Tokyo Communications GroupTSE:7359 +0.94%69 ROA % is 10.01% as of Dec. 2025, which is 47% above its 10-year median of 6.80. GuruFocus rates TSE:7359 with a GF Score™ of 69/100 and a GF Value™ of 円495.89 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 1,035 Media - Diversified companies, Tokyo Communications Group ranks better than 81.45% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Tokyo Communications Group's annualizedNet Income for the quarter that ended in Dec. 2025 was 円370 Mil.
Tokyo Communications Group's average Total Assets over the quarter that ended in Dec. 2025 was 円3,692 Mil. Therefore, Tokyo Communications Group's annualized ROA % for the quarter that ended in Dec. 2025 was 10.01%.
The historical rank and industry rank for Tokyo Communications Group's ROA % or its related term are showing as below:
TSE:7359'
s ROA % Range Over the Past 10 Years
Min: -9.46 Med: 6.8 Max: 16.43
Current: 6.21
During the past 8 years, Tokyo Communications Group's highest ROA % was 16.43%. The lowest was -9.46%. And the median was 6.80%.
TSE:7359's ROA % is ranked better than 81.45% of 1035
companies
in the Media - Diversified industry
Industry Median: 0.65
vs TSE:7359: 6.21
Tokyo Communications Group (TSE:7359) 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 (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.
* 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 Advertising Agencies subindustry, Tokyo Communications Group'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.
Tokyo Communications Group ROA % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Tokyo Communications Group's ROA % distribution charts can be found below:
* The bar in red indicates where Tokyo Communications Group'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 (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Tokyo Communications Group (TSE:7359) has a ROA % of 10.01% 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 Tokyo Communications Group and its competitors. This is 47% above median its historical median of 6.80. According to the industry distribution chart, Tokyo Communications Group ranks #192 out of 1035 companies in the Media - Diversified industry, placing it in the top 18.6%.
Is Tokyo Communications Group's ROA % too high?
Tokyo Communications Group's current ROA % of 10.01% is 47% above median its 10-year median of 6.80. The Media - Diversified industry median ROA % is 0.65. Tokyo Communications Group's value of 10.01% is 1440% above this industry median. Based on the distribution chart, Tokyo Communications Group ranks #192 out of 1035 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Tokyo Communications Group has a GF Score™ of 69/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tokyo Communications Group's ROA % compare to APP and OMC?
According to the Media - Diversified industry distribution chart, Tokyo Communications Group ranks #192 out of 1035 companies for ROA %. This places Tokyo Communications Group in the top 19% of its industry — outperforming the majority of peers. The industry median ROA % is 0.65. Tokyo Communications Group's value of 10.01% is 1440% above this benchmark. While the company's 10-year median is 6.80 vs. the industry median of 0.65, Tokyo Communications Group 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 Media - Diversified company?
The median ROA % among Media - Diversified companies is 0.65, based on 1,035 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. Tokyo Communications Group's current ROA % of 10.01% is 1440% 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 Tokyo Communications Group and its competitors. For the Media - Diversified industry, the median ROA % is 0.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tokyo Communications Group's current ROA % is 10.01%, which is 47% above median its own 10-year median of 6.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tokyo Communications Group stock overvalued right now?
Based on GuruFocus' analysis, Tokyo Communications Group (TSE:7359) is currently considered Significantly Undervalued. The stock's GF Value™ is 円495.89, compared to a current price of 円214.00 — trading 56.8% below its estimated fair value. The current ROA % is 10.01%, which is 47% above median its 10-year median of 6.80 and 1440% above the Media - Diversified industry median of 0.65. Tokyo Communications Group's overall GF Score™ is 69/100 with 5 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 Tokyo Communications Group (TSE:7359), the current ROA % is 10.01% 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 Tokyo Communications Group (TSE:7359) Overvalued in 2026?
Based on GuruFocus' analysis, Tokyo Communications Group stock appears to be undervalued.
The current stock price of 円214.00 is trading 56.8% below its estimated GF Value™ of 円495.89.
GuruFocus considers Tokyo Communications Group to be Significantly Undervalued.
Key valuation signals for TSE:7359:
ROA %: 10.01% (47% above median its 10-year median of 6.80)
GF Value™: 円495.89 vs. price of 円214.00 (56.8% below fair value)
Industry Position: 1440% above the Media - Diversified median (#192 of 1035)
No single metric tells the full story. See the TSE:7359 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tokyo Communications Group Inc is an IT marketing company engaged in two main areas: the application business and the advertising agency business. In the app segment, the company develops smartphone apps that generate advertising revenue. The advertising agency business focuses on affiliate-based internet advertising. The company operates through two key segments: the Media Business and the Platform Business. The Media Business earns revenue from advertisers through media management, development of free smartphone apps, and ad product sales using ad tech. The Platform Business operates communication services, health tech apps, and messaging apps, following monthly subscription or pay-as-you-go models tailored to user needs and market demands.
69GF Score
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