RIKEN KEIKI Co (TSE:7734) ROE %: 16.11% (As of Mar. 2026) — 48% Above Median

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TSE:7734 RIKEN KEIKI Co Ltd TSE:7734
97 GF Score
Price 円3,465.00
GF Value 円3,813.13
Valuation Fairly Valued
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What is RIKEN KEIKI Co ROE %?

RIKEN KEIKI Co TSE:7734 +1.02% 97 ROE % is 16.11% as of Mar. 2026, which is 48% above its 10-year median of 10.91. GuruFocus rates TSE:7734 with a GF Score™ of 97/100 and a GF Value™ of 円3,813.13 (Fairly Valued). Among 1,059 Business Services companies, RIKEN KEIKI Co ranks better than 64.78% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. RIKEN KEIKI Co's annualized net income for the quarter that ended in Mar. 2026 was 円13,449 Mil. RIKEN KEIKI Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was 円83,462 Mil. Therefore, RIKEN KEIKI Co's annualized ROE % for the quarter that ended in Mar. 2026 was 16.11%.

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

TSE:7734' s ROE % Range Over the Past 10 Years
Min: 7.97   Med: 10.91   Max: 14.51
Current: 12.33

During the past 13 years, RIKEN KEIKI Co's highest ROE % was 14.51%. The lowest was 7.97%. And the median was 10.91%.

TSE:7734's ROE % is ranked better than
64.78% of 1059 companies
in the Business Services industry
Industry Median: 8.1 vs TSE:7734: 12.33

RIKEN KEIKI Co  (TSE:7734) 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
=13448.876/83461.668
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(13448.876 / 57242.4)*(57242.4 / 99252.02)*(99252.02 / 83461.668)
=Net Margin %*Asset Turnover*Equity Multiplier
=23.49 %*0.5767*1.1892
=ROA %*Equity Multiplier
=13.55 %*1.1892
=16.11 %

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
=13448.876/83461.668
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (13448.876 / 16508.632) * (16508.632 / 15864.088) * (15864.088 / 57242.4) * (57242.4 / 99252.02) * (99252.02 / 83461.668)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8147 * 1.0406 * 27.71 % * 0.5767 * 1.1892
=16.11 %

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.


RIKEN KEIKI Co ROE % Related Terms


RIKEN KEIKI Co ROE % Historical Data

* Premium members only.

The historical data trend for RIKEN KEIKI 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.

RIKEN KEIKI Co ROE % Chart

RIKEN KEIKI 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 11.13 14.51 12.34 10.68 12.23

RIKEN KEIKI Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 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 9.67 10.97 10.10 12.05 16.11

TSE:7734 vs ALLE, MSA, ADT: ROE % Comparison

For the Security & Protection Services subindustry, RIKEN KEIKI 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.


RIKEN KEIKI Co ROE % vs Business Services Industry

For the Business Services industry and Industrials sector, RIKEN KEIKI Co's ROE % distribution charts can be found below:

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


TSE:7734
97GF Score
RIKEN KEIKI Co Ltd TSE:7734
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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RIKEN KEIKI Co ROE % Calculation

RIKEN KEIKI 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 )
=9957.363/( (77499.489+85379.257)/ 2 )
=9957.363/81439.373
=12.23 %

RIKEN KEIKI 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: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=13448.876/( (81544.079+85379.257)/ 2 )
=13448.876/83461.668
=16.11 %

* 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.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 16.11% mean?
RIKEN KEIKI Co (TSE:7734) has a ROE % of 16.11% 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 RIKEN KEIKI Co and its competitors. This is 48% above median its historical median of 10.91. Over the past decade, RIKEN KEIKI Co's ROE % has ranged from 7.97 to 14.51. According to the industry distribution chart, RIKEN KEIKI Co ranks #373 out of 1059 companies in the Business Services industry, placing it in the top 35.2%.
Is RIKEN KEIKI Co's ROE % too high?
RIKEN KEIKI Co's current ROE % of 16.11% is 48% above median its 10-year median of 10.91. Over the past 10 years, this metric has ranged from a low of 7.97 to a high of 14.51. The Business Services industry median ROE % is 8.10. RIKEN KEIKI Co's value of 16.11% is 98.9% above this industry median. Based on the distribution chart, RIKEN KEIKI Co ranks #373 out of 1059 companies in the Business Services industry, which is above the industry midpoint. Overall, RIKEN KEIKI Co has a GF Score™ of 97/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does RIKEN KEIKI Co's ROE % compare to ALLE and MSA?
According to the Business Services industry distribution chart, RIKEN KEIKI Co ranks #373 out of 1059 companies for ROE %. This puts RIKEN KEIKI Co in the upper half of its industry. The industry median ROE % is 8.10. RIKEN KEIKI Co's value of 16.11% is 98.9% above this benchmark. Historically, RIKEN KEIKI Co's own ROE % has ranged from 7.97 to 14.51 over the past decade. While the company's 10-year median is 10.91 vs. the industry median of 8.10, RIKEN KEIKI Co 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 Business Services company?
The median ROE % among Business Services companies is 8.10, based on 1,059 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. RIKEN KEIKI Co's current ROE % of 16.11% is 98.9% 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 RIKEN KEIKI Co and its competitors. For the Business Services industry, the median ROE % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RIKEN KEIKI Co's current ROE % is 16.11%, which is 48% above median its own 10-year median of 10.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RIKEN KEIKI Co stock overvalued right now?
Based on GuruFocus' analysis, RIKEN KEIKI Co (TSE:7734) is currently considered Fairly Valued. The stock's GF Value™ is 円3,813.13, compared to a current price of 円3,465.00 — trading 9.1% below its estimated fair value. The current ROE % is 16.11%, which is 48% above median its 10-year median of 10.91 and 98.9% above the Business Services industry median of 8.10. RIKEN KEIKI Co's overall GF Score™ is 97/100. 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 RIKEN KEIKI Co (TSE:7734), the current ROE % is 16.11% 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 RIKEN KEIKI Co (TSE:7734) Overvalued in 2026?

Based on GuruFocus' analysis, RIKEN KEIKI Co stock appears to be undervalued. The current stock price of 円3,465.00 is trading 9.1% below its estimated GF Value™ of 円3,813.13. GuruFocus considers RIKEN KEIKI Co to be Fairly Valued.

Key valuation signals for TSE:7734:

  • ROE %: 16.11% (48% above median its 10-year median of 10.91)
  • GF Value™: 円3,813.13 vs. price of 円3,465.00 (9.1% below fair value)
  • GF Score™: 97/100
  • Industry Position: 98.9% above the Business Services median (#373 of 1059)

No single metric tells the full story. See the TSE:7734 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


RIKEN KEIKI Co Business Description

Address 2-7-6 Azusawa Itabashi-Ku, Tokyo, JPN, 174-8744
RIKEN KEIKI Co Ltd is a Japan-based company engaged in the business of manufacturing and selling of gas alarms. It offers fixed and portable flammable gas detectors, toxic gas detectors and oxygen deficiency prevention detectors, portable multi-gas monitors and environmental monitors.
97GF Score

Get the complete analysis for TSE:7734

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

円3,465.00
Price
円3,813.13
GF Value