AR Advanced Technology (TSE:5578) ROCE %: 45.03% (As of Feb. 2026)

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TSE:5578 AR Advanced Technology Inc TSE:5578
62 GF Score
Price 円1,017.00
GF Value 円1,040.45
Valuation Fairly Valued
! 1 Warning Sign
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What is AR Advanced Technology ROCE %?

AR Advanced Technology TSE:5578 +6.72% 62 ROCE % is 45.03% as of Feb. 2026. GuruFocus rates TSE:5578 with a GF Score™ of 62/100 and a GF Value™ of 円1,040.45 (Fairly Valued). The stock has 1 warning sign 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. AR Advanced Technology's annualized ROCE % for the quarter that ended in Feb. 2026 was 45.03%.

AR Advanced Technology  (TSE:5578) 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.

AR Advanced Technology ROCE % Related Terms

AR Advanced Technology ROCE % Historical Data

* Premium members only.

The historical data trend for AR Advanced Technology'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.

AR Advanced Technology ROCE % Chart

AR Advanced Technology Annual Data
Trend Aug21 Aug22 Aug23 Aug24 Aug25
ROCE %
52.26 41.51 34.80 22.58 31.95

AR Advanced Technology Semi-Annual Data
Aug21 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
ROCE % Get a 7-Day Free Trial Premium Member Only 25.24 20.61 21.05 40.16 45.03
TSE:5578
62GF Score
AR Advanced Technology Inc TSE:5578
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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AR Advanced Technology ROCE % Calculation

AR Advanced Technology's annualized ROCE % for the fiscal year that ended in Aug. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Aug. 2025 )  (A: Aug. 2024 )(A: Aug. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Aug. 2025 )  (A: Aug. 2024 )(A: Aug. 2025 )
=746.824/( ( (4748.092 - 2759.985) + (6762.941 - 4075.685) )/ 2 )
=746.824/( (1988.107+2687.256)/ 2 )
=746.824/2337.6815
=31.95 %

AR Advanced Technology's ROCE % of for the quarter that ended in Feb. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Feb. 2026 )  (Q: Aug. 2025 )(Q: Feb. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Feb. 2026 )  (Q: Aug. 2025 )(Q: Feb. 2026 )
=1246.278/( ( (6762.941 - 4075.685) + (6651.046 - 3803.006) )/ 2 )
=1246.278/( ( 2687.256 + 2848.04 )/ 2 )
=1246.278/2767.648
=45.03 %

(1) Note: The EBIT data used here is two times the semi-annual (Feb. 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 45.03% mean?
AR Advanced Technology (TSE:5578) has a ROCE % of 45.03% as of Feb. 2026.
Is AR Advanced Technology's ROCE % too high?
AR Advanced Technology's current ROCE % is 45.03%. The Software industry median ROCE % is 5.29. AR Advanced Technology's value of 45.03% is 751.2% above this industry median. Overall, AR Advanced Technology has a GF Score™ of 62/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does AR Advanced Technology's ROCE % compare to IBM and ACN?
AR Advanced Technology's ROCE % of 45.03% can be compared against companies in the Software industry. The industry median ROCE % is 5.29. AR Advanced Technology's value of 45.03% is 751.2% 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 Software company?
The median ROCE % among Software companies is 5.29, based on 2,719 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. AR Advanced Technology's current ROCE % of 45.03% is 751.2% 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 Software industry, the median ROCE % is 5.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AR Advanced Technology's current ROCE % is 45.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AR Advanced Technology stock overvalued right now?
Based on GuruFocus' analysis, AR Advanced Technology (TSE:5578) is currently considered Fairly Valued. The stock's GF Value™ is 円1,040.45, compared to a current price of 円1,017.00 — trading 2.3% below its estimated fair value. The current ROCE % is 45.03% and 751.2% above the Software industry median of 5.29. AR Advanced Technology's overall GF Score™ is 62/100 with 1 warning sign 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 AR Advanced Technology (TSE:5578), the current ROCE % is 45.03% as of Feb. 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 AR Advanced Technology (TSE:5578) Overvalued in 2026?

Based on GuruFocus' analysis, AR Advanced Technology stock appears to be undervalued. The current stock price of 円1,017.00 is trading 2.3% below its estimated GF Value™ of 円1,040.45. GuruFocus considers AR Advanced Technology to be Fairly Valued.

Key valuation signals for TSE:5578:

  • ROCE %: 45.03%
  • GF Value™: 円1,040.45 vs. price of 円1,017.00 (2.3% below fair value)
  • GF Score™: 62/100 with 1 warning sign
  • Industry Position: 751.2% above the Software median

No single metric tells the full story. See the TSE:5578 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

AR Advanced Technology Business Description

Address 2-17-1 Shibuya, Shibuya-ku, Tokyo, JPN, 150-0002
AR Advanced Technology Inc is engaged in the DX solution business utilizing cloud technology, data analysis, and AI. It provides a comprehensive service that goes beyond simple system introduction. Its products and services include Loogue faq, an AI chatbot that is specialized in employee inquiries; Zidoma data which may be useful to reduce fileserver operating costs; and Mieta a cloud contact center analysis management service.
62GF Score

Get the complete analysis for TSE:5578

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

円1,017.00
Price
円1,040.45
GF Value