Obara GroupTSE:6877 -0.66%83 ROE % is 10.30% as of Mar. 2026, which is 6% below its 10-year median of 11.01. GuruFocus rates TSE:6877 with a GF Score™ of 83/100 and a GF Value™ of 円5,096.29 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 3,004 Industrial Products companies, Obara Group ranks better than 69.07% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Obara Group's annualized net income for the quarter that ended in Mar. 2026 was 円7,788 Mil. Obara Group's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was 円75,602 Mil. Therefore, Obara Group's annualized ROE % for the quarter that ended in Mar. 2026 was 10.30%.
The historical rank and industry rank for Obara Group's ROE % or its related term are showing as below:
TSE:6877'
s ROE % Range Over the Past 10 Years
Min: 9.1 Med: 11.01 Max: 18.97
Current: 10.35
During the past 13 years, Obara Group's highest ROE % was 18.97%. The lowest was 9.10%. And the median was 11.01%.
TSE:6877's ROE % is ranked better than 69.07% of 3004
companies
in the Industrial Products industry
Industry Median: 5.865
vs TSE:6877: 10.35
Obara Group (TSE:6877) 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.
Obara Group ROE % Related Terms
Obara Group ROE % Historical Data
* Premium members only.
The historical data trend for Obara Group'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 Tools & Accessories subindustry, Obara Group'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.
Obara Group ROE % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Obara Group's ROE % distribution charts can be found below:
* The bar in red indicates where Obara Group'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.
Obara Group (TSE:6877) has a ROE % of 10.30% 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 Obara Group and its competitors. This is near median its historical median of 11.01. Over the past decade, Obara Group's ROE % has ranged from 9.10 to 18.97. According to the industry distribution chart, Obara Group ranks #929 out of 3004 companies in the Industrial Products industry, placing it in the top 30.9%.
Is Obara Group's ROE % too high?
Obara Group's current ROE % of 10.30% is near median its 10-year median of 11.01. Over the past 10 years, this metric has ranged from a low of 9.10 to a high of 18.97. The Industrial Products industry median ROE % is 5.87. Obara Group's value of 10.30% is 75.6% above this industry median. Based on the distribution chart, Obara Group ranks #929 out of 3004 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Obara Group has a GF Score™ of 83/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Obara Group's ROE % compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Obara Group ranks #929 out of 3004 companies for ROE %. This puts Obara Group in the upper half of its industry. The industry median ROE % is 5.87. Obara Group's value of 10.30% is 75.6% above this benchmark. Historically, Obara Group's own ROE % has ranged from 9.10 to 18.97 over the past decade. While the company's 10-year median is 11.01 vs. the industry median of 5.87, Obara Group 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 an Industrial Products company?
The median ROE % among Industrial Products companies is 5.87, based on 3,004 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. Obara Group's current ROE % of 10.30% is 75.6% 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 Obara Group and its competitors. For the Industrial Products industry, the median ROE % is 5.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Obara Group's current ROE % is 10.30%, which is near median its own 10-year median of 11.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Obara Group stock overvalued right now?
Based on GuruFocus' analysis, Obara Group (TSE:6877) is currently considered Modestly Overvalued. The stock's GF Value™ is 円5,096.29, compared to a current price of 円6,060.00 — trading 18.9% above its estimated fair value. The current ROE % is 10.30%, which is near median its 10-year median of 11.01 and 75.6% above the Industrial Products industry median of 5.87. Obara Group's overall GF Score™ is 83/100 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 Obara Group (TSE:6877), the current ROE % is 10.30% 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 Obara Group (TSE:6877) Overvalued in 2026?
Based on GuruFocus' analysis, Obara Group stock appears to be overvalued.
The current stock price of 円6,060.00 is trading 18.9% above its estimated GF Value™ of 円5,096.29.
GuruFocus considers Obara Group to be Modestly Overvalued.
Key valuation signals for TSE:6877:
ROE %: 10.30% (near median its 10-year median of 11.01)
GF Value™: 円5,096.29 vs. price of 円6,060.00 (18.9% above fair value)
Industry Position: 75.6% above the Industrial Products median (#929 of 3004)
No single metric tells the full story. See the TSE:6877 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Obara Group Inc is a Japanese supplier of welding and polishing solutions. The company offers resistance welding systems for the automotive industry and arc welding tools for the shipbuilding and construction industries. The polishing business sells polishing machines under the SpeedFam brand primarily to electronic and precision industries, including the treatment of silicon wafers, mobile phones and personal computer electronics, flat panels, memory disks, and opto-electronic parts.
83GF Score
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