GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Nippon Signal Co Ltd (TSE:6741) » Definitions » Return-on-Tangible-Equity

Nippon Signal Co (TSE:6741) Return-on-Tangible-Equity : 24.55% (As of Mar. 2025)


View and export this data going back to 1949. Start your Free Trial

What is Nippon Signal Co Return-on-Tangible-Equity?

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. Nippon Signal Co's annualized net income for the quarter that ended in Mar. 2025 was 円23,780 Mil. Nippon Signal Co's average shareholder tangible equity for the quarter that ended in Mar. 2025 was 円96,845 Mil. Therefore, Nippon Signal Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was 24.55%.

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

TSE:6741' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.63   Med: 6.01   Max: 8.94
Current: 8.94

During the past 13 years, Nippon Signal Co's highest Return-on-Tangible-Equity was 8.94%. The lowest was 2.63%. And the median was 6.01%.

TSE:6741's Return-on-Tangible-Equity is ranked better than
58.9% of 2934 companies
in the Industrial Products industry
Industry Median: 6.785 vs TSE:6741: 8.94

Nippon Signal Co Return-on-Tangible-Equity Historical Data

The historical data trend for Nippon Signal 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.

* Premium members only.

Nippon Signal Co Return-on-Tangible-Equity Chart

Nippon Signal Co Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.11 5.37 4.74 5.90 8.79

Nippon Signal Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 Premium Member Only 20.62 0.01 7.02 3.97 24.55

Competitive Comparison of Nippon Signal Co's Return-on-Tangible-Equity

For the Electrical Equipment & Parts subindustry, Nippon Signal 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.


Nippon Signal Co's Return-on-Tangible-Equity Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Nippon Signal Co's Return-on-Tangible-Equity distribution charts can be found below:

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


;
;

Nippon Signal Co Return-on-Tangible-Equity Calculation

Nippon Signal Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=8503/( (93944+99563 )/ 2 )
=8503/96753.5
=8.79 %

Nippon Signal Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=23780/( (94127+99563)/ 2 )
=23780/96845
=24.55 %

* 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 four times the quarterly (Mar. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Nippon Signal Co  (TSE:6741) 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.


Nippon Signal Co Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Nippon Signal Co's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Nippon Signal Co Business Description

Traded in Other Exchanges
N/A
Address
1-5-1, Marunouchi, Chiyoda-ku, Tokyo, JPN, 100-6513
Nippon Signal Co Ltd is a Japanese technology company. Its products and services fall into the following categories: railway signal systems, traffic information systems, automatic fare collection, or AFR, systems, and parking information systems. The railway signal systems division provides automatic train supervision systems, relay interlocking equipment, level-crossing systems, and LED information boards. The traffic information systems division offers universal traffic management systems, local controllers, and LED traffic signal lights. The AFR system division offers comprehensive network systems to automate station operations. The parking information systems division offers car parking systems and bicycle lock systems.

Nippon Signal Co Headlines

No Headlines