Sekisui House (FRA:SPH1) Return-on-Tangible-Asset: 4.88% (As of Apr. 2026) — 14% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:SPH1 Sekisui House Ltd FRA:SPH1
88 GF Score
Price €19.80
GF Value €21.83
! 3 Warning Signs
View Full Analysis

What is Sekisui House Return-on-Tangible-Asset?

Sekisui House FRA:SPH1 +2.25% 88 Return-on-Tangible-Asset is 4.88% as of Apr. 2026, which is 14% below its 10-year median of 5.68. GuruFocus rates FRA:SPH1 with a GF Score™ of 88/100 and a GF Value™ of €21.83. The stock has 3 warning signs investors should review. Among 96 Homebuilding & Construction companies, Sekisui House ranks better than 72.92% 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. Sekisui House's annualized Net Income for the quarter that ended in Apr. 2026 was €1,257 Mil. Sekisui House's average total tangible assets for the quarter that ended in Apr. 2026 was €25,757 Mil. Therefore, Sekisui House's annualized Return-on-Tangible-Asset for the quarter that ended in Apr. 2026 was 4.88%.

The historical rank and industry rank for Sekisui House's Return-on-Tangible-Asset or its related term are showing as below:

FRA:SPH1' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 4.73   Med: 5.68   Max: 6.45
Current: 5.57

During the past 13 years, Sekisui House's highest Return-on-Tangible-Asset was 6.45%. The lowest was 4.73%. And the median was 5.68%.

FRA:SPH1's Return-on-Tangible-Asset is ranked better than
72.92% of 96 companies
in the Homebuilding & Construction industry
Industry Median: 3.32 vs FRA:SPH1: 5.57

Sekisui House  (FRA:SPH1) 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 company’s 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 company’s 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.


Sekisui House Return-on-Tangible-Asset Related Terms


Sekisui House Return-on-Tangible-Asset Historical Data

* Premium members only.

The historical data trend for Sekisui House'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.

Sekisui House Return-on-Tangible-Asset Chart

Sekisui House Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
Return-on-Tangible-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.64 6.18 6.07 5.47 4.64

Sekisui House Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Return-on-Tangible-Asset Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.93 5.90 3.97 7.10 4.88

FRA:SPH1 vs DHI, PHM, LEN: Return-on-Tangible-Asset Comparison

For the Residential Construction subindustry, Sekisui House'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.


Sekisui House Return-on-Tangible-Asset vs Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Sekisui House's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Sekisui House's Return-on-Tangible-Asset falls into.


FRA:SPH1
88GF Score
Sekisui House Ltd FRA:SPH1
Return-on-Tangible-Asset is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sekisui House Return-on-Tangible-Asset Calculation

Sekisui House's annualized Return-on-Tangible-Asset for the fiscal year that ended in Jan. 2026 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Jan. 2026 )  (A: Jan. 2025 )(A: Jan. 2026 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Jan. 2026 )  (A: Jan. 2025 )(A: Jan. 2026 )
=1260.85/( (28316.488+26029.506)/ 2 )
=1260.85/27172.997
=4.64 %

Sekisui House's annualized Return-on-Tangible-Asset for the quarter that ended in Apr. 2026 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Apr. 2026 )  (Q: Jan. 2026 )(Q: Apr. 2026 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Apr. 2026 )  (Q: Jan. 2026 )(Q: Apr. 2026 )
=1256.924/( (26029.506+25484.848)/ 2 )
=1256.924/25757.177
=4.88 %

* 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 (Apr. 2026) net income data.

What does a Return-on-Tangible-Asset of 4.88% mean?
Sekisui House (FRA:SPH1) has a Return-on-Tangible-Asset of 4.88% as of Apr. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Sekisui House and its competitors. This is 14% below median its historical median of 5.68. Over the past decade, Sekisui House's Return-on-Tangible-Asset has ranged from 4.73 to 6.45. According to the industry distribution chart, Sekisui House ranks #26 out of 96 companies in the Homebuilding & Construction industry, placing it in the top 27.1%.
Is Sekisui House's Return-on-Tangible-Asset too high?
Sekisui House's current Return-on-Tangible-Asset of 4.88% is 14% below median its 10-year median of 5.68. Over the past 10 years, this metric has ranged from a low of 4.73 to a high of 6.45. The Homebuilding & Construction industry median Return-on-Tangible-Asset is 3.32. Sekisui House's value of 4.88% is 47% above this industry median. Based on the distribution chart, Sekisui House ranks #26 out of 96 companies in the Homebuilding & Construction industry, which is above the industry midpoint. Overall, Sekisui House has a GF Score™ of 88/100, reflecting its overall financial health beyond just this single metric.
How does Sekisui House's Return-on-Tangible-Asset compare to DHI and PHM?
According to the Homebuilding & Construction industry distribution chart, Sekisui House ranks #26 out of 96 companies for Return-on-Tangible-Asset. This puts Sekisui House in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.32. Sekisui House's value of 4.88% is 47% above this benchmark. Historically, Sekisui House's own Return-on-Tangible-Asset has ranged from 4.73 to 6.45 over the past decade. While the company's 10-year median is 5.68 vs. the industry median of 3.32, Sekisui House 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 Homebuilding & Construction company?
The median Return-on-Tangible-Asset among Homebuilding & Construction companies is 3.32, based on 96 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. Sekisui House's current Return-on-Tangible-Asset of 4.88% is 47% 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 Sekisui House and its competitors. For the Homebuilding & Construction industry, the median Return-on-Tangible-Asset is 3.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sekisui House's current Return-on-Tangible-Asset is 4.88%, which is 14% below median its own 10-year median of 5.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sekisui House stock overvalued right now?
Sekisui House (FRA:SPH1) has a current Return-on-Tangible-Asset of 4.88%. The stock's GF Value™ is €21.83, compared to a current price of €19.80 — trading 9.3% below its estimated fair value. The current Return-on-Tangible-Asset is 4.88%, which is 14% below median its 10-year median of 5.68 and 47% above the Homebuilding & Construction industry median of 3.32. Sekisui House's overall GF Score™ is 88/100 with 3 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 Sekisui House (FRA:SPH1), the current Return-on-Tangible-Asset is 4.88% as of Apr. 2026. 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 Sekisui House (FRA:SPH1) Overvalued in 2026?

Based on GuruFocus' analysis, Sekisui House stock appears to be undervalued. The current stock price of €19.80 is trading 9.3% below its estimated GF Value™ of €21.83.

Key valuation signals for FRA:SPH1:

  • Return-on-Tangible-Asset: 4.88% (14% below median its 10-year median of 5.68)
  • GF Value™: €21.83 vs. price of €19.80 (9.3% below fair value)
  • GF Score™: 88/100 with 3 warning signs
  • Industry Position: 47% above the Homebuilding & Construction median (#26 of 96)

No single metric tells the full story. See the FRA:SPH1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sekisui House Business Description

Address 1-1-88 Oyodonaka, Kita-ku, Osaka, JPN, 531-0076
Sekisui House Ltd company's activities includes equity-method affiliates, is involved in the Custom Detached Houses Business, Rental Housing and Commercial Buildings Business, Architectural/Civil Engineering Business, Rental Housing Management Business, Remodeling Business, Development Business, Overseas Business, and carries out related business activities. Segments includes Custom detached houses Business, Rental housing and commercial buildings Business, Architectural / Civil engineering Business, Rental housing management Business, Remodeling Business, Development Business, and Overseas Business of which majority of revenue comes from Rental housing and commercial buildings Business.
88GF Score

Get the complete analysis for FRA:SPH1

Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€19.80
Price
€21.83
GF Value