Kohnan Shoji Co (TSE:7516) ROE %: 3.14% (As of Feb. 2026) — 67% Below Median


TSE:7516 Kohnan Shoji Co Ltd TSE:7516
67 GF Score
Price 円4,045.00
GF Value 円4,381.77
Valuation Fairly Valued
! 4 Warning Signs
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What is Kohnan Shoji Co ROE %?

Kohnan Shoji Co TSE:7516 +1.00% 67 ROE % is 3.14% as of Feb. 2026, which is 67% below its 10-year median of 9.52. GuruFocus rates TSE:7516 with a GF Score™ of 67/100 and a GF Value™ of 円4,381.77 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,097 Retail - Cyclical companies, Kohnan Shoji Co ranks better than 53.14% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Kohnan Shoji Co's annualized net income for the quarter that ended in Feb. 2026 was 円5,424 Mil. Kohnan Shoji Co's average Total Stockholders Equity over the quarter that ended in Feb. 2026 was 円172,478 Mil. Therefore, Kohnan Shoji Co's annualized ROE % for the quarter that ended in Feb. 2026 was 3.14%.

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

TSE:7516' s ROE % Range Over the Past 10 Years
Min: 6.41   Med: 9.52   Max: 14.49
Current: 7.21

During the past 13 years, Kohnan Shoji Co's highest ROE % was 14.49%. The lowest was 6.41%. And the median was 9.52%.

TSE:7516's ROE % is ranked better than
53.14% of 1097 companies
in the Retail - Cyclical industry
Industry Median: 6.46 vs TSE:7516: 7.21

Kohnan Shoji Co  (TSE:7516) 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
=5424/172478
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(5424 / 514684)*(514684 / 509033.5)*(509033.5 / 172478)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.05 %*1.0111*2.9513
=ROA %*Equity Multiplier
=1.06 %*2.9513
=3.14 %

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
=5424/172478
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (5424 / 9304) * (9304 / 15588) * (15588 / 514684) * (514684 / 509033.5) * (509033.5 / 172478)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.583 * 0.5969 * 3.03 % * 1.0111 * 2.9513
=3.14 %

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


Kohnan Shoji Co ROE % Related Terms


Kohnan Shoji Co ROE % Historical Data

* Premium members only.

The historical data trend for Kohnan Shoji 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.

Kohnan Shoji Co ROE % Chart

Kohnan Shoji Co Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.31 9.07 9.16 8.80 7.23

Kohnan Shoji Co Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
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 6.13 10.47 10.24 5.08 3.14

TSE:7516 vs HD, LOW, FND: ROE % Comparison

For the Home Improvement Retail subindustry, Kohnan Shoji 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.


Kohnan Shoji Co ROE % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Kohnan Shoji Co's ROE % distribution charts can be found below:

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


TSE:7516
67GF Score
Kohnan Shoji Co Ltd TSE:7516
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Kohnan Shoji Co ROE % Calculation

Kohnan Shoji Co'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 )
=12263/( (165790+173395)/ 2 )
=12263/169592.5
=7.23 %

Kohnan Shoji Co's annualized ROE % for the quarter that ended in Feb. 2026 is calculated as

ROE %=Net Income (Q: Feb. 2026 )/( (Total Stockholders Equity (Q: Nov. 2025 )+Total Stockholders Equity (Q: Feb. 2026 ))/ count )
=5424/( (171561+173395)/ 2 )
=5424/172478
=3.14 %

* 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 (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 3.14% mean?
Kohnan Shoji Co (TSE:7516) has a ROE % of 3.14% 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 Kohnan Shoji Co and its competitors. This is 67% below median its historical median of 9.52. Over the past decade, Kohnan Shoji Co's ROE % has ranged from 6.41 to 14.49. According to the industry distribution chart, Kohnan Shoji Co ranks #514 out of 1097 companies in the Retail - Cyclical industry, placing it in the top 46.9%.
Is Kohnan Shoji Co's ROE % too high?
Kohnan Shoji Co's current ROE % of 3.14% is 67% below median its 10-year median of 9.52. Over the past 10 years, this metric has ranged from a low of 6.41 to a high of 14.49. The Retail - Cyclical industry median ROE % is 6.46. Kohnan Shoji Co's value of 3.14% is 51.4% below this industry median. Based on the distribution chart, Kohnan Shoji Co ranks #514 out of 1097 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Kohnan Shoji Co has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kohnan Shoji Co's ROE % compare to HD and LOW?
According to the Retail - Cyclical industry distribution chart, Kohnan Shoji Co ranks #514 out of 1097 companies for ROE %. This puts Kohnan Shoji Co in the upper half of its industry. The industry median ROE % is 6.46. Kohnan Shoji Co's value of 3.14% is 51.4% below this benchmark. Historically, Kohnan Shoji Co's own ROE % has ranged from 6.41 to 14.49 over the past decade. While the company's 10-year median is 9.52 vs. the industry median of 6.46, Kohnan Shoji 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 Retail - Cyclical company?
The median ROE % among Retail - Cyclical companies is 6.46, based on 1,097 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. Kohnan Shoji Co's current ROE % of 3.14% is 51.4% 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 Kohnan Shoji Co and its competitors. For the Retail - Cyclical industry, the median ROE % is 6.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kohnan Shoji Co's current ROE % is 3.14%, which is 67% below median its own 10-year median of 9.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kohnan Shoji Co stock overvalued right now?
Based on GuruFocus' analysis, Kohnan Shoji Co (TSE:7516) is currently considered Fairly Valued. The stock's GF Value™ is 円4,381.77, compared to a current price of 円4,045.00 — trading 7.7% below its estimated fair value. The current ROE % is 3.14%, which is 67% below median its 10-year median of 9.52 and 51.4% below the Retail - Cyclical industry median of 6.46. Kohnan Shoji Co's overall GF Score™ is 67/100 with 4 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 Kohnan Shoji Co (TSE:7516), the current ROE % is 3.14% 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 Kohnan Shoji Co (TSE:7516) Overvalued in 2026?

Based on GuruFocus' analysis, Kohnan Shoji Co stock appears to be undervalued. The current stock price of 円4,045.00 is trading 7.7% below its estimated GF Value™ of 円4,381.77. GuruFocus considers Kohnan Shoji Co to be Fairly Valued.

Key valuation signals for TSE:7516:

  • ROE %: 3.14% (67% below median its 10-year median of 9.52)
  • GF Value™: 円4,381.77 vs. price of 円4,045.00 (7.7% below fair value)
  • GF Score™: 67/100 with 4 warning signs
  • Industry Position: 51.4% below the Retail - Cyclical median (#514 of 1097)

No single metric tells the full story. See the TSE:7516 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kohnan Shoji Co Business Description

Address 2-2-17 Nishimiyahara, Yodogawa-ku, Osaka, JPN, 532-0004
Kohnan Shoji Co Ltd is a Japan-based company that is principally engaged in the retail of products related to home improvement, housekeeping, and automotive supplies and accessories. The company operates through three store chains with different styles: Home Center, mainly offering DIY products and household goods to improve consumers' home and life; Homestock, a small-format version of Home Center with original brands EDLP and Lifelex; and Kohnan Pro, providing tools, building materials, and working equipment for professionals. The majority of the company's stores are Home Center stores.
67GF Score

Get the complete analysis for TSE:7516

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

円4,045.00
Price
円4,381.77
GF Value