JAPAF (Japan Tobacco) ROCE %: 19.73% (As of Mar. 2026)


JAPAF Japan Tobacco Inc JAPAF
78 GF Score
Price $37.74
GF Value $33.10
Valuation Modestly Overvalued
! 7 Warning Signs
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What is Japan Tobacco ROCE %?

Japan Tobacco JAPAF 78 ROCE % is 19.73% as of Mar. 2026. GuruFocus rates JAPAF with a GF Score™ of 78/100 and a GF Value™ of $33.10 (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. Japan Tobacco's annualized ROCE % for the quarter that ended in Mar. 2026 was 19.73%.

Japan Tobacco  (OTCPK:JAPAF) 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.

Japan Tobacco ROCE % Related Terms

Japan Tobacco ROCE % Historical Data

* Premium members only.

The historical data trend for Japan Tobacco'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.

Japan Tobacco ROCE % Chart

Japan Tobacco Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.88 13.63 13.43 6.42 14.61

Japan Tobacco 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 17.49 16.25 18.63 6.85 19.73
JAPAF
78GF Score
Japan Tobacco Inc JAPAF
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Japan Tobacco ROCE % Calculation

Japan Tobacco's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=5996.729/( ( (54421.026 - 13968.838) + (53998.91 - 12360.915) )/ 2 )
=5996.729/( (40452.188+41637.995)/ 2 )
=5996.729/41045.0915
=14.61 %

Japan Tobacco's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=8114.332/( ( (53998.91 - 12360.915) + (52628.358 - 12015.569) )/ 2 )
=8114.332/( ( 41637.995 + 40612.789 )/ 2 )
=8114.332/41125.392
=19.73 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) 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 19.73% mean?
Japan Tobacco (JAPAF) has a ROCE % of 19.73% as of Mar. 2026.
Is Japan Tobacco's ROCE % too high?
Japan Tobacco's current ROCE % is 19.73%. The Tobacco Products industry median ROCE % is 17.46. Japan Tobacco's value of 19.73% is 13% above this industry median. Overall, Japan Tobacco has a GF Score™ of 78/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Japan Tobacco's ROCE % compare to PM and MO?
Japan Tobacco's ROCE % of 19.73% can be compared against companies in the Tobacco Products industry. The industry median ROCE % is 17.46. Japan Tobacco's value of 19.73% is 13% 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 Tobacco Products company?
The median ROCE % among Tobacco Products companies is 17.46, based on 46 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. Japan Tobacco's current ROCE % of 19.73% is 13% 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 Tobacco Products industry, the median ROCE % is 17.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Japan Tobacco's current ROCE % is 19.73%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Tobacco stock overvalued right now?
Based on GuruFocus' analysis, Japan Tobacco (JAPAF) is currently considered Modestly Overvalued. The stock's GF Value™ is $33.10, compared to a current price of $37.74 — trading 14% above its estimated fair value. The current ROCE % is 19.73% and 13% above the Tobacco Products industry median of 17.46. Japan Tobacco's overall GF Score™ is 78/100 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 Japan Tobacco (JAPAF), the current ROCE % is 19.73% 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 Japan Tobacco (JAPAF) Overvalued in 2026?

Based on GuruFocus' analysis, Japan Tobacco stock appears to be overvalued. The current stock price of $37.74 is trading 14% above its estimated GF Value™ of $33.10. GuruFocus considers Japan Tobacco to be Modestly Overvalued.

Key valuation signals for JAPAF:

  • ROCE %: 19.73%
  • GF Value™: $33.10 vs. price of $37.74 (14% above fair value)
  • GF Score™: 78/100 with 7 warning signs
  • Industry Position: 13% above the Tobacco Products median

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

Japan Tobacco Business Description

Address 4-1-1 Toranomon, Minato-ku, Tokyo, JPN, 105-6927
Japan Tobacco primarily sells cigarettes and reduced-risk products, organized in three clusters consisting of Asia (which includes its home market and countries in Asia Pacific), Western Europe, and EMA (which includes Eastern Europe, the Middle East North Africa, Turkey, Americas, and duty-free). Its leading cigarette brands include Winston (non-US), Camel (non-US), Mevius, and LD. Its reduced-risk brands include Logic in vaping, Ploom in heated tobacco, and Nordic Spirit in nicotine pouches, though these generates less than 5% of tobacco sales.
78GF Score

Get the complete analysis for JAPAF

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

$37.74
Price
$33.10
GF Value