Tokai Carbon CoFRA:7TC 73 ROA % is 2.25% as of Dec. 2025, which is 40% below its 10-year median of 3.72. GuruFocus rates FRA:7TC with a GF Score™ of 73/100 and a GF Value™ of €5.37 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,619 Chemicals companies, Tokai Carbon Co ranks better than 50.53% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Tokai Carbon Co's annualizedNet Income for the quarter that ended in Dec. 2025 was €82 Mil.
Tokai Carbon Co's average Total Assets over the quarter that ended in Dec. 2025 was €3,631 Mil. Therefore, Tokai Carbon Co's annualized ROA % for the quarter that ended in Dec. 2025 was 2.25%.
The historical rank and industry rank for Tokai Carbon Co's ROA % or its related term are showing as below:
FRA:7TC'
s ROA % Range Over the Past 10 Years
Min: -8.8 Med: 3.72 Max: 28.52
Current: 2.93
During the past 13 years, Tokai Carbon Co's highest ROA % was 28.52%. The lowest was -8.80%. And the median was 3.72%.
FRA:7TC's ROA % is ranked better than 50.53% of 1619
companies
in the Chemicals industry
Industry Median: 2.9
vs FRA:7TC: 2.93
Tokai Carbon Co (FRA:7TC) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) revenue 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Tokai Carbon Co ROA % Related Terms
Tokai Carbon Co ROA % Historical Data
* Premium members only.
The historical data trend for Tokai Carbon Co's ROA % 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.
For the Specialty Chemicals subindustry, Tokai Carbon Co's ROA %, along with its competitors' market caps and ROA % 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.
Tokai Carbon Co ROA % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Tokai Carbon Co's ROA % distribution charts can be found below:
* The bar in red indicates where Tokai Carbon Co's ROA % 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Tokai Carbon Co (FRA:7TC) has a ROA % of 2.25% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Tokai Carbon Co and its competitors. This is 40% below median its historical median of 3.72. According to the industry distribution chart, Tokai Carbon Co ranks #801 out of 1619 companies in the Chemicals industry, placing it in the top 49.5%.
Is Tokai Carbon Co's ROA % too high?
Tokai Carbon Co's current ROA % of 2.25% is 40% below median its 10-year median of 3.72. The Chemicals industry median ROA % is 2.90. Tokai Carbon Co's value of 2.25% is 22.4% below this industry median. Based on the distribution chart, Tokai Carbon Co ranks #801 out of 1619 companies in the Chemicals industry, which is above the industry midpoint. Overall, Tokai Carbon Co has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tokai Carbon Co's ROA % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Tokai Carbon Co ranks #801 out of 1619 companies for ROA %. This puts Tokai Carbon Co in the upper half of its industry. The industry median ROA % is 2.90. Tokai Carbon Co's value of 2.25% is 22.4% below this benchmark. While the company's 10-year median is 3.72 vs. the industry median of 2.90, Tokai Carbon 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 ROA % for a Chemicals company?
The median ROA % among Chemicals companies is 2.90, based on 1,619 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tokai Carbon Co's current ROA % of 2.25% is 22.4% 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Tokai Carbon Co and its competitors. For the Chemicals industry, the median ROA % is 2.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tokai Carbon Co's current ROA % is 2.25%, which is 40% below median its own 10-year median of 3.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tokai Carbon Co stock overvalued right now?
Based on GuruFocus' analysis, Tokai Carbon Co (FRA:7TC) is currently considered Significantly Overvalued. The stock's GF Value™ is €5.37, compared to a current price of €9.30 — trading 73.2% above its estimated fair value. The current ROA % is 2.25%, which is 40% below median its 10-year median of 3.72 and 22.4% below the Chemicals industry median of 2.90. Tokai Carbon Co's overall GF Score™ is 73/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Tokai Carbon Co (FRA:7TC), the current ROA % is 2.25% as of Dec. 2025. 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 Tokai Carbon Co (FRA:7TC) Overvalued in 2026?
Based on GuruFocus' analysis, Tokai Carbon Co stock appears to be overvalued.
The current stock price of €9.30 is trading 73.2% above its estimated GF Value™ of €5.37.
GuruFocus considers Tokai Carbon Co to be Significantly Overvalued.
Key valuation signals for FRA:7TC:
ROA %: 2.25% (40% below median its 10-year median of 3.72)
GF Value™: €5.37 vs. price of €9.30 (73.2% above fair value)
Industry Position: 22.4% below the Chemicals median (#801 of 1619)
No single metric tells the full story. See the FRA:7TC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tokai Carbon Co Ltd is a Japan-based manufacturer of carbon products which include, Carbon black, graphite electrodes, fine carbon friction material and manufactures industrial furnaces, and related products. It operates through three reportable segments, Carbon Black business, Carbon and Ceramics business, and Industrial Furnaces and Related Products business. Carbon black is mainly used as a reinforcing agent of industrial rubber products, typically auto tires. Carbon and Ceramics business segment produces artificial graphite electrodes for electric arc furnaces, fine carbon, carbon brush, impervious graphite, pencil lead-cores. Industrial Furnaces and Related Products segment include Industrial electric furnaces, gas furnaces, silicon carbide heating elements refractory, amongst others.
73GF Score
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