Chi-Technology Co (TSE:5581) ROA %: 6.37% (As of Feb. 2026) — 144% Above Median


TSE:5581 Chi-Technology Co Ltd TSE:5581
31 GF Score
Price 円193.00
GF Value 円266.28
! 1 Warning Sign
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What is Chi-Technology Co ROA %?

Chi-Technology Co TSE:5581 31 ROA % is 6.37% as of Feb. 2026, which is 144% above its 10-year median of 2.61. GuruFocus rates TSE:5581 with a GF Score™ of 31/100 and a GF Value™ of 円266.28. The stock has 1 warning sign investors should review.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Chi-Technology Co's annualized Net Income for the quarter that ended in Feb. 2026 was 円143 Mil. Chi-Technology Co's average Total Assets over the quarter that ended in Feb. 2026 was 円2,241 Mil. Therefore, Chi-Technology Co's annualized ROA % for the quarter that ended in Feb. 2026 was 6.37%.

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

TSE:5581' s ROA % Range Over the Past 10 Years
Min: 0.95   Med: 2.61   Max: 22.46
Current: 3.18

During the past 5 years, Chi-Technology Co's highest ROA % was 22.46%. The lowest was 0.95%. And the median was 2.61%.

TSE:5581's ROA % is not ranked
in the Software industry.
Industry Median: 1.65 vs TSE:5581: 3.18

Chi-Technology Co  (TSE:5581) 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: Feb. 2026 )
=Net Income/Total Assets
=142.854/2240.909
=(Net Income / Revenue)*(Revenue / Total Assets)
=(142.854 / 4152.116)*(4152.116 / 2240.909)
=Net Margin %*Asset Turnover
=3.44 %*1.8529
=6.37 %

Note: The Net Income data used here is two times the semi-annual (Feb. 2026) net income data. The Revenue data used here is two times the semi-annual (Feb. 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.


Chi-Technology Co ROA % Related Terms


Chi-Technology Co ROA % Historical Data

* Premium members only.

The historical data trend for Chi-Technology 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.

Chi-Technology Co ROA % Chart

Chi-Technology Co Annual Data
Trend Aug21 Aug22 Aug23 Aug24 Aug25
ROA %
0.00 22.46 2.09 0.95 3.13

Chi-Technology Co Semi-Annual Data
Aug21 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
ROA % Get a 7-Day Free Trial Premium Member Only 3.07 -0.83 6.34 -0.08 6.37

TSE:5581 vs UBER, CRM, SHOP: ROA % Comparison

For the Software - Application subindustry, Chi-Technology 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.


Chi-Technology Co ROA % vs Software Industry

For the Software industry and Technology sector, Chi-Technology Co's ROA % distribution charts can be found below:

* The bar in red indicates where Chi-Technology Co's ROA % falls into.


TSE:5581
31GF Score
Chi-Technology Co Ltd TSE:5581
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Chi-Technology Co ROA % Calculation

Chi-Technology Co's annualized ROA % for the fiscal year that ended in Aug. 2025 is calculated as:

ROA %=Net Income (A: Aug. 2025 )/( (Total Assets (A: Aug. 2024 )+Total Assets (A: Aug. 2025 ))/ count )
=70.511/( (2326.906+2173.708)/ 2 )
=70.511/2250.307
=3.13 %

Chi-Technology Co's annualized ROA % for the quarter that ended in Feb. 2026 is calculated as:

ROA %=Net Income (Q: Feb. 2026 )/( (Total Assets (Q: Aug. 2025 )+Total Assets (Q: Feb. 2026 ))/ count )
=142.854/( (2173.708+2308.11)/ 2 )
=142.854/2240.909
=6.37 %

* 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 (Feb. 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 6.37% mean?
Chi-Technology Co (TSE:5581) has a ROA % of 6.37% as of Feb. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Chi-Technology Co and its competitors. This is 144% above median its historical median of 2.61. Over the past decade, Chi-Technology Co's ROA % has ranged from 0.95 to 22.46.
Is Chi-Technology Co's ROA % too high?
Chi-Technology Co's current ROA % of 6.37% is 144% above median its 10-year median of 2.61. Over the past 10 years, this metric has ranged from a low of 0.95 to a high of 22.46. The Software industry median ROA % is 1.65. Chi-Technology Co's value of 6.37% is 286.1% above this industry median. Overall, Chi-Technology Co has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does Chi-Technology Co's ROA % compare to UBER and CRM?
Chi-Technology Co's ROA % of 6.37% can be compared against companies in the Software industry. The industry median ROA % is 1.65. Chi-Technology Co's value of 6.37% is 286.1% above this benchmark. Historically, Chi-Technology Co's own ROA % has ranged from 0.95 to 22.46 over the past decade. While the company's 10-year median is 2.61 vs. the industry median of 1.65, Chi-Technology 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 Software company?
The median ROA % among Software companies is 1.65, based on 2,881 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. Chi-Technology Co's current ROA % of 6.37% is 286.1% 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 Chi-Technology Co and its competitors. For the Software industry, the median ROA % is 1.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Chi-Technology Co's current ROA % is 6.37%, which is 144% above median its own 10-year median of 2.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chi-Technology Co stock overvalued right now?
Chi-Technology Co (TSE:5581) has a current ROA % of 6.37%. The stock's GF Value™ is 円266.28, compared to a current price of 円193.00 — trading 27.5% below its estimated fair value. The current ROA % is 6.37%, which is 144% above median its 10-year median of 2.61 and 286.1% above the Software industry median of 1.65. Chi-Technology Co's overall GF Score™ is 31/100 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 Chi-Technology Co (TSE:5581), the current ROA % is 6.37% as of Feb. 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 Chi-Technology Co (TSE:5581) Overvalued in 2026?

Based on GuruFocus' analysis, Chi-Technology Co stock appears to be undervalued. The current stock price of 円193.00 is trading 27.5% below its estimated GF Value™ of 円266.28.

Key valuation signals for TSE:5581:

  • ROA %: 6.37% (144% above median its 10-year median of 2.61)
  • GF Value™: 円266.28 vs. price of 円193.00 (27.5% below fair value)
  • GF Score™: 31/100 with 1 warning sign
  • Industry Position: 286.1% above the Software median

No single metric tells the full story. See the TSE:5581 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Chi-Technology Co Business Description

Address 87 Naito-cho, 6th floor, Okido Government Building, Shinjuku-ku, Tokyo, JPN, 160-0014
Chi-Technology Co Ltd is engaged in Temporary staffing/SES business for manufacturing, logistics, broadcasting, and finance-related businesses, package sales business, and commissioned development business. Its services include Application development support, Software development, and Development and service operation of the nutrition management application.
31GF Score

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

円193.00
Price
円266.28
GF Value