Tomoe Engineering CoTSE:6309 +1.77%86 ROA % is 9.86% as of Apr. 2026, which is 110% above its 10-year median of 4.69. GuruFocus rates TSE:6309 with a GF Score™ of 86/100 and a GF Value™ of 円1,614.29 (Modestly Overvalued). The stock has 1 warning sign investors should review. Among 3,077 Industrial Products companies, Tomoe Engineering Co ranks better than 77.74% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Tomoe Engineering Co's annualizedNet Income for the quarter that ended in Apr. 2026 was 円5,586 Mil.
Tomoe Engineering Co's average Total Assets over the quarter that ended in Apr. 2026 was 円56,675 Mil. Therefore, Tomoe Engineering Co's annualized ROA % for the quarter that ended in Apr. 2026 was 9.86%.
The historical rank and industry rank for Tomoe Engineering Co's ROA % or its related term are showing as below:
TSE:6309'
s ROA % Range Over the Past 10 Years
Min: 2.8 Med: 4.69 Max: 7.32
Current: 7.32
During the past 13 years, Tomoe Engineering Co's highest ROA % was 7.32%. The lowest was 2.80%. And the median was 4.69%.
TSE:6309's ROA % is ranked better than 77.74% of 3077
companies
in the Industrial Products industry
Industry Median: 3.05
vs TSE:6309: 7.32
Tomoe Engineering Co (TSE:6309) 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 (Apr. 2026) net income data. The Revenue data used here is two times the semi-annual (Apr. 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.
* 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 Industrial Machinery subindustry, Tomoe Engineering 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.
Tomoe Engineering Co ROA % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Tomoe Engineering Co's ROA % distribution charts can be found below:
* The bar in red indicates where Tomoe Engineering 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 (Apr. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Tomoe Engineering Co (TSE:6309) has a ROA % of 9.86% as of Apr. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Tomoe Engineering Co and its competitors. This is 110% above median its historical median of 4.69. Over the past decade, Tomoe Engineering Co's ROA % has ranged from 2.80 to 7.32. According to the industry distribution chart, Tomoe Engineering Co ranks #685 out of 3077 companies in the Industrial Products industry, placing it in the top 22.3%.
Is Tomoe Engineering Co's ROA % too high?
Tomoe Engineering Co's current ROA % of 9.86% is 110% above median its 10-year median of 4.69. Over the past 10 years, this metric has ranged from a low of 2.80 to a high of 7.32. The Industrial Products industry median ROA % is 3.05. Tomoe Engineering Co's value of 9.86% is 223.3% above this industry median. Based on the distribution chart, Tomoe Engineering Co ranks #685 out of 3077 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Tomoe Engineering Co has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tomoe Engineering Co's ROA % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Tomoe Engineering Co ranks #685 out of 3077 companies for ROA %. This places Tomoe Engineering Co in the top 22% of its industry — outperforming the majority of peers. The industry median ROA % is 3.05. Tomoe Engineering Co's value of 9.86% is 223.3% above this benchmark. Historically, Tomoe Engineering Co's own ROA % has ranged from 2.80 to 7.32 over the past decade. While the company's 10-year median is 4.69 vs. the industry median of 3.05, Tomoe Engineering 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 an Industrial Products company?
The median ROA % among Industrial Products companies is 3.05, based on 3,077 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. Tomoe Engineering Co's current ROA % of 9.86% is 223.3% 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 Tomoe Engineering Co and its competitors. For the Industrial Products industry, the median ROA % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tomoe Engineering Co's current ROA % is 9.86%, which is 110% above median its own 10-year median of 4.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tomoe Engineering Co stock overvalued right now?
Based on GuruFocus' analysis, Tomoe Engineering Co (TSE:6309) is currently considered Modestly Overvalued. The stock's GF Value™ is 円1,614.29, compared to a current price of 円1,901.00 — trading 17.8% above its estimated fair value. The current ROA % is 9.86%, which is 110% above median its 10-year median of 4.69 and 223.3% above the Industrial Products industry median of 3.05. Tomoe Engineering Co's overall GF Score™ is 86/100 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 Tomoe Engineering Co (TSE:6309), the current ROA % is 9.86% as of Apr. 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 Tomoe Engineering Co (TSE:6309) Overvalued in 2026?
Based on GuruFocus' analysis, Tomoe Engineering Co stock appears to be overvalued.
The current stock price of 円1,901.00 is trading 17.8% above its estimated GF Value™ of 円1,614.29.
GuruFocus considers Tomoe Engineering Co to be Modestly Overvalued.
Key valuation signals for TSE:6309:
ROA %: 9.86% (110% above median its 10-year median of 4.69)
GF Value™: 円1,614.29 vs. price of 円1,901.00 (17.8% above fair value)
Industry Position: 223.3% above the Industrial Products median (#685 of 3077)
No single metric tells the full story. See the TSE:6309 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tomoe Engineering Co Ltd is engaged in the manufacture and sale of centrifuges and the supply of chemical industrial products. Its product portfolio comprises centrifugal separators for applications in different industries, including wastewater and sludge treatment, food, animal feed, energy, biology, chemicals, and others. In addition, the group offers different industrial chemical products such as synthetic resins, alumina hydrate, electrode paste, UV curing resins, zirconia, silica fume, etc. The group's reportable segments are Chemical industrial product sales business, which generates maximum revenue, and the Machinery manufacturing and sales business.
86GF Score
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