BroadBand Security (TSE:4398) ROA %: 5.95% (As of Dec. 2025) — 38% Below Median


TSE:4398 BroadBand Security Inc TSE:4398
77 GF Score
Price 円1,240.00
GF Value 円1,513.07
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is BroadBand Security ROA %?

BroadBand Security TSE:4398 -0.08% 77 ROA % is 5.95% as of Dec. 2025, which is 38% below its 10-year median of 9.64. GuruFocus rates TSE:4398 with a GF Score™ of 77/100 and a GF Value™ of 円1,513.07 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 2,877 Software companies, BroadBand Security ranks better than 64.69% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. BroadBand Security's annualized Net Income for the quarter that ended in Dec. 2025 was 円227 Mil. BroadBand Security's average Total Assets over the quarter that ended in Dec. 2025 was 円3,823 Mil. Therefore, BroadBand Security's annualized ROA % for the quarter that ended in Dec. 2025 was 5.95%.

The historical rank and industry rank for BroadBand Security's ROA % or its related term are showing as below:

TSE:4398' s ROA % Range Over the Past 10 Years
Min: 2.85   Med: 9.64   Max: 12.4
Current: 4.86

During the past 10 years, BroadBand Security's highest ROA % was 12.40%. The lowest was 2.85%. And the median was 9.64%.

TSE:4398's ROA % is ranked better than
64.69% of 2877 companies
in the Software industry
Industry Median: 1.69 vs TSE:4398: 4.86

BroadBand Security  (TSE:4398) 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: Dec. 2025 )
=Net Income/Total Assets
=227.4/3822.688
=(Net Income / Revenue)*(Revenue / Total Assets)
=(227.4 / 6495.9)*(6495.9 / 3822.688)
=Net Margin %*Asset Turnover
=3.5 %*1.6993
=5.95 %

Note: The Net Income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 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.


BroadBand Security ROA % Related Terms


BroadBand Security ROA % Historical Data

* Premium members only.

The historical data trend for BroadBand Security'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.

BroadBand Security ROA % Chart

BroadBand Security Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.42 11.88 12.40 11.84 3.60

BroadBand Security Semi-Annual Data
Jun16 Jun17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 14.87 9.33 3.46 3.81 5.95

TSE:4398 vs IBM, ACN, FISV: ROA % Comparison

For the Information Technology Services subindustry, BroadBand Security'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.


BroadBand Security ROA % vs Software Industry

For the Software industry and Technology sector, BroadBand Security's ROA % distribution charts can be found below:

* The bar in red indicates where BroadBand Security's ROA % falls into.


TSE:4398
77GF Score
BroadBand Security Inc TSE:4398
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

BroadBand Security ROA % Calculation

BroadBand Security's annualized ROA % for the fiscal year that ended in Jun. 2025 is calculated as:

ROA %=Net Income (A: Jun. 2025 )/( (Total Assets (A: Jun. 2024 )+Total Assets (A: Jun. 2025 ))/ count )
=142.725/( (4127.808+3797.848)/ 2 )
=142.725/3962.828
=3.60 %

BroadBand Security's annualized ROA % for the quarter that ended in Dec. 2025 is calculated as:

ROA %=Net Income (Q: Dec. 2025 )/( (Total Assets (Q: Jun. 2025 )+Total Assets (Q: Dec. 2025 ))/ count )
=227.4/( (3797.848+3847.528)/ 2 )
=227.4/3822.688
=5.95 %

* 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 (Dec. 2025) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 5.95% mean?
BroadBand Security (TSE:4398) has a ROA % of 5.95% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on BroadBand Security and its competitors. This is 38% below median its historical median of 9.64. Over the past decade, BroadBand Security's ROA % has ranged from 2.85 to 12.40. According to the industry distribution chart, BroadBand Security ranks #1016 out of 2877 companies in the Software industry, placing it in the top 35.3%.
Is BroadBand Security's ROA % too high?
BroadBand Security's current ROA % of 5.95% is 38% below median its 10-year median of 9.64. Over the past 10 years, this metric has ranged from a low of 2.85 to a high of 12.40. The Software industry median ROA % is 1.69. BroadBand Security's value of 5.95% is 252.1% above this industry median. Based on the distribution chart, BroadBand Security ranks #1016 out of 2877 companies in the Software industry, which is above the industry midpoint. Overall, BroadBand Security has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does BroadBand Security's ROA % compare to IBM and ACN?
According to the Software industry distribution chart, BroadBand Security ranks #1016 out of 2877 companies for ROA %. This puts BroadBand Security in the upper half of its industry. The industry median ROA % is 1.69. BroadBand Security's value of 5.95% is 252.1% above this benchmark. Historically, BroadBand Security's own ROA % has ranged from 2.85 to 12.40 over the past decade. While the company's 10-year median is 9.64 vs. the industry median of 1.69, BroadBand Security 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 1.69, based on 2,877 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. BroadBand Security's current ROA % of 5.95% is 252.1% 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 BroadBand Security and its competitors. For the Software industry, the median ROA % is 1.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BroadBand Security's current ROA % is 5.95%, which is 38% below median its own 10-year median of 9.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BroadBand Security stock overvalued right now?
Based on GuruFocus' analysis, BroadBand Security (TSE:4398) is currently considered Modestly Undervalued. The stock's GF Value™ is 円1,513.07, compared to a current price of 円1,240.00 — trading 18% below its estimated fair value. The current ROA % is 5.95%, which is 38% below median its 10-year median of 9.64 and 252.1% above the Software industry median of 1.69. BroadBand Security's overall GF Score™ is 77/100 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 BroadBand Security (TSE:4398), the current ROA % is 5.95% as of Dec. 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 BroadBand Security (TSE:4398) Overvalued in 2026?

Based on GuruFocus' analysis, BroadBand Security stock appears to be undervalued. The current stock price of 円1,240.00 is trading 18% below its estimated GF Value™ of 円1,513.07. GuruFocus considers BroadBand Security to be Modestly Undervalued.

Key valuation signals for TSE:4398:

  • ROA %: 5.95% (38% below median its 10-year median of 9.64)
  • GF Value™: 円1,513.07 vs. price of 円1,240.00 (18% below fair value)
  • GF Score™: 77/100 with 2 warning signs
  • Industry Position: 252.1% above the Software median (#1016 of 2877)

No single metric tells the full story. See the TSE:4398 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


BroadBand Security Business Description

Address 8-5-1 Nishi-shinjuku, Shinjuku-ku, Tokyo, JPN, 160-0023
BroadBand Security Inc provides information technology services. The company's services include security consulting, security audit, education/information services, security certificate acquisition, vulnerability diagnosis, managed security service, and secure mail.
77GF Score

Get the complete analysis for TSE:4398

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

円1,240.00
Price
円1,513.07
GF Value