Hatsuho Shouji Co (TSE:7425) ROCE %: 12.26% (As of Dec. 2025)

What is Hatsuho Shouji Co ROCE %?

Hatsuho Shouji Co TSE:7425 +1.14% 79 ROCE % is 12.26% as of Dec. 2025. GuruFocus rates TSE:7425 with a GF Score™ of 79/100 and a GF Value™ of 円872.77 (Significantly Overvalued). The stock has 6 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. Hatsuho Shouji Co's annualized ROCE % for the quarter that ended in Dec. 2025 was 12.26%.

Hatsuho Shouji Co (TSE:7425) 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.

Hatsuho Shouji Co ROCE % Related Terms

Hatsuho Shouji Co ROCE % Historical Data

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The historical data trend for Hatsuho Shouji 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.

Hatsuho Shouji Co ROCE % Chart

Hatsuho Shouji Co Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

ROCE %

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10.34

15.35

15.36

14.05

12.27

Hatsuho Shouji Co Semi-Annual Data
	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24	Jun25	Dec25
ROCE %	Get a 7-Day Free Trial															14.71	14.30	14.01	12.46	12.26

79GF Score

Hatsuho Shouji Co Ltd TSE:7425

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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Hatsuho Shouji Co ROCE % Calculation

Hatsuho Shouji 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 )
	=	1441.538	/	( ( (21872.164 - 10292.589)	+	(22376.695 - 10462.052) )	/ 2 )
	=	1441.538	/	( (11579.575	+	11914.643)	/ 2 )
	=	1441.538	/	11747.109
	=	12.27 %

Hatsuho Shouji 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: Jun. 2025 )		(Q: Dec. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2025 )		(Q: Jun. 2025 )		(Q: Dec. 2025 )
	=	1440.35	/	( ( (20937.215 - 9354.114)	+	(22376.695 - 10462.052) )	/ 2 )
	=	1440.35	/	( ( 11583.101	+	11914.643 )	/ 2 )
	=	1440.35	/	11748.872
	=	12.26 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 12.26% mean?

Hatsuho Shouji Co (TSE:7425) has a ROCE % of 12.26% as of Dec. 2025.

Is Hatsuho Shouji Co's ROCE % too high?

Hatsuho Shouji Co's current ROCE % is 12.26%. The Steel industry median ROCE % is 5.63. Hatsuho Shouji Co's value of 12.26% is 118% above this industry median. Overall, Hatsuho Shouji 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 Hatsuho Shouji Co's ROCE % compare to NUE and STLD?

Hatsuho Shouji Co's ROCE % of 12.26% can be compared against companies in the Steel industry. The industry median ROCE % is 5.63. Hatsuho Shouji Co's value of 12.26% is 118% 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 Steel company?

The median ROCE % among Steel companies is 5.63, based on 620 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. Hatsuho Shouji Co's current ROCE % of 12.26% is 118% 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 Steel industry, the median ROCE % is 5.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hatsuho Shouji Co's current ROCE % is 12.26%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Hatsuho Shouji Co stock overvalued right now?

Based on GuruFocus' analysis, Hatsuho Shouji Co (TSE:7425) is currently considered Significantly Overvalued. The stock's GF Value™ is 円872.77, compared to a current price of 円1,242.00 — trading 42.3% above its estimated fair value. The current ROCE % is 12.26% and 118% above the Steel industry median of 5.63. Hatsuho Shouji Co's overall GF Score™ is 79/100 with 6 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 Hatsuho Shouji Co (TSE:7425), the current ROCE % is 12.26% 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 Hatsuho Shouji Co (TSE:7425) Overvalued in 2026?

Based on GuruFocus' analysis, Hatsuho Shouji Co stock appears to be overvalued. The current stock price of 円1,242.00 is trading 42.3% above its estimated GF Value™ of 円872.77. GuruFocus considers Hatsuho Shouji Co to be Significantly Overvalued.

Key valuation signals for TSE:7425:

ROCE %: 12.26%
GF Value™: 円872.77 vs. price of 円1,242.00 (42.3% above fair value)
GF Score™: 79/100 with 6 warning signs
Industry Position: 118% above the Steel median

No single metric tells the full story. See the TSE:7425 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Hatsuho Shouji Co Business Description

Industry Basic Materials Steel

Comparable Companies NGO:5979 TSE:9888 TSE:5660 TSE:5921 TSE:5491 TSE:5542 TSE:5986 TSE:7531 TSE:5446 TSE:5609 NUE XAMS:MT STLD BOM:500228 NSE:TATASTEEL RS TSE:5401 SHSE:600019 XKRX:005490 SHSE:600010

Address 2-14-21 Nishiki Naka-ku, Nagoya-city, Aichi, JPN, 460-0003

Website http://www.hatsuho.co.jp

Hatsuho Shouji Co Ltd is a Japan-based company engages in the sale of secondary steel products and non-ferrous metals. Its products include light-weight steel frames, wire mesh for concrete, sheet rock, car ports, and other construction materials.

79GF Score

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

円1,242.00

Price

円872.77

GF Value

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