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Fortive (NYSE:FTV) Return-on-Tangible-Asset

: 27.12% (As of Dec. 2022)
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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. Fortive's annualized Net Income for the quarter that ended in Dec. 2022 was $909 Mil. Fortive's average total tangible assets for the quarter that ended in Dec. 2022 was $3,351 Mil. Therefore, Fortive's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2022 was 27.12%.

The historical rank and industry rank for Fortive's Return-on-Tangible-Asset or its related term are showing as below:

FTV' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 13.53   Med: 28.03   Max: 64.89
Current: 22.47

During the past 11 years, Fortive's highest Return-on-Tangible-Asset was 64.89%. The lowest was 13.53%. And the median was 28.03%.

FTV's Return-on-Tangible-Asset is ranked better than
97.39% of 2410 companies
in the Hardware industry
Industry Median: 3.83 vs FTV: 22.47

Fortive Return-on-Tangible-Asset Historical Data

The historical data trend for Fortive'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.

* Premium members only.

Fortive Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Return-on-Tangible-Asset
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 64.89 13.53 26.82 13.79 22.28

Fortive Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
Return-on-Tangible-Asset 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 Premium Member Only Premium Member Only Premium Member Only 19.45 19.52 20.72 22.74 27.12

Competitive Comparison

For the Scientific & Technical Instruments subindustry, Fortive'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.

   

Fortive Return-on-Tangible-Asset Distribution

For the Hardware industry and Technology sector, Fortive's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Fortive's Return-on-Tangible-Asset falls in comparison to its industry or sector. The grey bar indicates the Return-on-Tangible-Asset's extreme value range as defined by GuruFocus.



Fortive Return-on-Tangible-Asset Calculation

Fortive's annualized Return-on-Tangible-Asset for the fiscal year that ended in Dec. 2022 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=755.2/( (3423.3+3354.7)/ 2 )
=755.2/3389
=22.28 %

Fortive's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2022 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Dec. 2022 )  (Q: Sep. 2022 )(Q: Dec. 2022 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Dec. 2022 )  (Q: Sep. 2022 )(Q: Dec. 2022 )
=908.8/( (3347.3+3354.7)/ 2 )
=908.8/3351
=27.12 %

* 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 four times the quarterly (Dec. 2022) net income data.


Fortive  (NYSE:FTV) Return-on-Tangible-Asset Explanation

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 company’s 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 company’s 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.


Fortive Return-on-Tangible-Asset Related Terms

Thank you for viewing the detailed overview of Fortive's Return-on-Tangible-Asset provided by GuruFocus.com. Please click on the following links to see related term pages.


Fortive (NYSE:FTV) Business Description

Fortive logo
Industry
Traded in Other Exchanges
Address
6920 Seaway Boulevard, Everett, WA, USA, 98203
Fortive is a diversified industrial technology firm with a broad portfolio of mission-critical products and services that include field solutions, product realization, health, and sensing technologies. The company serves a wide range of end markets, including manufacturing, utilities, medical, and electronics. Fortive generated roughly $5.3 billion in revenue and $1.2 billion in adjusted operating income in 2021.
Executives
Eric Branderiz director 915 DEGUIGNE DRIVE, PO BOX 3453, SUNNYVALE CA 94088-3453
Tamara S. Newcombe officer: President & CEO of PT 6920 SEAWAY BLVD., EVERETT WA 98203
Wright Iii Lassiter director 500 PLAZA DRIVE, C/O QUEST DIAGNOSTICS, SECAUCUS NJ 07094
Olumide Soroye officer: President & CEO of IOS 6920 SEAWAY BLVD., EVERETT WA 98203
Edward Read Simmons officer: SVP - Strategy 6920 SEAWAY BLVD, EVERETT WA 98203
Rejji P Hayes director ONE ENERGY PLAZA, JACKSON MI 49201
Sharmistha Dubey director 8750 NORTH CENTRAL EXPRESSWAY SUITE 1400, DALLAS TX 75231
Christopher M. Mulhall officer: VP - Chief Accounting Officer C/O FORTIVE CORPORATION, 6920 SEAWAY BLVD, EVERETT WA 98203
Jeannine P Sargent director C/O VEECO INSTRUMENTS INC., 100 SUNNYSIDE BOULEVARD SUITE B, WOODBURY NY 11797
Barbara B. Hulit officer: Senior Vice President C/O FORTIVE CORPORATION, 6920 SEAWAY BLVD, EVERETT WA 98203
Emily A. Weaver officer: VP-Chief Accounting Officer C/O FORTIVE CORPORATION, 6920 SEAWAY BOULEVARD, EVERETT WA 98203
Charles E Mclaughlin officer: SVP - Chief Financial Officer C/O FORTIVE CORPORATION, 6920 SEAWAY BOULEVARD, EVERETT WA 98203
Patrick K Murphy officer: Senior Vice President C/O FORTIVE CORPORATION, 6920 SEAWAY BOULEVARD, EVERETT WA 98203
Jonathan L Schwarz officer: VP-Corporate Development C/O FORTIVE CORPORATION, 6920 SEAWAY BOULEVARD, EVERETT WA 98203
William W Pringle officer: Senior Vice President C/O FORTIVE CORPORATION, 6920 SEAWAY BOULEVARD, EVERETT WA 98203

Fortive (NYSE:FTV) Headlines

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