Headwaters Co (TSE:4011) Asset Turnover: 0.32 (As of Dec. 2025)

What is Headwaters Co Asset Turnover?

Headwaters Co TSE:4011 +2.88% 77 Asset Turnover is 0.32 as of Dec. 2025. GuruFocus rates TSE:4011 with a GF Score™ of 77/100 and a GF Value™ of 円8,039.98 (Possible Value Trap). The stock has 5 warning signs investors should review.

Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. Headwaters Co's Revenue for the three months ended in Dec. 2025 was 円1,198 Mil. Headwaters Co's Total Assets for the quarter that ended in Dec. 2025 was 円3,789 Mil. Therefore, Headwaters Co's Asset Turnover for the quarter that ended in Dec. 2025 was 0.32.

Asset Turnover is linked to ROE % through Du Pont Formula. Headwaters Co's annualized ROE % for the quarter that ended in Dec. 2025 was 3.68%. It is also linked to ROA % through Du Pont Formula. Headwaters Co's annualized ROA % for the quarter that ended in Dec. 2025 was 1.29%.

Headwaters Co (TSE:4011) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

Headwaters Co's annulized ROE % for the quarter that ended in Dec. 2025 is

	ROE %^**		(Q: Dec. 2025 )
=	Net Income	/	Total Stockholders Equity
=	48.712	/	1324.6545
=	(Net Income / Revenue)	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(48.712 / 4791.96)	*	(4791.96 / 3788.615)	*	(3788.615/ 1324.6545)
=	Net Margin %	*	Asset Turnover	*	Equity Multiplier
=	1.02 %	*	1.2648	*	2.8601
=	ROA %	*	Equity Multiplier
=	1.29 %	*	2.8601
=	3.68 %

Note: The Net Income data used here is four times the quarterly (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) revenue 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.

^** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

Headwaters Co's annulized ROA % for the quarter that ended in Dec. 2025 is

	ROA %		(Q: Dec. 2025 )
=	Net Income	/	Total Assets
=	48.712	/	3788.615
=	(Net Income / Revenue)	*	(Revenue / Total Assets)
=	(48.712 / 4791.96)	*	(4791.96 / 3788.615)
=	Net Margin %	*	Asset Turnover
=	1.02 %	*	1.2648
=	1.29 %

Note: The Net Income data used here is four times the quarterly (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) revenue data.

Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.

Headwaters Co Asset Turnover Related Terms

Headwaters Co Asset Turnover Historical Data

* Premium members only.

The historical data trend for Headwaters Co's Asset Turnover can be seen below:

Headwaters Co Asset Turnover Chart

Headwaters Co Annual Data

Trend

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Asset Turnover

Get a 7-Day Free Trial

1.23

1.47

1.88

1.38

Headwaters Co Quarterly Data
	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Asset Turnover	Get a 7-Day Free Trial															0.42	0.54	0.40	0.32	0.32

TSE:4011 vs UBER, SHOP, CRM: Asset Turnover Comparison

For the Software - Application subindustry, Headwaters Co's Asset Turnover, along with its competitors' market caps and Asset Turnover 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.

Headwaters Co Asset Turnover vs Software Industry

For the Software industry and Technology sector, Headwaters Co's Asset Turnover distribution charts can be found below:

* The bar in red indicates where Headwaters Co's Asset Turnover falls into.

Save Embed

77GF Score

Headwaters Co Ltd TSE:4011

Asset Turnover is just one metric. See GF Score™, valuation, warning signs, and more.

View Full Analysis

Headwaters Co Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

Headwaters Co's Asset Turnover for the fiscal year that ended in Dec. 2025 is calculated as

	Asset Turnover
=	Revenue	/	Average Total Assets
=	Revenue (A: Dec. 2025 )	/	( (Total Assets (A: Dec. 2024 )	+	Total Assets (A: Dec. 2025 ))	/ count )
=	3900.04	/	( (1800.388	+	3849.872)	/ 2 )
=	3900.04	/	2825.13
=	1.38

Headwaters Co's Asset Turnover for the quarter that ended in Dec. 2025 is calculated as

	Asset Turnover
=	Revenue	/	Average Total Assets
=	Revenue (Q: Dec. 2025 )	/	( (Total Assets (Q: Sep. 2025 )	+	Total Assets (Q: Dec. 2025 ))	/ count )
=	1197.99	/	( (3727.358	+	3849.872)	/ 2 )
=	1197.99	/	3788.615
=	0.32

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.

Frequently Asked Questions Learn more about Asset Turnover →

What does a Asset Turnover of 0.32 mean?

Headwaters Co (TSE:4011) has a Asset Turnover of 0.32 as of Dec. 2025. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Headwaters Co and its competitors.

Is Headwaters Co's Asset Turnover too high?

Headwaters Co's current Asset Turnover is 0.32. Overall, Headwaters Co has a GF Score™ of 77/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.

How does Headwaters Co's Asset Turnover compare to UBER and SHOP?

Headwaters Co's Asset Turnover of 0.32 can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Asset Turnover for a Software company?

A good Asset Turnover depends on the Software industry context. However, Asset Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Asset Turnover mean?

A high Asset Turnover can signal that a stock is expensive relative to its fundamentals. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Headwaters Co and its competitors. Headwaters Co's current Asset Turnover is 0.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Headwaters Co stock overvalued right now?

Based on GuruFocus' analysis, Headwaters Co (TSE:4011) is currently considered Possible Value Trap. The stock's GF Value™ is 円8,039.98, compared to a current price of 円2,181.00 — trading 72.9% below its estimated fair value. The current Asset Turnover is 0.32. Headwaters Co's overall GF Score™ is 77/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Asset Turnover calculated?

Asset Turnover is calculated from a company's financial statements. For Headwaters Co (TSE:4011), the current Asset Turnover is 0.32 as of Dec. 2025. 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 Headwaters Co (TSE:4011) Overvalued in 2026?

Based on GuruFocus' analysis, Headwaters Co stock appears to be undervalued. The current stock price of 円2,181.00 is trading 72.9% below its estimated GF Value™ of 円8,039.98. GuruFocus considers Headwaters Co to be Possible Value Trap.

Key valuation signals for TSE:4011:

Asset Turnover: 0.32
GF Value™: 円8,039.98 vs. price of 円2,181.00 (72.9% below fair value)
GF Score™: 77/100 with 5 warning signs

No single metric tells the full story. See the TSE:4011 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Headwaters Co Business Description

Industry Technology Software

Comparable Companies TSE:2169 TSE:4193 TSE:4013 TSE:4299 TSE:332A TSE:4448 TSE:3712 TSE:4382 TSE:2307 TSE:9343 XTER:SAP UBER SHOP CRM CDNS NOW ADP SNOW DDOG ADBE

Address 6-5-1 Nishi-Shinjuku, Shinjuku-ku, 4th floor, Shinjuku Island Tower, Tokyo, JPN, 163-1304

Website https://www.headwaters.co.jp

Headwaters Co Ltd is engaged in the planning and development of artificial intelligence (AI) applications. It develops AI-related businesses such as AI platform operation, AI application development, robot application development, and cloud service operation. The group has a single segment, the AI solutions business.

77GF Score

Get the complete analysis for TSE:4011

Asset Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円2,181.00

Price

円8,039.98

GF Value

View TSE:4011 Analysis

See Asset Turnover data for all stocks →