Sekisui Kasei Co (TSE:4228) ROE %: 23.74% (As of Mar. 2026) — 770% Above Median


TSE:4228 Sekisui Kasei Co Ltd TSE:4228
53 GF Score
Price 円521.00
GF Value 円359.04
Valuation Significantly Overvalued
! 9 Warning Signs
View Full Analysis

What is Sekisui Kasei Co ROE %?

Sekisui Kasei Co TSE:4228 +0.77% 53 ROE % is 23.74% as of Mar. 2026, which is 770% above its 10-year median of 2.73. GuruFocus rates TSE:4228 with a GF Score™ of 53/100 and a GF Value™ of 円359.04 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,583 Chemicals companies, Sekisui Kasei Co ranks worse than 54.71% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Sekisui Kasei Co's annualized net income for the quarter that ended in Mar. 2026 was 円11,226 Mil. Sekisui Kasei Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was 円47,288 Mil. Therefore, Sekisui Kasei Co's annualized ROE % for the quarter that ended in Mar. 2026 was 23.74%.

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

TSE:4228' s ROE % Range Over the Past 10 Years
Min: -11.97   Med: 2.73   Max: 5.73
Current: 4.49

During the past 13 years, Sekisui Kasei Co's highest ROE % was 5.73%. The lowest was -11.97%. And the median was 2.73%.

TSE:4228's ROE % is ranked worse than
54.71% of 1583 companies
in the Chemicals industry
Industry Median: 5.24 vs TSE:4228: 4.49

Sekisui Kasei Co  (TSE:4228) 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: Mar. 2026 )
=Net Income/Total Stockholders Equity
=11226/47288
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(11226 / 96440)*(96440 / 123150)*(123150 / 47288)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.64 %*0.7831*2.6043
=ROA %*Equity Multiplier
=9.12 %*2.6043
=23.74 %

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: Mar. 2026 )
=Net Income/Total Stockholders Equity
=11226/47288
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (11226 / 5776) * (5776 / 3544) * (3544 / 96440) * (96440 / 123150) * (123150 / 47288)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.9436 * 1.6298 * 3.67 % * 0.7831 * 2.6043
=23.74 %

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


Sekisui Kasei Co ROE % Related Terms


Sekisui Kasei Co ROE % Historical Data

* Premium members only.

The historical data trend for Sekisui Kasei 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.

Sekisui Kasei Co ROE % Chart

Sekisui Kasei Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -9.28 0.78 1.90 -11.97 4.33

Sekisui Kasei Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.23 -1.33 -22.66 -14.86 23.74

TSE:4228 vs LIN, SHW, ECL: ROE % Comparison

For the Specialty Chemicals subindustry, Sekisui Kasei 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.


Sekisui Kasei Co ROE % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Sekisui Kasei Co's ROE % distribution charts can be found below:

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


TSE:4228
53GF Score
Sekisui Kasei Co Ltd TSE:4228
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sekisui Kasei Co ROE % Calculation

Sekisui Kasei Co's annualized ROE % for the fiscal year that ended in Mar. 2026 is calculated as

ROE %=Net Income (A: Mar. 2026 )/( (Total Stockholders Equity (A: Mar. 2025 )+Total Stockholders Equity (A: Mar. 2026 ))/ count )
=2147/( (48910+50181)/ 2 )
=2147/49545.5
=4.33 %

Sekisui Kasei Co's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=11226/( (44395+50181)/ 2 )
=11226/47288
=23.74 %

* 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 (Mar. 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 23.74% mean?
Sekisui Kasei Co (TSE:4228) has a ROE % of 23.74% 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 Sekisui Kasei Co and its competitors. This is 770% above median its historical median of 2.73. According to the industry distribution chart, Sekisui Kasei Co ranks #866 out of 1583 companies in the Chemicals industry, placing it in the top 54.7%.
Is Sekisui Kasei Co's ROE % too high?
Sekisui Kasei Co's current ROE % of 23.74% is 770% above median its 10-year median of 2.73. The Chemicals industry median ROE % is 5.24. Sekisui Kasei Co's value of 23.74% is 353.1% above this industry median. Based on the distribution chart, Sekisui Kasei Co ranks #866 out of 1583 companies in the Chemicals industry, which is below the industry midpoint. Overall, Sekisui Kasei 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 Sekisui Kasei Co's ROE % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Sekisui Kasei Co ranks #866 out of 1583 companies for ROE %. This places Sekisui Kasei Co in the lower half of its industry. The industry median ROE % is 5.24. Sekisui Kasei Co's value of 23.74% is 353.1% above this benchmark. While the company's 10-year median is 2.73 vs. the industry median of 5.24, Sekisui Kasei 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 Chemicals company?
The median ROE % among Chemicals companies is 5.24, based on 1,583 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. Sekisui Kasei Co's current ROE % of 23.74% is 353.1% 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 Sekisui Kasei Co and its competitors. For the Chemicals industry, the median ROE % is 5.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sekisui Kasei Co's current ROE % is 23.74%, which is 770% above median its own 10-year median of 2.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sekisui Kasei Co stock overvalued right now?
Based on GuruFocus' analysis, Sekisui Kasei Co (TSE:4228) is currently considered Significantly Overvalued. The stock's GF Value™ is 円359.04, compared to a current price of 円521.00 — trading 45.1% above its estimated fair value. The current ROE % is 23.74%, which is 770% above median its 10-year median of 2.73 and 353.1% above the Chemicals industry median of 5.24. Sekisui Kasei Co's overall GF Score™ is 53/100 with 9 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 Sekisui Kasei Co (TSE:4228), the current ROE % is 23.74% 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 Sekisui Kasei Co (TSE:4228) Overvalued in 2026?

Based on GuruFocus' analysis, Sekisui Kasei Co stock appears to be overvalued. The current stock price of 円521.00 is trading 45.1% above its estimated GF Value™ of 円359.04. GuruFocus considers Sekisui Kasei Co to be Significantly Overvalued.

Key valuation signals for TSE:4228:

  • ROE %: 23.74% (770% above median its 10-year median of 2.73)
  • GF Value™: 円359.04 vs. price of 円521.00 (45.1% above fair value)
  • GF Score™: 53/100 with 9 warning signs
  • Industry Position: 353.1% above the Chemicals median (#866 of 1583)

No single metric tells the full story. See the TSE:4228 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sekisui Kasei Co Business Description

Address 2-4-4 Nishitenma, Kita-ku, Osaka, JPN, 530-8565
Sekisui Kasei Co Ltd is a plastic provider solution company. The company is engaged in manufacture and sale of foamed plastic and other plastic products. It operates in two segments, Human Life, and Industry. The products in human life segment include Eslen beads, Eslen sheet, Eslen wood, Interforms, ES molded products such as ES Dan mat, Eslen block used in agricultural and fishery materials, food packaging materials, distribution materials, construction materials, civil engineering materials. The products in Industry segment are Pioceran, Literon, Neomicrolen, Serpet, Techpolymer, Technogel, Techheater, Elastil, Formac, ST-LAYER used in automotive materials, vehicle parts packaging, industrial materials, industrial packaging, electronic component materials, medical and health materials.
53GF Score

Get the complete analysis for TSE:4228

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

円521.00
Price
円359.04
GF Value