Zig-Zag (TSE:340A) ROE %: 11.71% (As of Nov. 2025) — 78% Below Median


TSE:340A Zig-Zag Inc TSE:340A
20 GF Score
Price 円349.00
! 1 Warning Sign
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What is Zig-Zag ROE %?

Zig-Zag TSE:340A +1.16% 20 ROE % is 11.71% as of Nov. 2025, which is 78% below its 10-year median of 54.16. GuruFocus rates TSE:340A with a GF Score™ of 20/100. The stock has 1 warning sign investors should review. Among 1,060 Business Services companies, Zig-Zag ranks better than 83.3% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Zig-Zag's annualized net income for the quarter that ended in Nov. 2025 was 円140 Mil. Zig-Zag's average Total Stockholders Equity over the quarter that ended in Nov. 2025 was 円1,193 Mil. Therefore, Zig-Zag's annualized ROE % for the quarter that ended in Nov. 2025 was 11.71%.

The historical rank and industry rank for Zig-Zag's ROE % or its related term are showing as below:

TSE:340A' s ROE % Range Over the Past 10 Years
Min: 21.07   Med: 54.16   Max: 96.06
Current: 21.07

During the past 3 years, Zig-Zag's highest ROE % was 96.06%. The lowest was 21.07%. And the median was 54.16%.

TSE:340A's ROE % is ranked better than
83.3% of 1060 companies
in the Business Services industry
Industry Median: 8.1 vs TSE:340A: 21.07

Zig-Zag  (TSE:340A) 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: Nov. 2025 )
=Net Income/Total Stockholders Equity
=139.636/1192.6485
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(139.636 / 1400.18)*(1400.18 / 2185.014)*(2185.014 / 1192.6485)
=Net Margin %*Asset Turnover*Equity Multiplier
=9.97 %*0.6408*1.8321
=ROA %*Equity Multiplier
=6.39 %*1.8321
=11.71 %

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: Nov. 2025 )
=Net Income/Total Stockholders Equity
=139.636/1192.6485
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (139.636 / 202.372) * (202.372 / 229.732) * (229.732 / 1400.18) * (1400.18 / 2185.014) * (2185.014 / 1192.6485)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.69 * 0.8809 * 16.41 % * 0.6408 * 1.8321
=11.71 %

Note: The net income data used here is four times the quarterly (Nov. 2025) net income data. The Revenue data used here is four times the quarterly (Nov. 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.


Zig-Zag ROE % Related Terms


Zig-Zag ROE % Historical Data

* Premium members only.

The historical data trend for Zig-Zag'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.

Zig-Zag ROE % Chart

Zig-Zag Annual Data
Trend May23 May24 May25
ROE %
54.16 96.06 35.97

Zig-Zag Quarterly Data
May23 May24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
ROE % Get a 7-Day Free Trial 70.89 35.91 17.85 11.71 20.71

TSE:340A vs CTAS, CPRT, ULS: ROE % Comparison

For the Specialty Business Services subindustry, Zig-Zag'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.


Zig-Zag ROE % vs Business Services Industry

For the Business Services industry and Industrials sector, Zig-Zag's ROE % distribution charts can be found below:

* The bar in red indicates where Zig-Zag's ROE % falls into.


TSE:340A
20GF Score
Zig-Zag Inc TSE:340A
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Zig-Zag ROE % Calculation

Zig-Zag's annualized ROE % for the fiscal year that ended in May. 2025 is calculated as

ROE %=Net Income (A: May. 2025 )/( (Total Stockholders Equity (A: May. 2024 )+Total Stockholders Equity (A: May. 2025 ))/ count )
=245.706/( (251.782+1114.348)/ 2 )
=245.706/683.065
=35.97 %

Zig-Zag's annualized ROE % for the quarter that ended in Nov. 2025 is calculated as

ROE %=Net Income (Q: Nov. 2025 )/( (Total Stockholders Equity (Q: Aug. 2025 )+Total Stockholders Equity (Q: Nov. 2025 ))/ count )
=139.636/( (1165.201+1220.096)/ 2 )
=139.636/1192.6485
=11.71 %

* 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 (Nov. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 11.71% mean?
Zig-Zag (TSE:340A) has a ROE % of 11.71% as of Nov. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Zig-Zag and its competitors. This is 78% below median its historical median of 54.16. Over the past decade, Zig-Zag's ROE % has ranged from 21.07 to 96.06. According to the industry distribution chart, Zig-Zag ranks #177 out of 1060 companies in the Business Services industry, placing it in the top 16.7%.
Is Zig-Zag's ROE % too high?
Zig-Zag's current ROE % of 11.71% is 78% below median its 10-year median of 54.16. Over the past 10 years, this metric has ranged from a low of 21.07 to a high of 96.06. The Business Services industry median ROE % is 8.10. Zig-Zag's value of 11.71% is 44.6% above this industry median. Based on the distribution chart, Zig-Zag ranks #177 out of 1060 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Zig-Zag has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Zig-Zag's ROE % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Zig-Zag ranks #177 out of 1060 companies for ROE %. This places Zig-Zag in the top 17% of its industry — outperforming the majority of peers. The industry median ROE % is 8.10. Zig-Zag's value of 11.71% is 44.6% above this benchmark. Historically, Zig-Zag's own ROE % has ranged from 21.07 to 96.06 over the past decade. While the company's 10-year median is 54.16 vs. the industry median of 8.10, Zig-Zag 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 Business Services company?
The median ROE % among Business Services companies is 8.10, based on 1,060 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. Zig-Zag's current ROE % of 11.71% is 44.6% 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 Zig-Zag and its competitors. For the Business Services industry, the median ROE % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zig-Zag's current ROE % is 11.71%, which is 78% below median its own 10-year median of 54.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zig-Zag stock overvalued right now?
Zig-Zag (TSE:340A) has a current ROE % of 11.71%. The current ROE % is 11.71%, which is 78% below median its 10-year median of 54.16 and 44.6% above the Business Services industry median of 8.10. Zig-Zag's overall GF Score™ is 20/100 with 1 warning sign 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 Zig-Zag (TSE:340A), the current ROE % is 11.71% as of Nov. 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.

Zig-Zag Business Description

Address 14-1 Sakuragaokacho, Hatchery Shibuya, Shibuya-ku, Tokyo, JPN, 150-0031
Zig-Zag Inc is engaged in provision of the purchasing agent service for overseas customers, WorldShopping, and the Cross-border EC support service for domestic EC-site, WorldShoppingBIZ.
20GF Score

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

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