Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Tokai Soft CoNGO:4430 85 Return-on-Tangible-Equity is 18.50% as of Feb. 2026, which is 35% above its 10-year median of 13.66. GuruFocus rates NGO:4430 with a GF Score™ of 85/100 and a GF Value™ of 円1,069.14. The stock has 1 warning sign investors should review. Among 2,476 Software companies, Tokai Soft Co ranks better than 52.34% 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. Tokai Soft Co's annualized net income for the quarter that ended in Feb. 2026 was 円888 Mil. Tokai Soft Co's average shareholder tangible equity for the quarter that ended in Feb. 2026 was 円4,802 Mil. Therefore, Tokai Soft Co's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2026 was 18.50%.
The historical rank and industry rank for Tokai Soft Co's Return-on-Tangible-Equity or its related term are showing as below:
NGO:4430'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 11.34 Med: 13.66 Max: 20.14
Current: 15.1
During the past 10 years, Tokai Soft Co's highest Return-on-Tangible-Equity was 20.14%. The lowest was 11.34%. And the median was 13.66%.
NGO:4430's Return-on-Tangible-Equity is ranked better than 52.34% of 2476
companies
in the Software industry
Industry Median: 8.82
vs NGO:4430: 15.10
Tokai Soft Co (NGO:4430) 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.
Tokai Soft Co Return-on-Tangible-Equity Related Terms
Tokai Soft Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Tokai Soft 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:4430 vs MSFT, ORCL, PLTR: Return-on-Tangible-Equity Comparison
For the Software - Infrastructure subindustry, Tokai Soft 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.
Tokai Soft Co Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Tokai Soft Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Tokai Soft 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 four times the quarterly (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 18.50% mean?
Tokai Soft Co (NGO:4430) has a Return-on-Tangible-Equity of 18.50% 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 Tokai Soft Co and its competitors. This is 35% above median its historical median of 13.66. Over the past decade, Tokai Soft Co's Return-on-Tangible-Equity has ranged from 11.34 to 20.14. According to the industry distribution chart, Tokai Soft Co ranks #1180 out of 2476 companies in the Software industry, placing it in the top 47.7%.
Is Tokai Soft Co's Return-on-Tangible-Equity too high?
Tokai Soft Co's current Return-on-Tangible-Equity of 18.50% is 35% above median its 10-year median of 13.66. Over the past 10 years, this metric has ranged from a low of 11.34 to a high of 20.14. The Software industry median Return-on-Tangible-Equity is 8.82. Tokai Soft Co's value of 18.50% is 109.8% above this industry median. Based on the distribution chart, Tokai Soft Co ranks #1180 out of 2476 companies in the Software industry, which is above the industry midpoint. Overall, Tokai Soft Co has a GF Score™ of 85/100, reflecting its overall financial health beyond just this single metric.
How does Tokai Soft Co's Return-on-Tangible-Equity compare to MSFT and ORCL?
According to the Software industry distribution chart, Tokai Soft Co ranks #1180 out of 2476 companies for Return-on-Tangible-Equity. This puts Tokai Soft Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.82. Tokai Soft Co's value of 18.50% is 109.8% above this benchmark. Historically, Tokai Soft Co's own Return-on-Tangible-Equity has ranged from 11.34 to 20.14 over the past decade. While the company's 10-year median is 13.66 vs. the industry median of 8.82, Tokai Soft 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.82, based on 2,476 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. Tokai Soft Co's current Return-on-Tangible-Equity of 18.50% is 109.8% 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 Tokai Soft Co and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tokai Soft Co's current Return-on-Tangible-Equity is 18.50%, which is 35% above median its own 10-year median of 13.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tokai Soft Co stock overvalued right now?
Tokai Soft Co (NGO:4430) has a current Return-on-Tangible-Equity of 18.50%. The stock's GF Value™ is 円1,069.14, compared to a current price of 円943.00 — trading 11.8% below its estimated fair value. The current Return-on-Tangible-Equity is 18.50%, which is 35% above median its 10-year median of 13.66 and 109.8% above the Software industry median of 8.82. Tokai Soft Co'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 Tokai Soft Co (NGO:4430), the current Return-on-Tangible-Equity is 18.50% 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 Tokai Soft Co (NGO:4430) Overvalued in 2026?
Based on GuruFocus' analysis, Tokai Soft Co stock appears to be undervalued.
The current stock price of 円943.00 is trading 11.8% below its estimated GF Value™ of 円1,069.14.
Key valuation signals for NGO:4430:
Return-on-Tangible-Equity: 18.50% (35% above median its 10-year median of 13.66)
GF Value™: 円1,069.14 vs. price of 円943.00 (11.8% below fair value)
Industry Position: 109.8% above the Software median (#1180 of 2476)
No single metric tells the full story. See the NGO:4430 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tokai Soft Co Ltd provides software solutions. The company is engaged in a wide range of businesses as an engineering company that combines technologies for total system construction, network and solution solutions, and support technologies that provide stable operation.
85GF Score
Get the complete analysis for NGO:4430
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:4430 has been successfully added to your 
