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Japan Smaller Capitalization FundJOF -1.15%36 Return-on-Tangible-Equity is 38.11% as of Feb. 2026, which is 1247% above its 10-year median of 2.83. GuruFocus rates JOF with a GF Score™ of 36/100. The stock has 2 warning signs investors should review. Among 1,588 Asset Management companies, Japan Smaller Capitalization Fund ranks better than 92.07% on this metric.
The historical rank and industry rank for Japan Smaller Capitalization Fund's Return-on-Tangible-Equity or its related term are showing as below:
JOF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -17.67 Med: 2.83 Max: 43.52
Current: 43.2
During the past 9 years, Japan Smaller Capitalization Fund's highest Return-on-Tangible-Equity was 43.52%. The lowest was -17.67%. And the median was 2.83%.
JOF's Return-on-Tangible-Equity is ranked better than 92.07% of 1588
companies
in the Asset Management industry
Industry Median: 7.43
vs JOF: 43.20
Japan Smaller Capitalization Fund (NYSE:JOF) Return-on-Tangible-Equity Explanation
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.
Japan Smaller Capitalization Fund Return-on-Tangible-Equity Related Terms
Japan Smaller Capitalization Fund Return-on-Tangible-Equity Historical Data
* 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.
Japan Smaller Capitalization Fund Return-on-Tangible-Equity Chart
JOF vs RFMZ, BGT, PPT: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, Japan Smaller Capitalization Fund'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.
Japan Smaller Capitalization Fund Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Japan Smaller Capitalization Fund's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Japan Smaller Capitalization Fund'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 two times the semi-annual (Feb. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 38.11% mean?
Japan Smaller Capitalization Fund (JOF) has a Return-on-Tangible-Equity of 38.11% as of Feb. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Japan Smaller Capitalization Fund and its competitors. This is 1247% above median its historical median of 2.83. According to the industry distribution chart, Japan Smaller Capitalization Fund ranks #126 out of 1588 companies in the Asset Management industry, placing it in the top 7.9%.
Is Japan Smaller Capitalization Fund's Return-on-Tangible-Equity too high?
Japan Smaller Capitalization Fund's current Return-on-Tangible-Equity of 38.11% is 1247% above median its 10-year median of 2.83. The Asset Management industry median Return-on-Tangible-Equity is 7.43. Japan Smaller Capitalization Fund's value of 38.11% is 412.9% above this industry median. Based on the distribution chart, Japan Smaller Capitalization Fund ranks #126 out of 1588 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Japan Smaller Capitalization Fund has a GF Score™ of 36/100, reflecting its overall financial health beyond just this single metric.
How does Japan Smaller Capitalization Fund's Return-on-Tangible-Equity compare to RFMZ and BGT?
According to the Asset Management industry distribution chart, Japan Smaller Capitalization Fund ranks #126 out of 1588 companies for Return-on-Tangible-Equity. This places Japan Smaller Capitalization Fund in the top 8% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.43. Japan Smaller Capitalization Fund's value of 38.11% is 412.9% above this benchmark. While the company's 10-year median is 2.83 vs. the industry median of 7.43, Japan Smaller Capitalization Fund 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 an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.43, based on 1,588 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. Japan Smaller Capitalization Fund's current Return-on-Tangible-Equity of 38.11% is 412.9% 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-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 Japan Smaller Capitalization Fund and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Japan Smaller Capitalization Fund's current Return-on-Tangible-Equity is 38.11%, which is 1247% above median its own 10-year median of 2.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Smaller Capitalization Fund stock overvalued right now?
Japan Smaller Capitalization Fund (JOF) has a current Return-on-Tangible-Equity of 38.11%. The current Return-on-Tangible-Equity is 38.11%, which is 1247% above median its 10-year median of 2.83 and 412.9% above the Asset Management industry median of 7.43. Japan Smaller Capitalization Fund's overall GF Score™ is 36/100 with 2 warning signs 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 Japan Smaller Capitalization Fund (JOF), the current Return-on-Tangible-Equity is 38.11% 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.
Japan Smaller Capitalization Fund Inc is a closed-end management investment company. Its investment objective is to seek long-term capital appreciation through investments in smaller capitalization Japanese equity securities. Its portfolio of investments consists of different sectors such as banks, chemicals, construction, electric appliances, financing business, food, Information and Communication, Utilities, Real Estate, and others.
36GF Score
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