Kodensha CoTSE:1948 -0.09%53 ROA % is 7.92% as of Sep. 2025, which is 122% above its 10-year median of 3.57. GuruFocus rates TSE:1948 with a GF Score™ of 53/100 and a GF Value™ of 円1,375.45 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,780 Construction companies, Kodensha Co ranks worse than 55.06% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Kodensha Co's annualizedNet Income for the quarter that ended in Sep. 2025 was 円2,532 Mil.
Kodensha Co's average Total Assets over the quarter that ended in Sep. 2025 was 円31,965 Mil. Therefore, Kodensha Co's annualized ROA % for the quarter that ended in Sep. 2025 was 7.92%.
The historical rank and industry rank for Kodensha Co's ROA % or its related term are showing as below:
TSE:1948'
s ROA % Range Over the Past 10 Years
Min: 1.07 Med: 3.57 Max: 8.32
Current: 2.1
During the past 13 years, Kodensha Co's highest ROA % was 8.32%. The lowest was 1.07%. And the median was 3.57%.
TSE:1948's ROA % is ranked worse than 55.06% of 1780
companies
in the Construction industry
Industry Median: 2.83
vs TSE:1948: 2.10
Kodensha Co (TSE:1948) 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 (Sep. 2025) net income data. The Revenue data used here is four times the quarterly (Sep. 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.
Kodensha Co ROA % Related Terms
Kodensha Co ROA % Historical Data
* Premium members only.
The historical data trend for Kodensha 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 Engineering & Construction subindustry, Kodensha 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.
Kodensha Co ROA % vs Construction Industry
For the Construction industry and Industrials sector, Kodensha Co's ROA % distribution charts can be found below:
* The bar in red indicates where Kodensha 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 (Sep. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Kodensha Co (TSE:1948) has a ROA % of 7.92% as of Sep. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Kodensha Co and its competitors. This is 122% above median its historical median of 3.57. Over the past decade, Kodensha Co's ROA % has ranged from 1.07 to 8.32. According to the industry distribution chart, Kodensha Co ranks #980 out of 1780 companies in the Construction industry, placing it in the top 55.1%.
Is Kodensha Co's ROA % too high?
Kodensha Co's current ROA % of 7.92% is 122% above median its 10-year median of 3.57. Over the past 10 years, this metric has ranged from a low of 1.07 to a high of 8.32. The Construction industry median ROA % is 2.83. Kodensha Co's value of 7.92% is 179.9% above this industry median. Based on the distribution chart, Kodensha Co ranks #980 out of 1780 companies in the Construction industry, which is below the industry midpoint. Overall, Kodensha Co has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kodensha Co's ROA % compare to PWR and FIX?
According to the Construction industry distribution chart, Kodensha Co ranks #980 out of 1780 companies for ROA %. This places Kodensha Co in the lower half of its industry. The industry median ROA % is 2.83. Kodensha Co's value of 7.92% is 179.9% above this benchmark. Historically, Kodensha Co's own ROA % has ranged from 1.07 to 8.32 over the past decade. While the company's 10-year median is 3.57 vs. the industry median of 2.83, Kodensha 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 2.83, based on 1,780 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. Kodensha Co's current ROA % of 7.92% is 179.9% 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 Kodensha Co and its competitors. For the Construction industry, the median ROA % is 2.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kodensha Co's current ROA % is 7.92%, which is 122% above median its own 10-year median of 3.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kodensha Co stock overvalued right now?
Based on GuruFocus' analysis, Kodensha Co (TSE:1948) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,375.45, compared to a current price of 円11,410.00 — trading 729.5% above its estimated fair value. The current ROA % is 7.92%, which is 122% above median its 10-year median of 3.57 and 179.9% above the Construction industry median of 2.83. Kodensha Co's overall GF Score™ is 53/100 with 6 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 Kodensha Co (TSE:1948), the current ROA % is 7.92% as of Sep. 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 Kodensha Co (TSE:1948) Overvalued in 2026?
Based on GuruFocus' analysis, Kodensha Co stock appears to be overvalued.
The current stock price of 円11,410.00 is trading 729.5% above its estimated GF Value™ of 円1,375.45.
GuruFocus considers Kodensha Co to be Significantly Overvalued.
Key valuation signals for TSE:1948:
ROA %: 7.92% (122% above median its 10-year median of 3.57)
GF Value™: 円1,375.45 vs. price of 円11,410.00 (729.5% above fair value)
Industry Position: 179.9% above the Construction median (#980 of 1780)
No single metric tells the full story. See the TSE:1948 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kodensha Co Ltd is a specialized company of electrical equipment construction. It has diversified its operations into the following segments. The "Electrical Equipment Construction Business" carries out indoor wiring construction, power transmission line construction, power generation and transformation construction, communication construction, and air conditioning construction. The "Product Sales Business" sells electronic control and measurement machinery and equipment, substation equipment and equipment, machine tools and equipment, information and communication machinery and equipment, refrigeration and air conditioning machinery and equipment, elevators and monitoring, and control equipment.
53GF Score
Get the complete analysis for TSE:1948
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSE:1948 has been successfully added to your 
