Correc Holdings (TSE:6578) Return-on-Tangible-Equity: 21.35% (As of Feb. 2026) — 125% Above Median

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TSE:6578 Correc Holdings Inc TSE:6578
72 GF Score
Price 円492.00
GF Value 円480.15
Valuation Fairly Valued
! 7 Warning Signs
View Full Analysis

What is Correc Holdings Return-on-Tangible-Equity?

Correc Holdings TSE:6578 +1.23% 72 Return-on-Tangible-Equity is 21.35% as of Feb. 2026, which is 125% above its 10-year median of 9.48. GuruFocus rates TSE:6578 with a GF Score™ of 72/100 and a GF Value™ of 円480.15 (Fairly Valued). The stock has 7 warning signs investors should review. Among 552 Conglomerates companies, Correc Holdings ranks worse than 63.41% 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. Correc Holdings's annualized net income for the quarter that ended in Feb. 2026 was 円197 Mil. Correc Holdings's average shareholder tangible equity for the quarter that ended in Feb. 2026 was 円924 Mil. Therefore, Correc Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2026 was 21.35%.

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

TSE:6578' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -37.89   Med: 9.48   Max: 44.59
Current: 4.31

During the past 11 years, Correc Holdings's highest Return-on-Tangible-Equity was 44.59%. The lowest was -37.89%. And the median was 9.48%.

TSE:6578's Return-on-Tangible-Equity is ranked worse than
63.41% of 552 companies
in the Conglomerates industry
Industry Median: 7.465 vs TSE:6578: 4.31

Correc Holdings  (TSE:6578) 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.


Correc Holdings Return-on-Tangible-Equity Related Terms


Correc Holdings Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Correc Holdings'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.

Correc Holdings Return-on-Tangible-Equity Chart

Correc Holdings Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only -37.89 23.55 9.36 2.10 4.14

Correc Holdings Semi-Annual Data
Feb16 Feb17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 10.16 -10.82 15.47 -12.85 21.35

TSE:6578 vs HON, MMM: Return-on-Tangible-Equity Comparison

For the Conglomerates subindustry, Correc Holdings'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.


Correc Holdings Return-on-Tangible-Equity vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Correc Holdings's Return-on-Tangible-Equity distribution charts can be found below:

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


TSE:6578
72GF Score
Correc Holdings Inc TSE:6578
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Correc Holdings Return-on-Tangible-Equity Calculation

Correc Holdings's annualized Return-on-Tangible-Equity for the fiscal year that ended in Feb. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Feb. 2026 )  (A: Feb. 2025 )(A: Feb. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Feb. 2026 )  (A: Feb. 2025 )(A: Feb. 2026 )
=40.25/( (956.012+986.278 )/ 2 )
=40.25/971.145
=4.14 %

Correc Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Feb. 2026 )  (Q: Aug. 2025 )(Q: Feb. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Feb. 2026 )  (Q: Aug. 2025 )(Q: Feb. 2026 )
=197.356/( (862.258+986.278)/ 2 )
=197.356/924.268
=21.35 %

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

What does a Return-on-Tangible-Equity of 21.35% mean?
Correc Holdings (TSE:6578) has a Return-on-Tangible-Equity of 21.35% as of Feb. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Correc Holdings and its competitors. This is 125% above median its historical median of 9.48. According to the industry distribution chart, Correc Holdings ranks #350 out of 552 companies in the Conglomerates industry, placing it in the top 63.4%.
Is Correc Holdings' Return-on-Tangible-Equity too high?
Correc Holdings' current Return-on-Tangible-Equity of 21.35% is 125% above median its 10-year median of 9.48. The Conglomerates industry median Return-on-Tangible-Equity is 7.47. Correc Holdings' value of 21.35% is 186% above this industry median. Based on the distribution chart, Correc Holdings ranks #350 out of 552 companies in the Conglomerates industry, which is below the industry midpoint. Overall, Correc Holdings has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Correc Holdings' Return-on-Tangible-Equity compare to HON and MMM?
According to the Conglomerates industry distribution chart, Correc Holdings ranks #350 out of 552 companies for Return-on-Tangible-Equity. This places Correc Holdings in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.47. Correc Holdings' value of 21.35% is 186% above this benchmark. While the company's 10-year median is 9.48 vs. the industry median of 7.47, Correc Holdings 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 Conglomerates company?
The median Return-on-Tangible-Equity among Conglomerates companies is 7.47, based on 552 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. Correc Holdings's current Return-on-Tangible-Equity of 21.35% is 186% 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 Correc Holdings and its competitors. For the Conglomerates industry, the median Return-on-Tangible-Equity is 7.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Correc Holdings's current Return-on-Tangible-Equity is 21.35%, which is 125% above median its own 10-year median of 9.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Correc Holdings stock overvalued right now?
Based on GuruFocus' analysis, Correc Holdings (TSE:6578) is currently considered Fairly Valued. The stock's GF Value™ is 円480.15, compared to a current price of 円492.00 — trading 2.5% above its estimated fair value. The current Return-on-Tangible-Equity is 21.35%, which is 125% above median its 10-year median of 9.48 and 186% above the Conglomerates industry median of 7.47. Correc Holdings' overall GF Score™ is 72/100 with 7 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 Correc Holdings (TSE:6578), the current Return-on-Tangible-Equity is 21.35% as of Feb. 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 Correc Holdings (TSE:6578) Overvalued in 2026?

Based on GuruFocus' analysis, Correc Holdings stock appears to be overvalued. The current stock price of 円492.00 is trading 2.5% above its estimated GF Value™ of 円480.15. GuruFocus considers Correc Holdings to be Fairly Valued.

Key valuation signals for TSE:6578:

  • Return-on-Tangible-Equity: 21.35% (125% above median its 10-year median of 9.48)
  • GF Value™: 円480.15 vs. price of 円492.00 (2.5% above fair value)
  • GF Score™: 72/100 with 7 warning signs
  • Industry Position: 186% above the Conglomerates median (#350 of 552)

No single metric tells the full story. See the TSE:6578 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Correc Holdings Business Description

Address Minamiikebukuro Park Building, 2-32-4 Minamiikebukuro, Toshima-ku, Tokyo, JPN, 171-0022
Correc Holdings Inc is engaged in multiple business: Digital media business, Sales promotion business, Real estate brokerage, buying and selling, and mediation business and Recruitment support/human resources service business.
72GF Score

Get the complete analysis for TSE:6578

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

円492.00
Price
円480.15
GF Value