Needs WellTSE:3992 +0.67%91 ROE % is 11.91% as of Mar. 2026, which is 40% below its 10-year median of 19.99. GuruFocus rates TSE:3992 with a GF Score™ of 91/100 and a GF Value™ of 円498.93 (Fairly Valued). The stock has 2 warning signs investors should review. Among 2,683 Software companies, Needs Well ranks better than 78.68% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Needs Well's annualized net income for the quarter that ended in Mar. 2026 was 円557 Mil. Needs Well's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was 円4,673 Mil. Therefore, Needs Well's annualized ROE % for the quarter that ended in Mar. 2026 was 11.91%.
The historical rank and industry rank for Needs Well's ROE % or its related term are showing as below:
TSE:3992'
s ROE % Range Over the Past 10 Years
Min: 14.12 Med: 19.99 Max: 36.7
Current: 17.36
During the past 11 years, Needs Well's highest ROE % was 36.70%. The lowest was 14.12%. And the median was 19.99%.
TSE:3992's ROE % is ranked better than 78.68% of 2683
companies
in the Software industry
Industry Median: 4.73
vs TSE:3992: 17.36
Needs Well (TSE:3992) 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.
Needs Well ROE % Related Terms
Needs Well ROE % Historical Data
* Premium members only.
The historical data trend for Needs Well'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 Software - Infrastructure subindustry, Needs Well'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.
Needs Well ROE % vs Software Industry
For the Software industry and Technology sector, Needs Well's ROE % distribution charts can be found below:
* The bar in red indicates where Needs Well'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.
Needs Well (TSE:3992) has a ROE % of 11.91% 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 Needs Well and its competitors. This is 40% below median its historical median of 19.99. Over the past decade, Needs Well's ROE % has ranged from 14.12 to 36.70. According to the industry distribution chart, Needs Well ranks #572 out of 2683 companies in the Software industry, placing it in the top 21.3%.
Is Needs Well's ROE % too high?
Needs Well's current ROE % of 11.91% is 40% below median its 10-year median of 19.99. Over the past 10 years, this metric has ranged from a low of 14.12 to a high of 36.70. The Software industry median ROE % is 4.73. Needs Well's value of 11.91% is 151.8% above this industry median. Based on the distribution chart, Needs Well ranks #572 out of 2683 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Needs Well has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Needs Well's ROE % compare to MSFT and ORCL?
According to the Software industry distribution chart, Needs Well ranks #572 out of 2683 companies for ROE %. This places Needs Well in the top 21% of its industry — outperforming the majority of peers. The industry median ROE % is 4.73. Needs Well's value of 11.91% is 151.8% above this benchmark. Historically, Needs Well's own ROE % has ranged from 14.12 to 36.70 over the past decade. While the company's 10-year median is 19.99 vs. the industry median of 4.73, Needs Well 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 Software company?
The median ROE % among Software companies is 4.73, based on 2,683 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. Needs Well's current ROE % of 11.91% is 151.8% 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 Needs Well and its competitors. For the Software industry, the median ROE % is 4.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Needs Well's current ROE % is 11.91%, which is 40% below median its own 10-year median of 19.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Needs Well stock overvalued right now?
Based on GuruFocus' analysis, Needs Well (TSE:3992) is currently considered Fairly Valued. The stock's GF Value™ is 円498.93, compared to a current price of 円452.00 — trading 9.4% below its estimated fair value. The current ROE % is 11.91%, which is 40% below median its 10-year median of 19.99 and 151.8% above the Software industry median of 4.73. Needs Well's overall GF Score™ is 91/100 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 Needs Well (TSE:3992), the current ROE % is 11.91% 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 Needs Well (TSE:3992) Overvalued in 2026?
Based on GuruFocus' analysis, Needs Well stock appears to be undervalued.
The current stock price of 円452.00 is trading 9.4% below its estimated GF Value™ of 円498.93.
GuruFocus considers Needs Well to be Fairly Valued.
Key valuation signals for TSE:3992:
ROE %: 11.91% (40% below median its 10-year median of 19.99)
GF Value™: 円498.93 vs. price of 円452.00 (9.4% below fair value)
Industry Position: 151.8% above the Software median (#572 of 2683)
No single metric tells the full story. See the TSE:3992 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Needs Well Inc provides application development, cloud solutions, IT related products and services, system infrastructure service and IT outsourcing services. Its services support to the development of BtoC / BtoB systems, digital marketing related system, business system, and CMS using web technology.
91GF Score
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