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ShinnihonTSE:1879 -1.74%85 Return-on-Tangible-Equity is 22.49% as of Mar. 2026, which is 81% above its 10-year median of 12.45. GuruFocus rates TSE:1879 with a GF Score™ of 85/100 and a GF Value™ of 円1,673.65 (Modestly Overvalued). Among 1,712 Construction companies, Shinnihon ranks better than 62.73% 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. Shinnihon's annualized net income for the quarter that ended in Mar. 2026 was 円29,372 Mil. Shinnihon's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円130,621 Mil. Therefore, Shinnihon's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 22.49%.
The historical rank and industry rank for Shinnihon's Return-on-Tangible-Equity or its related term are showing as below:
TSE:1879'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 10.9 Med: 12.45 Max: 30.63
Current: 12.04
During the past 13 years, Shinnihon's highest Return-on-Tangible-Equity was 30.63%. The lowest was 10.90%. And the median was 12.45%.
TSE:1879's Return-on-Tangible-Equity is ranked better than 62.73% of 1712
companies
in the Construction industry
Industry Median: 8.21
vs TSE:1879: 12.04
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.
Shinnihon Return-on-Tangible-Equity Related Terms
Shinnihon Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Shinnihon'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.
TSE:1879 vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, Shinnihon'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.
Shinnihon Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, Shinnihon's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Shinnihon'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 (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 22.49% mean?
Shinnihon (TSE:1879) has a Return-on-Tangible-Equity of 22.49% 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 Shinnihon and its competitors. This is 81% above median its historical median of 12.45. Over the past decade, Shinnihon's Return-on-Tangible-Equity has ranged from 10.90 to 30.63. According to the industry distribution chart, Shinnihon ranks #638 out of 1712 companies in the Construction industry, placing it in the top 37.3%.
Is Shinnihon's Return-on-Tangible-Equity too high?
Shinnihon's current Return-on-Tangible-Equity of 22.49% is 81% above median its 10-year median of 12.45. Over the past 10 years, this metric has ranged from a low of 10.90 to a high of 30.63. The Construction industry median Return-on-Tangible-Equity is 8.21. Shinnihon's value of 22.49% is 173.9% above this industry median. Based on the distribution chart, Shinnihon ranks #638 out of 1712 companies in the Construction industry, which is above the industry midpoint. Overall, Shinnihon has a GF Score™ of 85/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shinnihon's Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Shinnihon ranks #638 out of 1712 companies for Return-on-Tangible-Equity. This puts Shinnihon in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.21. Shinnihon's value of 22.49% is 173.9% above this benchmark. Historically, Shinnihon's own Return-on-Tangible-Equity has ranged from 10.90 to 30.63 over the past decade. While the company's 10-year median is 12.45 vs. the industry median of 8.21, Shinnihon 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.21, based on 1,712 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. Shinnihon's current Return-on-Tangible-Equity of 22.49% is 173.9% 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 Shinnihon and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shinnihon's current Return-on-Tangible-Equity is 22.49%, which is 81% above median its own 10-year median of 12.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shinnihon stock overvalued right now?
Based on GuruFocus' analysis, Shinnihon (TSE:1879) is currently considered Modestly Overvalued. The stock's GF Value™ is 円1,673.65, compared to a current price of 円2,034.00 — trading 21.5% above its estimated fair value. The current Return-on-Tangible-Equity is 22.49%, which is 81% above median its 10-year median of 12.45 and 173.9% above the Construction industry median of 8.21. Shinnihon's overall GF Score™ is 85/100. 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 Shinnihon (TSE:1879), the current Return-on-Tangible-Equity is 22.49% 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 Shinnihon (TSE:1879) Overvalued in 2026?
Based on GuruFocus' analysis, Shinnihon stock appears to be overvalued.
The current stock price of 円2,034.00 is trading 21.5% above its estimated GF Value™ of 円1,673.65.
GuruFocus considers Shinnihon to be Modestly Overvalued.
Key valuation signals for TSE:1879:
Return-on-Tangible-Equity: 22.49% (81% above median its 10-year median of 12.45)
GF Value™: 円1,673.65 vs. price of 円2,034.00 (21.5% above fair value)
Industry Position: 173.9% above the Construction median (#638 of 1712)
No single metric tells the full story. See the TSE:1879 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shinnihon Corp is engaged in engineering and construction services. The company operates in two divisions namely Construction Division and Development Business Division. The construction division is engaged in the construction of joint housing, government office, hotel, office building, shopping center, shop, hospital/welfare facilities, and factories. The Development Business Division is engaged in Distribution and rental of condominium / detached house, planning and development business of commercial facilities, offices, and warehouses.
85GF Score
Get the complete analysis for TSE:1879
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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