Takakita CoTSE:6325 +1.01%71 Return-on-Tangible-Equity is 4.60% as of Mar. 2026, which is 35% below its 10-year median of 7.12. GuruFocus rates TSE:6325 with a GF Score™ of 71/100 and a GF Value™ of 円371.72 (Fairly Valued). The stock has 4 warning signs investors should review. Among 198 Farm & Heavy Construction Machinery companies, Takakita Co ranks worse than 75.25% 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. Takakita Co's annualized net income for the quarter that ended in Mar. 2026 was 円376 Mil. Takakita Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円8,167 Mil. Therefore, Takakita Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.60%.
The historical rank and industry rank for Takakita Co's Return-on-Tangible-Equity or its related term are showing as below:
TSE:6325'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.53 Med: 7.12 Max: 11.92
Current: 2.54
During the past 13 years, Takakita Co's highest Return-on-Tangible-Equity was 11.92%. The lowest was 2.53%. And the median was 7.12%.
TSE:6325's Return-on-Tangible-Equity is ranked worse than 75.25% of 198
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 9.355
vs TSE:6325: 2.54
Takakita Co (TSE:6325) 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.
Takakita Co Return-on-Tangible-Equity Related Terms
Takakita Co Return-on-Tangible-Equity Historical Data
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The historical data trend for Takakita 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:6325 vs CAT, DE, PCAR: Return-on-Tangible-Equity Comparison
For the Farm & Heavy Construction Machinery subindustry, Takakita 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.
Takakita Co Return-on-Tangible-Equity vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Takakita Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Takakita 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 4.60% mean?
Takakita Co (TSE:6325) has a Return-on-Tangible-Equity of 4.60% 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 Takakita Co and its competitors. This is 35% below median its historical median of 7.12. Over the past decade, Takakita Co's Return-on-Tangible-Equity has ranged from 2.53 to 11.92. According to the industry distribution chart, Takakita Co ranks #149 out of 198 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 75.3%.
Is Takakita Co's Return-on-Tangible-Equity too high?
Takakita Co's current Return-on-Tangible-Equity of 4.60% is 35% below median its 10-year median of 7.12. Over the past 10 years, this metric has ranged from a low of 2.53 to a high of 11.92. The Farm & Heavy Construction Machinery industry median Return-on-Tangible-Equity is 9.36. Takakita Co's value of 4.60% is 50.8% below this industry median. Based on the distribution chart, Takakita Co ranks #149 out of 198 companies in the Farm & Heavy Construction Machinery industry, which is in the bottom quartile relative to peers. Overall, Takakita Co has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Takakita Co's Return-on-Tangible-Equity compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Takakita Co ranks #149 out of 198 companies for Return-on-Tangible-Equity. This places Takakita Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 9.36. Takakita Co's value of 4.60% is 50.8% below this benchmark. Historically, Takakita Co's own Return-on-Tangible-Equity has ranged from 2.53 to 11.92 over the past decade. While the company's 10-year median is 7.12 vs. the industry median of 9.36, Takakita Co has consistently been below 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 Farm & Heavy Construction Machinery company?
The median Return-on-Tangible-Equity among Farm & Heavy Construction Machinery companies is 9.36, based on 198 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. Takakita Co's current Return-on-Tangible-Equity of 4.60% is 50.8% below 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 Takakita Co and its competitors. For the Farm & Heavy Construction Machinery industry, the median Return-on-Tangible-Equity is 9.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Takakita Co's current Return-on-Tangible-Equity is 4.60%, which is 35% below median its own 10-year median of 7.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Takakita Co stock overvalued right now?
Based on GuruFocus' analysis, Takakita Co (TSE:6325) is currently considered Fairly Valued. The stock's GF Value™ is 円371.72, compared to a current price of 円401.00 — trading 7.9% above its estimated fair value. The current Return-on-Tangible-Equity is 4.60%, which is 35% below median its 10-year median of 7.12 and 50.8% below the Farm & Heavy Construction Machinery industry median of 9.36. Takakita Co's overall GF Score™ is 71/100 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 Takakita Co (TSE:6325), the current Return-on-Tangible-Equity is 4.60% 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 Takakita Co (TSE:6325) Overvalued in 2026?
Based on GuruFocus' analysis, Takakita Co stock appears to be overvalued.
The current stock price of 円401.00 is trading 7.9% above its estimated GF Value™ of 円371.72.
GuruFocus considers Takakita Co to be Fairly Valued.
Key valuation signals for TSE:6325:
Return-on-Tangible-Equity: 4.60% (35% below median its 10-year median of 7.12)
GF Value™: 円371.72 vs. price of 円401.00 (7.9% above fair value)
Industry Position: 50.8% below the Farm & Heavy Construction Machinery median (#149 of 198)
No single metric tells the full story. See the TSE:6325 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Takakita Co Ltd is engaged in manufacture and sale of agricultural machines. The products of the company include shredded packaging work machine, sowing work machine, reaping and reversing grass work machine, levelling work machine, and control and weeding machine.
71GF Score
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