Union Tool Co (TSE:6278) ROCE %: 10.20% (As of Dec. 2025)

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TSE:6278 Union Tool Co TSE:6278
79 GF Score
Price 円17,250.00
GF Value 円7,748.96
Valuation Significantly Overvalued
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What is Union Tool Co ROCE %?

Union Tool Co TSE:6278 -8.63% 79 ROCE % is 10.20% as of Dec. 2025. GuruFocus rates TSE:6278 with a GF Score™ of 79/100 and a GF Value™ of 円7,748.96 (Significantly Overvalued).

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. Union Tool Co's annualized ROCE % for the quarter that ended in Dec. 2025 was 10.20%.

Union Tool Co  (TSE:6278) 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.

Union Tool Co ROCE % Related Terms

Union Tool Co ROCE % Historical Data

* Premium members only.

The historical data trend for Union Tool 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.

Union Tool Co ROCE % Chart

Union Tool Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.05 11.86 6.12 9.76 10.73

Union Tool 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 11.70 9.14 12.98 10.20 18.94
TSE:6278
79GF Score
Union Tool Co TSE:6278
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Union Tool Co ROCE % Calculation

Union Tool Co's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=8336/( ( (78863 - 5032) + (88202 - 6681) )/ 2 )
=8336/( (73831+81521)/ 2 )
=8336/77676
=10.73 %

Union Tool Co's ROCE % of for the quarter that ended in Dec. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=8092/( ( (82717 - 5627) + (88202 - 6681) )/ 2 )
=8092/( ( 77090 + 81521 )/ 2 )
=8092/79305.5
=10.20 %

(1) Note: The EBIT data used here is four times the quarterly (Dec. 2025) 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 10.20% mean?
Union Tool Co (TSE:6278) has a ROCE % of 10.20% as of Dec. 2025.
Is Union Tool Co's ROCE % too high?
Union Tool Co's current ROCE % is 10.20%. The Industrial Products industry median ROCE % is 7.08. Union Tool Co's value of 10.20% is 44.1% above this industry median. Overall, Union Tool Co has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Union Tool Co's ROCE % compare to SNA and RBC?
Union Tool Co's ROCE % of 10.20% can be compared against companies in the Industrial Products industry. The industry median ROCE % is 7.08. Union Tool Co's value of 10.20% is 44.1% 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 an Industrial Products company?
The median ROCE % among Industrial Products companies is 7.08, based on 3,026 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. Union Tool Co's current ROCE % of 10.20% is 44.1% 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 Industrial Products industry, the median ROCE % is 7.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Union Tool Co's current ROCE % is 10.20%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Union Tool Co stock overvalued right now?
Based on GuruFocus' analysis, Union Tool Co (TSE:6278) is currently considered Significantly Overvalued. The stock's GF Value™ is 円7,748.96, compared to a current price of 円17,250.00 — trading 122.6% above its estimated fair value. The current ROCE % is 10.20% and 44.1% above the Industrial Products industry median of 7.08. Union Tool Co's overall GF Score™ is 79/100. 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 Union Tool Co (TSE:6278), the current ROCE % is 10.20% as of Dec. 2025. 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 Union Tool Co (TSE:6278) Overvalued in 2026?

Based on GuruFocus' analysis, Union Tool Co stock appears to be overvalued. The current stock price of 円17,250.00 is trading 122.6% above its estimated GF Value™ of 円7,748.96. GuruFocus considers Union Tool Co to be Significantly Overvalued.

Key valuation signals for TSE:6278:

  • ROCE %: 10.20%
  • GF Value™: 円7,748.96 vs. price of 円17,250.00 (122.6% above fair value)
  • GF Score™: 79/100
  • Industry Position: 44.1% above the Industrial Products median

No single metric tells the full story. See the TSE:6278 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Union Tool Co Business Description

Address Minamioi 6-17-1, Shinagawa-ku, Tokyo, JPN, 140-0013
Union Tool Co is a designer and manufacturer of industrial cutting tools to a broad sector of the global industry. The company's key product includes carbide drill used in the manufacture of Printed Circuit Boards, found in all modern electronics. It also manufactures precision machinery including linear motion guides, diesinking end-mills, and digital measuring equipment for industrial use. The company has operations in Japan, Asia, North America and Europe.
79GF Score

Get the complete analysis for TSE:6278

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

円17,250.00
Price
円7,748.96
GF Value