ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Hosokawa Micron's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 5.15%.
As of today (2026-07-04), Hosokawa Micron's WACC % is 6.06%. Hosokawa Micron's ROIC % is 5.06% (calculated using TTM income statement data).
Hosokawa Micron earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Hosokawa Micron (TSE:6277) ROIC % Explanation
ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.
There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.
Why is ROIC % important?
Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, Hosokawa Micron's WACC % is 6.06%. Hosokawa Micron's ROIC % is 5.06% (calculated using TTM income statement data).
Hosokawa Micron earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Be Aware
Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Hosokawa Micron ROIC % Related Terms
Hosokawa Micron ROIC % Historical Data
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The historical data trend for Hosokawa Micron's ROIC % 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 Specialty Industrial Machinery subindustry, Hosokawa Micron's ROIC %, along with its competitors' market caps and ROIC % 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.
Hosokawa Micron ROIC % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Hosokawa Micron's ROIC % distribution charts can be found below:
* The bar in red indicates where Hosokawa Micron's ROIC % falls into.
Note:
The Operating Income data used here is four times the quarterly (Mar. 2026) data.
The tax rate is limited to between 0% and 100%.
* 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.
Hosokawa Micron (TSE:6277) has a ROIC % of 5.15% as of Mar. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Hosokawa Micron and its competitors.
Is Hosokawa Micron's ROIC % too high?
Hosokawa Micron's current ROIC % is 5.15%. The Industrial Products industry median ROIC % is 5.21. Hosokawa Micron's value of 5.15% is 1.2% below this industry median. Overall, Hosokawa Micron has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hosokawa Micron's ROIC % compare to GEV and ETN?
Hosokawa Micron's ROIC % of 5.15% can be compared against companies in the Industrial Products industry. The industry median ROIC % is 5.21. Hosokawa Micron's value of 5.15% is 1.2% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for an Industrial Products company?
The median ROIC % among Industrial Products companies is 5.21, based on 3,033 companies in the industry. Companies in the top quartile (top 25%) have a ROIC % significantly above this median, while those in the bottom quartile fall well below. However, ROIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hosokawa Micron's current ROIC % of 5.15% is 1.2% 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 ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Hosokawa Micron and its competitors. For the Industrial Products industry, the median ROIC % is 5.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hosokawa Micron's current ROIC % is 5.15%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hosokawa Micron stock overvalued right now?
Based on GuruFocus' analysis, Hosokawa Micron (TSE:6277) is currently considered Modestly Overvalued. The stock's GF Value™ is 円4,428.58, compared to a current price of 円4,980.00 — trading 12.5% above its estimated fair value. The current ROIC % is 5.15% and 1.2% below the Industrial Products industry median of 5.21. Hosokawa Micron's overall GF Score™ is 88/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For Hosokawa Micron (TSE:6277), the current ROIC % 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 Hosokawa Micron (TSE:6277) Overvalued in 2026?
Based on GuruFocus' analysis, Hosokawa Micron stock appears to be overvalued.
The current stock price of 円4,980.00 is trading 12.5% above its estimated GF Value™ of 円4,428.58.
GuruFocus considers Hosokawa Micron to be Modestly Overvalued.
Key valuation signals for TSE:6277:
ROIC %: 5.15%
GF Value™: 円4,428.58 vs. price of 円4,980.00 (12.5% above fair value)
Industry Position: 1.2% below the Industrial Products median
No single metric tells the full story. See the TSE:6277 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hosokawa Micron Corp is a Japan based provider of process solutions in the field of powder and particle processing technology, blown film technology, and confectionery technology. The company's products have applications in nanoparticle technology and particle design, clean air and containment and environmental protection technology, toll processing and contract manufacturing, blown film technology and material business. Additionally, it also offers solutions to various industries such as energy, automobile, chemicals, minerals, pharmaceuticals, food and polymer drying and metal. The company has a business presence in Japan and other countries.
88GF Score
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