Lipps Co (TSE:373A) ROE %: 12.93% (As of Feb. 2026) — 36% Below Median

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TSE:373A Lipps Co Ltd TSE:373A
20 GF Score
Price 円1,489.00
! 1 Warning Sign
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What is Lipps Co ROE %?

Lipps Co TSE:373A -0.20% 20 ROE % is 12.93% as of Feb. 2026, which is 36% below its 10-year median of 20.25. GuruFocus rates TSE:373A with a GF Score™ of 20/100. The stock has 1 warning sign investors should review. Among 1,097 Retail - Cyclical companies, Lipps Co ranks better than 75.84% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Lipps Co's annualized net income for the quarter that ended in Feb. 2026 was 円484 Mil. Lipps Co's average Total Stockholders Equity over the quarter that ended in Feb. 2026 was 円3,739 Mil. Therefore, Lipps Co's annualized ROE % for the quarter that ended in Feb. 2026 was 12.93%.

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

TSE:373A' s ROE % Range Over the Past 10 Years
Min: 16.22   Med: 20.25   Max: 22.46
Current: 16.39

During the past 3 years, Lipps Co's highest ROE % was 22.46%. The lowest was 16.22%. And the median was 20.25%.

TSE:373A's ROE % is ranked better than
75.84% of 1097 companies
in the Retail - Cyclical industry
Industry Median: 6.49 vs TSE:373A: 16.39

Lipps Co  (TSE:373A) 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: Feb. 2026 )
=Net Income/Total Stockholders Equity
=483.588/3739.227
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(483.588 / 4352.778)*(4352.778 / 4197.7995)*(4197.7995 / 3739.227)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.11 %*1.0369*1.1226
=ROA %*Equity Multiplier
=11.52 %*1.1226
=12.93 %

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: Feb. 2026 )
=Net Income/Total Stockholders Equity
=483.588/3739.227
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (483.588 / 709.506) * (709.506 / 709.1) * (709.1 / 4352.778) * (4352.778 / 4197.7995) * (4197.7995 / 3739.227)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6816 * 1.0006 * 16.29 % * 1.0369 * 1.1226
=12.93 %

Note: The net income data used here is two times the semi-annual (Feb. 2026) net income data. The Revenue data used here is two times the semi-annual (Feb. 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.


Lipps Co ROE % Related Terms


Lipps Co ROE % Historical Data

* Premium members only.

The historical data trend for Lipps 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.

Lipps Co ROE % Chart

Lipps Co Annual Data
Trend Aug23 Aug24 Aug25
ROE %
22.46 16.22 20.25

Lipps Co Semi-Annual Data
Aug23 Aug24 Feb25 Aug25 Feb26
ROE % 0.00 0.00 21.08 20.02 12.93

TSE:373A vs CASY, WSM, DKS: ROE % Comparison

For the Specialty Retail subindustry, Lipps 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.


Lipps Co ROE % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Lipps Co's ROE % distribution charts can be found below:

* The bar in red indicates where Lipps Co's ROE % falls into.


TSE:373A
20GF Score
Lipps Co Ltd TSE:373A
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lipps Co ROE % Calculation

Lipps Co's annualized ROE % for the fiscal year that ended in Aug. 2025 is calculated as

ROE %=Net Income (A: Aug. 2025 )/( (Total Stockholders Equity (A: Aug. 2024 )+Total Stockholders Equity (A: Aug. 2025 ))/ count )
=652.302/( (2823.43+3617.693)/ 2 )
=652.302/3220.5615
=20.25 %

Lipps Co's annualized ROE % for the quarter that ended in Feb. 2026 is calculated as

ROE %=Net Income (Q: Feb. 2026 )/( (Total Stockholders Equity (Q: Aug. 2025 )+Total Stockholders Equity (Q: Feb. 2026 ))/ count )
=483.588/( (3617.693+3860.761)/ 2 )
=483.588/3739.227
=12.93 %

* 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 two times the semi-annual (Feb. 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 12.93% mean?
Lipps Co (TSE:373A) has a ROE % of 12.93% as of Feb. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Lipps Co and its competitors. This is 36% below median its historical median of 20.25. Over the past decade, Lipps Co's ROE % has ranged from 16.22 to 22.46. According to the industry distribution chart, Lipps Co ranks #265 out of 1097 companies in the Retail - Cyclical industry, placing it in the top 24.2%.
Is Lipps Co's ROE % too high?
Lipps Co's current ROE % of 12.93% is 36% below median its 10-year median of 20.25. Over the past 10 years, this metric has ranged from a low of 16.22 to a high of 22.46. The Retail - Cyclical industry median ROE % is 6.49. Lipps Co's value of 12.93% is 99.2% above this industry median. Based on the distribution chart, Lipps Co ranks #265 out of 1097 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Lipps Co has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Lipps Co's ROE % compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Lipps Co ranks #265 out of 1097 companies for ROE %. This places Lipps Co in the top 24% of its industry — outperforming the majority of peers. The industry median ROE % is 6.49. Lipps Co's value of 12.93% is 99.2% above this benchmark. Historically, Lipps Co's own ROE % has ranged from 16.22 to 22.46 over the past decade. While the company's 10-year median is 20.25 vs. the industry median of 6.49, Lipps 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 Retail - Cyclical company?
The median ROE % among Retail - Cyclical companies is 6.49, based on 1,097 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. Lipps Co's current ROE % of 12.93% is 99.2% 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 Lipps Co and its competitors. For the Retail - Cyclical industry, the median ROE % is 6.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lipps Co's current ROE % is 12.93%, which is 36% below median its own 10-year median of 20.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lipps Co stock overvalued right now?
Lipps Co (TSE:373A) has a current ROE % of 12.93%. The current ROE % is 12.93%, which is 36% below median its 10-year median of 20.25 and 99.2% above the Retail - Cyclical industry median of 6.49. Lipps Co'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 Lipps Co (TSE:373A), the current ROE % is 12.93% as of Feb. 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.

Lipps Co Business Description

Address 3-1-30 Jingumae, Shibuya-ku, Tokyo, JPN, 150-0001
Lipps Co Ltd is engaged in Planning and sales of men's cosmetics (Product Business) and operation of hair salon franchises (Salon Franchise Business).
20GF Score

Get the complete analysis for TSE:373A

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

円1,489.00
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