Daito Trust Construction Co (NGO:1878) ROE %: 18.49% (As of Mar. 2026) — 14% Below Median


NGO:1878 Daito Trust Construction Co Ltd NGO:1878
79 GF Score
Price 円2,933.00
GF Value 円3,859.34
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Daito Trust Construction Co ROE %?

Daito Trust Construction Co NGO:1878 79 ROE % is 18.49% as of Mar. 2026, which is 14% below its 10-year median of 21.41. GuruFocus rates NGO:1878 with a GF Score™ of 79/100 and a GF Value™ of 円3,859.34 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,735 Real Estate companies, Daito Trust Construction Co ranks better than 90.95% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Daito Trust Construction Co's annualized net income for the quarter that ended in Mar. 2026 was 円91,336 Mil. Daito Trust Construction Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was 円493,978 Mil. Therefore, Daito Trust Construction Co's annualized ROE % for the quarter that ended in Mar. 2026 was 18.49%.

The historical rank and industry rank for Daito Trust Construction Co's ROE % or its related term are showing as below:

NGO:1878' s ROE % Range Over the Past 10 Years
Min: 18.44   Med: 21.41   Max: 31.63
Current: 20.64

During the past 13 years, Daito Trust Construction Co's highest ROE % was 31.63%. The lowest was 18.44%. And the median was 21.41%.

NGO:1878's ROE % is ranked better than
90.95% of 1735 companies
in the Real Estate industry
Industry Median: 3.96 vs NGO:1878: 20.64

Daito Trust Construction Co  (NGO:1878) ROE % Explanation

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:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=91336/493977.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(91336 / 2164684)*(2164684 / 1332917)*(1332917 / 493977.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=4.22 %*1.624*2.6983
=ROA %*Equity Multiplier
=6.85 %*2.6983
=18.49 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=91336/493977.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (91336 / 115824) * (115824 / 114676) * (114676 / 2164684) * (2164684 / 1332917) * (1332917 / 493977.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7886 * 1.01 * 5.3 % * 1.624 * 2.6983
=18.49 %

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.


Daito Trust Construction Co ROE % Related Terms


Daito Trust Construction Co ROE % Historical Data

* Premium members only.

The historical data trend for Daito Trust Construction Co's ROE % 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.

Daito Trust Construction Co ROE % Chart

Daito Trust Construction Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.90 18.44 18.57 21.60 20.57

Daito Trust Construction Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROE % 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 14.84 20.83 21.84 21.56 18.49

Daito Trust Construction Co ROE % Competitor Comparison

For the Real Estate - Diversified subindustry, Daito Trust Construction Co'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.


Daito Trust Construction Co ROE % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Daito Trust Construction Co's ROE % distribution charts can be found below:

* The bar in red indicates where Daito Trust Construction Co's ROE % falls into.


NGO:1878
79GF Score
Daito Trust Construction Co Ltd NGO:1878
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Daito Trust Construction Co ROE % Calculation

Daito Trust Construction Co's annualized ROE % for the fiscal year that ended in Mar. 2026 is calculated as

ROE %=Net Income (A: Mar. 2026 )/( (Total Stockholders Equity (A: Mar. 2025 )+Total Stockholders Equity (A: Mar. 2026 ))/ count )
=99030/( (466444+496349)/ 2 )
=99030/481396.5
=20.57 %

Daito Trust Construction Co's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=91336/( (491606+496349)/ 2 )
=91336/493977.5
=18.49 %

* 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.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 18.49% mean?
Daito Trust Construction Co (NGO:1878) has a ROE % of 18.49% 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 Daito Trust Construction Co and its competitors. This is 14% below median its historical median of 21.41. Over the past decade, Daito Trust Construction Co's ROE % has ranged from 18.44 to 31.63. According to the industry distribution chart, Daito Trust Construction Co ranks #157 out of 1735 companies in the Real Estate industry, placing it in the top 9%.
Is Daito Trust Construction Co's ROE % too high?
Daito Trust Construction Co's current ROE % of 18.49% is 14% below median its 10-year median of 21.41. Over the past 10 years, this metric has ranged from a low of 18.44 to a high of 31.63. The Real Estate industry median ROE % is 3.96. Daito Trust Construction Co's value of 18.49% is 366.9% above this industry median. Based on the distribution chart, Daito Trust Construction Co ranks #157 out of 1735 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Daito Trust Construction Co has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Daito Trust Construction Co's ROE % compare to competitors?
According to the Real Estate industry distribution chart, Daito Trust Construction Co ranks #157 out of 1735 companies for ROE %. This places Daito Trust Construction Co in the top 9% of its industry — outperforming the majority of peers. The industry median ROE % is 3.96. Daito Trust Construction Co's value of 18.49% is 366.9% above this benchmark. Historically, Daito Trust Construction Co's own ROE % has ranged from 18.44 to 31.63 over the past decade. While the company's 10-year median is 21.41 vs. the industry median of 3.96, Daito Trust Construction Co has consistently been above 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 Real Estate company?
The median ROE % among Real Estate companies is 3.96, based on 1,735 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. Daito Trust Construction Co's current ROE % of 18.49% is 366.9% 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 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 Daito Trust Construction Co and its competitors. For the Real Estate industry, the median ROE % is 3.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Daito Trust Construction Co's current ROE % is 18.49%, which is 14% below median its own 10-year median of 21.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Daito Trust Construction Co stock overvalued right now?
Based on GuruFocus' analysis, Daito Trust Construction Co (NGO:1878) is currently considered Modestly Undervalued. The stock's GF Value™ is 円3,859.34, compared to a current price of 円2,933.00 — trading 24% below its estimated fair value. The current ROE % is 18.49%, which is 14% below median its 10-year median of 21.41 and 366.9% above the Real Estate industry median of 3.96. Daito Trust Construction Co's overall GF Score™ is 79/100 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 Daito Trust Construction Co (NGO:1878), the current ROE % is 18.49% 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 Daito Trust Construction Co (NGO:1878) Overvalued in 2026?

Based on GuruFocus' analysis, Daito Trust Construction Co stock appears to be undervalued. The current stock price of 円2,933.00 is trading 24% below its estimated GF Value™ of 円3,859.34. GuruFocus considers Daito Trust Construction Co to be Modestly Undervalued.

Key valuation signals for NGO:1878:

  • ROE %: 18.49% (14% below median its 10-year median of 21.41)
  • GF Value™: 円3,859.34 vs. price of 円2,933.00 (24% below fair value)
  • GF Score™: 79/100 with 2 warning signs
  • Industry Position: 366.9% above the Real Estate median (#157 of 1735)

No single metric tells the full story. See the NGO:1878 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Daito Trust Construction Co Business Description

Address 2-16-1 Konan, Minato-ku, Tokyo, JPN, 108-8211
Daito Trust Construction Co Ltd is a Japan-based company engaged in the construction and real estate businesses. The company operates through four reportable segments: Construction Business, Real Estate Leasing Business, Real Estate Development Business, and Financial Business segment. It proposes land use plans, undertakes construction and installation of rental housing, and engages in bulk leasing of properties, which are subleased to tenants under a rental management system. The company also acts as an intermediary for tenants, develops and sells income-generating real estate, and conducts investment condominium development. It generates the majority of its revenue from the Real estate rental business segment.
79GF Score

Get the complete analysis for NGO:1878

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

円2,933.00
Price
円3,859.34
GF Value