Dentsu SokenIFMNF 85 Return-on-Tangible-Equity is 21.57% as of Dec. 2025, which is 47% above its 10-year median of 14.68. GuruFocus rates IFMNF with a GF Score™ of 85/100 and a GF Value™ of $13.72 (Fairly Valued). The stock has 1 warning sign investors should review. Among 2,471 Software companies, Dentsu Soken ranks better than 67.46% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Dentsu Soken's annualized net income for the quarter that ended in Dec. 2025 was $119 Mil. Dentsu Soken's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $553 Mil. Therefore, Dentsu Soken's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 21.57%.
The historical rank and industry rank for Dentsu Soken's Return-on-Tangible-Equity or its related term are showing as below:
IFMNF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 10.21 Med: 14.68 Max: 20.42
Current: 20.42
During the past 13 years, Dentsu Soken's highest Return-on-Tangible-Equity was 20.42%. The lowest was 10.21%. And the median was 14.68%.
IFMNF's Return-on-Tangible-Equity is ranked better than 67.46% of 2471
companies
in the Software industry
Industry Median: 8.77
vs IFMNF: 20.42
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Dentsu Soken Return-on-Tangible-Equity Related Terms
Dentsu Soken Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Dentsu Soken's Return-on-Tangible-Equity 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.
IFMNF vs IBM, ACN, FISV: Return-on-Tangible-Equity Comparison
For the Information Technology Services subindustry, Dentsu Soken's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.
Dentsu Soken Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Dentsu Soken's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Dentsu Soken's Return-on-Tangible-Equity 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity 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.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 21.57% mean?
Dentsu Soken (IFMNF) has a Return-on-Tangible-Equity of 21.57% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Dentsu Soken and its competitors. This is 47% above median its historical median of 14.68. Over the past decade, Dentsu Soken's Return-on-Tangible-Equity has ranged from 10.21 to 20.42. According to the industry distribution chart, Dentsu Soken ranks #804 out of 2471 companies in the Software industry, placing it in the top 32.5%.
Is Dentsu Soken's Return-on-Tangible-Equity too high?
Dentsu Soken's current Return-on-Tangible-Equity of 21.57% is 47% above median its 10-year median of 14.68. Over the past 10 years, this metric has ranged from a low of 10.21 to a high of 20.42. The Software industry median Return-on-Tangible-Equity is 8.77. Dentsu Soken's value of 21.57% is 146% above this industry median. Based on the distribution chart, Dentsu Soken ranks #804 out of 2471 companies in the Software industry, which is above the industry midpoint. Overall, Dentsu Soken has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dentsu Soken's Return-on-Tangible-Equity compare to IBM and ACN?
According to the Software industry distribution chart, Dentsu Soken ranks #804 out of 2471 companies for Return-on-Tangible-Equity. This puts Dentsu Soken in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.77. Dentsu Soken's value of 21.57% is 146% above this benchmark. Historically, Dentsu Soken's own Return-on-Tangible-Equity has ranged from 10.21 to 20.42 over the past decade. While the company's 10-year median is 14.68 vs. the industry median of 8.77, Dentsu Soken 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-Equity for a Software company?
The median Return-on-Tangible-Equity among Software companies is 8.77, based on 2,471 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dentsu Soken's current Return-on-Tangible-Equity of 21.57% is 146% 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-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Dentsu Soken and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dentsu Soken's current Return-on-Tangible-Equity is 21.57%, which is 47% above median its own 10-year median of 14.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dentsu Soken stock overvalued right now?
Based on GuruFocus' analysis, Dentsu Soken (IFMNF) is currently considered Fairly Valued. The stock's GF Value™ is $13.72, compared to a current price of $13.11 — trading 4.4% below its estimated fair value. The current Return-on-Tangible-Equity is 21.57%, which is 47% above median its 10-year median of 14.68 and 146% above the Software industry median of 8.77. Dentsu Soken's overall GF Score™ is 85/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Dentsu Soken (IFMNF), the current Return-on-Tangible-Equity is 21.57% 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 Dentsu Soken (IFMNF) Overvalued in 2026?
Based on GuruFocus' analysis, Dentsu Soken stock appears to be undervalued.
The current stock price of $13.11 is trading 4.4% below its estimated GF Value™ of $13.72.
GuruFocus considers Dentsu Soken to be Fairly Valued.
Key valuation signals for IFMNF:
Return-on-Tangible-Equity: 21.57% (47% above median its 10-year median of 14.68)
GF Value™: $13.72 vs. price of $13.11 (4.4% below fair value)
Industry Position: 146% above the Software median (#804 of 2471)
No single metric tells the full story. See the IFMNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dentsu Soken Inc provides a range of information technology (IT) and consulting services. The company operates in four segments based on industry and solution: Financial Solutions, Business Solutions, Manufacturing Solutions, and Communication IT.
85GF Score
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