ARAYA INDUSTRIAL Co (TSE:7305) 10-Year RORE % : 4.25% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
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:7305 ARAYA INDUSTRIAL Co Ltd TSE:7305
72 GF Score
Price 円2,624.00
GF Value 円2,374.02
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is ARAYA INDUSTRIAL Co 10-Year RORE %?

ARAYA INDUSTRIAL Co TSE:7305 -1.13% 72 10-Year RORE % is 4.25 as of Mar. 2026. GuruFocus rates TSE:7305 with a GF Score™ of 72/100 and a GF Value™ of 円2,374.02 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 480 Steel companies, ARAYA INDUSTRIAL Co ranks better than 51.46% on this metric.

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. ARAYA INDUSTRIAL Co's 10-Year RORE % for the quarter that ended in Mar. 2026 was 4.25%.

The industry rank for ARAYA INDUSTRIAL Co's 10-Year RORE % or its related term are showing as below:

TSE:7305's 10-Year RORE % is ranked better than
51.46% of 480 companies
in the Steel industry
Industry Median: 3.465 vs TSE:7305: 4.25

ARAYA INDUSTRIAL Co  (TSE:7305) 10-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 10-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


ARAYA INDUSTRIAL Co 10-Year RORE % Related Terms


ARAYA INDUSTRIAL Co 10-Year RORE % Historical Data

* Premium members only.

The historical data trend for ARAYA INDUSTRIAL Co's 10-Year RORE % 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.

ARAYA INDUSTRIAL Co 10-Year RORE % Chart

ARAYA INDUSTRIAL Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
10-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 37.10 25.94 10.10 19.40 4.25

ARAYA INDUSTRIAL Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Mar25 Jun25 Sep25 Dec25 Mar26
10-Year RORE % 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 19.40 0.00 17.04 0.00 4.25

TSE:7305 vs NUE, STLD, RS: 10-Year RORE % Comparison

For the Steel subindustry, ARAYA INDUSTRIAL Co's 10-Year RORE %, along with its competitors' market caps and 10-Year RORE % 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.


ARAYA INDUSTRIAL Co 10-Year RORE % vs Steel Industry

For the Steel industry and Basic Materials sector, ARAYA INDUSTRIAL Co's 10-Year RORE % distribution charts can be found below:

* The bar in red indicates where ARAYA INDUSTRIAL Co's 10-Year RORE % falls into.


TSE:7305
72GF Score
ARAYA INDUSTRIAL Co Ltd TSE:7305
10-Year RORE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ARAYA INDUSTRIAL Co 10-Year RORE % Calculation

ARAYA INDUSTRIAL Co's 10-Year RORE % for the quarter that ended in Mar. 2026 is calculated as:

10-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 10-year -Cumulative Dividends per Share for 10-year )
=( 159.537-117.188 )/( 1453.267-527.5 )
=42.349/925.767
=4.57 %

* 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 10-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 10-year before.

Frequently Asked Questions Learn more about 10-Year RORE % →
What does a 10-Year RORE % of 4.25 mean?
ARAYA INDUSTRIAL Co (TSE:7305) has a 10-Year RORE % of 4.25 as of Mar. 2026. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on ARAYA INDUSTRIAL Co and its competitors. According to the industry distribution chart, ARAYA INDUSTRIAL Co ranks #233 out of 480 companies in the Steel industry, placing it in the top 48.5%.
Is ARAYA INDUSTRIAL Co's 10-Year RORE % too high?
ARAYA INDUSTRIAL Co's current 10-Year RORE % is 4.25. The Steel industry median 10-Year RORE % is 3.47. ARAYA INDUSTRIAL Co's value of 4.25 is 22.7% above this industry median. Based on the distribution chart, ARAYA INDUSTRIAL Co ranks #233 out of 480 companies in the Steel industry, which is above the industry midpoint. Overall, ARAYA INDUSTRIAL Co has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ARAYA INDUSTRIAL Co's 10-Year RORE % compare to NUE and STLD?
According to the Steel industry distribution chart, ARAYA INDUSTRIAL Co ranks #233 out of 480 companies for 10-Year RORE %. This puts ARAYA INDUSTRIAL Co in the upper half of its industry. The industry median 10-Year RORE % is 3.47. ARAYA INDUSTRIAL Co's value of 4.25 is 22.7% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 10-Year RORE % for a Steel company?
The median 10-Year RORE % among Steel companies is 3.47, based on 480 companies in the industry. Companies in the top quartile (top 25%) have a 10-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 10-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ARAYA INDUSTRIAL Co's current 10-Year RORE % of 4.25 is 22.7% 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 10-Year RORE % mean?
A high 10-Year RORE % can signal that a stock is expensive relative to its fundamentals. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on ARAYA INDUSTRIAL Co and its competitors. For the Steel industry, the median 10-Year RORE % is 3.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ARAYA INDUSTRIAL Co's current 10-Year RORE % is 4.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ARAYA INDUSTRIAL Co stock overvalued right now?
Based on GuruFocus' analysis, ARAYA INDUSTRIAL Co (TSE:7305) is currently considered Modestly Overvalued. The stock's GF Value™ is 円2,374.02, compared to a current price of 円2,624.00 — trading 10.5% above its estimated fair value. The current 10-Year RORE % is 4.25 and 22.7% above the Steel industry median of 3.47. ARAYA INDUSTRIAL Co's overall GF Score™ is 72/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 10-Year RORE % calculated?
10-Year RORE % is calculated from a company's financial statements. For ARAYA INDUSTRIAL Co (TSE:7305), the current 10-Year RORE % is 4.25 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 ARAYA INDUSTRIAL Co (TSE:7305) Overvalued in 2026?

Based on GuruFocus' analysis, ARAYA INDUSTRIAL Co stock appears to be overvalued. The current stock price of 円2,624.00 is trading 10.5% above its estimated GF Value™ of 円2,374.02. GuruFocus considers ARAYA INDUSTRIAL Co to be Modestly Overvalued.

Key valuation signals for TSE:7305:

  • 10-Year RORE %: 4.25
  • GF Value™: 円2,374.02 vs. price of 円2,624.00 (10.5% above fair value)
  • GF Score™: 72/100 with 7 warning signs
  • Industry Position: 22.7% above the Steel median (#233 of 480)

No single metric tells the full story. See the TSE:7305 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ARAYA INDUSTRIAL Co Business Description

Address 12-12 Minamisenba, Chuo-ku, Osaka, JPN, 542-0081
ARAYA INDUSTRIAL Co Ltd is engaged in the manufacturing and selling of high-quality, high-performance iron, stainless steel pipe and others by metal processing technology Roll Forming. Its product offering includes steel pipe, welfare equipment, rim for the bicycle, pipe cutting machine, pipe/sheet metal processing machine and other special purpose machines. The company's products are used in a wide range of fields including automobiles, motorcycles, bicycles, buildings, furniture, industrial machinery, welfare equipment, and logistics equipment.
72GF Score

Get the complete analysis for TSE:7305

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

円2,624.00
Price
円2,374.02
GF Value