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.
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.
SMS CoTSE:2175 +0.67%87 3-Year RORE % is 261.57 as of Mar. 2026. GuruFocus rates TSE:2175 with a GF Score™ of 87/100 and a GF Value™ of 円2,022.74 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 604 Healthcare Providers & Services companies, SMS Co ranks better than 96.69% 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.
SMS Co's 3-Year RORE % for the quarter that ended in Mar. 2026 was 261.57%.
The industry rank for SMS Co's 3-Year RORE % or its related term are showing as below:
TSE:2175's 3-Year RORE % is ranked better than 96.69% of 604
companies
in the Healthcare Providers & Services industry
Industry Median: 0.195
vs TSE:2175: 261.57
SMS Co (TSE:2175) 3-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, 3-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.
SMS Co 3-Year RORE % Related Terms
SMS Co 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for SMS Co's 3-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.
TSE:2175 vs VEEV, BTSG, TEM: 3-Year RORE % Comparison
For the Health Information Services subindustry, SMS Co's 3-Year RORE %, along with its competitors' market caps and 3-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.
SMS Co 3-Year RORE % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, SMS Co's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where SMS Co's 3-Year RORE % falls into.
* 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 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.
SMS Co (TSE:2175) has a 3-Year RORE % of 261.57 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on SMS Co and its competitors. According to the industry distribution chart, SMS Co ranks #20 out of 604 companies in the Healthcare Providers & Services industry, placing it in the top 3.3%.
Is SMS Co's 3-Year RORE % too high?
SMS Co's current 3-Year RORE % is 261.57. The Healthcare Providers & Services industry median 3-Year RORE % is 0.20. SMS Co's value of 261.57 is 134038.5% above this industry median. Based on the distribution chart, SMS Co ranks #20 out of 604 companies in the Healthcare Providers & Services industry, which is in the top quartile — a strong position relative to peers. Overall, SMS Co has a GF Score™ of 87/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SMS Co's 3-Year RORE % compare to VEEV and BTSG?
According to the Healthcare Providers & Services industry distribution chart, SMS Co ranks #20 out of 604 companies for 3-Year RORE %. This places SMS Co in the top 3% of its industry — outperforming the majority of peers. The industry median 3-Year RORE % is 0.20. SMS Co's value of 261.57 is 134038.5% 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 3-Year RORE % for a Healthcare Providers & Services company?
The median 3-Year RORE % among Healthcare Providers & Services companies is 0.20, based on 604 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. SMS Co's current 3-Year RORE % of 261.57 is 134038.5% 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 RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on SMS Co and its competitors. For the Healthcare Providers & Services industry, the median 3-Year RORE % is 0.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SMS Co's current 3-Year RORE % is 261.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SMS Co stock overvalued right now?
Based on GuruFocus' analysis, SMS Co (TSE:2175) is currently considered Modestly Overvalued. The stock's GF Value™ is 円2,022.74, compared to a current price of 円2,536.00 — trading 25.4% above its estimated fair value. The current 3-Year RORE % is 261.57 and 134038.5% above the Healthcare Providers & Services industry median of 0.20. SMS Co's overall GF Score™ is 87/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For SMS Co (TSE:2175), the current 3-Year RORE % is 261.57 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 SMS Co (TSE:2175) Overvalued in 2026?
Based on GuruFocus' analysis, SMS Co stock appears to be overvalued.
The current stock price of 円2,536.00 is trading 25.4% above its estimated GF Value™ of 円2,022.74.
GuruFocus considers SMS Co to be Modestly Overvalued.
Key valuation signals for TSE:2175:
3-Year RORE %: 261.57
GF Value™: 円2,022.74 vs. price of 円2,536.00 (25.4% above fair value)
Industry Position: 134038.5% above the Healthcare Providers & Services median (#20 of 604)
No single metric tells the full story. See the TSE:2175 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SMS Co Ltd is a Japanese company involved in providing various services targeting information infrastructure for the aging society. The company divides its search service by the following segments: nursing care, medical care, career, healthcare/senior life, and global.
87GF Score
Get the complete analysis for TSE:2175
3-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSE:2175 has been successfully added to your 
