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AbalanceTSE:3856 -11.72%66 Return-on-Tangible-Asset is 11.90% as of Mar. 2026, which is 192% above its 10-year median of 4.07. GuruFocus rates TSE:3856 with a GF Score™ of 66/100 and a GF Value™ of 円835.13 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 2,891 Software companies, Abalance ranks better than 59.01% 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. Abalance's annualizedNet Income for the quarter that ended in Mar. 2026 was 円19,660 Mil. Abalance's average total tangible assets for the quarter that ended in Mar. 2026 was 円165,187 Mil. Therefore, Abalance's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 11.90%.
The historical rank and industry rank for Abalance's Return-on-Tangible-Asset or its related term are showing as below:
TSE:3856'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -3.96 Med: 4.07 Max: 11.57
Current: 4.8
During the past 13 years, Abalance's highest Return-on-Tangible-Asset was 11.57%. The lowest was -3.96%. And the median was 4.07%.
TSE:3856's Return-on-Tangible-Asset is ranked better than 59.01% of 2891
companies
in the Software industry
Industry Median: 2.18
vs TSE:3856: 4.80
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.
Abalance Return-on-Tangible-Asset Related Terms
Abalance Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Abalance'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.
TSE:3856 vs CRM, SHOP, UBER: Return-on-Tangible-Asset Comparison
For the Software - Application subindustry, Abalance'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.
Abalance Return-on-Tangible-Asset vs Software Industry
For the Software industry and Technology sector, Abalance's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Abalance'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 (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 11.90% mean?
Abalance (TSE:3856) has a Return-on-Tangible-Asset of 11.90% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Abalance and its competitors. This is 192% above median its historical median of 4.07. According to the industry distribution chart, Abalance ranks #1185 out of 2891 companies in the Software industry, placing it in the top 41%.
Is Abalance's Return-on-Tangible-Asset too high?
Abalance's current Return-on-Tangible-Asset of 11.90% is 192% above median its 10-year median of 4.07. The Software industry median Return-on-Tangible-Asset is 2.18. Abalance's value of 11.90% is 445.9% above this industry median. Based on the distribution chart, Abalance ranks #1185 out of 2891 companies in the Software industry, which is above the industry midpoint. Overall, Abalance has a GF Score™ of 66/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Abalance's Return-on-Tangible-Asset compare to CRM and SHOP?
According to the Software industry distribution chart, Abalance ranks #1185 out of 2891 companies for Return-on-Tangible-Asset. This puts Abalance in the upper half of its industry. The industry median Return-on-Tangible-Asset is 2.18. Abalance's value of 11.90% is 445.9% above this benchmark. While the company's 10-year median is 4.07 vs. the industry median of 2.18, Abalance 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 Software company?
The median Return-on-Tangible-Asset among Software companies is 2.18, based on 2,891 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. Abalance's current Return-on-Tangible-Asset of 11.90% is 445.9% 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 Abalance and its competitors. For the Software industry, the median Return-on-Tangible-Asset is 2.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Abalance's current Return-on-Tangible-Asset is 11.90%, which is 192% above median its own 10-year median of 4.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Abalance stock overvalued right now?
Based on GuruFocus' analysis, Abalance (TSE:3856) is currently considered Possible Value Trap. The stock's GF Value™ is 円835.13, compared to a current price of 円233.00 — trading 72.1% below its estimated fair value. The current Return-on-Tangible-Asset is 11.90%, which is 192% above median its 10-year median of 4.07 and 445.9% above the Software industry median of 2.18. Abalance's overall GF Score™ is 66/100 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 Abalance (TSE:3856), the current Return-on-Tangible-Asset is 11.90% as of Mar. 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 Abalance (TSE:3856) Overvalued in 2026?
Based on GuruFocus' analysis, Abalance stock appears to be undervalued.
The current stock price of 円233.00 is trading 72.1% below its estimated GF Value™ of 円835.13.
GuruFocus considers Abalance to be Possible Value Trap.
Key valuation signals for TSE:3856:
Return-on-Tangible-Asset: 11.90% (192% above median its 10-year median of 4.07)
GF Value™: 円835.13 vs. price of 円233.00 (72.1% below fair value)
Industry Position: 445.9% above the Software median (#1185 of 2891)
No single metric tells the full story. See the TSE:3856 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Abalance Corp is a Japan-based software company. It operates in three business divisions including Information technology (IT) division that provides outsourcing services and consulting, Solar power generation division is engaged in planning, manufacturing, import, export, and sale of products related to solar power generation system, smart grid system, and Construction machine sales business is engaged in the leasing and rental business of construction equipment in the Japan and overseas markets.
66GF Score
Get the complete analysis for TSE:3856
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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