DreamArts (TSE:4811) Return-on-Tangible-Equity: 22.67% (As of Dec. 2025) — 25% Below Median

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TSE:4811 DreamArts Corp TSE:4811
23 GF Score
Price 円868.00
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What is DreamArts Return-on-Tangible-Equity?

DreamArts TSE:4811 +1.05% 23 Return-on-Tangible-Equity is 22.67% as of Dec. 2025, which is 25% below its 10-year median of 30.21. GuruFocus rates TSE:4811 with a GF Score™ of 23/100. Among 2,480 Software companies, DreamArts ranks better than 77.18% 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. DreamArts's annualized net income for the quarter that ended in Dec. 2025 was 円558 Mil. DreamArts's average shareholder tangible equity for the quarter that ended in Dec. 2025 was 円2,461 Mil. Therefore, DreamArts's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 22.67%.

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

TSE:4811' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.16   Med: 30.21   Max: 38.31
Current: 32.57

During the past 5 years, DreamArts's highest Return-on-Tangible-Equity was 38.31%. The lowest was 2.16%. And the median was 30.21%.

TSE:4811's Return-on-Tangible-Equity is ranked better than
77.18% of 2480 companies
in the Software industry
Industry Median: 8.845 vs TSE:4811: 32.57

DreamArts  (TSE:4811) 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.


DreamArts Return-on-Tangible-Equity Related Terms


DreamArts Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for DreamArts'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.

DreamArts Return-on-Tangible-Equity Chart

DreamArts Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
2.16 22.60 38.31 30.21 32.63

DreamArts Semi-Annual Data
Dec21 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Return-on-Tangible-Equity Get a 7-Day Free Trial 26.80 29.74 31.49 43.61 22.67

TSE:4811 vs MSFT, ORCL, PLTR: Return-on-Tangible-Equity Comparison

For the Software - Infrastructure subindustry, DreamArts'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.


DreamArts Return-on-Tangible-Equity vs Software Industry

For the Software industry and Technology sector, DreamArts's Return-on-Tangible-Equity distribution charts can be found below:

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


TSE:4811
23GF Score
DreamArts Corp TSE:4811
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
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DreamArts Return-on-Tangible-Equity Calculation

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

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=757.535/( (2055.218+2588.377 )/ 2 )
=757.535/2321.7975
=32.63 %

DreamArts's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=557.978/( (2334.539+2588.377)/ 2 )
=557.978/2461.458
=22.67 %

* 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 22.67% mean?
DreamArts (TSE:4811) has a Return-on-Tangible-Equity of 22.67% 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 DreamArts and its competitors. This is 25% below median its historical median of 30.21. Over the past decade, DreamArts' Return-on-Tangible-Equity has ranged from 2.16 to 38.31. According to the industry distribution chart, DreamArts ranks #566 out of 2480 companies in the Software industry, placing it in the top 22.8%.
Is DreamArts' Return-on-Tangible-Equity too high?
DreamArts' current Return-on-Tangible-Equity of 22.67% is 25% below median its 10-year median of 30.21. Over the past 10 years, this metric has ranged from a low of 2.16 to a high of 38.31. The Software industry median Return-on-Tangible-Equity is 8.85. DreamArts' value of 22.67% is 156.3% above this industry median. Based on the distribution chart, DreamArts ranks #566 out of 2480 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, DreamArts has a GF Score™ of 23/100, reflecting its overall financial health beyond just this single metric.
How does DreamArts' Return-on-Tangible-Equity compare to MSFT and ORCL?
According to the Software industry distribution chart, DreamArts ranks #566 out of 2480 companies for Return-on-Tangible-Equity. This places DreamArts in the top 23% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.85. DreamArts' value of 22.67% is 156.3% above this benchmark. Historically, DreamArts' own Return-on-Tangible-Equity has ranged from 2.16 to 38.31 over the past decade. While the company's 10-year median is 30.21 vs. the industry median of 8.85, DreamArts 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 8.85, based on 2,480 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. DreamArts's current Return-on-Tangible-Equity of 22.67% is 156.3% 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 DreamArts and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DreamArts's current Return-on-Tangible-Equity is 22.67%, which is 25% below median its own 10-year median of 30.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DreamArts stock overvalued right now?
DreamArts (TSE:4811) has a current Return-on-Tangible-Equity of 22.67%. The current Return-on-Tangible-Equity is 22.67%, which is 25% below median its 10-year median of 30.21 and 156.3% above the Software industry median of 8.85. DreamArts' overall GF Score™ is 23/100. 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 DreamArts (TSE:4811), the current Return-on-Tangible-Equity is 22.67% 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.

DreamArts Business Description

Address Ebisu Garden Place Tower 29th Floor, 4-20-3 Ebisu, Shibuya-ku, Tokyo, JPN
DreamArts Corp is engaged in the development of computer systems and business software. The company also provides SaaS products, such as the no-code development tool SmartDB, and consulting services for business digitalization, mainly targeting the enterprise market. The Group operates through three business segments: the Cloud Business, which offers products including SmartDB, InsuiteX, Shop Ran, and DCR DX Custom Resolution; the On-premise Business, which provides SmartDB Installable; and the Professional Services Business.
23GF Score

Get the complete analysis for TSE:4811

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

円868.00
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