Kinki Sharyo Co (TSE:7122) ROE %: 7.45% (As of Mar. 2026) — 64% Above Median

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TSE:7122 Kinki Sharyo Co Ltd TSE:7122
63 GF Score
Price 円2,327.00
GF Value 円1,944.30
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Kinki Sharyo Co ROE %?

Kinki Sharyo Co TSE:7122 63 ROE % is 7.45% as of Mar. 2026, which is 64% above its 10-year median of 4.54. GuruFocus rates TSE:7122 with a GF Score™ of 63/100 and a GF Value™ of 円1,944.30 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 986 Transportation companies, Kinki Sharyo Co ranks worse than 65.82% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Kinki Sharyo Co's annualized net income for the quarter that ended in Mar. 2026 was 円2,592 Mil. Kinki Sharyo Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was 円34,803 Mil. Therefore, Kinki Sharyo Co's annualized ROE % for the quarter that ended in Mar. 2026 was 7.45%.

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

TSE:7122' s ROE % Range Over the Past 10 Years
Min: -60.39   Med: 4.54   Max: 26.87
Current: 4.56

During the past 13 years, Kinki Sharyo Co's highest ROE % was 26.87%. The lowest was -60.39%. And the median was 4.54%.

TSE:7122's ROE % is ranked worse than
65.82% of 986 companies
in the Transportation industry
Industry Median: 7.61 vs TSE:7122: 4.56

Kinki Sharyo Co  (TSE:7122) 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
=2592/34802.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(2592 / 41662)*(41662 / 67656.5)*(67656.5 / 34802.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=6.22 %*0.6158*1.944
=ROA %*Equity Multiplier
=3.83 %*1.944
=7.45 %

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
=2592/34802.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (2592 / 1526) * (1526 / -1150) * (-1150 / 41662) * (41662 / 67656.5) * (67656.5 / 34802.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.6986 * -1.327 * -2.76 % * 0.6158 * 1.944
=7.45 %

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.


Kinki Sharyo Co ROE % Related Terms


Kinki Sharyo Co ROE % Historical Data

* Premium members only.

The historical data trend for Kinki Sharyo 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.

Kinki Sharyo Co ROE % Chart

Kinki Sharyo 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 12.08 4.57 14.63 1.69 4.51

Kinki Sharyo 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 15.77 0.04 3.25 1.63 7.45

TSE:7122 vs UNP, CSX, NSC: ROE % Comparison

For the Railroads subindustry, Kinki Sharyo 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.


Kinki Sharyo Co ROE % vs Transportation Industry

For the Transportation industry and Industrials sector, Kinki Sharyo Co's ROE % distribution charts can be found below:

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


TSE:7122
63GF Score
Kinki Sharyo Co Ltd TSE:7122
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kinki Sharyo Co ROE % Calculation

Kinki Sharyo 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 )
=1570/( (33610+35953)/ 2 )
=1570/34781.5
=4.51 %

Kinki Sharyo 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 )
=2592/( (33652+35953)/ 2 )
=2592/34802.5
=7.45 %

* 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 7.45% mean?
Kinki Sharyo Co (TSE:7122) has a ROE % of 7.45% 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 Kinki Sharyo Co and its competitors. This is 64% above median its historical median of 4.54. According to the industry distribution chart, Kinki Sharyo Co ranks #649 out of 986 companies in the Transportation industry, placing it in the top 65.8%.
Is Kinki Sharyo Co's ROE % too high?
Kinki Sharyo Co's current ROE % of 7.45% is 64% above median its 10-year median of 4.54. The Transportation industry median ROE % is 7.61. Kinki Sharyo Co's value of 7.45% is 2.1% below this industry median. Based on the distribution chart, Kinki Sharyo Co ranks #649 out of 986 companies in the Transportation industry, which is below the industry midpoint. Overall, Kinki Sharyo 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 Kinki Sharyo Co's ROE % compare to UNP and CSX?
According to the Transportation industry distribution chart, Kinki Sharyo Co ranks #649 out of 986 companies for ROE %. This places Kinki Sharyo Co in the lower half of its industry. The industry median ROE % is 7.61. Kinki Sharyo Co's value of 7.45% is 2.1% below this benchmark. While the company's 10-year median is 4.54 vs. the industry median of 7.61, Kinki Sharyo 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 Transportation company?
The median ROE % among Transportation companies is 7.61, based on 986 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. Kinki Sharyo Co's current ROE % of 7.45% is 2.1% 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 Kinki Sharyo Co and its competitors. For the Transportation industry, the median ROE % is 7.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kinki Sharyo Co's current ROE % is 7.45%, which is 64% above median its own 10-year median of 4.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kinki Sharyo Co stock overvalued right now?
Based on GuruFocus' analysis, Kinki Sharyo Co (TSE:7122) is currently considered Modestly Overvalued. The stock's GF Value™ is 円1,944.30, compared to a current price of 円2,327.00 — trading 19.7% above its estimated fair value. The current ROE % is 7.45%, which is 64% above median its 10-year median of 4.54 and 2.1% below the Transportation industry median of 7.61. Kinki Sharyo Co's overall GF Score™ is 63/100 with 5 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 Kinki Sharyo Co (TSE:7122), the current ROE % is 7.45% 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 Kinki Sharyo Co (TSE:7122) Overvalued in 2026?

Based on GuruFocus' analysis, Kinki Sharyo Co stock appears to be overvalued. The current stock price of 円2,327.00 is trading 19.7% above its estimated GF Value™ of 円1,944.30. GuruFocus considers Kinki Sharyo Co to be Modestly Overvalued.

Key valuation signals for TSE:7122:

  • ROE %: 7.45% (64% above median its 10-year median of 4.54)
  • GF Value™: 円1,944.30 vs. price of 円2,327.00 (19.7% above fair value)
  • GF Score™: 63/100 with 5 warning signs
  • Industry Position: 2.1% below the Transportation median (#649 of 986)

No single metric tells the full story. See the TSE:7122 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kinki Sharyo Co Business Description

Address 2-2-46 Inada-Uemachi, Higashi-Osaka, Osaka, JPN, 5778511
Kinki Sharyo Co Ltd is a Japan-based company engaged in the manufacturing of rolling stock for its rail transit division. The company operates through two segments namely Rolling stock and Lease of real estate. Additionally, it offers bullet, limited express, and commuter trains, and light rail vehicles as well as low floor light rail vehicles, passenger cars, and electric cars.
63GF Score

Get the complete analysis for TSE:7122

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

円2,327.00
Price
円1,944.30
GF Value