Nippon SharyoNPPSF 63 ROE % is 15.52% as of Dec. 2025, which is 45% above its 10-year median of 10.68. GuruFocus rates NPPSF with a GF Score™ of 63/100 and a GF Value™ of $20.70 (Fairly Valued). The stock has 2 warning signs investors should review. Among 991 Transportation companies, Nippon Sharyo ranks better than 80.52% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Nippon Sharyo's annualized net income for the quarter that ended in Dec. 2025 was $73.7 Mil. Nippon Sharyo's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was $474.8 Mil. Therefore, Nippon Sharyo's annualized ROE % for the quarter that ended in Dec. 2025 was 15.52%.
The historical rank and industry rank for Nippon Sharyo's ROE % or its related term are showing as below:
NPPSF'
s ROE % Range Over the Past 10 Years
Min: -33.85 Med: 10.68 Max: 34.59
Current: 16.34
During the past 13 years, Nippon Sharyo's highest ROE % was 34.59%. The lowest was -33.85%. And the median was 10.68%.
NPPSF's ROE % is ranked better than 80.52% of 991
companies
in the Transportation industry
Industry Median: 7.62
vs NPPSF: 16.34
Nippon Sharyo (OTCPK:NPPSF) 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:
Note:
The net income data used here is four times the quarterly (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) 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.
Nippon Sharyo ROE % Related Terms
Nippon Sharyo ROE % Historical Data
* Premium members only.
The historical data trend for Nippon Sharyo'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.
For the Railroads subindustry, Nippon Sharyo'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.
Nippon Sharyo ROE % vs Transportation Industry
For the Transportation industry and Industrials sector, Nippon Sharyo's ROE % distribution charts can be found below:
* The bar in red indicates where Nippon Sharyo'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 (Dec. 2025) net income data.
ROE % is displayed in the 30-year financial page.
Nippon Sharyo (NPPSF) has a ROE % of 15.52% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Nippon Sharyo and its competitors. This is 45% above median its historical median of 10.68. According to the industry distribution chart, Nippon Sharyo ranks #193 out of 991 companies in the Transportation industry, placing it in the top 19.5%.
Is Nippon Sharyo's ROE % too high?
Nippon Sharyo's current ROE % of 15.52% is 45% above median its 10-year median of 10.68. The Transportation industry median ROE % is 7.62. Nippon Sharyo's value of 15.52% is 103.7% above this industry median. Based on the distribution chart, Nippon Sharyo ranks #193 out of 991 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, Nippon Sharyo has a GF Score™ of 63/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nippon Sharyo's ROE % compare to UNP and CSX?
According to the Transportation industry distribution chart, Nippon Sharyo ranks #193 out of 991 companies for ROE %. This places Nippon Sharyo in the top 20% of its industry — outperforming the majority of peers. The industry median ROE % is 7.62. Nippon Sharyo's value of 15.52% is 103.7% above this benchmark. While the company's 10-year median is 10.68 vs. the industry median of 7.62, Nippon Sharyo 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 Transportation company?
The median ROE % among Transportation companies is 7.62, based on 991 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. Nippon Sharyo's current ROE % of 15.52% is 103.7% 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 Nippon Sharyo and its competitors. For the Transportation industry, the median ROE % is 7.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Sharyo's current ROE % is 15.52%, which is 45% above median its own 10-year median of 10.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Sharyo stock overvalued right now?
Based on GuruFocus' analysis, Nippon Sharyo (NPPSF) is currently considered Fairly Valued. The stock's GF Value™ is $20.70, compared to a current price of $21.04 — trading 1.6% above its estimated fair value. The current ROE % is 15.52%, which is 45% above median its 10-year median of 10.68 and 103.7% above the Transportation industry median of 7.62. Nippon Sharyo's overall GF Score™ is 63/100 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 Nippon Sharyo (NPPSF), the current ROE % is 15.52% 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 Nippon Sharyo (NPPSF) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Sharyo stock appears to be overvalued.
The current stock price of $21.04 is trading 1.6% above its estimated GF Value™ of $20.70.
GuruFocus considers Nippon Sharyo to be Fairly Valued.
Key valuation signals for NPPSF:
ROE %: 15.52% (45% above median its 10-year median of 10.68)
GF Value™: $20.70 vs. price of $21.04 (1.6% above fair value)
Industry Position: 103.7% above the Transportation median (#193 of 991)
No single metric tells the full story. See the NPPSF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Sharyo Ltd is a Japan-based company engaged in the manufacture of railway rolling stock. The company operates through three segments. Its Railway rolling stock segment consists of manufacture and sales of rolling stock. The Transportation equipment and steel structure segment include production and trade of transportation equipment such as freight cars, tank trucks, heavy-duty industrial vehicles, and roadway and railway bridges. Its Construction equipment segment comprises of pile driving rigs, crawler cranes, casing rotators, portable diesel generator sets and emergency generators.
63GF Score
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