Wakachiku Construction Co (TSE:1888) ROA %: 6.27% (As of Mar. 2026) — 56% Above Median


TSE:1888 Wakachiku Construction Co Ltd TSE:1888
53 GF Score
Price 円3,290.00
GF Value 円4,353.75
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Wakachiku Construction Co ROA %?

Wakachiku Construction Co TSE:1888 +1.54% 53 ROA % is 6.27% as of Mar. 2026, which is 56% above its 10-year median of 4.03. GuruFocus rates TSE:1888 with a GF Score™ of 53/100 and a GF Value™ of 円4,353.75 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,776 Construction companies, Wakachiku Construction Co ranks better than 60.47% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Wakachiku Construction Co's annualized Net Income for the quarter that ended in Mar. 2026 was 円6,860 Mil. Wakachiku Construction Co's average Total Assets over the quarter that ended in Mar. 2026 was 円109,345 Mil. Therefore, Wakachiku Construction Co's annualized ROA % for the quarter that ended in Mar. 2026 was 6.27%.

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

TSE:1888' s ROA % Range Over the Past 10 Years
Min: 2.04   Med: 4.03   Max: 6.41
Current: 4.22

During the past 13 years, Wakachiku Construction Co's highest ROA % was 6.41%. The lowest was 2.04%. And the median was 4.03%.

TSE:1888's ROA % is ranked better than
60.47% of 1776 companies
in the Construction industry
Industry Median: 2.795 vs TSE:1888: 4.22

Wakachiku Construction Co  (TSE:1888) 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
=6860/109344.5
=(Net Income / Revenue)*(Revenue / Total Assets)
=(6860 / 118690)*(118690 / 109344.5)
=Net Margin %*Asset Turnover
=5.78 %*1.0855
=6.27 %

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.


Wakachiku Construction Co ROA % Related Terms


Wakachiku Construction Co ROA % Historical Data

* Premium members only.

The historical data trend for Wakachiku Construction 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.

Wakachiku Construction Co ROA % Chart

Wakachiku Construction Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.48 6.41 5.69 4.04 4.08

Wakachiku Construction 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 6.36 0.54 7.92 1.99 6.27

TSE:1888 vs PWR, FIX, EME: ROA % Comparison

For the Engineering & Construction subindustry, Wakachiku Construction 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.


Wakachiku Construction Co ROA % vs Construction Industry

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

* The bar in red indicates where Wakachiku Construction Co's ROA % falls into.


TSE:1888
53GF Score
Wakachiku Construction Co Ltd TSE:1888
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Wakachiku Construction Co ROA % Calculation

Wakachiku Construction Co's annualized ROA % for the fiscal year that ended in Mar. 2026 is calculated as:

ROA %=Net Income (A: Mar. 2026 )/( (Total Assets (A: Mar. 2025 )+Total Assets (A: Mar. 2026 ))/ count )
=4367/( (91890+122423)/ 2 )
=4367/107156.5
=4.08 %

Wakachiku Construction 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 )
=6860/( (96266+122423)/ 2 )
=6860/109344.5
=6.27 %

* 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 6.27% mean?
Wakachiku Construction Co (TSE:1888) has a ROA % of 6.27% 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 Wakachiku Construction Co and its competitors. This is 56% above median its historical median of 4.03. Over the past decade, Wakachiku Construction Co's ROA % has ranged from 2.04 to 6.41. According to the industry distribution chart, Wakachiku Construction Co ranks #702 out of 1776 companies in the Construction industry, placing it in the top 39.5%.
Is Wakachiku Construction Co's ROA % too high?
Wakachiku Construction Co's current ROA % of 6.27% is 56% above median its 10-year median of 4.03. Over the past 10 years, this metric has ranged from a low of 2.04 to a high of 6.41. The Construction industry median ROA % is 2.80. Wakachiku Construction Co's value of 6.27% is 124.3% above this industry median. Based on the distribution chart, Wakachiku Construction Co ranks #702 out of 1776 companies in the Construction industry, which is above the industry midpoint. Overall, Wakachiku Construction Co has a GF Score™ of 53/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Wakachiku Construction Co's ROA % compare to PWR and FIX?
According to the Construction industry distribution chart, Wakachiku Construction Co ranks #702 out of 1776 companies for ROA %. This puts Wakachiku Construction Co in the upper half of its industry. The industry median ROA % is 2.80. Wakachiku Construction Co's value of 6.27% is 124.3% above this benchmark. Historically, Wakachiku Construction Co's own ROA % has ranged from 2.04 to 6.41 over the past decade. While the company's 10-year median is 4.03 vs. the industry median of 2.80, Wakachiku Construction 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 1,776 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. Wakachiku Construction Co's current ROA % of 6.27% is 124.3% 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 Wakachiku Construction 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. Wakachiku Construction Co's current ROA % is 6.27%, which is 56% above median its own 10-year median of 4.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wakachiku Construction Co stock overvalued right now?
Based on GuruFocus' analysis, Wakachiku Construction Co (TSE:1888) is currently considered Modestly Undervalued. The stock's GF Value™ is 円4,353.75, compared to a current price of 円3,290.00 — trading 24.4% below its estimated fair value. The current ROA % is 6.27%, which is 56% above median its 10-year median of 4.03 and 124.3% above the Construction industry median of 2.80. Wakachiku Construction Co's overall GF Score™ is 53/100 with 2 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 Wakachiku Construction Co (TSE:1888), the current ROA % is 6.27% 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 Wakachiku Construction Co (TSE:1888) Overvalued in 2026?

Based on GuruFocus' analysis, Wakachiku Construction Co stock appears to be undervalued. The current stock price of 円3,290.00 is trading 24.4% below its estimated GF Value™ of 円4,353.75. GuruFocus considers Wakachiku Construction Co to be Modestly Undervalued.

Key valuation signals for TSE:1888:

  • ROA %: 6.27% (56% above median its 10-year median of 4.03)
  • GF Value™: 円4,353.75 vs. price of 円3,290.00 (24.4% below fair value)
  • GF Score™: 53/100 with 2 warning signs
  • Industry Position: 124.3% above the Construction median (#702 of 1776)

No single metric tells the full story. See the TSE:1888 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Wakachiku Construction Co Business Description

Address 2-23-18, Shimo-Meguro, Meguro-ku, Tokyo, JPN, 153-0064
Wakachiku Construction Co Ltd is a Japan-based company mainly engaged in the construction business. Principally, it is involved in the projects related to domestic and overseas construction, marine development, regional and urban development, environmental maintenance and conservation, other construction-related projects. Additionally, the company is also into management and real estate business.
53GF Score

Get the complete analysis for TSE:1888

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

円3,290.00
Price
円4,353.75
GF Value