Taiyo Kagaku CoNGO:2902 75 Return-on-Tangible-Equity is 10.55% as of Mar. 2026, which is 43% above its 10-year median of 7.40. GuruFocus rates NGO:2902 with a GF Score™ of 75/100 and a GF Value™ of 円1,868.76 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,567 Chemicals companies, Taiyo Kagaku Co ranks better than 68.47% 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. Taiyo Kagaku Co's annualized net income for the quarter that ended in Mar. 2026 was 円5,648 Mil. Taiyo Kagaku Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円53,521 Mil. Therefore, Taiyo Kagaku Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 10.55%.
The historical rank and industry rank for Taiyo Kagaku Co's Return-on-Tangible-Equity or its related term are showing as below:
NGO:2902'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.24 Med: 7.4 Max: 9.94
Current: 9.94
During the past 13 years, Taiyo Kagaku Co's highest Return-on-Tangible-Equity was 9.94%. The lowest was 5.24%. And the median was 7.40%.
NGO:2902's Return-on-Tangible-Equity is ranked better than 68.47% of 1567
companies
in the Chemicals industry
Industry Median: 5.7
vs NGO:2902: 9.94
Taiyo Kagaku Co (NGO:2902) 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.
Taiyo Kagaku Co Return-on-Tangible-Equity Related Terms
Taiyo Kagaku Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Taiyo Kagaku Co'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.
NGO:2902 vs LIN, SHW, ECL: Return-on-Tangible-Equity Comparison
For the Specialty Chemicals subindustry, Taiyo Kagaku Co'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.
Taiyo Kagaku Co Return-on-Tangible-Equity vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Taiyo Kagaku Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Taiyo Kagaku Co'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 (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 10.55% mean?
Taiyo Kagaku Co (NGO:2902) has a Return-on-Tangible-Equity of 10.55% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Taiyo Kagaku Co and its competitors. This is 43% above median its historical median of 7.40. Over the past decade, Taiyo Kagaku Co's Return-on-Tangible-Equity has ranged from 5.24 to 9.94. According to the industry distribution chart, Taiyo Kagaku Co ranks #494 out of 1567 companies in the Chemicals industry, placing it in the top 31.5%.
Is Taiyo Kagaku Co's Return-on-Tangible-Equity too high?
Taiyo Kagaku Co's current Return-on-Tangible-Equity of 10.55% is 43% above median its 10-year median of 7.40. Over the past 10 years, this metric has ranged from a low of 5.24 to a high of 9.94. The Chemicals industry median Return-on-Tangible-Equity is 5.70. Taiyo Kagaku Co's value of 10.55% is 85.1% above this industry median. Based on the distribution chart, Taiyo Kagaku Co ranks #494 out of 1567 companies in the Chemicals industry, which is above the industry midpoint. Overall, Taiyo Kagaku Co has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiyo Kagaku Co's Return-on-Tangible-Equity compare to LIN and SHW?
According to the Chemicals industry distribution chart, Taiyo Kagaku Co ranks #494 out of 1567 companies for Return-on-Tangible-Equity. This puts Taiyo Kagaku Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 5.70. Taiyo Kagaku Co's value of 10.55% is 85.1% above this benchmark. Historically, Taiyo Kagaku Co's own Return-on-Tangible-Equity has ranged from 5.24 to 9.94 over the past decade. While the company's 10-year median is 7.40 vs. the industry median of 5.70, Taiyo Kagaku Co 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 Chemicals company?
The median Return-on-Tangible-Equity among Chemicals companies is 5.70, based on 1,567 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. Taiyo Kagaku Co's current Return-on-Tangible-Equity of 10.55% is 85.1% 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 Taiyo Kagaku Co and its competitors. For the Chemicals industry, the median Return-on-Tangible-Equity is 5.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiyo Kagaku Co's current Return-on-Tangible-Equity is 10.55%, which is 43% above median its own 10-year median of 7.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiyo Kagaku Co stock overvalued right now?
Based on GuruFocus' analysis, Taiyo Kagaku Co (NGO:2902) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,868.76, compared to a current price of 円2,690.00 — trading 43.9% above its estimated fair value. The current Return-on-Tangible-Equity is 10.55%, which is 43% above median its 10-year median of 7.40 and 85.1% above the Chemicals industry median of 5.70. Taiyo Kagaku Co's overall GF Score™ is 75/100 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 Taiyo Kagaku Co (NGO:2902), the current Return-on-Tangible-Equity is 10.55% 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 Taiyo Kagaku Co (NGO:2902) Overvalued in 2026?
Based on GuruFocus' analysis, Taiyo Kagaku Co stock appears to be overvalued.
The current stock price of 円2,690.00 is trading 43.9% above its estimated GF Value™ of 円1,868.76.
GuruFocus considers Taiyo Kagaku Co to be Significantly Overvalued.
Key valuation signals for NGO:2902:
Return-on-Tangible-Equity: 10.55% (43% above median its 10-year median of 7.40)
GF Value™: 円1,868.76 vs. price of 円2,690.00 (43.9% above fair value)
Industry Position: 85.1% above the Chemicals median (#494 of 1567)
No single metric tells the full story. See the NGO:2902 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Taiyo Kagaku Co Ltd is based in Japan. The company has three reportable segments: the Nutrition Business, the Interface Solutions Business, and the Natural Ingredients Business. The Nutrition Business manufactures and sells functional food ingredients such as catechin (green tea extract), theanine (a functional amino acid), and water-soluble dietary fiber, as well as mineral and vitamin preparations. The Interface Solutions Business manufactures and sells quality improvers such as emulsifiers. The Natural Ingredients Business manufactures and sells food ingredients such as egg products, protein ingredients, ingredients for instant foods, and processed agricultural products, as well as quality improvers and stabilizers.
75GF Score
Get the complete analysis for NGO:2902
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
NGO:2902 has been successfully added to your 
