Gakujo Co (TSE:2301) Return-on-Tangible-Equity: 4.56% (As of Apr. 2026) — 64% Below Median

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TSE:2301 Gakujo Co Ltd TSE:2301
78 GF Score
Price 円1,655.00
GF Value 円2,324.47
Valuation Modestly Undervalued
! 1 Warning Sign
View Full Analysis

What is Gakujo Co Return-on-Tangible-Equity?

Gakujo Co TSE:2301 +0.49% 78 Return-on-Tangible-Equity is 4.56% as of Apr. 2026, which is 64% below its 10-year median of 12.75. GuruFocus rates TSE:2301 with a GF Score™ of 78/100 and a GF Value™ of 円2,324.47 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,009 Business Services companies, Gakujo Co ranks better than 56.59% 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. Gakujo Co's annualized net income for the quarter that ended in Apr. 2026 was 円626 Mil. Gakujo Co's average shareholder tangible equity for the quarter that ended in Apr. 2026 was 円13,739 Mil. Therefore, Gakujo Co's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 was 4.56%.

The historical rank and industry rank for Gakujo Co's Return-on-Tangible-Equity or its related term are showing as below:

TSE:2301' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 8.74   Med: 12.75   Max: 16.8
Current: 12.95

During the past 13 years, Gakujo Co's highest Return-on-Tangible-Equity was 16.80%. The lowest was 8.74%. And the median was 12.75%.

TSE:2301's Return-on-Tangible-Equity is ranked better than
56.59% of 1009 companies
in the Business Services industry
Industry Median: 10.69 vs TSE:2301: 12.95

Gakujo Co  (TSE:2301) 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.


Gakujo Co Return-on-Tangible-Equity Related Terms


Gakujo Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Gakujo 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.

Gakujo Co Return-on-Tangible-Equity Chart

Gakujo Co Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.41 11.87 14.20 16.80 13.70

Gakujo Co Semi-Annual Data
Oct16 Apr17 Oct17 Apr18 Oct18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23 Apr24 Oct24 Apr25 Oct25 Apr26
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.35 23.50 6.91 21.36 4.56

TSE:2301 vs KFY, RHI, TNET: Return-on-Tangible-Equity Comparison

For the Staffing & Employment Services subindustry, Gakujo 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.


Gakujo Co Return-on-Tangible-Equity vs Business Services Industry

For the Business Services industry and Industrials sector, Gakujo Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Gakujo Co's Return-on-Tangible-Equity falls into.


TSE:2301
78GF Score
Gakujo Co Ltd TSE:2301
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Gakujo Co Return-on-Tangible-Equity Calculation

Gakujo Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Oct. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Oct. 2025 )  (A: Oct. 2024 )(A: Oct. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Oct. 2025 )  (A: Oct. 2024 )(A: Oct. 2025 )
=1892.164/( (13765.398+13861.875 )/ 2 )
=1892.164/13813.6365
=13.70 %

Gakujo Co's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Apr. 2026 )  (Q: Oct. 2025 )(Q: Apr. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Apr. 2026 )  (Q: Oct. 2025 )(Q: Apr. 2026 )
=626.462/( (13861.875+13615.371)/ 2 )
=626.462/13738.623
=4.56 %

* 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 (Apr. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 4.56% mean?
Gakujo Co (TSE:2301) has a Return-on-Tangible-Equity of 4.56% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Gakujo Co and its competitors. This is 64% below median its historical median of 12.75. Over the past decade, Gakujo Co's Return-on-Tangible-Equity has ranged from 8.74 to 16.80. According to the industry distribution chart, Gakujo Co ranks #438 out of 1009 companies in the Business Services industry, placing it in the top 43.4%.
Is Gakujo Co's Return-on-Tangible-Equity too high?
Gakujo Co's current Return-on-Tangible-Equity of 4.56% is 64% below median its 10-year median of 12.75. Over the past 10 years, this metric has ranged from a low of 8.74 to a high of 16.80. The Business Services industry median Return-on-Tangible-Equity is 10.69. Gakujo Co's value of 4.56% is 57.3% below this industry median. Based on the distribution chart, Gakujo Co ranks #438 out of 1009 companies in the Business Services industry, which is above the industry midpoint. Overall, Gakujo Co has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Gakujo Co's Return-on-Tangible-Equity compare to KFY and RHI?
According to the Business Services industry distribution chart, Gakujo Co ranks #438 out of 1009 companies for Return-on-Tangible-Equity. This puts Gakujo Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 10.69. Gakujo Co's value of 4.56% is 57.3% below this benchmark. Historically, Gakujo Co's own Return-on-Tangible-Equity has ranged from 8.74 to 16.80 over the past decade. While the company's 10-year median is 12.75 vs. the industry median of 10.69, Gakujo Co has consistently been below 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 Business Services company?
The median Return-on-Tangible-Equity among Business Services companies is 10.69, based on 1,009 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. Gakujo Co's current Return-on-Tangible-Equity of 4.56% is 57.3% below 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 Gakujo Co and its competitors. For the Business Services industry, the median Return-on-Tangible-Equity is 10.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gakujo Co's current Return-on-Tangible-Equity is 4.56%, which is 64% below median its own 10-year median of 12.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gakujo Co stock overvalued right now?
Based on GuruFocus' analysis, Gakujo Co (TSE:2301) is currently considered Modestly Undervalued. The stock's GF Value™ is 円2,324.47, compared to a current price of 円1,655.00 — trading 28.8% below its estimated fair value. The current Return-on-Tangible-Equity is 4.56%, which is 64% below median its 10-year median of 12.75 and 57.3% below the Business Services industry median of 10.69. Gakujo Co's overall GF Score™ is 78/100 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 Gakujo Co (TSE:2301), the current Return-on-Tangible-Equity is 4.56% as of Apr. 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 Gakujo Co (TSE:2301) Overvalued in 2026?

Based on GuruFocus' analysis, Gakujo Co stock appears to be undervalued. The current stock price of 円1,655.00 is trading 28.8% below its estimated GF Value™ of 円2,324.47. GuruFocus considers Gakujo Co to be Modestly Undervalued.

Key valuation signals for TSE:2301:

  • Return-on-Tangible-Equity: 4.56% (64% below median its 10-year median of 12.75)
  • GF Value™: 円2,324.47 vs. price of 円1,655.00 (28.8% below fair value)
  • GF Score™: 78/100 with 1 warning sign
  • Industry Position: 57.3% below the Business Services median (#438 of 1009)

No single metric tells the full story. See the TSE:2301 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Gakujo Co Business Description

Address 2-5-10 Umeda, Kita-ku, Osaka, JPN, 530-0001
Gakujo Co Ltd provides employment information, various recruitment consulting services, and manpower dispatch and job placement services.
78GF Score

Get the complete analysis for TSE:2301

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円1,655.00
Price
円2,324.47
GF Value