What is AAC Technologies Holdings Return-on-Tangible-Asset?
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. AAC Technologies Holdings's annualizedNet Income for the quarter that ended in Dec. 2023 was $165 Mil. AAC Technologies Holdings's average total tangible assets for the quarter that ended in Dec. 2023 was $5,350 Mil. Therefore, AAC Technologies Holdings's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2023 was 3.09%.
The historical rank and industry rank for AAC Technologies Holdings's Return-on-Tangible-Asset or its related term are showing as below:
AACAF'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 1.89 Med: 9.72 Max: 20.82
Current: 1.9
During the past 13 years, AAC Technologies Holdings's highest Return-on-Tangible-Asset was 20.82%. The lowest was 1.89%. And the median was 9.72%.
AACAF's Return-on-Tangible-Asset is ranked worse than 54.15% of 2482
companies
in the Hardware industry
Industry Median: 2.49
vs AACAF: 1.90
AAC Technologies Holdings Return-on-Tangible-Asset Historical Data
The historical data trend for AAC Technologies Holdings's Return-on-Tangible-Asset 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.
Competitive Comparison of AAC Technologies Holdings's Return-on-Tangible-Asset
For the Communication Equipment subindustry, AAC Technologies Holdings's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.
AAC Technologies Holdings's Return-on-Tangible-Asset Distribution in the Hardware Industry
For the Hardware industry and Technology sector, AAC Technologies Holdings's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where AAC Technologies Holdings's Return-on-Tangible-Asset 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 annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is two times the semi-annual (Dec. 2023) net income data.
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
AAC Technologies Holdings Return-on-Tangible-Asset Related Terms
Thank you for viewing the detailed overview of AAC Technologies Holdings's Return-on-Tangible-Asset provided by GuruFocus.com. Please click on the following links to see related term pages.
AAC Technologies Holdings (AAC Technologies Holdings) Business Description
AAC Technologies is one of the world's largest manufacturers of miniature acoustic components, such as speakers and receivers, primarily for smartphones, which account for under half of its revenue. Founded in 1993, the company has since then expanded into the production of other handset components, such as electromagnetic drives (haptics), precision mechanical (metal casing), lenses and camera modules, and MEMS microphones. AAC is headquartered in Shenzhen, China, and runs factories in China, Vietnam, Czechia, and Malaysia. It employed 27,798 people in December 2022.
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