Asahi Kagaku Kogyo CoTSE:7928 +0.64%64 ROA % is 0.95% as of Feb. 2026, which is 14% above its 10-year median of 0.83. GuruFocus rates TSE:7928 with a GF Score™ of 64/100 and a GF Value™ of 円565.65 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 3,071 Industrial Products companies, Asahi Kagaku Kogyo Co ranks worse than 66% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Asahi Kagaku Kogyo Co's annualizedNet Income for the quarter that ended in Feb. 2026 was 円66 Mil.
Asahi Kagaku Kogyo Co's average Total Assets over the quarter that ended in Feb. 2026 was 円6,927 Mil. Therefore, Asahi Kagaku Kogyo Co's annualized ROA % for the quarter that ended in Feb. 2026 was 0.95%.
The historical rank and industry rank for Asahi Kagaku Kogyo Co's ROA % or its related term are showing as below:
TSE:7928'
s ROA % Range Over the Past 10 Years
Min: -5.28 Med: 0.83 Max: 9.51
Current: 1.07
During the past 13 years, Asahi Kagaku Kogyo Co's highest ROA % was 9.51%. The lowest was -5.28%. And the median was 0.83%.
TSE:7928's ROA % is ranked worse than 66% of 3071
companies
in the Industrial Products industry
Industry Median: 3.04
vs TSE:7928: 1.07
Asahi Kagaku Kogyo Co (TSE:7928) 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 (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.
* 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 Tools & Accessories subindustry, Asahi Kagaku Kogyo 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.
Asahi Kagaku Kogyo Co ROA % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Asahi Kagaku Kogyo Co's ROA % distribution charts can be found below:
* The bar in red indicates where Asahi Kagaku Kogyo 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 (Feb. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Asahi Kagaku Kogyo Co (TSE:7928) has a ROA % of 0.95% 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 Asahi Kagaku Kogyo Co and its competitors. This is 14% above median its historical median of 0.83. According to the industry distribution chart, Asahi Kagaku Kogyo Co ranks #2027 out of 3071 companies in the Industrial Products industry, placing it in the top 66%.
Is Asahi Kagaku Kogyo Co's ROA % too high?
Asahi Kagaku Kogyo Co's current ROA % of 0.95% is 14% above median its 10-year median of 0.83. The Industrial Products industry median ROA % is 3.04. Asahi Kagaku Kogyo Co's value of 0.95% is 68.8% below this industry median. Based on the distribution chart, Asahi Kagaku Kogyo Co ranks #2027 out of 3071 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Asahi Kagaku Kogyo Co has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Asahi Kagaku Kogyo Co's ROA % compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Asahi Kagaku Kogyo Co ranks #2027 out of 3071 companies for ROA %. This places Asahi Kagaku Kogyo Co in the lower half of its industry. The industry median ROA % is 3.04. Asahi Kagaku Kogyo Co's value of 0.95% is 68.8% below this benchmark. While the company's 10-year median is 0.83 vs. the industry median of 3.04, Asahi Kagaku Kogyo Co has consistently been below 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 3.04, based on 3,071 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. Asahi Kagaku Kogyo Co's current ROA % of 0.95% is 68.8% below 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 Asahi Kagaku Kogyo Co and its competitors. For the Industrial Products industry, the median ROA % is 3.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Asahi Kagaku Kogyo Co's current ROA % is 0.95%, which is 14% above median its own 10-year median of 0.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Asahi Kagaku Kogyo Co stock overvalued right now?
Based on GuruFocus' analysis, Asahi Kagaku Kogyo Co (TSE:7928) is currently considered Modestly Overvalued. The stock's GF Value™ is 円565.65, compared to a current price of 円629.00 — trading 11.2% above its estimated fair value. The current ROA % is 0.95%, which is 14% above median its 10-year median of 0.83 and 68.8% below the Industrial Products industry median of 3.04. Asahi Kagaku Kogyo Co's overall GF Score™ is 64/100 with 8 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 Asahi Kagaku Kogyo Co (TSE:7928), the current ROA % is 0.95% 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 Asahi Kagaku Kogyo Co (TSE:7928) Overvalued in 2026?
Based on GuruFocus' analysis, Asahi Kagaku Kogyo Co stock appears to be overvalued.
The current stock price of 円629.00 is trading 11.2% above its estimated GF Value™ of 円565.65.
GuruFocus considers Asahi Kagaku Kogyo Co to be Modestly Overvalued.
Key valuation signals for TSE:7928:
ROA %: 0.95% (14% above median its 10-year median of 0.83)
GF Value™: 円565.65 vs. price of 円629.00 (11.2% above fair value)
Industry Position: 68.8% below the Industrial Products median (#2027 of 3071)
No single metric tells the full story. See the TSE:7928 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Asahi Kagaku Kogyo Co Ltd is a manufacturer of plastic parts, plastics molded products, processed goods and sets of plastics. It also provides electric tool parts, automobile parts, applied equipment, pump parts, building materials.
64GF Score
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