose ships, marine machinery, marine boiler, marine turbine, marine solution, marine high speed engines, and marine structures, as well as engineering business; transportation and intelligent transport systems; logistics and material handling machinery; and environment products. In addition, the company offers rubber and tire machinery, turbochargers, car air-conditioning and refrigeration systems, testing equipment, and engine; printing machinery, paper converting machinery, metals machinery, compressors and mechanical turbines, hydraulic components, particle accelerator, pumps, air-conditioning and refrigeration systems, carrier systems, special systems, food and packaging machinery, and testing equipment; and control systems, gas holder, vibration control systems, water pipes, tunnel excavation machinery, and data center. Further, it provides living and leisure; defense products comprising special vehicles, naval ship and maritime systems, defense aircraft, helicopter, defense aeroengine, guided weapon systems, and cybersecurity; and engineering products. The company was founded in 1884 and is headquartered in Chiyoda, Japan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Mitsubishi Heavy Industries, Ltd reported revenue of $5.0T in FY2025 versus $3.7T in FY2021, a compound +8.0%/yr. Reported net income was $245B in FY2025, compounding +56.8%/yr from FY2021.

MHVIY screens 64% overvalued. Compare with GE Vernova Inc →

Peer Group

Specialty Industrial Machinery · 807 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.

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

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 0: the price sits above our fair-value range.

Values & ESG

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

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

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.