System Support HoldingsTSE:4396 +0.95%77 Return-on-Tangible-Equity is 35.66% as of Dec. 2025, which is 26% above its 10-year median of 28.36. GuruFocus rates TSE:4396 with a GF Score™ of 77/100 and a GF Value™ of 円1,532.74 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 2,476 Software companies, System Support Holdings ranks better than 76.33% 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. System Support Holdings's annualized net income for the quarter that ended in Dec. 2025 was 円2,022 Mil. System Support Holdings's average shareholder tangible equity for the quarter that ended in Dec. 2025 was 円5,670 Mil. Therefore, System Support Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 35.66%.
The historical rank and industry rank for System Support Holdings's Return-on-Tangible-Equity or its related term are showing as below:
TSE:4396'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 23.23 Med: 28.36 Max: 132.73
Current: 31.2
During the past 10 years, System Support Holdings's highest Return-on-Tangible-Equity was 132.73%. The lowest was 23.23%. And the median was 28.36%.
TSE:4396's Return-on-Tangible-Equity is ranked better than 76.33% of 2476
companies
in the Software industry
Industry Median: 8.82
vs TSE:4396: 31.20
System Support Holdings (TSE:4396) 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.
System Support Holdings Return-on-Tangible-Equity Related Terms
System Support Holdings Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for System Support Holdings'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.
System Support Holdings Return-on-Tangible-Equity Chart
TSE:4396 vs IBM, ACN, FISV: Return-on-Tangible-Equity Comparison
For the Information Technology Services subindustry, System Support Holdings'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.
System Support Holdings Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, System Support Holdings's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where System Support Holdings'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 (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 35.66% mean?
System Support Holdings (TSE:4396) has a Return-on-Tangible-Equity of 35.66% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on System Support Holdings and its competitors. This is 26% above median its historical median of 28.36. Over the past decade, System Support Holdings' Return-on-Tangible-Equity has ranged from 23.23 to 132.73. According to the industry distribution chart, System Support Holdings ranks #586 out of 2476 companies in the Software industry, placing it in the top 23.7%.
Is System Support Holdings' Return-on-Tangible-Equity too high?
System Support Holdings' current Return-on-Tangible-Equity of 35.66% is 26% above median its 10-year median of 28.36. Over the past 10 years, this metric has ranged from a low of 23.23 to a high of 132.73. The Software industry median Return-on-Tangible-Equity is 8.82. System Support Holdings' value of 35.66% is 304.3% above this industry median. Based on the distribution chart, System Support Holdings ranks #586 out of 2476 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, System Support Holdings has a GF Score™ of 77/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does System Support Holdings' Return-on-Tangible-Equity compare to IBM and ACN?
According to the Software industry distribution chart, System Support Holdings ranks #586 out of 2476 companies for Return-on-Tangible-Equity. This places System Support Holdings in the top 24% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.82. System Support Holdings' value of 35.66% is 304.3% above this benchmark. Historically, System Support Holdings' own Return-on-Tangible-Equity has ranged from 23.23 to 132.73 over the past decade. While the company's 10-year median is 28.36 vs. the industry median of 8.82, System Support Holdings 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. System Support Holdings's current Return-on-Tangible-Equity of 35.66% is 304.3% 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 System Support Holdings 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. System Support Holdings's current Return-on-Tangible-Equity is 35.66%, which is 26% above median its own 10-year median of 28.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is System Support Holdings stock overvalued right now?
Based on GuruFocus' analysis, System Support Holdings (TSE:4396) is currently considered Significantly Undervalued. The stock's GF Value™ is 円1,532.74, compared to a current price of 円1,060.00 — trading 30.8% below its estimated fair value. The current Return-on-Tangible-Equity is 35.66%, which is 26% above median its 10-year median of 28.36 and 304.3% above the Software industry median of 8.82. System Support Holdings' overall GF Score™ is 77/100 with 2 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 System Support Holdings (TSE:4396), the current Return-on-Tangible-Equity is 35.66% as of Dec. 2025. 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 System Support Holdings (TSE:4396) Overvalued in 2026?
Based on GuruFocus' analysis, System Support Holdings stock appears to be undervalued.
The current stock price of 円1,060.00 is trading 30.8% below its estimated GF Value™ of 円1,532.74.
GuruFocus considers System Support Holdings to be Significantly Undervalued.
Key valuation signals for TSE:4396:
Return-on-Tangible-Equity: 35.66% (26% above median its 10-year median of 28.36)
GF Value™: 円1,532.74 vs. price of 円1,060.00 (30.8% below fair value)
Industry Position: 304.3% above the Software median (#586 of 2476)
No single metric tells the full story. See the TSE:4396 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
System Support Holdings Inc is engaged in providing systems solutions which include system integration, transition to cloud-based infrastructure, ERP integration, data center running, and package-based software development.
77GF Score
Get the complete analysis for TSE:4396
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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