TOHOKU CHEMICAL Co (TSE:7446) ROA %: 3.91% (As of Mar. 2026) — 77% Above Median

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TSE:7446 TOHOKU CHEMICAL Co Ltd TSE:7446
68 GF Score
Price 円4,650.00
GF Value 円4,040.47
Valuation Modestly Overvalued
! 5 Warning Signs
View Full Analysis

What is TOHOKU CHEMICAL Co ROA %?

TOHOKU CHEMICAL Co TSE:7446 +0.22% 68 ROA % is 3.91% as of Mar. 2026, which is 77% above its 10-year median of 2.21. GuruFocus rates TSE:7446 with a GF Score™ of 68/100 and a GF Value™ of 円4,040.47 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,611 Chemicals companies, TOHOKU CHEMICAL Co ranks worse than 50.22% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. TOHOKU CHEMICAL Co's annualized Net Income for the quarter that ended in Mar. 2026 was 円800 Mil. TOHOKU CHEMICAL Co's average Total Assets over the quarter that ended in Mar. 2026 was 円20,434 Mil. Therefore, TOHOKU CHEMICAL Co's annualized ROA % for the quarter that ended in Mar. 2026 was 3.91%.

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

TSE:7446' s ROA % Range Over the Past 10 Years
Min: 0.92   Med: 2.21   Max: 3.91
Current: 2.9

During the past 13 years, TOHOKU CHEMICAL Co's highest ROA % was 3.91%. The lowest was 0.92%. And the median was 2.21%.

TSE:7446's ROA % is ranked worse than
50.22% of 1611 companies
in the Chemicals industry
Industry Median: 2.92 vs TSE:7446: 2.90

TOHOKU CHEMICAL Co  (TSE:7446) 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: Mar. 2026 )
=Net Income/Total Assets
=799.708/20434.2275
=(Net Income / Revenue)*(Revenue / Total Assets)
=(799.708 / 40226.528)*(40226.528 / 20434.2275)
=Net Margin %*Asset Turnover
=1.99 %*1.9686
=3.91 %

Note: The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 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.


TOHOKU CHEMICAL Co ROA % Related Terms


TOHOKU CHEMICAL Co ROA % Historical Data

* Premium members only.

The historical data trend for TOHOKU CHEMICAL 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.

TOHOKU CHEMICAL Co ROA % Chart

TOHOKU CHEMICAL Co Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.36 3.91 3.05 1.31 2.40

TOHOKU CHEMICAL Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 Premium Member Only Premium Member Only 3.73 2.26 1.24 4.03 3.91

TSE:7446 vs LIN, SHW, ECL: ROA % Comparison

For the Specialty Chemicals subindustry, TOHOKU CHEMICAL 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.


TOHOKU CHEMICAL Co ROA % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, TOHOKU CHEMICAL Co's ROA % distribution charts can be found below:

* The bar in red indicates where TOHOKU CHEMICAL Co's ROA % falls into.


TSE:7446
68GF Score
TOHOKU CHEMICAL Co Ltd TSE:7446
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

TOHOKU CHEMICAL Co ROA % Calculation

TOHOKU CHEMICAL Co's annualized ROA % for the fiscal year that ended in Sep. 2025 is calculated as:

ROA %=Net Income (A: Sep. 2025 )/( (Total Assets (A: Sep. 2024 )+Total Assets (A: Sep. 2025 ))/ count )
=428.799/( (17239.477+18422.827)/ 2 )
=428.799/17831.152
=2.40 %

TOHOKU CHEMICAL Co's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=799.708/( (20515.953+20352.502)/ 2 )
=799.708/20434.2275
=3.91 %

* 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 four times the quarterly (Mar. 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 3.91% mean?
TOHOKU CHEMICAL Co (TSE:7446) has a ROA % of 3.91% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on TOHOKU CHEMICAL Co and its competitors. This is 77% above median its historical median of 2.21. Over the past decade, TOHOKU CHEMICAL Co's ROA % has ranged from 0.92 to 3.91. According to the industry distribution chart, TOHOKU CHEMICAL Co ranks #809 out of 1611 companies in the Chemicals industry, placing it in the top 50.2%.
Is TOHOKU CHEMICAL Co's ROA % too high?
TOHOKU CHEMICAL Co's current ROA % of 3.91% is 77% above median its 10-year median of 2.21. Over the past 10 years, this metric has ranged from a low of 0.92 to a high of 3.91. The Chemicals industry median ROA % is 2.92. TOHOKU CHEMICAL Co's value of 3.91% is 33.9% above this industry median. Based on the distribution chart, TOHOKU CHEMICAL Co ranks #809 out of 1611 companies in the Chemicals industry, which is below the industry midpoint. Overall, TOHOKU CHEMICAL Co has a GF Score™ of 68/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does TOHOKU CHEMICAL Co's ROA % compare to LIN and SHW?
According to the Chemicals industry distribution chart, TOHOKU CHEMICAL Co ranks #809 out of 1611 companies for ROA %. This places TOHOKU CHEMICAL Co in the lower half of its industry. The industry median ROA % is 2.92. TOHOKU CHEMICAL Co's value of 3.91% is 33.9% above this benchmark. Historically, TOHOKU CHEMICAL Co's own ROA % has ranged from 0.92 to 3.91 over the past decade. While the company's 10-year median is 2.21 vs. the industry median of 2.92, TOHOKU CHEMICAL 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 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. TOHOKU CHEMICAL Co's current ROA % of 3.91% is 33.9% 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 TOHOKU CHEMICAL 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. TOHOKU CHEMICAL Co's current ROA % is 3.91%, which is 77% above median its own 10-year median of 2.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TOHOKU CHEMICAL Co stock overvalued right now?
Based on GuruFocus' analysis, TOHOKU CHEMICAL Co (TSE:7446) is currently considered Modestly Overvalued. The stock's GF Value™ is 円4,040.47, compared to a current price of 円4,650.00 — trading 15.1% above its estimated fair value. The current ROA % is 3.91%, which is 77% above median its 10-year median of 2.21 and 33.9% above the Chemicals industry median of 2.92. TOHOKU CHEMICAL Co's overall GF Score™ is 68/100 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 TOHOKU CHEMICAL Co (TSE:7446), the current ROA % is 3.91% as of Mar. 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 TOHOKU CHEMICAL Co (TSE:7446) Overvalued in 2026?

Based on GuruFocus' analysis, TOHOKU CHEMICAL Co stock appears to be overvalued. The current stock price of 円4,650.00 is trading 15.1% above its estimated GF Value™ of 円4,040.47. GuruFocus considers TOHOKU CHEMICAL Co to be Modestly Overvalued.

Key valuation signals for TSE:7446:

  • ROA %: 3.91% (77% above median its 10-year median of 2.21)
  • GF Value™: 円4,040.47 vs. price of 円4,650.00 (15.1% above fair value)
  • GF Score™: 68/100 with 5 warning signs
  • Industry Position: 33.9% above the Chemicals median (#809 of 1611)

No single metric tells the full story. See the TSE:7446 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


TOHOKU CHEMICAL Co Business Description

Address 1-3-1 Kanda, Aomori-Prefecture, Hirosaki, JPN, 36-8061
TOHOKU CHEMICAL Co Ltd is a Japan based trading company specializing in the field of chemical-related products. The company deals with a wide range of commodities in chemical industrial reagents, clinical diagnostic reagents, food additives, health-related merchandise and agricultural materials.
68GF Score

Get the complete analysis for TSE:7446

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

円4,650.00
Price
円4,040.47
GF Value