Kawakami Paint Manufacturing Co (TSE:4616) Return-on-Tangible-Equity: 9.04% (As of May. 2026) — 36% Above Median

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TSE:4616 Kawakami Paint Manufacturing Co Ltd TSE:4616
63 GF Score
Price 円1,980.00
GF Value 円1,741.01
Valuation Modestly Overvalued
! 4 Warning Signs
View Full Analysis

What is Kawakami Paint Manufacturing Co Return-on-Tangible-Equity?

Kawakami Paint Manufacturing Co TSE:4616 -2.13% 63 Return-on-Tangible-Equity is 9.04% as of May. 2026, which is 36% above its 10-year median of 6.67. GuruFocus rates TSE:4616 with a GF Score™ of 63/100 and a GF Value™ of 円1,741.01 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,570 Chemicals companies, Kawakami Paint Manufacturing Co ranks better than 57.01% 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. Kawakami Paint Manufacturing Co's annualized net income for the quarter that ended in May. 2026 was 円309 Mil. Kawakami Paint Manufacturing Co's average shareholder tangible equity for the quarter that ended in May. 2026 was 円3,418 Mil. Therefore, Kawakami Paint Manufacturing Co's annualized Return-on-Tangible-Equity for the quarter that ended in May. 2026 was 9.04%.

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

TSE:4616' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -0.1   Med: 6.67   Max: 14.93
Current: 7.16

During the past 13 years, Kawakami Paint Manufacturing Co's highest Return-on-Tangible-Equity was 14.93%. The lowest was -0.10%. And the median was 6.67%.

TSE:4616's Return-on-Tangible-Equity is ranked better than
57.01% of 1570 companies
in the Chemicals industry
Industry Median: 5.77 vs TSE:4616: 7.16

Kawakami Paint Manufacturing Co  (TSE:4616) 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.


Kawakami Paint Manufacturing Co Return-on-Tangible-Equity Related Terms


Kawakami Paint Manufacturing Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Kawakami Paint Manufacturing 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.

Kawakami Paint Manufacturing Co Return-on-Tangible-Equity Chart

Kawakami Paint Manufacturing Co Annual Data
Trend Nov16 Nov17 Nov18 Nov19 Nov20 Nov21 Nov22 Nov23 Nov24 Nov25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.04 6.24 7.09 5.47 2.22

Kawakami Paint Manufacturing Co Semi-Annual Data
Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23 May24 Nov24 May25 Nov25 May26
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 3.76 6.97 -0.72 5.18 9.04

TSE:4616 vs LIN, SHW, ECL: Return-on-Tangible-Equity Comparison

For the Specialty Chemicals subindustry, Kawakami Paint Manufacturing 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.


Kawakami Paint Manufacturing Co Return-on-Tangible-Equity vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Kawakami Paint Manufacturing Co's Return-on-Tangible-Equity distribution charts can be found below:

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


TSE:4616
63GF Score
Kawakami Paint Manufacturing Co Ltd TSE:4616
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kawakami Paint Manufacturing Co Return-on-Tangible-Equity Calculation

Kawakami Paint Manufacturing Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Nov. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Nov. 2025 )  (A: Nov. 2024 )(A: Nov. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Nov. 2025 )  (A: Nov. 2024 )(A: Nov. 2025 )
=72.318/( (3203.219+3326.17 )/ 2 )
=72.318/3264.6945
=2.22 %

Kawakami Paint Manufacturing Co's annualized Return-on-Tangible-Equity for the quarter that ended in May. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: May. 2026 )  (Q: Nov. 2025 )(Q: May. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: May. 2026 )  (Q: Nov. 2025 )(Q: May. 2026 )
=308.914/( (3326.17+3509.635)/ 2 )
=308.914/3417.9025
=9.04 %

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

What does a Return-on-Tangible-Equity of 9.04% mean?
Kawakami Paint Manufacturing Co (TSE:4616) has a Return-on-Tangible-Equity of 9.04% as of May. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Kawakami Paint Manufacturing Co and its competitors. This is 36% above median its historical median of 6.67. According to the industry distribution chart, Kawakami Paint Manufacturing Co ranks #675 out of 1570 companies in the Chemicals industry, placing it in the top 43%.
Is Kawakami Paint Manufacturing Co's Return-on-Tangible-Equity too high?
Kawakami Paint Manufacturing Co's current Return-on-Tangible-Equity of 9.04% is 36% above median its 10-year median of 6.67. The Chemicals industry median Return-on-Tangible-Equity is 5.77. Kawakami Paint Manufacturing Co's value of 9.04% is 56.7% above this industry median. Based on the distribution chart, Kawakami Paint Manufacturing Co ranks #675 out of 1570 companies in the Chemicals industry, which is above the industry midpoint. Overall, Kawakami Paint Manufacturing Co has a GF Score™ of 63/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kawakami Paint Manufacturing Co's Return-on-Tangible-Equity compare to LIN and SHW?
According to the Chemicals industry distribution chart, Kawakami Paint Manufacturing Co ranks #675 out of 1570 companies for Return-on-Tangible-Equity. This puts Kawakami Paint Manufacturing Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 5.77. Kawakami Paint Manufacturing Co's value of 9.04% is 56.7% above this benchmark. While the company's 10-year median is 6.67 vs. the industry median of 5.77, Kawakami Paint Manufacturing 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 Chemicals company?
The median Return-on-Tangible-Equity among Chemicals companies is 5.77, based on 1,570 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. Kawakami Paint Manufacturing Co's current Return-on-Tangible-Equity of 9.04% is 56.7% 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 Kawakami Paint Manufacturing Co and its competitors. For the Chemicals industry, the median Return-on-Tangible-Equity is 5.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kawakami Paint Manufacturing Co's current Return-on-Tangible-Equity is 9.04%, which is 36% above median its own 10-year median of 6.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kawakami Paint Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Kawakami Paint Manufacturing Co (TSE:4616) is currently considered Modestly Overvalued. The stock's GF Value™ is 円1,741.01, compared to a current price of 円1,980.00 — trading 13.7% above its estimated fair value. The current Return-on-Tangible-Equity is 9.04%, which is 36% above median its 10-year median of 6.67 and 56.7% above the Chemicals industry median of 5.77. Kawakami Paint Manufacturing Co's overall GF Score™ is 63/100 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 Kawakami Paint Manufacturing Co (TSE:4616), the current Return-on-Tangible-Equity is 9.04% as of May. 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 Kawakami Paint Manufacturing Co (TSE:4616) Overvalued in 2026?

Based on GuruFocus' analysis, Kawakami Paint Manufacturing Co stock appears to be overvalued. The current stock price of 円1,980.00 is trading 13.7% above its estimated GF Value™ of 円1,741.01. GuruFocus considers Kawakami Paint Manufacturing Co to be Modestly Overvalued.

Key valuation signals for TSE:4616:

  • Return-on-Tangible-Equity: 9.04% (36% above median its 10-year median of 6.67)
  • GF Value™: 円1,741.01 vs. price of 円1,980.00 (13.7% above fair value)
  • GF Score™: 63/100 with 4 warning signs
  • Industry Position: 56.7% above the Chemicals median (#675 of 1570)

No single metric tells the full story. See the TSE:4616 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kawakami Paint Manufacturing Co Business Description

Address Number 41, No. 1-chome, Amagasaki, Tsukaguchihon, Hyogo, JPN, 661-0001
Kawakami Paint Manufacturing Co Ltd is engaged in manufacturing and selling various paints in Japan. Its products include heat insulation paints, ultra-low temperature powder, and water-based paints; and general purpose building paints, as well as floor coatings, building interior and exterior paints, aqueous paint, and rustproof paint.
63GF Score

Get the complete analysis for TSE:4616

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

円1,980.00
Price
円1,741.01
GF Value