ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Top Culture Co's annualizedNet Income for the quarter that ended in Apr. 2026 was 円1,624 Mil.
Top Culture Co's average Total Assets over the quarter that ended in Apr. 2026 was 円16,262 Mil. Therefore, Top Culture Co's annualized ROA % for the quarter that ended in Apr. 2026 was 9.99%.
The historical rank and industry rank for Top Culture Co's ROA % or its related term are showing as below:
TSE:7640'
s ROA % Range Over the Past 10 Years
Min: -10.08 Med: -4.57 Max: 2.17
Current: 2.17
During the past 13 years, Top Culture Co's highest ROA % was 2.17%. The lowest was -10.08%. And the median was -4.57%.
TSE:7640's ROA % is ranked worse than 54.94% of 1134
companies
in the Retail - Cyclical industry
Industry Median: 2.725
vs TSE:7640: 2.17
Top Culture Co (TSE:7640) 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.
Top Culture Co ROA % Related Terms
Top Culture Co ROA % Historical Data
* Premium members only.
The historical data trend for Top Culture 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.
For the Specialty Retail subindustry, Top Culture 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.
Top Culture Co ROA % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Top Culture Co's ROA % distribution charts can be found below:
* The bar in red indicates where Top Culture 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.
Top Culture Co (TSE:7640) has a ROA % of 9.99% 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 Top Culture Co and its competitors. According to the industry distribution chart, Top Culture Co ranks #623 out of 1134 companies in the Retail - Cyclical industry, placing it in the top 54.9%.
Is Top Culture Co's ROA % too high?
Top Culture Co's current ROA % is 9.99%. The Retail - Cyclical industry median ROA % is 2.73. Top Culture Co's value of 9.99% is 266.6% above this industry median. Based on the distribution chart, Top Culture Co ranks #623 out of 1134 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Top Culture Co has a GF Score™ of 49/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Top Culture Co's ROA % compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Top Culture Co ranks #623 out of 1134 companies for ROA %. This places Top Culture Co in the lower half of its industry. The industry median ROA % is 2.73. Top Culture Co's value of 9.99% is 266.6% above this benchmark. 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 Retail - Cyclical company?
The median ROA % among Retail - Cyclical companies is 2.73, based on 1,134 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. Top Culture Co's current ROA % of 9.99% is 266.6% 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 Top Culture Co and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Top Culture Co's current ROA % is 9.99%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Top Culture Co stock overvalued right now?
Based on GuruFocus' analysis, Top Culture Co (TSE:7640) is currently considered Modestly Overvalued. The stock's GF Value™ is 円129.59, compared to a current price of 円167.00 — trading 28.9% above its estimated fair value. The current ROA % is 9.99% and 266.6% above the Retail - Cyclical industry median of 2.73. Top Culture Co's overall GF Score™ is 49/100 with 3 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 Top Culture Co (TSE:7640), the current ROA % is 9.99% 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 Top Culture Co (TSE:7640) Overvalued in 2026?
Based on GuruFocus' analysis, Top Culture Co stock appears to be overvalued.
The current stock price of 円167.00 is trading 28.9% above its estimated GF Value™ of 円129.59.
GuruFocus considers Top Culture Co to be Modestly Overvalued.
Key valuation signals for TSE:7640:
ROA %: 9.99%
GF Value™: 円129.59 vs. price of 円167.00 (28.9% above fair value)
Industry Position: 266.6% above the Retail - Cyclical median (#623 of 1134)
No single metric tells the full story. See the TSE:7640 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Top Culture Co Ltd is a speciality retail company. The firm mainly sells books, stationery, music and video software. The company owns and operates approximately 74 retail stores in Japan. In addition, the company is engaged in the management of sports facilities and maintenance of store facilities. Its reportable segments are: Tsutaya Bookstore Business, Games and trading cards business, Sports-related business, Visiting nurse business, and Catering business.
49GF Score
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