Nippon Paper Industries Co (TSE:3863) ROCE %: 3.45% (As of Mar. 2026)


TSE:3863 Nippon Paper Industries Co Ltd TSE:3863
61 GF Score
Price 円1,249.00
GF Value 円1,145.23
Valuation Fairly Valued
! 5 Warning Signs
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What is Nippon Paper Industries Co ROCE %?

Nippon Paper Industries Co TSE:3863 +0.24% 61 ROCE % is 3.45% as of Mar. 2026. GuruFocus rates TSE:3863 with a GF Score™ of 61/100 and a GF Value™ of 円1,145.23 (Fairly Valued). The stock has 5 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 Paper Industries Co's annualized ROCE % for the quarter that ended in Mar. 2026 was 3.45%.

Nippon Paper Industries Co  (TSE:3863) 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 Paper Industries Co ROCE % Related Terms

Nippon Paper Industries Co ROCE % Historical Data

* Premium members only.

The historical data trend for Nippon Paper Industries 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 Paper Industries Co ROCE % Chart

Nippon Paper Industries 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 1.32 -2.88 3.46 1.78 2.85

Nippon Paper Industries 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 2.68 2.60 1.08 4.12 3.45
TSE:3863
61GF Score
Nippon Paper Industries Co Ltd TSE:3863
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Nippon Paper Industries Co ROCE % Calculation

Nippon Paper Industries 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 )
=35677/( ( (1703308 - 479192) + (1738479 - 462541) )/ 2 )
=35677/( (1224116+1275938)/ 2 )
=35677/1250027
=2.85 %

Nippon Paper Industries Co'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 )
=44372/( ( (1741057 - 446064) + (1738479 - 462541) )/ 2 )
=44372/( ( 1294993 + 1275938 )/ 2 )
=44372/1285465.5
=3.45 %

(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 3.45% mean?
Nippon Paper Industries Co (TSE:3863) has a ROCE % of 3.45% as of Mar. 2026.
Is Nippon Paper Industries Co's ROCE % too high?
Nippon Paper Industries Co's current ROCE % is 3.45%. The Forest Products industry median ROCE % is 3.38. Nippon Paper Industries Co's value of 3.45% is 2.1% above this industry median. Overall, Nippon Paper Industries Co has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nippon Paper Industries Co's ROCE % compare to competitors?
Nippon Paper Industries Co's ROCE % of 3.45% can be compared against companies in the Forest Products industry. The industry median ROCE % is 3.38. Nippon Paper Industries Co's value of 3.45% is 2.1% 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 Forest Products company?
The median ROCE % among Forest Products companies is 3.38, based on 280 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 Paper Industries Co's current ROCE % of 3.45% is 2.1% 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 Forest Products industry, the median ROCE % is 3.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Paper Industries Co's current ROCE % is 3.45%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Paper Industries Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Paper Industries Co (TSE:3863) is currently considered Fairly Valued. The stock's GF Value™ is 円1,145.23, compared to a current price of 円1,249.00 — trading 9.1% above its estimated fair value. The current ROCE % is 3.45% and 2.1% above the Forest Products industry median of 3.38. Nippon Paper Industries Co's overall GF Score™ is 61/100 with 5 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 Paper Industries Co (TSE:3863), the current ROCE % is 3.45% 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 Nippon Paper Industries Co (TSE:3863) Overvalued in 2026?

Based on GuruFocus' analysis, Nippon Paper Industries Co stock appears to be overvalued. The current stock price of 円1,249.00 is trading 9.1% above its estimated GF Value™ of 円1,145.23. GuruFocus considers Nippon Paper Industries Co to be Fairly Valued.

Key valuation signals for TSE:3863:

  • ROCE %: 3.45%
  • GF Value™: 円1,145.23 vs. price of 円1,249.00 (9.1% above fair value)
  • GF Score™: 61/100 with 5 warning signs
  • Industry Position: 2.1% above the Forest Products median

No single metric tells the full story. See the TSE:3863 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Nippon Paper Industries Co Business Description

Other Exchanges 9NI:Germany
Address 4-6, Kanda-Surugadai, Chiyoda-ku, Tokyo, JPN, 101-0062
Nippon Paper Industries Co Ltd produces and sells a variety of paper products. The company's paper products include newsprint, printing, sanitary, and packaging paper, as well as container board and boxes. The firm also sells construction materials, and generates electric power. Nippon Paper organizes itself into four segments based on product type: pulp and paper; paper related; wood products and construction related; and other. The pulp and paper segment generates the majority of revenue. The majority of sales are made in Japan.
61GF Score

Get the complete analysis for TSE:3863

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

円1,249.00
Price
円1,145.23
GF Value