Okabe Co (TSE:5959) ROE %: 6.10% (As of Jun. 2026) — 11% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:5959 Okabe Co Ltd TSE:5959
63 GF Score
Price 円925.00
GF Value 円832.04
Valuation Modestly Overvalued
! 2 Warning Signs
View Full Analysis

What is Okabe Co ROE %?

Okabe Co TSE:5959 +0.22% 63 ROE % is 6.10% as of Jun. 2026, which is 11% above its 10-year median of 5.49. GuruFocus rates TSE:5959 with a GF Score™ of 63/100 and a GF Value™ of 円832.04 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 1,751 Construction companies, Okabe Co ranks worse than 58.48% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Okabe Co's annualized net income for the quarter that ended in Jun. 2026 was 円3,804 Mil. Okabe Co's average Total Stockholders Equity over the quarter that ended in Jun. 2026 was 円62,392 Mil. Therefore, Okabe Co's annualized ROE % for the quarter that ended in Jun. 2026 was 6.10%.

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

TSE:5959' s ROE % Range Over the Past 10 Years
Min: -8.48   Med: 5.49   Max: 15.72
Current: 4.91

During the past 13 years, Okabe Co's highest ROE % was 15.72%. The lowest was -8.48%. And the median was 5.49%.

TSE:5959's ROE % is ranked worse than
58.48% of 1751 companies
in the Construction industry
Industry Median: 6.77 vs TSE:5959: 4.91

Okabe Co  (TSE:5959) 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: Jun. 2026 )
=Net Income/Total Stockholders Equity
=3804/62391.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(3804 / 72484)*(72484 / 86434.5)*(86434.5 / 62391.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=5.25 %*0.8386*1.3854
=ROA %*Equity Multiplier
=4.4 %*1.3854
=6.10 %

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: Jun. 2026 )
=Net Income/Total Stockholders Equity
=3804/62391.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (3804 / 5612) * (5612 / 5112) * (5112 / 72484) * (72484 / 86434.5) * (86434.5 / 62391.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6778 * 1.0978 * 7.05 % * 0.8386 * 1.3854
=6.10 %

Note: The net income data used here is four times the quarterly (Jun. 2026) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


Okabe Co ROE % Related Terms


Okabe Co ROE % Historical Data

* Premium members only.

The historical data trend for Okabe 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.

Okabe Co ROE % Chart

Okabe Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.43 6.04 -8.48 -1.44 5.41

Okabe Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 6.66 6.79 3.33 3.45 6.10

TSE:5959 vs TT, JCI, CARR: ROE % Comparison

For the Building Products & Equipment subindustry, Okabe 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.


Okabe Co ROE % vs Construction Industry

For the Construction industry and Industrials sector, Okabe Co's ROE % distribution charts can be found below:

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


TSE:5959
63GF Score
Okabe Co Ltd TSE:5959
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Okabe Co ROE % Calculation

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

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=3285/( (59521+61887)/ 2 )
=3285/60704
=5.41 %

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

ROE %=Net Income (Q: Jun. 2026 )/( (Total Stockholders Equity (Q: Mar. 2026 )+Total Stockholders Equity (Q: Jun. 2026 ))/ count )
=3804/( (61783+63000)/ 2 )
=3804/62391.5
=6.10 %

* 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 (Jun. 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 6.10% mean?
Okabe Co (TSE:5959) has a ROE % of 6.10% as of Jun. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Okabe Co and its competitors. This is 11% above median its historical median of 5.49. According to the industry distribution chart, Okabe Co ranks #1024 out of 1751 companies in the Construction industry, placing it in the top 58.5%.
Is Okabe Co's ROE % too high?
Okabe Co's current ROE % of 6.10% is 11% above median its 10-year median of 5.49. The Construction industry median ROE % is 6.77. Okabe Co's value of 6.10% is 9.9% below this industry median. Based on the distribution chart, Okabe Co ranks #1024 out of 1751 companies in the Construction industry, which is below the industry midpoint. Overall, Okabe Co has a GF Score™ of 63/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Okabe Co's ROE % compare to TT and JCI?
According to the Construction industry distribution chart, Okabe Co ranks #1024 out of 1751 companies for ROE %. This places Okabe Co in the lower half of its industry. The industry median ROE % is 6.77. Okabe Co's value of 6.10% is 9.9% below this benchmark. While the company's 10-year median is 5.49 vs. the industry median of 6.77, Okabe Co 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 Construction company?
The median ROE % among Construction companies is 6.77, based on 1,751 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. Okabe Co's current ROE % of 6.10% is 9.9% 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 Okabe Co and its competitors. For the Construction industry, the median ROE % is 6.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Okabe Co's current ROE % is 6.10%, which is 11% above median its own 10-year median of 5.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Okabe Co stock overvalued right now?
Based on GuruFocus' analysis, Okabe Co (TSE:5959) is currently considered Modestly Overvalued. The stock's GF Value™ is 円832.04, compared to a current price of 円925.00 — trading 11.2% above its estimated fair value. The current ROE % is 6.10%, which is 11% above median its 10-year median of 5.49 and 9.9% below the Construction industry median of 6.77. Okabe Co's overall GF Score™ is 63/100 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 Okabe Co (TSE:5959), the current ROE % is 6.10% as of Jun. 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 Okabe Co (TSE:5959) Overvalued in 2026?

Based on GuruFocus' analysis, Okabe Co stock appears to be overvalued. The current stock price of 円925.00 is trading 11.2% above its estimated GF Value™ of 円832.04. GuruFocus considers Okabe Co to be Modestly Overvalued.

Key valuation signals for TSE:5959:

  • ROE %: 6.10% (11% above median its 10-year median of 5.49)
  • GF Value™: 円832.04 vs. price of 円925.00 (11.2% above fair value)
  • GF Score™: 63/100 with 2 warning signs
  • Industry Position: 9.9% below the Construction median (#1024 of 1751)

No single metric tells the full story. See the TSE:5959 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Okabe Co Business Description

Address 2-8-2, Oshiage, Sumida-ku, Tokyo, JPN
Okabe Co Ltd is a construction and engineering products manufacturer. The company operates its business through its subsidiaries in three segments Construction-related products, Automotive products, and Other businesses. It develops, manufactures and markets temporary building and formwork products. The company designs and sells automotive bolts and screw nuts in the U.S. The company's marine business involves the development, manufacture, and sale of marine materials.
63GF Score

Get the complete analysis for TSE:5959

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

円925.00
Price
円832.04
GF Value