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Daiwa Industries Ltd. (DAWIF)

NEUTRAL
IndustrialsIndustrial DistributionSwitzerland

Fundamental

58

Price

$134.60

Market Cap

$2.25B

Part 1 · What the company is worth

Overview

Daiwa Industries manufactures commercial refrigeration and kitchen equipment in Japan — freezers, refrigerators, display showcases, ice makers and vending machines — sold to restaurants, food retailers and other foodservice businesses. Beyond manufacturing and selling this equipment outright, the company also leases units and provides installation and maintenance, keeping a service relationship with customers after the initial sale. Its home market is Japan, with a smaller and growing presence elsewhere in Asia.

How it makes money

Revenue comes from selling and leasing refrigeration and kitchen equipment to businesses that need it to store or display food, plus recurring fees for installation and maintenance of units already in the field. Because much of the customer base is small and mid-sized foodservice and retail operators, orders track how many restaurants and stores are opening, renovating or replacing aging equipment rather than any single large contract.

What drives demand

Moderately cyclical

Demand follows capital spending by restaurants, food retailers and convenience stores, which slows when consumer spending weakens but does not stop entirely since refrigeration is essential equipment that eventually needs replacing regardless of the economic cycle.

The case for

Buyers argue that a long-established position supplying Japan's dense restaurant and convenience-store market gives Daiwa a stable replacement-driven revenue base, and that leasing and maintenance revenue on equipment already installed cushions swings in new-unit sales.

The case against

Sellers fear that a shrinking and aging Japanese population reduces the long-run number of restaurants and stores that need this equipment, and that expansion into other Asian markets exposes the company to competitors and cost structures it has less experience managing.

Written by the editors, published on August 18, 2026

Direct competitors

Who this company fights with for the same customers

No editorial profile for this company yet

No competitor list for this company yet.

Balance Sheet & Liquidity

Revenue

$12.19B

Trailing 12 months to the last reported quarter — estimated from per-share metrics

Net Income

$1.29B

Trailing 12 months to the last reported quarter — estimated from per-share metrics

Free Cash Flow

-

Total Equity

$274M

Total Liabilities

-

Current Ratio

3.07

Interest Coverage

-

Debt/EBITDA

-

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

Undervalued

Fair Value

$336.62

Current Price

$134.60

Margin of Safety

+60.0%

Fair Value Range

$218.80 - $454.44

Estimation Methods

Analyst Target:$173.07
DCF:$119.74
PE-based:$134.62
Graham Growth:$128.61
EPV:$1309.84

Valuation Metrics

P/E Ratio

1.29

ROE

29.5%

P/B Ratio

0.09

P/FCF

-

Gross Margin

55.6%

ROIC

-

Profitability Radar

Value Creation (Economic Moat)

ROIC

-

WACC

9.1%

ROIC − WACC

-

Fundamental Analysis Criteria

Passed (7)

  • Gross Margin 55.6%
  • P/B Ratio 0.09
  • Operating Margin 15.6%
  • Price below Graham Number
  • Revenue Growth 5Y 18.7%
  • PEG Ratio 1.58
  • Net Margin Trend 7.3% vs 2.8%

Failed (4)

  • Price CAGR -1.32%
  • DCF valuation (Unknown)
  • ROE 7.3%
  • Piotroski F-Score 0/9

Unavailable (16)

  • EPS data insufficient
  • ROIC NaN%
  • P/FCF NaN
  • Dividend Payout NaN%
  • Debt/Equity ratio
  • Positive Free Cash Flow
  • CapEx intensity
  • Current Ratio
  • Interest Coverage
  • Debt/EBITDA
  • Return on Tangible Assets
  • Low reliance on intangibles
  • Analyst Consensus (Finnhub)
  • Earnings Surprise (Finnhub)
  • Earnings Quality (OCF/Net Income)
  • Share Dilution (missing shares data)

Piotroski F-Score

0/9

Serious financial concerns

score
criteria

Earnings Quality

-

Low quality: investigate accounting

Share Dilution

-

Buying back shares. Shareholder friendly

Governance

Executive Team

NameTitleAge
Mr. Volker CwielongCEO & Member of Executive Board48
Dr. Judith van WalsumCFO, Head of the Group Function Finance & Shared Services and Member of Executive Board61
Mr. Michael HollerCOO, Head of Division Industrial & Member of Executive Board56
Ms. Cindy Reiss-ClarkCOO, Head of Division Healthcare & Member of Executive Board51
Katharina ImmoorSenior Vice President of Corporate Communications & Investor Relations-

Audit Risk

8

Board Risk

9

Compensation Risk

5

Shareholder Rights Risk

9

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Latest News

Recent headlines for DAWIF, sourced from Markets Gazette.

No recent news for DAWIF.