Change HoldingsTSE:3962 -2.35%74 ROE % is 0.47% as of Mar. 2026, which is 98% below its 10-year median of 18.97. GuruFocus rates TSE:3962 with a GF Score™ of 74/100 and a GF Value™ of 円1,861.20 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 2,678 Software companies, Change Holdings ranks better than 76.14% on this metric.
The historical rank and industry rank for Change Holdings's ROE % or its related term are showing as below:
TSE:3962'
s ROE % Range Over the Past 10 Years
Min: 11.22 Med: 18.97 Max: 29.67
Current: 15.89
During the past 11 years, Change Holdings's highest ROE % was 29.67%. The lowest was 11.22%. And the median was 18.97%.
TSE:3962's ROE % is ranked better than 76.14% of 2678
companies
in the Software industry
Industry Median: 4.685
vs TSE:3962: 15.89
Change Holdings (TSE:3962) 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 (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.
Change Holdings ROE % Related Terms
Change Holdings ROE % Historical Data
* Premium members only.
The historical data trend for Change Holdings'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 Information Technology Services subindustry, Change Holdings'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.
Change Holdings ROE % vs Software Industry
For the Software industry and Technology sector, Change Holdings's ROE % distribution charts can be found below:
* The bar in red indicates where Change Holdings'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 (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Change Holdings (TSE:3962) has a ROE % of 0.47% 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 Change Holdings and its competitors. This is 98% below median its historical median of 18.97. Over the past decade, Change Holdings' ROE % has ranged from 11.22 to 29.67. According to the industry distribution chart, Change Holdings ranks #639 out of 2678 companies in the Software industry, placing it in the top 23.9%.
Is Change Holdings' ROE % too high?
Change Holdings' current ROE % of 0.47% is 98% below median its 10-year median of 18.97. Over the past 10 years, this metric has ranged from a low of 11.22 to a high of 29.67. The Software industry median ROE % is 4.69. Change Holdings' value of 0.47% is 90% below this industry median. Based on the distribution chart, Change Holdings ranks #639 out of 2678 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Change Holdings has a GF Score™ of 74/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Change Holdings' ROE % compare to IBM and ACN?
According to the Software industry distribution chart, Change Holdings ranks #639 out of 2678 companies for ROE %. This places Change Holdings in the top 24% of its industry — outperforming the majority of peers. The industry median ROE % is 4.69. Change Holdings' value of 0.47% is 90% below this benchmark. Historically, Change Holdings' own ROE % has ranged from 11.22 to 29.67 over the past decade. While the company's 10-year median is 18.97 vs. the industry median of 4.69, Change Holdings has consistently been below 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 Software company?
The median ROE % among Software companies is 4.69, based on 2,678 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. Change Holdings's current ROE % of 0.47% is 90% below 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 Change Holdings and its competitors. For the Software industry, the median ROE % is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Change Holdings's current ROE % is 0.47%, which is 98% below median its own 10-year median of 18.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Change Holdings stock overvalued right now?
Based on GuruFocus' analysis, Change Holdings (TSE:3962) is currently considered Significantly Undervalued. The stock's GF Value™ is 円1,861.20, compared to a current price of 円915.00 — trading 50.8% below its estimated fair value. The current ROE % is 0.47%, which is 98% below median its 10-year median of 18.97 and 90% below the Software industry median of 4.69. Change Holdings' overall GF Score™ is 74/100 with 5 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 Change Holdings (TSE:3962), the current ROE % is 0.47% 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 Change Holdings (TSE:3962) Overvalued in 2026?
Based on GuruFocus' analysis, Change Holdings stock appears to be undervalued.
The current stock price of 円915.00 is trading 50.8% below its estimated GF Value™ of 円1,861.20.
GuruFocus considers Change Holdings to be Significantly Undervalued.
Key valuation signals for TSE:3962:
ROE %: 0.47% (98% below median its 10-year median of 18.97)
GF Value™: 円1,861.20 vs. price of 円915.00 (50.8% below fair value)
Industry Position: 90% below the Software median (#639 of 2678)
No single metric tells the full story. See the TSE:3962 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Change Holdings Inc provides mobility, IoT (Internet of Things) data, security and IT human resources training services. It segments are: Public Tech and NEW-IT Transformation Business. The Public Tech segment covers local government support projects that aims to realize high value-added resident services by utilizing ICT technology to promote the improvement of local government business productivity. The NEW-IT Transformation Business segment promotes digital transformation through various algorithms such as AI, voice Internet, mobility, IoT, cloud, security, services utilizing basic technology, and training for digital human resources. It also provides digital transformation solutions by combining libraries based on customer needs to realize customer digital transformation.
74GF Score
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