Hankyu Hanshin HoldingsFRA:HKY 75 ROE % is 1.73% as of Mar. 2026, which is 75% below its 10-year median of 6.94. GuruFocus rates FRA:HKY with a GF Score™ of 75/100 and a GF Value™ of €26.16. The stock has 2 warning signs investors should review. Among 557 Conglomerates companies, Hankyu Hanshin Holdings ranks better than 56.19% on this metric.
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* 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.
For the Conglomerates subindustry, Hankyu Hanshin Holdings's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Hankyu Hanshin Holdings ROE % vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Hankyu Hanshin Holdings's ROE % distribution charts can be found below:
* The bar in red indicates where Hankyu Hanshin Holdings's ROE % falls into.
* 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Hankyu Hanshin Holdings (FRA:HKY) has a ROE % of 1.73% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Hankyu Hanshin Holdings and its competitors. This is 75% below median its historical median of 6.94. According to the industry distribution chart, Hankyu Hanshin Holdings ranks #244 out of 557 companies in the Conglomerates industry, placing it in the top 43.8%.
Is Hankyu Hanshin Holdings' ROE % too high?
Hankyu Hanshin Holdings' current ROE % of 1.73% is 75% below median its 10-year median of 6.94. The Conglomerates industry median ROE % is 5.99. Hankyu Hanshin Holdings' value of 1.73% is 71.1% below this industry median. Based on the distribution chart, Hankyu Hanshin Holdings ranks #244 out of 557 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Hankyu Hanshin Holdings has a GF Score™ of 75/100, reflecting its overall financial health beyond just this single metric.
How does Hankyu Hanshin Holdings' ROE % compare to HON and MMM?
According to the Conglomerates industry distribution chart, Hankyu Hanshin Holdings ranks #244 out of 557 companies for ROE %. This puts Hankyu Hanshin Holdings in the upper half of its industry. The industry median ROE % is 5.99. Hankyu Hanshin Holdings' value of 1.73% is 71.1% below this benchmark. While the company's 10-year median is 6.94 vs. the industry median of 5.99, Hankyu Hanshin Holdings has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Conglomerates company?
The median ROE % among Conglomerates companies is 5.99, based on 557 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hankyu Hanshin Holdings's current ROE % of 1.73% is 71.1% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Hankyu Hanshin Holdings and its competitors. For the Conglomerates industry, the median ROE % is 5.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hankyu Hanshin Holdings's current ROE % is 1.73%, which is 75% below median its own 10-year median of 6.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hankyu Hanshin Holdings stock overvalued right now?
Hankyu Hanshin Holdings (FRA:HKY) has a current ROE % of 1.73%. The stock's GF Value™ is €26.16, compared to a current price of €22.00 — trading 15.9% below its estimated fair value. The current ROE % is 1.73%, which is 75% below median its 10-year median of 6.94 and 71.1% below the Conglomerates industry median of 5.99. Hankyu Hanshin Holdings' overall GF Score™ is 75/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Hankyu Hanshin Holdings (FRA:HKY), the current ROE % is 1.73% 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 Hankyu Hanshin Holdings (FRA:HKY) Overvalued in 2026?
Based on GuruFocus' analysis, Hankyu Hanshin Holdings stock appears to be undervalued.
The current stock price of €22.00 is trading 15.9% below its estimated GF Value™ of €26.16.
Key valuation signals for FRA:HKY:
ROE %: 1.73% (75% below median its 10-year median of 6.94)
GF Value™: €26.16 vs. price of €22.00 (15.9% below fair value)
Industry Position: 71.1% below the Conglomerates median (#244 of 557)
No single metric tells the full story. See the FRA:HKY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hankyu Hanshin Holdings Inc is a Japanese conglomerate with diverse operations spanning transportation, real estate, entertainment, and related businesses. Its operating segments include Entertainment, Information and Communication, International Transportation, Real Estate, Travel, Urban Transportation, and Others. It generates the majority of its revenue from the Real Estate segment, which involves leasing business, condominium sales business, etc., and hotel business.
75GF Score
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