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Shin-Etsu Polymer CoTSE:7970 -3.24%90 Return-on-Tangible-Equity is 5.35% as of Mar. 2026, which is 30% below its 10-year median of 7.65. GuruFocus rates TSE:7970 with a GF Score™ of 90/100 and a GF Value™ of 円1,753.27 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,570 Chemicals companies, Shin-Etsu Polymer Co ranks better than 60.96% 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. Shin-Etsu Polymer Co's annualized net income for the quarter that ended in Mar. 2026 was 円6,756 Mil. Shin-Etsu Polymer Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円126,200 Mil. Therefore, Shin-Etsu Polymer Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 5.35%.
The historical rank and industry rank for Shin-Etsu Polymer Co's Return-on-Tangible-Equity or its related term are showing as below:
TSE:7970'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.31 Med: 7.65 Max: 8.69
Current: 8.01
During the past 13 years, Shin-Etsu Polymer Co's highest Return-on-Tangible-Equity was 8.69%. The lowest was 5.31%. And the median was 7.65%.
TSE:7970's Return-on-Tangible-Equity is ranked better than 60.96% of 1570
companies
in the Chemicals industry
Industry Median: 5.78
vs TSE:7970: 8.01
Shin-Etsu Polymer Co (TSE:7970) 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.
Shin-Etsu Polymer Co Return-on-Tangible-Equity Related Terms
Shin-Etsu Polymer Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Shin-Etsu Polymer 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.
Shin-Etsu Polymer Co Return-on-Tangible-Equity Chart
TSE:7970 vs LIN, SHW, ECL: Return-on-Tangible-Equity Comparison
For the Specialty Chemicals subindustry, Shin-Etsu Polymer 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.
Shin-Etsu Polymer Co Return-on-Tangible-Equity vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Shin-Etsu Polymer Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Shin-Etsu Polymer 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 four times the quarterly (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 5.35% mean?
Shin-Etsu Polymer Co (TSE:7970) has a Return-on-Tangible-Equity of 5.35% 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 Shin-Etsu Polymer Co and its competitors. This is 30% below median its historical median of 7.65. Over the past decade, Shin-Etsu Polymer Co's Return-on-Tangible-Equity has ranged from 5.31 to 8.69. According to the industry distribution chart, Shin-Etsu Polymer Co ranks #613 out of 1570 companies in the Chemicals industry, placing it in the top 39%.
Is Shin-Etsu Polymer Co's Return-on-Tangible-Equity too high?
Shin-Etsu Polymer Co's current Return-on-Tangible-Equity of 5.35% is 30% below median its 10-year median of 7.65. Over the past 10 years, this metric has ranged from a low of 5.31 to a high of 8.69. The Chemicals industry median Return-on-Tangible-Equity is 5.78. Shin-Etsu Polymer Co's value of 5.35% is 7.4% below this industry median. Based on the distribution chart, Shin-Etsu Polymer Co ranks #613 out of 1570 companies in the Chemicals industry, which is above the industry midpoint. Overall, Shin-Etsu Polymer Co has a GF Score™ of 90/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shin-Etsu Polymer Co's Return-on-Tangible-Equity compare to LIN and SHW?
According to the Chemicals industry distribution chart, Shin-Etsu Polymer Co ranks #613 out of 1570 companies for Return-on-Tangible-Equity. This puts Shin-Etsu Polymer Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 5.78. Shin-Etsu Polymer Co's value of 5.35% is 7.4% below this benchmark. Historically, Shin-Etsu Polymer Co's own Return-on-Tangible-Equity has ranged from 5.31 to 8.69 over the past decade. While the company's 10-year median is 7.65 vs. the industry median of 5.78, Shin-Etsu Polymer 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 Chemicals company?
The median Return-on-Tangible-Equity among Chemicals companies is 5.78, based on 1,570 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. Shin-Etsu Polymer Co's current Return-on-Tangible-Equity of 5.35% is 7.4% 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 Shin-Etsu Polymer Co and its competitors. For the Chemicals industry, the median Return-on-Tangible-Equity is 5.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shin-Etsu Polymer Co's current Return-on-Tangible-Equity is 5.35%, which is 30% below median its own 10-year median of 7.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shin-Etsu Polymer Co stock overvalued right now?
Based on GuruFocus' analysis, Shin-Etsu Polymer Co (TSE:7970) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,753.27, compared to a current price of 円2,388.00 — trading 36.2% above its estimated fair value. The current Return-on-Tangible-Equity is 5.35%, which is 30% below median its 10-year median of 7.65 and 7.4% below the Chemicals industry median of 5.78. Shin-Etsu Polymer Co's overall GF Score™ is 90/100 with 6 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 Shin-Etsu Polymer Co (TSE:7970), the current Return-on-Tangible-Equity is 5.35% 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 Shin-Etsu Polymer Co (TSE:7970) Overvalued in 2026?
Based on GuruFocus' analysis, Shin-Etsu Polymer Co stock appears to be overvalued.
The current stock price of 円2,388.00 is trading 36.2% above its estimated GF Value™ of 円1,753.27.
GuruFocus considers Shin-Etsu Polymer Co to be Significantly Overvalued.
Key valuation signals for TSE:7970:
Return-on-Tangible-Equity: 5.35% (30% below median its 10-year median of 7.65)
GF Value™: 円1,753.27 vs. price of 円2,388.00 (36.2% above fair value)
Industry Position: 7.4% below the Chemicals median (#613 of 1570)
No single metric tells the full story. See the TSE:7970 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shin-Etsu Polymer Co Ltd manufactures polyvinyl and rubber products. The company develops applications for using the silicone and various plastics involving materials and compounding, design, molding processes, and evaluation and analysis and meets the needs of customers engaged in the field from automobiles and information devices to semiconductors and construction materials. Shin-Etsu sells its products mainly to the electronic devices industry, housing and living materials industry, precision molding products industry and others but majority of the revenues are derived from precision molding products which includes shipping and carrying containers for semiconductor silicon wafers, materials for automatic mounting of electronic components, office automation device components.
90GF Score
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