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Japan Electronic MaterialsTSE:6855 -9.97%78 Return-on-Tangible-Equity is 20.50% as of Mar. 2026, which is 97% above its 10-year median of 10.42. GuruFocus rates TSE:6855 with a GF Score™ of 78/100 and a GF Value™ of 円3,405.25 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 985 Semiconductors companies, Japan Electronic Materials ranks better than 77.56% 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. Japan Electronic Materials's annualized net income for the quarter that ended in Mar. 2026 was 円7,506 Mil. Japan Electronic Materials's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円36,614 Mil. Therefore, Japan Electronic Materials's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 20.50%.
The historical rank and industry rank for Japan Electronic Materials's Return-on-Tangible-Equity or its related term are showing as below:
TSE:6855'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0.75 Med: 10.42 Max: 20.65
Current: 16.21
During the past 13 years, Japan Electronic Materials's highest Return-on-Tangible-Equity was 20.65%. The lowest was 0.75%. And the median was 10.42%.
TSE:6855's Return-on-Tangible-Equity is ranked better than 77.56% of 985
companies
in the Semiconductors industry
Industry Median: 5.24
vs TSE:6855: 16.21
Japan Electronic Materials (TSE:6855) 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.
Japan Electronic Materials Return-on-Tangible-Equity Related Terms
Japan Electronic Materials Return-on-Tangible-Equity Historical Data
* 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.
Japan Electronic Materials Return-on-Tangible-Equity Chart
TSE:6855 vs AMAT, LRCX, KLAC: Return-on-Tangible-Equity Comparison
For the Semiconductor Equipment & Materials subindustry, Japan Electronic Materials'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.
Japan Electronic Materials Return-on-Tangible-Equity vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Japan Electronic Materials's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Japan Electronic Materials'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 20.50% mean?
Japan Electronic Materials (TSE:6855) has a Return-on-Tangible-Equity of 20.50% 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 Japan Electronic Materials and its competitors. This is 97% above median its historical median of 10.42. Over the past decade, Japan Electronic Materials' Return-on-Tangible-Equity has ranged from 0.75 to 20.65. According to the industry distribution chart, Japan Electronic Materials ranks #221 out of 985 companies in the Semiconductors industry, placing it in the top 22.4%.
Is Japan Electronic Materials' Return-on-Tangible-Equity too high?
Japan Electronic Materials' current Return-on-Tangible-Equity of 20.50% is 97% above median its 10-year median of 10.42. Over the past 10 years, this metric has ranged from a low of 0.75 to a high of 20.65. The Semiconductors industry median Return-on-Tangible-Equity is 5.24. Japan Electronic Materials' value of 20.50% is 291.2% above this industry median. Based on the distribution chart, Japan Electronic Materials ranks #221 out of 985 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Japan Electronic Materials has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Japan Electronic Materials' Return-on-Tangible-Equity compare to AMAT and LRCX?
According to the Semiconductors industry distribution chart, Japan Electronic Materials ranks #221 out of 985 companies for Return-on-Tangible-Equity. This places Japan Electronic Materials in the top 22% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.24. Japan Electronic Materials' value of 20.50% is 291.2% above this benchmark. Historically, Japan Electronic Materials' own Return-on-Tangible-Equity has ranged from 0.75 to 20.65 over the past decade. While the company's 10-year median is 10.42 vs. the industry median of 5.24, Japan Electronic Materials 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 Semiconductors company?
The median Return-on-Tangible-Equity among Semiconductors companies is 5.24, based on 985 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. Japan Electronic Materials's current Return-on-Tangible-Equity of 20.50% is 291.2% 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 Japan Electronic Materials and its competitors. For the Semiconductors industry, the median Return-on-Tangible-Equity is 5.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Japan Electronic Materials's current Return-on-Tangible-Equity is 20.50%, which is 97% above median its own 10-year median of 10.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Electronic Materials stock overvalued right now?
Based on GuruFocus' analysis, Japan Electronic Materials (TSE:6855) is currently considered Significantly Overvalued. The stock's GF Value™ is 円3,405.25, compared to a current price of 円5,960.00 — trading 75% above its estimated fair value. The current Return-on-Tangible-Equity is 20.50%, which is 97% above median its 10-year median of 10.42 and 291.2% above the Semiconductors industry median of 5.24. Japan Electronic Materials' overall GF Score™ is 78/100 with 2 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 Japan Electronic Materials (TSE:6855), the current Return-on-Tangible-Equity is 20.50% 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 Japan Electronic Materials (TSE:6855) Overvalued in 2026?
Based on GuruFocus' analysis, Japan Electronic Materials stock appears to be overvalued.
The current stock price of 円5,960.00 is trading 75% above its estimated GF Value™ of 円3,405.25.
GuruFocus considers Japan Electronic Materials to be Significantly Overvalued.
Key valuation signals for TSE:6855:
Return-on-Tangible-Equity: 20.50% (97% above median its 10-year median of 10.42)
GF Value™: 円3,405.25 vs. price of 円5,960.00 (75% above fair value)
Industry Position: 291.2% above the Semiconductors median (#221 of 985)
No single metric tells the full story. See the TSE:6855 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Japan Electronic Materials Corp is engaged in the development, manufacture, and sale of semiconductor testing components and electron tube components in Japan. Its product portfolio comprises heaters and cathodes for receiving tubes and CRTs, filaments for fluorescent display tubes, directly heated cathodes, and probe cards, among others. The group's business segments are Semiconductor inspection parts related business, which derives maximum revenue, and Electron tube parts related business.
78GF Score
Get the complete analysis for TSE:6855
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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