Nippon Kayaku Co (FRA:NP7) ROCE %: 9.57% (As of Dec. 2025)


FRA:NP7 Nippon Kayaku Co Ltd FRA:NP7
84 GF Score
Price €11.00
GF Value €9.08
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is Nippon Kayaku Co ROCE %?

Nippon Kayaku Co FRA:NP7 -0.90% 84 ROCE % is 9.57% as of Dec. 2025. GuruFocus rates FRA:NP7 with a GF Score™ of 84/100 and a GF Value™ of €9.08 (Modestly Overvalued). The stock has 7 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Nippon Kayaku Co's annualized ROCE % for the quarter that ended in Dec. 2025 was 9.57%.

Nippon Kayaku Co  (FRA:NP7) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Nippon Kayaku Co ROCE % Related Terms

Nippon Kayaku Co ROCE % Historical Data

* Premium members only.

The historical data trend for Nippon Kayaku Co's ROCE % 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.

Nippon Kayaku Co ROCE % Chart

Nippon Kayaku Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.99 7.28 2.34 7.19 9.79

Nippon Kayaku Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % 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 3.97 7.70 13.07 9.57 11.06
FRA:NP7
84GF Score
Nippon Kayaku Co Ltd FRA:NP7
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nippon Kayaku Co ROCE % Calculation

Nippon Kayaku Co's annualized ROCE % for the fiscal year that ended in Mar. 2026 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=185.687/( ( (2319.103 - 345.072) + (2173.562 - 355.021) )/ 2 )
=185.687/( (1974.031+1818.541)/ 2 )
=185.687/1896.286
=9.79 %

Nippon Kayaku Co's ROCE % of for the quarter that ended in Dec. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=176.876/( ( (2258.188 - 376.155) + (2223.675 - 409.568) )/ 2 )
=176.876/( ( 1882.033 + 1814.107 )/ 2 )
=176.876/1848.07
=9.57 %

(1) Note: The EBIT data used here is four times the quarterly (Dec. 2025) EBIT 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 9.57% mean?
Nippon Kayaku Co (FRA:NP7) has a ROCE % of 9.57% as of Dec. 2025.
Is Nippon Kayaku Co's ROCE % too high?
Nippon Kayaku Co's current ROCE % is 9.57%. The Chemicals industry median ROCE % is 6.45. Nippon Kayaku Co's value of 9.57% is 48.5% above this industry median. Overall, Nippon Kayaku Co has a GF Score™ of 84/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Kayaku Co's ROCE % compare to DOW?
Nippon Kayaku Co's ROCE % of 9.57% can be compared against companies in the Chemicals industry. The industry median ROCE % is 6.45. Nippon Kayaku Co's value of 9.57% is 48.5% 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 ROCE % for a Chemicals company?
The median ROCE % among Chemicals companies is 6.45, based on 1,594 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Nippon Kayaku Co's current ROCE % of 9.57% is 48.5% 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Chemicals industry, the median ROCE % is 6.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Kayaku Co's current ROCE % is 9.57%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Kayaku Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Kayaku Co (FRA:NP7) is currently considered Modestly Overvalued. The stock's GF Value™ is €9.08, compared to a current price of €11.00 — trading 21.1% above its estimated fair value. The current ROCE % is 9.57% and 48.5% above the Chemicals industry median of 6.45. Nippon Kayaku Co's overall GF Score™ is 84/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Nippon Kayaku Co (FRA:NP7), the current ROCE % is 9.57% 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 Nippon Kayaku Co (FRA:NP7) Overvalued in 2026?

Based on GuruFocus' analysis, Nippon Kayaku Co stock appears to be overvalued. The current stock price of €11.00 is trading 21.1% above its estimated GF Value™ of €9.08. GuruFocus considers Nippon Kayaku Co to be Modestly Overvalued.

Key valuation signals for FRA:NP7:

  • ROCE %: 9.57%
  • GF Value™: €9.08 vs. price of €11.00 (21.1% above fair value)
  • GF Score™: 84/100 with 7 warning signs
  • Industry Position: 48.5% above the Chemicals median

No single metric tells the full story. See the FRA:NP7 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Nippon Kayaku Co Business Description

Other Exchanges NPKYY:USA4272:Japan
Address 1-1, Marunouchi 2-chome, Chiyoda-ku, Meiji Yasuda Seimei Building 19th and 20th Floors, Tokyo, JPN, 100-0005
Nippon Kayaku Co Ltd manufactures and sells a variety of chemicals. The firm organizes itself into four segments based on product type. The functional chemicals segment, which generates more revenue than any other segment, sells epoxy resins used as flame retardants in electronics, colorants and dyes used in inkjet printers and the manufacture of textiles. The pharmaceuticals segment sells anti-cancer drugs, biological drugs, cardiovascular agents, vitamin compounds, and anti-inflammatory agents. The safety systems segment sells airbag inflators and micro gas generators for seatbelt pretensioners to the automotive industry, both of which are used to protect passengers during an accident. The agrochemicals segment sells insecticides and herbicides. The majority of revenue comes from Asia.
84GF Score

Get the complete analysis for FRA:NP7

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

€11.00
Price
€9.08
GF Value