Eiken Industries Co (TSE:7265) Return-on-Tangible-Equity: 3.20% (As of Apr. 2026) — 51% Below Median

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TSE:7265 Eiken Industries Co Ltd TSE:7265
74 GF Score
Price 円3,845.00
GF Value 円3,592.57
Valuation Fairly Valued
! 3 Warning Signs
View Full Analysis

What is Eiken Industries Co Return-on-Tangible-Equity?

Eiken Industries Co TSE:7265 +0.39% 74 Return-on-Tangible-Equity is 3.20% as of Apr. 2026, which is 51% below its 10-year median of 6.49. GuruFocus rates TSE:7265 with a GF Score™ of 74/100 and a GF Value™ of 円3,592.57 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,972 Industrial Products companies, Eiken Industries Co ranks worse than 62.11% 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. Eiken Industries Co's annualized net income for the quarter that ended in Apr. 2026 was 円195 Mil. Eiken Industries Co's average shareholder tangible equity for the quarter that ended in Apr. 2026 was 円6,075 Mil. Therefore, Eiken Industries Co's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 was 3.20%.

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

TSE:7265' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.39   Med: 6.49   Max: 8.32
Current: 3.77

During the past 13 years, Eiken Industries Co's highest Return-on-Tangible-Equity was 8.32%. The lowest was 2.39%. And the median was 6.49%.

TSE:7265's Return-on-Tangible-Equity is ranked worse than
62.11% of 2972 companies
in the Industrial Products industry
Industry Median: 6.78 vs TSE:7265: 3.77

Eiken Industries Co  (TSE:7265) 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.


Eiken Industries Co Return-on-Tangible-Equity Related Terms


Eiken Industries Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Eiken Industries 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.

Eiken Industries Co Return-on-Tangible-Equity Chart

Eiken Industries Co Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.96 4.94 2.39 3.80 5.52

Eiken Industries Co Semi-Annual Data
Oct16 Apr17 Oct17 Apr18 Oct18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23 Apr24 Oct24 Apr25 Oct25 Apr26
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 2.97 4.66 6.73 4.34 3.20

TSE:7265 vs VLTO, ZWS, CECO: Return-on-Tangible-Equity Comparison

For the Pollution & Treatment Controls subindustry, Eiken Industries 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.


Eiken Industries Co Return-on-Tangible-Equity vs Industrial Products Industry

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

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


TSE:7265
74GF Score
Eiken Industries Co Ltd TSE:7265
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Eiken Industries Co Return-on-Tangible-Equity Calculation

Eiken Industries Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Oct. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Oct. 2025 )  (A: Oct. 2024 )(A: Oct. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Oct. 2025 )  (A: Oct. 2024 )(A: Oct. 2025 )
=326.533/( (5790.284+6047.018 )/ 2 )
=326.533/5918.651
=5.52 %

Eiken Industries Co's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Apr. 2026 )  (Q: Oct. 2025 )(Q: Apr. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Apr. 2026 )  (Q: Oct. 2025 )(Q: Apr. 2026 )
=194.568/( (6047.018+6102.113)/ 2 )
=194.568/6074.5655
=3.20 %

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

What does a Return-on-Tangible-Equity of 3.20% mean?
Eiken Industries Co (TSE:7265) has a Return-on-Tangible-Equity of 3.20% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Eiken Industries Co and its competitors. This is 51% below median its historical median of 6.49. Over the past decade, Eiken Industries Co's Return-on-Tangible-Equity has ranged from 2.39 to 8.32. According to the industry distribution chart, Eiken Industries Co ranks #1846 out of 2972 companies in the Industrial Products industry, placing it in the top 62.1%.
Is Eiken Industries Co's Return-on-Tangible-Equity too high?
Eiken Industries Co's current Return-on-Tangible-Equity of 3.20% is 51% below median its 10-year median of 6.49. Over the past 10 years, this metric has ranged from a low of 2.39 to a high of 8.32. The Industrial Products industry median Return-on-Tangible-Equity is 6.78. Eiken Industries Co's value of 3.20% is 52.8% below this industry median. Based on the distribution chart, Eiken Industries Co ranks #1846 out of 2972 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Eiken Industries Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Eiken Industries Co's Return-on-Tangible-Equity compare to VLTO and ZWS?
According to the Industrial Products industry distribution chart, Eiken Industries Co ranks #1846 out of 2972 companies for Return-on-Tangible-Equity. This places Eiken Industries Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 6.78. Eiken Industries Co's value of 3.20% is 52.8% below this benchmark. Historically, Eiken Industries Co's own Return-on-Tangible-Equity has ranged from 2.39 to 8.32 over the past decade. While the company's 10-year median is 6.49 vs. the industry median of 6.78, Eiken Industries 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 an Industrial Products company?
The median Return-on-Tangible-Equity among Industrial Products companies is 6.78, based on 2,972 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. Eiken Industries Co's current Return-on-Tangible-Equity of 3.20% is 52.8% 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 Eiken Industries Co and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 6.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eiken Industries Co's current Return-on-Tangible-Equity is 3.20%, which is 51% below median its own 10-year median of 6.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eiken Industries Co stock overvalued right now?
Based on GuruFocus' analysis, Eiken Industries Co (TSE:7265) is currently considered Fairly Valued. The stock's GF Value™ is 円3,592.57, compared to a current price of 円3,845.00 — trading 7% above its estimated fair value. The current Return-on-Tangible-Equity is 3.20%, which is 51% below median its 10-year median of 6.49 and 52.8% below the Industrial Products industry median of 6.78. Eiken Industries Co's overall GF Score™ is 74/100 with 3 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 Eiken Industries Co (TSE:7265), the current Return-on-Tangible-Equity is 3.20% as of Apr. 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 Eiken Industries Co (TSE:7265) Overvalued in 2026?

Based on GuruFocus' analysis, Eiken Industries Co stock appears to be overvalued. The current stock price of 円3,845.00 is trading 7% above its estimated GF Value™ of 円3,592.57. GuruFocus considers Eiken Industries Co to be Fairly Valued.

Key valuation signals for TSE:7265:

  • Return-on-Tangible-Equity: 3.20% (51% below median its 10-year median of 6.49)
  • GF Value™: 円3,592.57 vs. price of 円3,845.00 (7% above fair value)
  • GF Score™: 74/100 with 3 warning signs
  • Industry Position: 52.8% below the Industrial Products median (#1846 of 2972)

No single metric tells the full story. See the TSE:7265 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Eiken Industries Co Business Description

Address 1370 Kadoya, Omaezaki-shi, Shizuoka, JPN, 437-1698
Eiken Industries Co Ltd is a Japan-based company filtration equipment manufacturer. The products offered by the company include oil filter, air filter, fuel filter, cabin filter, and burners.
74GF Score

Get the complete analysis for TSE:7265

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

円3,845.00
Price
円3,592.57
GF Value