AI (TSE:4388) ROCE %: 8.87% (As of Mar. 2026)


TSE:4388 AI Inc TSE:4388
77 GF Score
Price 円376.00
GF Value 円1,085.67
Valuation Significantly Undervalued
! 5 Warning Signs
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What is AI ROCE %?

AI TSE:4388 +1.08% 77 ROCE % is 8.87% as of Mar. 2026. GuruFocus rates TSE:4388 with a GF Score™ of 77/100 and a GF Value™ of 円1,085.67 (Significantly Undervalued). 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. AI's annualized ROCE % for the quarter that ended in Mar. 2026 was 8.87%.

AI  (TSE:4388) 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.

AI ROCE % Related Terms

AI ROCE % Historical Data

* Premium members only.

The historical data trend for AI'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.

AI ROCE % Chart

AI 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 8.68 1.81 8.29 -0.92 4.45

AI Semi-Annual Data
Mar16 Mar17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 17.35 0.31 -2.06 0.69 8.87
TSE:4388
77GF Score
AI Inc TSE:4388
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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AI ROCE % Calculation

AI'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 )
=108.537/( ( (2960.214 - 356.158) + (2548.287 - 268.914) )/ 2 )
=108.537/( (2604.056+2279.373)/ 2 )
=108.537/2441.7145
=4.45 %

AI'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: Sep. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Sep. 2025 )(Q: Mar. 2026 )
=200.302/( ( (2461.248 - 222.179) + (2548.287 - 268.914) )/ 2 )
=200.302/( ( 2239.069 + 2279.373 )/ 2 )
=200.302/2259.221
=8.87 %

(1) Note: The EBIT data used here is two times the semi-annual (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 8.87% mean?
AI (TSE:4388) has a ROCE % of 8.87% as of Mar. 2026.
Is AI's ROCE % too high?
AI's current ROCE % is 8.87%. The Hardware industry median ROCE % is 5.87. AI's value of 8.87% is 51.2% above this industry median. Overall, AI has a GF Score™ of 77/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does AI's ROCE % compare to CSCO and CIEN?
AI's ROCE % of 8.87% can be compared against companies in the Hardware industry. The industry median ROCE % is 5.87. AI's value of 8.87% is 51.2% 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 Hardware company?
The median ROCE % among Hardware companies is 5.87, based on 2,454 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. AI's current ROCE % of 8.87% is 51.2% 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 Hardware industry, the median ROCE % is 5.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AI's current ROCE % is 8.87%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AI stock overvalued right now?
Based on GuruFocus' analysis, AI (TSE:4388) is currently considered Significantly Undervalued. The stock's GF Value™ is 円1,085.67, compared to a current price of 円376.00 — trading 65.4% below its estimated fair value. The current ROCE % is 8.87% and 51.2% above the Hardware industry median of 5.87. AI's overall GF Score™ is 77/100 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 AI (TSE:4388), the current ROCE % is 8.87% 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 AI (TSE:4388) Overvalued in 2026?

Based on GuruFocus' analysis, AI stock appears to be undervalued. The current stock price of 円376.00 is trading 65.4% below its estimated GF Value™ of 円1,085.67. GuruFocus considers AI to be Significantly Undervalued.

Key valuation signals for TSE:4388:

  • ROCE %: 8.87%
  • GF Value™: 円1,085.67 vs. price of 円376.00 (65.4% below fair value)
  • GF Score™: 77/100 with 5 warning signs
  • Industry Position: 51.2% above the Hardware median

No single metric tells the full story. See the TSE:4388 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

AI Business Description

Address KDX Kasuga Building, 10th Floor, 1-15-15 Nishikata, Bunkyo Ward, Tokyo, JPN, 113-0024
AI Inc provides and develops voice synthesis systems and consults related business services in Japan. The company provides a high-quality speech synthesis engine capable of freely synthesizing speech with more human-like natural speech, employing a corpus-based speech synthesis method that combines human voice rather than conventional machine sound. The company's product includes AlTalk, AlTalk SDK, AlTalk Server, and AlTalk Custom Voice.
77GF Score

Get the complete analysis for TSE:4388

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

円376.00
Price
円1,085.67
GF Value