The Why How Do Co (TSE:3823) 3-Year ROIIC % : 140.82% (As of Aug. 2024) — 142% Above Median

Author: Vera Yuan Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:3823 The Why How Do Co Inc TSE:3823
42 GF Score
Price 円30.00
GF Value 円58.39
Valuation Possible Value Trap
! 5 Warning Signs
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What is The Why How Do Co 3-Year ROIIC %?

The Why How Do Co TSE:3823 42 3-Year ROIIC % is 140.82 as of Aug. 2024, which is 142% above its 10-year median of 58.29. GuruFocus rates TSE:3823 with a GF Score™ of 42/100 and a GF Value™ of 円58.39 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 2,623 Software companies, The Why How Do Co ranks better than 65% on this metric.

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. The Why How Do Co's 3-Year ROIIC % for the quarter that ended in Aug. 2024 was 140.82%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for The Why How Do Co's 3-Year ROIIC % or its related term are showing as below:

TSE:3823's 3-Year ROIIC % is ranked better than
65% of 2623 companies
in the Software industry
Industry Median: 5.33 vs TSE:3823: 140.82

The Why How Do Co  (TSE:3823) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


The Why How Do Co 3-Year ROIIC % Related Terms


The Why How Do Co 3-Year ROIIC % Historical Data

* Premium members only.

The historical data trend for The Why How Do Co's 3-Year ROIIC % 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.

The Why How Do Co 3-Year ROIIC % Chart

The Why How Do Co Annual Data
Trend Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -329.48 55.27 4.73 -46.83 140.82

The Why How Do Co Semi-Annual Data
Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
3-Year ROIIC % 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 0.00 140.82 0.00 17.15 0.00

TSE:3823 vs QH, SHOP, UBER: 3-Year ROIIC % Comparison

For the Software - Application subindustry, The Why How Do Co's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.


The Why How Do Co 3-Year ROIIC % vs Software Industry

For the Software industry and Technology sector, The Why How Do Co's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where The Why How Do Co's 3-Year ROIIC % falls into.


TSE:3823
42GF Score
The Why How Do Co Inc TSE:3823
3-Year ROIIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Why How Do Co 3-Year ROIIC % Calculation

The Why How Do Co's 3-Year ROIIC % for the quarter that ended in Aug. 2024 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( -247.944 (Aug. 2024) - -514.471 (Aug. 2021) )/( 824.445 (Aug. 2024) - 635.175 (Aug. 2021) )
=266.527/189.27
=140.82%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

Frequently Asked Questions Learn more about 3-Year ROIIC % →
What does a 3-Year ROIIC % of 140.82 mean?
The Why How Do Co (TSE:3823) has a 3-Year ROIIC % of 140.82 as of Aug. 2024. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on The Why How Do Co and its competitors. This is 142% above median its historical median of 58.29. According to the industry distribution chart, The Why How Do Co ranks #918 out of 2623 companies in the Software industry, placing it in the top 35%.
Is The Why How Do Co's 3-Year ROIIC % too high?
The Why How Do Co's current 3-Year ROIIC % of 140.82 is 142% above median its 10-year median of 58.29. The Software industry median 3-Year ROIIC % is 5.33. The Why How Do Co's value of 140.82 is 2542% above this industry median. Based on the distribution chart, The Why How Do Co ranks #918 out of 2623 companies in the Software industry, which is above the industry midpoint. Overall, The Why How Do Co has a GF Score™ of 42/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does The Why How Do Co's 3-Year ROIIC % compare to QH and SHOP?
According to the Software industry distribution chart, The Why How Do Co ranks #918 out of 2623 companies for 3-Year ROIIC %. This puts The Why How Do Co in the upper half of its industry. The industry median 3-Year ROIIC % is 5.33. The Why How Do Co's value of 140.82 is 2542% above this benchmark. While the company's 10-year median is 58.29 vs. the industry median of 5.33, The Why How Do 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 3-Year ROIIC % for a Software company?
The median 3-Year ROIIC % among Software companies is 5.33, based on 2,623 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Why How Do Co's current 3-Year ROIIC % of 140.82 is 2542% 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on The Why How Do Co and its competitors. For the Software industry, the median 3-Year ROIIC % is 5.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Why How Do Co's current 3-Year ROIIC % is 140.82, which is 142% above median its own 10-year median of 58.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Why How Do Co stock overvalued right now?
Based on GuruFocus' analysis, The Why How Do Co (TSE:3823) is currently considered Possible Value Trap. The stock's GF Value™ is 円58.39, compared to a current price of 円30.00 — trading 48.6% below its estimated fair value. The current 3-Year ROIIC % is 140.82, which is 142% above median its 10-year median of 58.29 and 2542% above the Software industry median of 5.33. The Why How Do Co's overall GF Score™ is 42/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For The Why How Do Co (TSE:3823), the current 3-Year ROIIC % is 140.82 as of Aug. 2024. 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 The Why How Do Co (TSE:3823) Overvalued in 2026?

Based on GuruFocus' analysis, The Why How Do Co stock appears to be undervalued. The current stock price of 円30.00 is trading 48.6% below its estimated GF Value™ of 円58.39. GuruFocus considers The Why How Do Co to be Possible Value Trap.

Key valuation signals for TSE:3823:

  • 3-Year ROIIC %: 140.82 (142% above median its 10-year median of 58.29)
  • GF Value™: 円58.39 vs. price of 円30.00 (48.6% below fair value)
  • GF Score™: 42/100 with 5 warning signs
  • Industry Position: 2542% above the Software median (#918 of 2623)

No single metric tells the full story. See the TSE:3823 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


The Why How Do Co Business Description

Address 22 Aizumi-cho, Daisan Yamada Building, Shinjuku-ku, Tokyo, JPN, 160-0005
The Why How Do Co Inc formerly Acrodea Inc is a software company. It is mainly engaged in the development of platform services for smartphones and IoT related solutions. In addition, the company provides social game and application related development and services.
42GF Score

Get the complete analysis for TSE:3823

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

円30.00
Price
円58.39
GF Value