Gun Ei Chemical Industry Co (TSE:4229) ROA %: 3.03% (As of Mar. 2026) — Near Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:4229 Gun Ei Chemical Industry Co Ltd TSE:4229
64 GF Score
Price 円4,545.00
GF Value 円3,203.39
Valuation Significantly Overvalued
! 1 Warning Sign
View Full Analysis

What is Gun Ei Chemical Industry Co ROA %?

Gun Ei Chemical Industry Co TSE:4229 -1.73% 64 ROA % is 3.03% as of Mar. 2026, which is 2% below its 10-year median of 3.08. GuruFocus rates TSE:4229 with a GF Score™ of 64/100 and a GF Value™ of 円3,203.39 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,611 Chemicals companies, Gun Ei Chemical Industry Co ranks better than 51.09% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Gun Ei Chemical Industry Co's annualized Net Income for the quarter that ended in Mar. 2026 was 円2,000 Mil. Gun Ei Chemical Industry Co's average Total Assets over the quarter that ended in Mar. 2026 was 円66,064 Mil. Therefore, Gun Ei Chemical Industry Co's annualized ROA % for the quarter that ended in Mar. 2026 was 3.03%.

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

TSE:4229' s ROA % Range Over the Past 10 Years
Min: 2.2   Med: 3.08   Max: 3.71
Current: 3.03

During the past 13 years, Gun Ei Chemical Industry Co's highest ROA % was 3.71%. The lowest was 2.20%. And the median was 3.08%.

TSE:4229's ROA % is ranked better than
51.09% of 1611 companies
in the Chemicals industry
Industry Median: 2.92 vs TSE:4229: 3.03

Gun Ei Chemical Industry Co  (TSE:4229) 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
=2000/66063.5
=(Net Income / Revenue)*(Revenue / Total Assets)
=(2000 / 31484)*(31484 / 66063.5)
=Net Margin %*Asset Turnover
=6.35 %*0.4766
=3.03 %

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.


Gun Ei Chemical Industry Co ROA % Related Terms


Gun Ei Chemical Industry Co ROA % Historical Data

* Premium members only.

The historical data trend for Gun Ei Chemical 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.

Gun Ei Chemical Industry Co ROA % Chart

Gun Ei Chemical Industry 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 3.62 2.20 3.53 3.10 3.01

Gun Ei Chemical 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 2.59 3.26 3.03 3.06 3.03

TSE:4229 vs LIN, SHW, ECL: ROA % Comparison

For the Specialty Chemicals subindustry, Gun Ei Chemical 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.


Gun Ei Chemical Industry Co ROA % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Gun Ei Chemical Industry Co's ROA % distribution charts can be found below:

* The bar in red indicates where Gun Ei Chemical Industry Co's ROA % falls into.


TSE:4229
64GF Score
Gun Ei Chemical Industry Co Ltd TSE:4229
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Gun Ei Chemical Industry Co ROA % Calculation

Gun Ei Chemical Industry 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 )
=1973/( (63018+68012)/ 2 )
=1973/65515
=3.01 %

Gun Ei Chemical 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 )
=2000/( (64115+68012)/ 2 )
=2000/66063.5
=3.03 %

* 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 3.03% mean?
Gun Ei Chemical Industry Co (TSE:4229) has a ROA % of 3.03% 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 Gun Ei Chemical Industry Co and its competitors. This is near median its historical median of 3.08. Over the past decade, Gun Ei Chemical Industry Co's ROA % has ranged from 2.20 to 3.71. According to the industry distribution chart, Gun Ei Chemical Industry Co ranks #788 out of 1611 companies in the Chemicals industry, placing it in the top 48.9%.
Is Gun Ei Chemical Industry Co's ROA % too high?
Gun Ei Chemical Industry Co's current ROA % of 3.03% is near median its 10-year median of 3.08. Over the past 10 years, this metric has ranged from a low of 2.20 to a high of 3.71. The Chemicals industry median ROA % is 2.92. Gun Ei Chemical Industry Co's value of 3.03% is 3.8% above this industry median. Based on the distribution chart, Gun Ei Chemical Industry Co ranks #788 out of 1611 companies in the Chemicals industry, which is above the industry midpoint. Overall, Gun Ei Chemical Industry Co has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Gun Ei Chemical Industry Co's ROA % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Gun Ei Chemical Industry Co ranks #788 out of 1611 companies for ROA %. This puts Gun Ei Chemical Industry Co in the upper half of its industry. The industry median ROA % is 2.92. Gun Ei Chemical Industry Co's value of 3.03% is 3.8% above this benchmark. Historically, Gun Ei Chemical Industry Co's own ROA % has ranged from 2.20 to 3.71 over the past decade. While the company's 10-year median is 3.08 vs. the industry median of 2.92, Gun Ei Chemical 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 Chemicals company?
The median ROA % among Chemicals companies is 2.92, based on 1,611 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. Gun Ei Chemical Industry Co's current ROA % of 3.03% is 3.8% 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 Gun Ei Chemical Industry Co and its competitors. For the Chemicals industry, the median ROA % is 2.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gun Ei Chemical Industry Co's current ROA % is 3.03%, which is near median its own 10-year median of 3.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gun Ei Chemical Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Gun Ei Chemical Industry Co (TSE:4229) is currently considered Significantly Overvalued. The stock's GF Value™ is 円3,203.39, compared to a current price of 円4,545.00 — trading 41.9% above its estimated fair value. The current ROA % is 3.03%, which is near median its 10-year median of 3.08 and 3.8% above the Chemicals industry median of 2.92. Gun Ei Chemical Industry Co's overall GF Score™ is 64/100 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 Gun Ei Chemical Industry Co (TSE:4229), the current ROA % is 3.03% 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 Gun Ei Chemical Industry Co (TSE:4229) Overvalued in 2026?

Based on GuruFocus' analysis, Gun Ei Chemical Industry Co stock appears to be overvalued. The current stock price of 円4,545.00 is trading 41.9% above its estimated GF Value™ of 円3,203.39. GuruFocus considers Gun Ei Chemical Industry Co to be Significantly Overvalued.

Key valuation signals for TSE:4229:

  • ROA %: 3.03% (near median its 10-year median of 3.08)
  • GF Value™: 円3,203.39 vs. price of 円4,545.00 (41.9% above fair value)
  • GF Score™: 64/100 with 1 warning sign
  • Industry Position: 3.8% above the Chemicals median (#788 of 1611)

No single metric tells the full story. See the TSE:4229 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Gun Ei Chemical Industry Co Business Description

Address 700 Shukuorui-machi, Takasaki, JPN, 370-0032
Gun Ei Chemical Industry Co Ltd is a chemical manufacturer. The company operates in two business segments. The Chemical segment manufactures and sells industrial phenol resin, urea-melamine-based adhesives, casting binders, spherical resin, plasticizers, formalin, Bisphenol F, resin and hardener for molding processes, high-function fiber, and resin-coated sand. The Real Estate Utilization segment is involved the real estate leasing business.
64GF Score

Get the complete analysis for TSE:4229

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

円4,545.00
Price
円3,203.39
GF Value