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ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Kawakami Paint Manufacturing Co's annualizedNet Income for the quarter that ended in Nov. 2025 was 円168 Mil.
Kawakami Paint Manufacturing Co's average Total Assets over the quarter that ended in Nov. 2025 was 円8,569 Mil. Therefore, Kawakami Paint Manufacturing Co's annualized ROA % for the quarter that ended in Nov. 2025 was 1.96%.
TSE:4616'
s ROA % Range Over the Past 10 Years
Min: -0.03 Med: 2.28 Max: 3.78
Current: 0.85
During the past 13 years, Kawakami Paint Manufacturing Co's highest ROA % was 3.78%. The lowest was -0.03%. And the median was 2.28%.
TSE:4616's ROA % is ranked worse than 66.11% of 1611
companies
in the Chemicals industry
Industry Median: 2.92
vs TSE:4616: 0.85
Kawakami Paint Manufacturing Co (TSE:4616) 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 (Nov. 2025) net income data. The Revenue data used here is two times the semi-annual (Nov. 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.
Kawakami Paint Manufacturing Co ROA % Related Terms
Kawakami Paint Manufacturing Co ROA % Historical 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.
For the Specialty Chemicals subindustry, Kawakami Paint Manufacturing 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.
Kawakami Paint Manufacturing Co ROA % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Kawakami Paint Manufacturing Co's ROA % distribution charts can be found below:
* The bar in red indicates where Kawakami Paint Manufacturing 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 two times the semi-annual (Nov. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Kawakami Paint Manufacturing Co (TSE:4616) has a ROA % of 1.96% as of Nov. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Kawakami Paint Manufacturing Co and its competitors. This is 14% below median its historical median of 2.28. According to the industry distribution chart, Kawakami Paint Manufacturing Co ranks #1065 out of 1611 companies in the Chemicals industry, placing it in the top 66.1%.
Is Kawakami Paint Manufacturing Co's ROA % too high?
Kawakami Paint Manufacturing Co's current ROA % of 1.96% is 14% below median its 10-year median of 2.28. The Chemicals industry median ROA % is 2.92. Kawakami Paint Manufacturing Co's value of 1.96% is 32.9% below this industry median. Based on the distribution chart, Kawakami Paint Manufacturing Co ranks #1065 out of 1611 companies in the Chemicals industry, which is below the industry midpoint. Overall, Kawakami Paint Manufacturing Co has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kawakami Paint Manufacturing Co's ROA % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Kawakami Paint Manufacturing Co ranks #1065 out of 1611 companies for ROA %. This places Kawakami Paint Manufacturing Co in the lower half of its industry. The industry median ROA % is 2.92. Kawakami Paint Manufacturing Co's value of 1.96% is 32.9% below this benchmark. While the company's 10-year median is 2.28 vs. the industry median of 2.92, Kawakami Paint Manufacturing Co has consistently been below 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. Kawakami Paint Manufacturing Co's current ROA % of 1.96% is 32.9% below 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 Kawakami Paint Manufacturing 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. Kawakami Paint Manufacturing Co's current ROA % is 1.96%, which is 14% below median its own 10-year median of 2.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kawakami Paint Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Kawakami Paint Manufacturing Co (TSE:4616) is currently considered Modestly Overvalued. The stock's GF Value™ is 円1,658.84, compared to a current price of 円1,938.00 — trading 16.8% above its estimated fair value. The current ROA % is 1.96%, which is 14% below median its 10-year median of 2.28 and 32.9% below the Chemicals industry median of 2.92. Kawakami Paint Manufacturing Co's overall GF Score™ is 64/100 with 8 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 Kawakami Paint Manufacturing Co (TSE:4616), the current ROA % is 1.96% as of Nov. 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 Kawakami Paint Manufacturing Co (TSE:4616) Overvalued in 2026?
Based on GuruFocus' analysis, Kawakami Paint Manufacturing Co stock appears to be overvalued.
The current stock price of 円1,938.00 is trading 16.8% above its estimated GF Value™ of 円1,658.84.
GuruFocus considers Kawakami Paint Manufacturing Co to be Modestly Overvalued.
Key valuation signals for TSE:4616:
ROA %: 1.96% (14% below median its 10-year median of 2.28)
GF Value™: 円1,658.84 vs. price of 円1,938.00 (16.8% above fair value)
Industry Position: 32.9% below the Chemicals median (#1065 of 1611)
No single metric tells the full story. See the TSE:4616 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kawakami Paint Manufacturing Co Business Description
Kawakami Paint Manufacturing Co Ltd is engaged in manufacturing and selling various paints in Japan. Its products include heat insulation paints, ultra-low temperature powder, and water-based paints; and general purpose building paints, as well as floor coatings, building interior and exterior paints, aqueous paint, and rustproof paint.
64GF Score
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