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AR Advanced TechnologyTSE:5578 -1.22%58 Return-on-Tangible-Asset is 13.73% as of Feb. 2026, which is 50% above its 10-year median of 9.13. GuruFocus rates TSE:5578 with a GF Score™ of 58/100 and a GF Value™ of 円1,144.19 (Modestly Undervalued). Among 2,894 Software companies, AR Advanced Technology ranks better than 81.62% 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. AR Advanced Technology's annualizedNet Income for the quarter that ended in Feb. 2026 was 円790 Mil. AR Advanced Technology's average total tangible assets for the quarter that ended in Feb. 2026 was 円5,754 Mil. Therefore, AR Advanced Technology's annualized Return-on-Tangible-Asset for the quarter that ended in Feb. 2026 was 13.73%.
The historical rank and industry rank for AR Advanced Technology's Return-on-Tangible-Asset or its related term are showing as below:
TSE:5578'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 6.1 Med: 9.13 Max: 13.92
Current: 12.67
During the past 5 years, AR Advanced Technology's highest Return-on-Tangible-Asset was 13.92%. The lowest was 6.10%. And the median was 9.13%.
TSE:5578's Return-on-Tangible-Asset is ranked better than 81.62% of 2894
companies
in the Software industry
Industry Median: 2.095
vs TSE:5578: 12.67
AR Advanced Technology (TSE:5578) 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.
AR Advanced Technology Return-on-Tangible-Asset Related Terms
AR Advanced Technology Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for AR Advanced Technology'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.
AR Advanced Technology Return-on-Tangible-Asset Chart
TSE:5578 vs IBM, ACN, FISV: Return-on-Tangible-Asset Comparison
For the Information Technology Services subindustry, AR Advanced Technology'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.
AR Advanced Technology Return-on-Tangible-Asset vs Software Industry
For the Software industry and Technology sector, AR Advanced Technology's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where AR Advanced Technology'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 (Feb. 2026) net income data.
What does a Return-on-Tangible-Asset of 13.73% mean?
AR Advanced Technology (TSE:5578) has a Return-on-Tangible-Asset of 13.73% as of Feb. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on AR Advanced Technology and its competitors. This is 50% above median its historical median of 9.13. Over the past decade, AR Advanced Technology's Return-on-Tangible-Asset has ranged from 6.10 to 13.92. According to the industry distribution chart, AR Advanced Technology ranks #532 out of 2894 companies in the Software industry, placing it in the top 18.4%.
Is AR Advanced Technology's Return-on-Tangible-Asset too high?
AR Advanced Technology's current Return-on-Tangible-Asset of 13.73% is 50% above median its 10-year median of 9.13. Over the past 10 years, this metric has ranged from a low of 6.10 to a high of 13.92. The Software industry median Return-on-Tangible-Asset is 2.10. AR Advanced Technology's value of 13.73% is 555.4% above this industry median. Based on the distribution chart, AR Advanced Technology ranks #532 out of 2894 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, AR Advanced Technology has a GF Score™ of 58/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does AR Advanced Technology's Return-on-Tangible-Asset compare to IBM and ACN?
According to the Software industry distribution chart, AR Advanced Technology ranks #532 out of 2894 companies for Return-on-Tangible-Asset. This places AR Advanced Technology in the top 18% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 2.10. AR Advanced Technology's value of 13.73% is 555.4% above this benchmark. Historically, AR Advanced Technology's own Return-on-Tangible-Asset has ranged from 6.10 to 13.92 over the past decade. While the company's 10-year median is 9.13 vs. the industry median of 2.10, AR Advanced Technology 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 2.10, based on 2,894 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. AR Advanced Technology's current Return-on-Tangible-Asset of 13.73% is 555.4% 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 AR Advanced Technology and its competitors. For the Software industry, the median Return-on-Tangible-Asset is 2.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AR Advanced Technology's current Return-on-Tangible-Asset is 13.73%, which is 50% above median its own 10-year median of 9.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AR Advanced Technology stock overvalued right now?
Based on GuruFocus' analysis, AR Advanced Technology (TSE:5578) is currently considered Modestly Undervalued. The stock's GF Value™ is 円1,144.19, compared to a current price of 円810.00 — trading 29.2% below its estimated fair value. The current Return-on-Tangible-Asset is 13.73%, which is 50% above median its 10-year median of 9.13 and 555.4% above the Software industry median of 2.10. AR Advanced Technology's overall GF Score™ is 58/100. 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 AR Advanced Technology (TSE:5578), the current Return-on-Tangible-Asset is 13.73% as of Feb. 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 AR Advanced Technology (TSE:5578) Overvalued in 2026?
Based on GuruFocus' analysis, AR Advanced Technology stock appears to be undervalued.
The current stock price of 円810.00 is trading 29.2% below its estimated GF Value™ of 円1,144.19.
GuruFocus considers AR Advanced Technology to be Modestly Undervalued.
Key valuation signals for TSE:5578:
Return-on-Tangible-Asset: 13.73% (50% above median its 10-year median of 9.13)
GF Value™: 円1,144.19 vs. price of 円810.00 (29.2% below fair value)
Industry Position: 555.4% above the Software median (#532 of 2894)
No single metric tells the full story. See the TSE:5578 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AR Advanced Technology Inc is engaged in the DX solution business utilizing cloud technology, data analysis, and AI. It provides a comprehensive service that goes beyond simple system introduction. Its products and services include Loogue faq, an AI chatbot that is specialized in employee inquiries; Zidoma data which may be useful to reduce fileserver operating costs; and Mieta a cloud contact center analysis management service.
58GF Score
Get the complete analysis for TSE:5578
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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