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. Nakamura Choukou Co's annualized net income for the quarter that ended in Mar. 2026 was 円174 Mil. Nakamura Choukou Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円1,050 Mil. Therefore, Nakamura Choukou Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 16.59%.
The historical rank and industry rank for Nakamura Choukou Co's Return-on-Tangible-Equity or its related term are showing as below:
TSE:6166'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -301.13 Med: -3.97 Max: 28.94
Current: 28.48
During the past 13 years, Nakamura Choukou Co's highest Return-on-Tangible-Equity was 28.94%. The lowest was -301.13%. And the median was -3.97%.
TSE:6166's Return-on-Tangible-Equity is ranked better than 90.48% of 2973
companies
in the Industrial Products industry
Industry Median: 6.72
vs TSE:6166: 28.48
Nakamura Choukou Co (TSE:6166) 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.
Nakamura Choukou Co Return-on-Tangible-Equity Related Terms
Nakamura Choukou Co Return-on-Tangible-Equity Historical Data
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The historical data trend for Nakamura Choukou 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.
Nakamura Choukou Co Return-on-Tangible-Equity Chart
TSE:6166 vs GEV, ETN, PH: Return-on-Tangible-Equity Comparison
For the Specialty Industrial Machinery subindustry, Nakamura Choukou 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.
Nakamura Choukou Co Return-on-Tangible-Equity vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Nakamura Choukou Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Nakamura Choukou 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 16.59% mean?
Nakamura Choukou Co (TSE:6166) has a Return-on-Tangible-Equity of 16.59% 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 Nakamura Choukou Co and its competitors. According to the industry distribution chart, Nakamura Choukou Co ranks #283 out of 2973 companies in the Industrial Products industry, placing it in the top 9.5%.
Is Nakamura Choukou Co's Return-on-Tangible-Equity too high?
Nakamura Choukou Co's current Return-on-Tangible-Equity is 16.59%. The Industrial Products industry median Return-on-Tangible-Equity is 6.72. Nakamura Choukou Co's value of 16.59% is 146.9% above this industry median. Based on the distribution chart, Nakamura Choukou Co ranks #283 out of 2973 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Nakamura Choukou Co has a GF Score™ of 46/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nakamura Choukou Co's Return-on-Tangible-Equity compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Nakamura Choukou Co ranks #283 out of 2973 companies for Return-on-Tangible-Equity. This places Nakamura Choukou Co in the top 10% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.72. Nakamura Choukou Co's value of 16.59% is 146.9% above this benchmark. 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 an Industrial Products company?
The median Return-on-Tangible-Equity among Industrial Products companies is 6.72, based on 2,973 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. Nakamura Choukou Co's current Return-on-Tangible-Equity of 16.59% is 146.9% 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 Nakamura Choukou Co and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nakamura Choukou Co's current Return-on-Tangible-Equity is 16.59%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nakamura Choukou Co stock overvalued right now?
Based on GuruFocus' analysis, Nakamura Choukou Co (TSE:6166) is currently considered Significantly Overvalued. The stock's GF Value™ is 円371.44, compared to a current price of 円760.00 — trading 104.6% above its estimated fair value. The current Return-on-Tangible-Equity is 16.59% and 146.9% above the Industrial Products industry median of 6.72. Nakamura Choukou Co's overall GF Score™ is 46/100 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 Nakamura Choukou Co (TSE:6166), the current Return-on-Tangible-Equity is 16.59% 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 Nakamura Choukou Co (TSE:6166) Overvalued in 2026?
Based on GuruFocus' analysis, Nakamura Choukou Co stock appears to be overvalued.
The current stock price of 円760.00 is trading 104.6% above its estimated GF Value™ of 円371.44.
GuruFocus considers Nakamura Choukou Co to be Significantly Overvalued.
Key valuation signals for TSE:6166:
Return-on-Tangible-Equity: 16.59%
GF Value™: 円371.44 vs. price of 円760.00 (104.6% above fair value)
Industry Position: 146.9% above the Industrial Products median (#283 of 2973)
No single metric tells the full story. See the TSE:6166 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nakamura Choukou Co Ltd is engaged in the manufacturing of precision nozzles, diamond wire, and material products for industrial and scientific applications. Its operating segments include the Special Precision Equipment business, which produces nozzles and peripheral parts for electronic component mounters; the Chemical Fiber Spinning Nozzle business, which supplies spinning nozzles and equipment for chemical fiber and nonwoven fabric production; the D-Next business, which manufactures diamond wire for power semiconductors; and the Material Science business, which develops and sells nano-sized zeolite.
46GF Score
Get the complete analysis for TSE:6166
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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