TSE:7952's ROE % is ranked worse than 61.29% of 819
companies
in the Travel & Leisure industry
Industry Median: 5.51
vs TSE:7952: 2.55
Kawai Musical Instruments Manufacturing Co (TSE:7952) 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 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.
Kawai Musical Instruments Manufacturing Co ROE % Related Terms
Kawai Musical Instruments Manufacturing Co ROE % Historical Data
* 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.
Kawai Musical Instruments Manufacturing Co ROE % Chart
Kawai Musical Instruments Manufacturing Co Annual Data
* 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.
Kawai Musical Instruments Manufacturing Co ROE % vs Travel & Leisure Industry
* 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.
Kawai Musical Instruments Manufacturing Co (TSE:7952) has a ROE % of 5.15% 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 Kawai Musical Instruments Manufacturing Co and its competitors. This is 36% below median its historical median of 8.01. Over the past decade, Kawai Musical Instruments Manufacturing Co's ROE % has ranged from 0.93 to 16.49. According to the industry distribution chart, Kawai Musical Instruments Manufacturing Co ranks #502 out of 819 companies in the Travel & Leisure industry, placing it in the top 61.3%.
Is Kawai Musical Instruments Manufacturing Co's ROE % too high?
Kawai Musical Instruments Manufacturing Co's current ROE % of 5.15% is 36% below median its 10-year median of 8.01. Over the past 10 years, this metric has ranged from a low of 0.93 to a high of 16.49. The Travel & Leisure industry median ROE % is 5.51. Kawai Musical Instruments Manufacturing Co's value of 5.15% is 6.5% below this industry median. Based on the distribution chart, Kawai Musical Instruments Manufacturing Co ranks #502 out of 819 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, Kawai Musical Instruments Manufacturing Co has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kawai Musical Instruments Manufacturing Co's ROE % compare to AS and HAS?
According to the Travel & Leisure industry distribution chart, Kawai Musical Instruments Manufacturing Co ranks #502 out of 819 companies for ROE %. This places Kawai Musical Instruments Manufacturing Co in the lower half of its industry. The industry median ROE % is 5.51. Kawai Musical Instruments Manufacturing Co's value of 5.15% is 6.5% below this benchmark. Historically, Kawai Musical Instruments Manufacturing Co's own ROE % has ranged from 0.93 to 16.49 over the past decade. While the company's 10-year median is 8.01 vs. the industry median of 5.51, Kawai Musical Instruments Manufacturing 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 Travel & Leisure company?
The median ROE % among Travel & Leisure companies is 5.51, based on 819 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. Kawai Musical Instruments Manufacturing Co's current ROE % of 5.15% is 6.5% 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 Kawai Musical Instruments Manufacturing Co and its competitors. For the Travel & Leisure industry, the median ROE % is 5.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kawai Musical Instruments Manufacturing Co's current ROE % is 5.15%, which is 36% below median its own 10-year median of 8.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kawai Musical Instruments Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Kawai Musical Instruments Manufacturing Co (TSE:7952) is currently considered Modestly Overvalued. The stock's GF Value™ is 円2,733.98, compared to a current price of 円3,210.00 — trading 17.4% above its estimated fair value. The current ROE % is 5.15%, which is 36% below median its 10-year median of 8.01 and 6.5% below the Travel & Leisure industry median of 5.51. Kawai Musical Instruments Manufacturing Co's overall GF Score™ is 64/100 with 11 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 Kawai Musical Instruments Manufacturing Co (TSE:7952), the current ROE % is 5.15% 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 Kawai Musical Instruments Manufacturing Co (TSE:7952) Overvalued in 2026?
Based on GuruFocus' analysis, Kawai Musical Instruments Manufacturing Co stock appears to be overvalued.
The current stock price of 円3,210.00 is trading 17.4% above its estimated GF Value™ of 円2,733.98.
GuruFocus considers Kawai Musical Instruments Manufacturing Co to be Modestly Overvalued.
Key valuation signals for TSE:7952:
ROE %: 5.15% (36% below median its 10-year median of 8.01)
GF Value™: 円2,733.98 vs. price of 円3,210.00 (17.4% above fair value)
Industry Position: 6.5% below the Travel & Leisure median (#502 of 819)
No single metric tells the full story. See the TSE:7952 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kawai Musical Instruments Manufacturing Co Business Description
Kawai Musical Instruments Manufacturing Co Ltd is a Japan-based musical instrument manufacturer. The company is mainly engaged in manufacturing and sales of musical instruments, precision metals, wood products, and electronic devices. Products offered by the company include grand pianos, upright pianos, digital pianos, hybrid pianos, and anytime pianos. It sells its products under the brand name Philosophy, Legacy, Artists, Competitions, and Institutions. Kawai has world-wide sales networks, it distributes its products in Europe, America, Asia and Oceania, Africa and the Middle East. The company is also engaged in the development and sales of software and operations of music schools, and gymnastics schools.
64GF Score
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