Nippon Kanryu Industry Co (FSE:1771) ROA %: 7.21% (As of Mar. 2026) — 34% Above Median


FSE:1771 Nippon Kanryu Industry Co Ltd FSE:1771
60 GF Score
Price 円956.00
GF Value 円917.08
Valuation Fairly Valued
! 3 Warning Signs
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What is Nippon Kanryu Industry Co ROA %?

Nippon Kanryu Industry Co FSE:1771 -0.52% 60 ROA % is 7.21% as of Mar. 2026, which is 34% above its 10-year median of 5.40. GuruFocus rates FSE:1771 with a GF Score™ of 60/100 and a GF Value™ of 円917.08 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,777 Construction companies, Nippon Kanryu Industry Co ranks better than 53.35% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nippon Kanryu Industry Co's annualized Net Income for the quarter that ended in Mar. 2026 was 円1,109 Mil. Nippon Kanryu Industry Co's average Total Assets over the quarter that ended in Mar. 2026 was 円15,381 Mil. Therefore, Nippon Kanryu Industry Co's annualized ROA % for the quarter that ended in Mar. 2026 was 7.21%.

The historical rank and industry rank for Nippon Kanryu Industry Co's ROA % or its related term are showing as below:

FSE:1771' s ROA % Range Over the Past 10 Years
Min: 2.5   Med: 5.4   Max: 7.34
Current: 3.17

During the past 13 years, Nippon Kanryu Industry Co's highest ROA % was 7.34%. The lowest was 2.50%. And the median was 5.40%.

FSE:1771's ROA % is ranked better than
53.35% of 1777 companies
in the Construction industry
Industry Median: 2.8 vs FSE:1771: 3.17

Nippon Kanryu Industry Co  (FSE:1771) 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 bank’s 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:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=1108.9/15381.107
=(Net Income / Revenue)*(Revenue / Total Assets)
=(1108.9 / 22813.674)*(22813.674 / 15381.107)
=Net Margin %*Asset Turnover
=4.86 %*1.4832
=7.21 %

Note: The Net Income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (Mar. 2026) 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.


Nippon Kanryu Industry Co ROA % Related Terms


Nippon Kanryu Industry Co ROA % Historical Data

* Premium members only.

The historical data trend for Nippon Kanryu Industry 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.

Nippon Kanryu Industry Co ROA % Chart

Nippon Kanryu Industry Co Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.34 2.50 5.61 5.03 3.74

Nippon Kanryu Industry Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROA % 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 8.81 0.29 7.84 -0.78 7.21

FSE:1771 vs PWR, FIX, EME: ROA % Comparison

For the Engineering & Construction subindustry, Nippon Kanryu Industry 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.


Nippon Kanryu Industry Co ROA % vs Construction Industry

For the Construction industry and Industrials sector, Nippon Kanryu Industry Co's ROA % distribution charts can be found below:

* The bar in red indicates where Nippon Kanryu Industry Co's ROA % falls into.


FSE:1771
60GF Score
Nippon Kanryu Industry Co Ltd FSE:1771
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Nippon Kanryu Industry Co ROA % Calculation

Nippon Kanryu Industry Co's annualized ROA % for the fiscal year that ended in Sep. 2025 is calculated as:

ROA %=Net Income (A: Sep. 2025 )/( (Total Assets (A: Sep. 2024 )+Total Assets (A: Sep. 2025 ))/ count )
=528.078/( (13927.535+14326.367)/ 2 )
=528.078/14126.951
=3.74 %

Nippon Kanryu Industry Co's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Sep. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=1108.9/( (14326.367+16435.847)/ 2 )
=1108.9/15381.107
=7.21 %

* 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 two times the semi-annual (Mar. 2026) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 7.21% mean?
Nippon Kanryu Industry Co (FSE:1771) has a ROA % of 7.21% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Nippon Kanryu Industry Co and its competitors. This is 34% above median its historical median of 5.40. Over the past decade, Nippon Kanryu Industry Co's ROA % has ranged from 2.50 to 7.34. According to the industry distribution chart, Nippon Kanryu Industry Co ranks #829 out of 1777 companies in the Construction industry, placing it in the top 46.7%.
Is Nippon Kanryu Industry Co's ROA % too high?
Nippon Kanryu Industry Co's current ROA % of 7.21% is 34% above median its 10-year median of 5.40. Over the past 10 years, this metric has ranged from a low of 2.50 to a high of 7.34. The Construction industry median ROA % is 2.80. Nippon Kanryu Industry Co's value of 7.21% is 157.5% above this industry median. Based on the distribution chart, Nippon Kanryu Industry Co ranks #829 out of 1777 companies in the Construction industry, which is above the industry midpoint. Overall, Nippon Kanryu Industry Co has a GF Score™ of 60/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nippon Kanryu Industry Co's ROA % compare to PWR and FIX?
According to the Construction industry distribution chart, Nippon Kanryu Industry Co ranks #829 out of 1777 companies for ROA %. This puts Nippon Kanryu Industry Co in the upper half of its industry. The industry median ROA % is 2.80. Nippon Kanryu Industry Co's value of 7.21% is 157.5% above this benchmark. Historically, Nippon Kanryu Industry Co's own ROA % has ranged from 2.50 to 7.34 over the past decade. While the company's 10-year median is 5.40 vs. the industry median of 2.80, Nippon Kanryu Industry Co 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 ROA % for a Construction company?
The median ROA % among Construction companies is 2.80, based on 1,777 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. Nippon Kanryu Industry Co's current ROA % of 7.21% is 157.5% 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 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 Nippon Kanryu Industry Co and its competitors. For the Construction industry, the median ROA % is 2.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Kanryu Industry Co's current ROA % is 7.21%, which is 34% above median its own 10-year median of 5.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Kanryu Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Kanryu Industry Co (FSE:1771) is currently considered Fairly Valued. The stock's GF Value™ is 円917.08, compared to a current price of 円956.00 — trading 4.2% above its estimated fair value. The current ROA % is 7.21%, which is 34% above median its 10-year median of 5.40 and 157.5% above the Construction industry median of 2.80. Nippon Kanryu Industry Co's overall GF Score™ is 60/100 with 3 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 Nippon Kanryu Industry Co (FSE:1771), the current ROA % is 7.21% 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 Nippon Kanryu Industry Co (FSE:1771) Overvalued in 2026?

Based on GuruFocus' analysis, Nippon Kanryu Industry Co stock appears to be overvalued. The current stock price of 円956.00 is trading 4.2% above its estimated GF Value™ of 円917.08. GuruFocus considers Nippon Kanryu Industry Co to be Fairly Valued.

Key valuation signals for FSE:1771:

  • ROA %: 7.21% (34% above median its 10-year median of 5.40)
  • GF Value™: 円917.08 vs. price of 円956.00 (4.2% above fair value)
  • GF Score™: 60/100 with 3 warning signs
  • Industry Position: 157.5% above the Construction median (#829 of 1777)

No single metric tells the full story. See the FSE:1771 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nippon Kanryu Industry Co Business Description

Address Umade 1-11-11, Higashi Ward, Fukuoka, JPN, 812-0054
Nippon Kanryu Industry Co Ltd is engaged in the construction business which includes traffic safety facilities construction, legal construction, landscape construction, and other construction works. It has disaster prevention safety business which sales disaster prevention goods, industrial safety and health related products. It also has chemicals business consist production of insoluble sulfur, manufacture of environmental type natural soil herbs. The company has two reportable segments: Construction Business; and Disaster Prevention and Safety Business.
60GF Score

Get the complete analysis for FSE:1771

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円956.00
Price
円917.08
GF Value