Kodensha CoTSE:1948 -0.09%53 ROE % is 11.63% as of Sep. 2025, which is 64% above its 10-year median of 7.09. GuruFocus rates TSE:1948 with a GF Score™ of 53/100 and a GF Value™ of 円1,375.45 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,744 Construction companies, Kodensha Co ranks worse than 64.28% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Kodensha Co's annualized net income for the quarter that ended in Sep. 2025 was 円2,532 Mil. Kodensha Co's average Total Stockholders Equity over the quarter that ended in Sep. 2025 was 円21,763 Mil. Therefore, Kodensha Co's annualized ROE % for the quarter that ended in Sep. 2025 was 11.63%.
The historical rank and industry rank for Kodensha Co's ROE % or its related term are showing as below:
TSE:1948'
s ROE % Range Over the Past 10 Years
Min: 1.67 Med: 7.09 Max: 12.98
Current: 3.15
During the past 13 years, Kodensha Co's highest ROE % was 12.98%. The lowest was 1.67%. And the median was 7.09%.
TSE:1948's ROE % is ranked worse than 64.28% of 1744
companies
in the Construction industry
Industry Median: 6.705
vs TSE:1948: 3.15
Kodensha Co (TSE:1948) 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 (Sep. 2025) net income data. The Revenue data used here is four times the quarterly (Sep. 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.
Kodensha Co ROE % Related Terms
Kodensha Co ROE % Historical Data
* Premium members only.
The historical data trend for Kodensha 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.
For the Engineering & Construction subindustry, Kodensha 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.
Kodensha Co ROE % vs Construction Industry
For the Construction industry and Industrials sector, Kodensha Co's ROE % distribution charts can be found below:
* The bar in red indicates where Kodensha Co'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 (Sep. 2025) net income data.
ROE % is displayed in the 30-year financial page.
Kodensha Co (TSE:1948) has a ROE % of 11.63% as of Sep. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Kodensha Co and its competitors. This is 64% above median its historical median of 7.09. Over the past decade, Kodensha Co's ROE % has ranged from 1.67 to 12.98. According to the industry distribution chart, Kodensha Co ranks #1121 out of 1744 companies in the Construction industry, placing it in the top 64.3%.
Is Kodensha Co's ROE % too high?
Kodensha Co's current ROE % of 11.63% is 64% above median its 10-year median of 7.09. Over the past 10 years, this metric has ranged from a low of 1.67 to a high of 12.98. The Construction industry median ROE % is 6.71. Kodensha Co's value of 11.63% is 73.5% above this industry median. Based on the distribution chart, Kodensha Co ranks #1121 out of 1744 companies in the Construction industry, which is below the industry midpoint. Overall, Kodensha Co has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kodensha Co's ROE % compare to PWR and FIX?
According to the Construction industry distribution chart, Kodensha Co ranks #1121 out of 1744 companies for ROE %. This places Kodensha Co in the lower half of its industry. The industry median ROE % is 6.71. Kodensha Co's value of 11.63% is 73.5% above this benchmark. Historically, Kodensha Co's own ROE % has ranged from 1.67 to 12.98 over the past decade. While the company's 10-year median is 7.09 vs. the industry median of 6.71, Kodensha 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 Construction company?
The median ROE % among Construction companies is 6.71, based on 1,744 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. Kodensha Co's current ROE % of 11.63% is 73.5% 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 Kodensha Co and its competitors. For the Construction industry, the median ROE % is 6.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kodensha Co's current ROE % is 11.63%, which is 64% above median its own 10-year median of 7.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kodensha Co stock overvalued right now?
Based on GuruFocus' analysis, Kodensha Co (TSE:1948) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,375.45, compared to a current price of 円11,410.00 — trading 729.5% above its estimated fair value. The current ROE % is 11.63%, which is 64% above median its 10-year median of 7.09 and 73.5% above the Construction industry median of 6.71. Kodensha Co's overall GF Score™ is 53/100 with 6 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 Kodensha Co (TSE:1948), the current ROE % is 11.63% as of Sep. 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 Kodensha Co (TSE:1948) Overvalued in 2026?
Based on GuruFocus' analysis, Kodensha Co stock appears to be overvalued.
The current stock price of 円11,410.00 is trading 729.5% above its estimated GF Value™ of 円1,375.45.
GuruFocus considers Kodensha Co to be Significantly Overvalued.
Key valuation signals for TSE:1948:
ROE %: 11.63% (64% above median its 10-year median of 7.09)
GF Value™: 円1,375.45 vs. price of 円11,410.00 (729.5% above fair value)
Industry Position: 73.5% above the Construction median (#1121 of 1744)
No single metric tells the full story. See the TSE:1948 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kodensha Co Ltd is a specialized company of electrical equipment construction. It has diversified its operations into the following segments. The "Electrical Equipment Construction Business" carries out indoor wiring construction, power transmission line construction, power generation and transformation construction, communication construction, and air conditioning construction. The "Product Sales Business" sells electronic control and measurement machinery and equipment, substation equipment and equipment, machine tools and equipment, information and communication machinery and equipment, refrigeration and air conditioning machinery and equipment, elevators and monitoring, and control equipment.
53GF Score
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