Baudroie (TSE:4413) ROE %: 41.26% (As of Feb. 2026) — 28% Above Median


TSE:4413 Baudroie Inc TSE:4413
85 GF Score
Price 円2,404.00
GF Value 円5,096.77
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Baudroie ROE %?

Baudroie TSE:4413 -2.16% 85 ROE % is 41.26% as of Feb. 2026, which is 28% above its 10-year median of 32.36. GuruFocus rates TSE:4413 with a GF Score™ of 85/100 and a GF Value™ of 円5,096.77 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,678 Software companies, Baudroie ranks better than 93.5% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Baudroie's annualized net income for the quarter that ended in Feb. 2026 was 円2,886 Mil. Baudroie's average Total Stockholders Equity over the quarter that ended in Feb. 2026 was 円6,994 Mil. Therefore, Baudroie's annualized ROE % for the quarter that ended in Feb. 2026 was 41.26%.

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

TSE:4413' s ROE % Range Over the Past 10 Years
Min: 23.81   Med: 32.36   Max: 40.79
Current: 39.73

During the past 7 years, Baudroie's highest ROE % was 40.79%. The lowest was 23.81%. And the median was 32.36%.

TSE:4413's ROE % is ranked better than
93.5% of 2678 companies
in the Software industry
Industry Median: 4.685 vs TSE:4413: 39.73

Baudroie  (TSE:4413) 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
=2885.996/6994.454
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(2885.996 / 19449.096)*(19449.096 / 12917.233)*(12917.233 / 6994.454)
=Net Margin %*Asset Turnover*Equity Multiplier
=14.84 %*1.5057*1.8468
=ROA %*Equity Multiplier
=22.34 %*1.8468
=41.26 %

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
=2885.996/6994.454
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (2885.996 / 3947.938) * (3947.938 / 3968.772) * (3968.772 / 19449.096) * (19449.096 / 12917.233) * (12917.233 / 6994.454)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.731 * 0.9948 * 20.41 % * 1.5057 * 1.8468
=41.26 %

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.


Baudroie ROE % Related Terms


Baudroie ROE % Historical Data

* Premium members only.

The historical data trend for Baudroie'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.

Baudroie ROE % Chart

Baudroie Annual Data
Trend Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
ROE %
Get a 7-Day Free Trial 25.95 23.81 28.98 40.79 39.99

Baudroie Semi-Annual Data
Feb20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 31.80 28.90 38.39 37.44 41.26

TSE:4413 vs IBM, ACN, FISV: ROE % Comparison

For the Information Technology Services subindustry, Baudroie'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.


Baudroie ROE % vs Software Industry

For the Software industry and Technology sector, Baudroie's ROE % distribution charts can be found below:

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


TSE:4413
85GF Score
Baudroie Inc TSE:4413
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Baudroie ROE % Calculation

Baudroie's annualized ROE % for the fiscal year that ended in Feb. 2026 is calculated as

ROE %=Net Income (A: Feb. 2026 )/( (Total Stockholders Equity (A: Feb. 2025 )+Total Stockholders Equity (A: Feb. 2026 ))/ count )
=2457.8/( (4571.842+7718.798)/ 2 )
=2457.8/6145.32
=39.99 %

Baudroie'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 )
=2885.996/( (6270.11+7718.798)/ 2 )
=2885.996/6994.454
=41.26 %

* 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 41.26% mean?
Baudroie (TSE:4413) has a ROE % of 41.26% 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 Baudroie and its competitors. This is 28% above median its historical median of 32.36. Over the past decade, Baudroie's ROE % has ranged from 23.81 to 40.79. According to the industry distribution chart, Baudroie ranks #174 out of 2678 companies in the Software industry, placing it in the top 6.5%.
Is Baudroie's ROE % too high?
Baudroie's current ROE % of 41.26% is 28% above median its 10-year median of 32.36. Over the past 10 years, this metric has ranged from a low of 23.81 to a high of 40.79. The Software industry median ROE % is 4.69. Baudroie's value of 41.26% is 780.7% above this industry median. Based on the distribution chart, Baudroie ranks #174 out of 2678 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Baudroie has a GF Score™ of 85/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Baudroie's ROE % compare to IBM and ACN?
According to the Software industry distribution chart, Baudroie ranks #174 out of 2678 companies for ROE %. This places Baudroie in the top 7% of its industry — outperforming the majority of peers. The industry median ROE % is 4.69. Baudroie's value of 41.26% is 780.7% above this benchmark. Historically, Baudroie's own ROE % has ranged from 23.81 to 40.79 over the past decade. While the company's 10-year median is 32.36 vs. the industry median of 4.69, Baudroie 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 4.69, 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. Baudroie's current ROE % of 41.26% is 780.7% 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 Baudroie 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. Baudroie's current ROE % is 41.26%, which is 28% above median its own 10-year median of 32.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Baudroie stock overvalued right now?
Based on GuruFocus' analysis, Baudroie (TSE:4413) is currently considered Significantly Undervalued. The stock's GF Value™ is 円5,096.77, compared to a current price of 円2,404.00 — trading 52.8% below its estimated fair value. The current ROE % is 41.26%, which is 28% above median its 10-year median of 32.36 and 780.7% above the Software industry median of 4.69. Baudroie's overall GF Score™ is 85/100 with 3 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 Baudroie (TSE:4413), the current ROE % is 41.26% 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.

Is Baudroie (TSE:4413) Overvalued in 2026?

Based on GuruFocus' analysis, Baudroie stock appears to be undervalued. The current stock price of 円2,404.00 is trading 52.8% below its estimated GF Value™ of 円5,096.77. GuruFocus considers Baudroie to be Significantly Undervalued.

Key valuation signals for TSE:4413:

  • ROE %: 41.26% (28% above median its 10-year median of 32.36)
  • GF Value™: 円5,096.77 vs. price of 円2,404.00 (52.8% below fair value)
  • GF Score™: 85/100 with 3 warning signs
  • Industry Position: 780.7% above the Software median (#174 of 2678)

No single metric tells the full story. See the TSE:4413 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Baudroie Business Description

Address 1-3-1 Azabudai, 17F Mori JP Tower, Azabudai Hills, Minato-ku, Tokyo, JPN, 106-0041
Baudroie Inc is a professional operator specializing in IT infrastructure services for businesses. It caters to the needs of clients with optimal IT solutions in the network, server, security, and cloud areas. The company focuses on providing services in high-technology areas, such as cloud adoption support and network virtualization. Tailored to clients' needs and issues, Baudroie also offers design, construction, operation, and maintenance services for customized IT infrastructure.
85GF Score

Get the complete analysis for TSE:4413

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

円2,404.00
Price
円5,096.77
GF Value