Nippon Techno LabSSE:3849 -0.16%71 ROA % is 23.70% as of Mar. 2026, which is 650% above its 10-year median of 3.16. GuruFocus rates SSE:3849 with a GF Score™ of 71/100 and a GF Value™ of 円852.24 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 2,882 Software companies, Nippon Techno Lab ranks better than 73.28% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nippon Techno Lab's annualizedNet Income for the quarter that ended in Mar. 2026 was 円339.2 Mil.
Nippon Techno Lab's average Total Assets over the quarter that ended in Mar. 2026 was 円1,431.3 Mil. Therefore, Nippon Techno Lab's annualized ROA % for the quarter that ended in Mar. 2026 was 23.70%.
The historical rank and industry rank for Nippon Techno Lab's ROA % or its related term are showing as below:
SSE:3849'
s ROA % Range Over the Past 10 Years
Min: -4.4 Med: 3.16 Max: 7.17
Current: 7.17
During the past 13 years, Nippon Techno Lab's highest ROA % was 7.17%. The lowest was -4.40%. And the median was 3.16%.
SSE:3849's ROA % is ranked better than 73.28% of 2882
companies
in the Software industry
Industry Median: 1.66
vs SSE:3849: 7.17
Nippon Techno Lab (SSE:3849) 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 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 Techno Lab ROA % Related Terms
Nippon Techno Lab ROA % Historical Data
* Premium members only.
The historical data trend for Nippon Techno Lab'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 Software - Application subindustry, Nippon Techno Lab'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 Techno Lab ROA % vs Software Industry
For the Software industry and Technology sector, Nippon Techno Lab's ROA % distribution charts can be found below:
* The bar in red indicates where Nippon Techno Lab'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 two times the semi-annual (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Nippon Techno Lab (SSE:3849) has a ROA % of 23.70% 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 Techno Lab and its competitors. This is 650% above median its historical median of 3.16. According to the industry distribution chart, Nippon Techno Lab ranks #770 out of 2882 companies in the Software industry, placing it in the top 26.7%.
Is Nippon Techno Lab's ROA % too high?
Nippon Techno Lab's current ROA % of 23.70% is 650% above median its 10-year median of 3.16. The Software industry median ROA % is 1.66. Nippon Techno Lab's value of 23.70% is 1327.7% above this industry median. Based on the distribution chart, Nippon Techno Lab ranks #770 out of 2882 companies in the Software industry, which is above the industry midpoint. Overall, Nippon Techno Lab has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Techno Lab's ROA % compare to UBER and SHOP?
According to the Software industry distribution chart, Nippon Techno Lab ranks #770 out of 2882 companies for ROA %. This puts Nippon Techno Lab in the upper half of its industry. The industry median ROA % is 1.66. Nippon Techno Lab's value of 23.70% is 1327.7% above this benchmark. While the company's 10-year median is 3.16 vs. the industry median of 1.66, Nippon Techno Lab 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 Software company?
The median ROA % among Software companies is 1.66, based on 2,882 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 Techno Lab's current ROA % of 23.70% is 1327.7% 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 Techno Lab and its competitors. For the Software industry, the median ROA % is 1.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Techno Lab's current ROA % is 23.70%, which is 650% above median its own 10-year median of 3.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Techno Lab stock overvalued right now?
Based on GuruFocus' analysis, Nippon Techno Lab (SSE:3849) is currently considered Modestly Undervalued. The stock's GF Value™ is 円852.24, compared to a current price of 円624.00 — trading 26.8% below its estimated fair value. The current ROA % is 23.70%, which is 650% above median its 10-year median of 3.16 and 1327.7% above the Software industry median of 1.66. Nippon Techno Lab's overall GF Score™ is 71/100 with 1 warning sign 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 Techno Lab (SSE:3849), the current ROA % is 23.70% 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 Techno Lab (SSE:3849) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Techno Lab stock appears to be undervalued.
The current stock price of 円624.00 is trading 26.8% below its estimated GF Value™ of 円852.24.
GuruFocus considers Nippon Techno Lab to be Modestly Undervalued.
Key valuation signals for SSE:3849:
ROA %: 23.70% (650% above median its 10-year median of 3.16)
GF Value™: 円852.24 vs. price of 円624.00 (26.8% below fair value)
Industry Position: 1327.7% above the Software median (#770 of 2882)
No single metric tells the full story. See the SSE:3849 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Techno Lab Inc is engaged in Imaging & Printer Controller Business that develops and sells controllers and controller software for industrial printers and plotters. The company is engaged in the storage solutions business and contract development business.
71GF Score
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