Tohoku Steel CoTSE:5484 60 Return-on-Tangible-Equity is 5.25% as of Mar. 2026, which is 15% above its 10-year median of 4.58. GuruFocus rates TSE:5484 with a GF Score™ of 60/100 and a GF Value™ of 円1,986.88 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 615 Steel companies, Tohoku Steel Co ranks better than 52.36% 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. Tohoku Steel Co's annualized net income for the quarter that ended in Mar. 2026 was 円1,513 Mil. Tohoku Steel Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円28,800 Mil. Therefore, Tohoku Steel Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 5.25%.
The historical rank and industry rank for Tohoku Steel Co's Return-on-Tangible-Equity or its related term are showing as below:
TSE:5484'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.8 Med: 4.58 Max: 9.44
Current: 4.49
During the past 13 years, Tohoku Steel Co's highest Return-on-Tangible-Equity was 9.44%. The lowest was 1.80%. And the median was 4.58%.
TSE:5484's Return-on-Tangible-Equity is ranked better than 52.36% of 615
companies
in the Steel industry
Industry Median: 3.97
vs TSE:5484: 4.49
Tohoku Steel Co (TSE:5484) 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.
Tohoku Steel Co Return-on-Tangible-Equity Related Terms
Tohoku Steel Co Return-on-Tangible-Equity Historical Data
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The historical data trend for Tohoku Steel 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.
TSE:5484 vs NUE, STLD, RS: Return-on-Tangible-Equity Comparison
For the Steel subindustry, Tohoku Steel 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.
Tohoku Steel Co Return-on-Tangible-Equity vs Steel Industry
For the Steel industry and Basic Materials sector, Tohoku Steel Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Tohoku Steel Co'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 (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 5.25% mean?
Tohoku Steel Co (TSE:5484) has a Return-on-Tangible-Equity of 5.25% 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 Tohoku Steel Co and its competitors. This is 15% above median its historical median of 4.58. Over the past decade, Tohoku Steel Co's Return-on-Tangible-Equity has ranged from 1.80 to 9.44. According to the industry distribution chart, Tohoku Steel Co ranks #293 out of 615 companies in the Steel industry, placing it in the top 47.6%.
Is Tohoku Steel Co's Return-on-Tangible-Equity too high?
Tohoku Steel Co's current Return-on-Tangible-Equity of 5.25% is 15% above median its 10-year median of 4.58. Over the past 10 years, this metric has ranged from a low of 1.80 to a high of 9.44. The Steel industry median Return-on-Tangible-Equity is 3.97. Tohoku Steel Co's value of 5.25% is 32.2% above this industry median. Based on the distribution chart, Tohoku Steel Co ranks #293 out of 615 companies in the Steel industry, which is above the industry midpoint. Overall, Tohoku Steel Co has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tohoku Steel Co's Return-on-Tangible-Equity compare to NUE and STLD?
According to the Steel industry distribution chart, Tohoku Steel Co ranks #293 out of 615 companies for Return-on-Tangible-Equity. This puts Tohoku Steel Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 3.97. Tohoku Steel Co's value of 5.25% is 32.2% above this benchmark. Historically, Tohoku Steel Co's own Return-on-Tangible-Equity has ranged from 1.80 to 9.44 over the past decade. While the company's 10-year median is 4.58 vs. the industry median of 3.97, Tohoku Steel 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 Steel company?
The median Return-on-Tangible-Equity among Steel companies is 3.97, based on 615 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. Tohoku Steel Co's current Return-on-Tangible-Equity of 5.25% is 32.2% 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 Tohoku Steel Co and its competitors. For the Steel industry, the median Return-on-Tangible-Equity is 3.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tohoku Steel Co's current Return-on-Tangible-Equity is 5.25%, which is 15% above median its own 10-year median of 4.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tohoku Steel Co stock overvalued right now?
Based on GuruFocus' analysis, Tohoku Steel Co (TSE:5484) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,986.88, compared to a current price of 円4,455.00 — trading 124.2% above its estimated fair value. The current Return-on-Tangible-Equity is 5.25%, which is 15% above median its 10-year median of 4.58 and 32.2% above the Steel industry median of 3.97. Tohoku Steel Co's overall GF Score™ is 60/100 with 9 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 Tohoku Steel Co (TSE:5484), the current Return-on-Tangible-Equity is 5.25% 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 Tohoku Steel Co (TSE:5484) Overvalued in 2026?
Based on GuruFocus' analysis, Tohoku Steel Co stock appears to be overvalued.
The current stock price of 円4,455.00 is trading 124.2% above its estimated GF Value™ of 円1,986.88.
GuruFocus considers Tohoku Steel Co to be Significantly Overvalued.
Key valuation signals for TSE:5484:
Return-on-Tangible-Equity: 5.25% (15% above median its 10-year median of 4.58)
GF Value™: 円1,986.88 vs. price of 円4,455.00 (124.2% above fair value)
Industry Position: 32.2% above the Steel median (#293 of 615)
No single metric tells the full story. See the TSE:5484 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tohoku Steel Co Ltd is engaged in manufacturing, processing, and distribution of various types of special steel. It provides magnetic materials, heat-resistant alloys, anti-corrosion alloys, low thermal expansion materials, electronic materials, base materials for deposition, and sealing materials.
60GF Score
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