Nihon Knowledge Co (TSE:5252) ROCE %: 21.21% (As of Mar. 2026)


TSE:5252 Nihon Knowledge Co Ltd TSE:5252
75 GF Score
Price 円749.00
GF Value 円544.01
Valuation Significantly Overvalued
! 4 Warning Signs
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What is Nihon Knowledge Co ROCE %?

Nihon Knowledge Co TSE:5252 +1.63% 75 ROCE % is 21.21% as of Mar. 2026. GuruFocus rates TSE:5252 with a GF Score™ of 75/100 and a GF Value™ of 円544.01 (Significantly Overvalued). The stock has 4 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. Nihon Knowledge Co's annualized ROCE % for the quarter that ended in Mar. 2026 was 21.21%.

Nihon Knowledge Co  (TSE:5252) 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.

Nihon Knowledge Co ROCE % Related Terms

Nihon Knowledge Co ROCE % Historical Data

* Premium members only.

The historical data trend for Nihon Knowledge 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.

Nihon Knowledge Co ROCE % Chart

Nihon Knowledge Co Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROCE %
Get a 7-Day Free Trial 20.39 21.67 24.32 9.51 9.02

Nihon Knowledge Co Semi-Annual Data
Mar21 Mar22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only 30.14 -2.58 19.94 -3.32 21.21
TSE:5252
75GF Score
Nihon Knowledge Co Ltd TSE:5252
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Nihon Knowledge Co ROCE % Calculation

Nihon Knowledge 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 )
=133.032/( ( (2124.151 - 691.11) + (2255.38 - 738.601) )/ 2 )
=133.032/( (1433.041+1516.779)/ 2 )
=133.032/1474.91
=9.02 %

Nihon Knowledge 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: 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 )
=313.876/( ( (2128.066 - 684.989) + (2255.38 - 738.601) )/ 2 )
=313.876/( ( 1443.077 + 1516.779 )/ 2 )
=313.876/1479.928
=21.21 %

(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 21.21% mean?
Nihon Knowledge Co (TSE:5252) has a ROCE % of 21.21% as of Mar. 2026.
Is Nihon Knowledge Co's ROCE % too high?
Nihon Knowledge Co's current ROCE % is 21.21%. The Software industry median ROCE % is 5.18. Nihon Knowledge Co's value of 21.21% is 309.9% above this industry median. Overall, Nihon Knowledge Co has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nihon Knowledge Co's ROCE % compare to CRM and SHOP?
Nihon Knowledge Co's ROCE % of 21.21% can be compared against companies in the Software industry. The industry median ROCE % is 5.18. Nihon Knowledge Co's value of 21.21% is 309.9% 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 Software company?
The median ROCE % among Software companies is 5.18, based on 2,710 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. Nihon Knowledge Co's current ROCE % of 21.21% is 309.9% 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 Software industry, the median ROCE % is 5.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nihon Knowledge Co's current ROCE % is 21.21%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nihon Knowledge Co stock overvalued right now?
Based on GuruFocus' analysis, Nihon Knowledge Co (TSE:5252) is currently considered Significantly Overvalued. The stock's GF Value™ is 円544.01, compared to a current price of 円749.00 — trading 37.7% above its estimated fair value. The current ROCE % is 21.21% and 309.9% above the Software industry median of 5.18. Nihon Knowledge Co's overall GF Score™ is 75/100 with 4 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 Nihon Knowledge Co (TSE:5252), the current ROCE % is 21.21% 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 Nihon Knowledge Co (TSE:5252) Overvalued in 2026?

Based on GuruFocus' analysis, Nihon Knowledge Co stock appears to be overvalued. The current stock price of 円749.00 is trading 37.7% above its estimated GF Value™ of 円544.01. GuruFocus considers Nihon Knowledge Co to be Significantly Overvalued.

Key valuation signals for TSE:5252:

  • ROCE %: 21.21%
  • GF Value™: 円544.01 vs. price of 円749.00 (37.7% above fair value)
  • GF Score™: 75/100 with 4 warning signs
  • Industry Position: 309.9% above the Software median

No single metric tells the full story. See the TSE:5252 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Nihon Knowledge Co Business Description

Address JS Building 9th Floor, 3-19-5 Kotobuki, Taito-ku, Tokyo, JPN, 111-0042
Nihon Knowledge Co Ltd is a comprehensive ICT service company that provides quality and test technology, development, and security products with a thorough user orientation. The company's services include verification services, Development services, and consultation services. The verification services include Resolving software verification issues through a track record of numerous projects and accumulation of know-how. The development services include management systems for steel wholesalers and processing industries and others.
75GF Score

Get the complete analysis for TSE:5252

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

円749.00
Price
円544.01
GF Value