Daiwa Cycle Co (TSE:5888) ROCE %: 7.38% (As of Jan. 2026)


TSE:5888 Daiwa Cycle Co Ltd TSE:5888
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What is Daiwa Cycle Co ROCE %?

Daiwa Cycle Co TSE:5888 +0.67% 18 ROCE % is 7.38% as of Jan. 2026. GuruFocus rates TSE:5888 with a GF Score™ of 18/100.

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. Daiwa Cycle Co's annualized ROCE % for the quarter that ended in Jan. 2026 was 7.38%.

Daiwa Cycle Co  (TSE:5888) 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.

Daiwa Cycle Co ROCE % Related Terms

Daiwa Cycle Co ROCE % Historical Data

* Premium members only.

The historical data trend for Daiwa Cycle 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.

Daiwa Cycle Co ROCE % Chart

Daiwa Cycle Co Annual Data
Trend Jan22 Jan23 Jan24 Jan25 Jan26
ROCE %
7.61 19.35 19.54 26.10 23.88

Daiwa Cycle Co Quarterly Data
Jan22 Jan23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
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 43.99 19.00 26.42 7.38 40.24
TSE:5888
18GF Score
Daiwa Cycle Co Ltd TSE:5888
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Daiwa Cycle Co ROCE % Calculation

Daiwa Cycle Co's annualized ROCE % for the fiscal year that ended in Jan. 2026 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jan. 2026 )  (A: Jan. 2025 )(A: Jan. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jan. 2026 )  (A: Jan. 2025 )(A: Jan. 2026 )
=1435.02/( ( (8592.292 - 2981.103) + (9584.519 - 3178.37) )/ 2 )
=1435.02/( (5611.189+6406.149)/ 2 )
=1435.02/6008.669
=23.88 %

Daiwa Cycle Co's ROCE % of for the quarter that ended in Jan. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Jan. 2026 )  (Q: Oct. 2025 )(Q: Jan. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Jan. 2026 )  (Q: Oct. 2025 )(Q: Jan. 2026 )
=468.136/( ( (9021.056 - 2740.158) + (9584.519 - 3178.37) )/ 2 )
=468.136/( ( 6280.898 + 6406.149 )/ 2 )
=468.136/6343.5235
=7.38 %

(1) Note: The EBIT data used here is four times the quarterly (Jan. 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 7.38% mean?
Daiwa Cycle Co (TSE:5888) has a ROCE % of 7.38% as of Jan. 2026.
Is Daiwa Cycle Co's ROCE % too high?
Daiwa Cycle Co's current ROCE % is 7.38%. The Vehicles & Parts industry median ROCE % is 7.94. Daiwa Cycle Co's value of 7.38% is 7.1% below this industry median. Overall, Daiwa Cycle Co has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Daiwa Cycle Co's ROCE % compare to BC and PII?
Daiwa Cycle Co's ROCE % of 7.38% can be compared against companies in the Vehicles & Parts industry. The industry median ROCE % is 7.94. Daiwa Cycle Co's value of 7.38% is 7.1% below 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 Vehicles & Parts company?
The median ROCE % among Vehicles & Parts companies is 7.94, based on 1,319 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. Daiwa Cycle Co's current ROCE % of 7.38% is 7.1% below 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 Vehicles & Parts industry, the median ROCE % is 7.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Daiwa Cycle Co's current ROCE % is 7.38%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Daiwa Cycle Co stock overvalued right now?
Daiwa Cycle Co (TSE:5888) has a current ROCE % of 7.38%. The current ROCE % is 7.38% and 7.1% below the Vehicles & Parts industry median of 7.94. Daiwa Cycle Co's overall GF Score™ is 18/100. 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 Daiwa Cycle Co (TSE:5888), the current ROCE % is 7.38% as of Jan. 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.

Daiwa Cycle Co Business Description

Address 1-12-38 Esaka-cho, 5th floor, Esaka Soliton Building, Suita-shi, Osaka, JPN, 564-0063
Daiwa Cycle Co Ltd is a specialty retail company that operates a chain of bicycle stores. The Company is engaged in the Sales of bicycles, bicycle parts and accessories as well as the provision of bicycle maintenance and repair. The company distributes its products and services directly to consumers through its directly managed physical locations, franchise partnerships, and e-commerce platforms.
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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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