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Nippon Denko CoFRA:NJ5 -0.90%73 Return-on-Tangible-Asset is 4.11% as of Dec. 2025, which is 33% above its 10-year median of 3.09. GuruFocus rates FRA:NJ5 with a GF Score™ of 73/100 and a GF Value™ of €1.62. The stock has 4 warning signs investors should review. Among 634 Steel companies, Nippon Denko Co ranks worse than 50.16% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Nippon Denko Co's annualizedNet Income for the quarter that ended in Dec. 2025 was €21.4 Mil. Nippon Denko Co's average total tangible assets for the quarter that ended in Dec. 2025 was €522.4 Mil. Therefore, Nippon Denko Co's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 4.11%.
The historical rank and industry rank for Nippon Denko Co's Return-on-Tangible-Asset or its related term are showing as below:
FRA:NJ5'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -15.41 Med: 3.09 Max: 8.73
Current: 2.04
During the past 13 years, Nippon Denko Co's highest Return-on-Tangible-Asset was 8.73%. The lowest was -15.41%. And the median was 3.09%.
FRA:NJ5's Return-on-Tangible-Asset is ranked worse than 50.16% of 634
companies
in the Steel industry
Industry Median: 2.055
vs FRA:NJ5: 2.04
Nippon Denko Co (FRA:NJ5) Return-on-Tangible-Asset Explanation
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Nippon Denko Co Return-on-Tangible-Asset Related Terms
Nippon Denko Co Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Nippon Denko Co's Return-on-Tangible-Asset can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:NJ5 vs NUE, STLD, RS: Return-on-Tangible-Asset Comparison
For the Steel subindustry, Nippon Denko Co's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Nippon Denko Co Return-on-Tangible-Asset vs Steel Industry
For the Steel industry and Basic Materials sector, Nippon Denko Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Nippon Denko Co's Return-on-Tangible-Asset falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of 4.11% mean?
Nippon Denko Co (FRA:NJ5) has a Return-on-Tangible-Asset of 4.11% as of Dec. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Nippon Denko Co and its competitors. This is 33% above median its historical median of 3.09. According to the industry distribution chart, Nippon Denko Co ranks #318 out of 634 companies in the Steel industry, placing it in the top 50.2%.
Is Nippon Denko Co's Return-on-Tangible-Asset too high?
Nippon Denko Co's current Return-on-Tangible-Asset of 4.11% is 33% above median its 10-year median of 3.09. The Steel industry median Return-on-Tangible-Asset is 2.06. Nippon Denko Co's value of 4.11% is 100% above this industry median. Based on the distribution chart, Nippon Denko Co ranks #318 out of 634 companies in the Steel industry, which is below the industry midpoint. Overall, Nippon Denko Co has a GF Score™ of 73/100, reflecting its overall financial health beyond just this single metric.
How does Nippon Denko Co's Return-on-Tangible-Asset compare to NUE and STLD?
According to the Steel industry distribution chart, Nippon Denko Co ranks #318 out of 634 companies for Return-on-Tangible-Asset. This places Nippon Denko Co in the lower half of its industry. The industry median Return-on-Tangible-Asset is 2.06. Nippon Denko Co's value of 4.11% is 100% above this benchmark. While the company's 10-year median is 3.09 vs. the industry median of 2.06, Nippon Denko Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Steel company?
The median Return-on-Tangible-Asset among Steel companies is 2.06, based on 634 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Nippon Denko Co's current Return-on-Tangible-Asset of 4.11% is 100% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Nippon Denko Co and its competitors. For the Steel industry, the median Return-on-Tangible-Asset is 2.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Denko Co's current Return-on-Tangible-Asset is 4.11%, which is 33% above median its own 10-year median of 3.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Denko Co stock overvalued right now?
Nippon Denko Co (FRA:NJ5) has a current Return-on-Tangible-Asset of 4.11%. The stock's GF Value™ is €1.62, compared to a current price of €2.20 — trading 35.8% above its estimated fair value. The current Return-on-Tangible-Asset is 4.11%, which is 33% above median its 10-year median of 3.09 and 100% above the Steel industry median of 2.06. Nippon Denko Co's overall GF Score™ is 73/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Nippon Denko Co (FRA:NJ5), the current Return-on-Tangible-Asset is 4.11% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Nippon Denko Co (FRA:NJ5) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Denko Co stock appears to be overvalued.
The current stock price of €2.20 is trading 35.8% above its estimated GF Value™ of €1.62.
Key valuation signals for FRA:NJ5:
Return-on-Tangible-Asset: 4.11% (33% above median its 10-year median of 3.09)
GF Value™: €1.62 vs. price of €2.20 (35.8% above fair value)
Industry Position: 100% above the Steel median (#318 of 634)
No single metric tells the full story. See the FRA:NJ5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Denko Co Ltd is mainly engaged in the manufacturing and distribution of ferroalloys. In addition, it is also involved in the electric power generation. The company's core business activities are categorized into four segments: Ferroalloys, Functional Materials, Environment, and Other. The company serves a diverse range of markets including power companies, agricultural cooperatives, local governments and companies discharging industrial waste.
73GF Score
Get the complete analysis for FRA:NJ5
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