Care Service Co (TSE:2425) Return-on-Tangible-Equity: 4.58% (As of Mar. 2026) — 61% Below Median


TSE:2425 Care Service Co Ltd TSE:2425
55 GF Score
Price 円639.00
GF Value 円768.92
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Care Service Co Return-on-Tangible-Equity?

Care Service Co TSE:2425 +0.63% 55 Return-on-Tangible-Equity is 4.58% as of Mar. 2026, which is 61% below its 10-year median of 11.72. GuruFocus rates TSE:2425 with a GF Score™ of 55/100 and a GF Value™ of 円768.92 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 582 Healthcare Providers & Services companies, Care Service Co ranks worse than 65.46% 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. Care Service Co's annualized net income for the quarter that ended in Mar. 2026 was 円131 Mil. Care Service Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円2,863 Mil. Therefore, Care Service Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.58%.

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

TSE:2425' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 4.01   Med: 11.72   Max: 17.51
Current: 4.02

During the past 13 years, Care Service Co's highest Return-on-Tangible-Equity was 17.51%. The lowest was 4.01%. And the median was 11.72%.

TSE:2425's Return-on-Tangible-Equity is ranked worse than
65.46% of 582 companies
in the Healthcare Providers & Services industry
Industry Median: 10.065 vs TSE:2425: 4.02

Care Service Co  (TSE:2425) 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.


Care Service Co Return-on-Tangible-Equity Related Terms


Care Service Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Care Service 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.

Care Service Co Return-on-Tangible-Equity Chart

Care Service Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.72 15.59 15.65 11.35 4.01

Care Service Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 21.74 12.27 10.64 3.46 4.58

TSE:2425 vs HCA, THC, DVA: Return-on-Tangible-Equity Comparison

For the Medical Care Facilities subindustry, Care Service 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.


Care Service Co Return-on-Tangible-Equity vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Care Service Co's Return-on-Tangible-Equity distribution charts can be found below:

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


TSE:2425
55GF Score
Care Service Co Ltd TSE:2425
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Care Service Co Return-on-Tangible-Equity Calculation

Care Service Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=115.095/( (2865.334+2881.011 )/ 2 )
=115.095/2873.1725
=4.01 %

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

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Sep. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Sep. 2025 )(Q: Mar. 2026 )
=131.266/( (2845.553+2881.011)/ 2 )
=131.266/2863.282
=4.58 %

* 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 4.58% mean?
Care Service Co (TSE:2425) has a Return-on-Tangible-Equity of 4.58% 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 Care Service Co and its competitors. This is 61% below median its historical median of 11.72. Over the past decade, Care Service Co's Return-on-Tangible-Equity has ranged from 4.01 to 17.51. According to the industry distribution chart, Care Service Co ranks #381 out of 582 companies in the Healthcare Providers & Services industry, placing it in the top 65.5%.
Is Care Service Co's Return-on-Tangible-Equity too high?
Care Service Co's current Return-on-Tangible-Equity of 4.58% is 61% below median its 10-year median of 11.72. Over the past 10 years, this metric has ranged from a low of 4.01 to a high of 17.51. The Healthcare Providers & Services industry median Return-on-Tangible-Equity is 10.07. Care Service Co's value of 4.58% is 54.5% below this industry median. Based on the distribution chart, Care Service Co ranks #381 out of 582 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Care Service Co has a GF Score™ of 55/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Care Service Co's Return-on-Tangible-Equity compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Care Service Co ranks #381 out of 582 companies for Return-on-Tangible-Equity. This places Care Service Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 10.07. Care Service Co's value of 4.58% is 54.5% below this benchmark. Historically, Care Service Co's own Return-on-Tangible-Equity has ranged from 4.01 to 17.51 over the past decade. While the company's 10-year median is 11.72 vs. the industry median of 10.07, Care Service 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 Healthcare Providers & Services company?
The median Return-on-Tangible-Equity among Healthcare Providers & Services companies is 10.07, based on 582 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. Care Service Co's current Return-on-Tangible-Equity of 4.58% is 54.5% 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 Care Service Co and its competitors. For the Healthcare Providers & Services industry, the median Return-on-Tangible-Equity is 10.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Care Service Co's current Return-on-Tangible-Equity is 4.58%, which is 61% below median its own 10-year median of 11.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Care Service Co stock overvalued right now?
Based on GuruFocus' analysis, Care Service Co (TSE:2425) is currently considered Modestly Undervalued. The stock's GF Value™ is 円768.92, compared to a current price of 円639.00 — trading 16.9% below its estimated fair value. The current Return-on-Tangible-Equity is 4.58%, which is 61% below median its 10-year median of 11.72 and 54.5% below the Healthcare Providers & Services industry median of 10.07. Care Service Co's overall GF Score™ is 55/100 with 4 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 Care Service Co (TSE:2425), the current Return-on-Tangible-Equity is 4.58% 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 Care Service Co (TSE:2425) Overvalued in 2026?

Based on GuruFocus' analysis, Care Service Co stock appears to be undervalued. The current stock price of 円639.00 is trading 16.9% below its estimated GF Value™ of 円768.92. GuruFocus considers Care Service Co to be Modestly Undervalued.

Key valuation signals for TSE:2425:

  • Return-on-Tangible-Equity: 4.58% (61% below median its 10-year median of 11.72)
  • GF Value™: 円768.92 vs. price of 円639.00 (16.9% below fair value)
  • GF Score™: 55/100 with 4 warning signs
  • Industry Position: 54.5% below the Healthcare Providers & Services median (#381 of 582)

No single metric tells the full story. See the TSE:2425 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Care Service Co Business Description

Address 2-3 Omorikita 1-chome, Oimori Miyuki Building, Tokyo, JPN, 143-0016
Care Service Co Ltd provides nursing care services to the handicapped and elderly in Tokyo. The Company's services include day-care, 24-hour home-visit care, home-stay care, and bathing services, small-scale multifunctional in-home care, clean service. It also lends and sales assistive welfare equipment.
55GF Score

Get the complete analysis for TSE:2425

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

円639.00
Price
円768.92
GF Value