Infineon Technologies AGMIL:1IFX -6.44%78 Return-on-Tangible-Equity is 19.21% as of Mar. 2026, which is 15% below its 10-year median of 22.48. GuruFocus rates MIL:1IFX with a GF Score™ of 78/100 and a GF Value™ of €34.63 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 987 Semiconductors companies, Infineon Technologies AG ranks better than 78.22% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Infineon Technologies AG's annualized net income for the quarter that ended in Mar. 2026 was €1,204 Mil. Infineon Technologies AG's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €6,267 Mil. Therefore, Infineon Technologies AG's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 19.21%.
The historical rank and industry rank for Infineon Technologies AG's Return-on-Tangible-Equity or its related term are showing as below:
MIL:1IFX'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 9.78 Med: 22.48 Max: 83.77
Current: 16.35
During the past 13 years, Infineon Technologies AG's highest Return-on-Tangible-Equity was 83.77%. The lowest was 9.78%. And the median was 22.48%.
MIL:1IFX's Return-on-Tangible-Equity is ranked better than 78.22% of 987
companies
in the Semiconductors industry
Industry Median: 5.08
vs MIL:1IFX: 16.35
Infineon Technologies AG (MIL:1IFX) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Infineon Technologies AG Return-on-Tangible-Equity Related Terms
Infineon Technologies AG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Infineon Technologies AG's Return-on-Tangible-Equity 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.
Infineon Technologies AG Return-on-Tangible-Equity Chart
MIL:1IFX vs NVDA, AVGO, MU: Return-on-Tangible-Equity Comparison
For the Semiconductors subindustry, Infineon Technologies AG's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.
Infineon Technologies AG Return-on-Tangible-Equity vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Infineon Technologies AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Infineon Technologies AG's Return-on-Tangible-Equity 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 19.21% mean?
Infineon Technologies AG (MIL:1IFX) has a Return-on-Tangible-Equity of 19.21% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Infineon Technologies AG and its competitors. This is 15% below median its historical median of 22.48. Over the past decade, Infineon Technologies AG's Return-on-Tangible-Equity has ranged from 9.78 to 83.77. According to the industry distribution chart, Infineon Technologies AG ranks #215 out of 987 companies in the Semiconductors industry, placing it in the top 21.8%.
Is Infineon Technologies AG's Return-on-Tangible-Equity too high?
Infineon Technologies AG's current Return-on-Tangible-Equity of 19.21% is 15% below median its 10-year median of 22.48. Over the past 10 years, this metric has ranged from a low of 9.78 to a high of 83.77. The Semiconductors industry median Return-on-Tangible-Equity is 5.08. Infineon Technologies AG's value of 19.21% is 278.1% above this industry median. Based on the distribution chart, Infineon Technologies AG ranks #215 out of 987 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Infineon Technologies AG has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Infineon Technologies AG's Return-on-Tangible-Equity compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Infineon Technologies AG ranks #215 out of 987 companies for Return-on-Tangible-Equity. This places Infineon Technologies AG in the top 22% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.08. Infineon Technologies AG's value of 19.21% is 278.1% above this benchmark. Historically, Infineon Technologies AG's own Return-on-Tangible-Equity has ranged from 9.78 to 83.77 over the past decade. While the company's 10-year median is 22.48 vs. the industry median of 5.08, Infineon Technologies AG has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Semiconductors company?
The median Return-on-Tangible-Equity among Semiconductors companies is 5.08, based on 987 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Infineon Technologies AG's current Return-on-Tangible-Equity of 19.21% is 278.1% 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 Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Infineon Technologies AG and its competitors. For the Semiconductors industry, the median Return-on-Tangible-Equity is 5.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Infineon Technologies AG's current Return-on-Tangible-Equity is 19.21%, which is 15% below median its own 10-year median of 22.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Infineon Technologies AG stock overvalued right now?
Based on GuruFocus' analysis, Infineon Technologies AG (MIL:1IFX) is currently considered Significantly Overvalued. The stock's GF Value™ is €34.63, compared to a current price of €80.86 — trading 133.5% above its estimated fair value. The current Return-on-Tangible-Equity is 19.21%, which is 15% below median its 10-year median of 22.48 and 278.1% above the Semiconductors industry median of 5.08. Infineon Technologies AG's overall GF Score™ is 78/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Infineon Technologies AG (MIL:1IFX), the current Return-on-Tangible-Equity is 19.21% 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 Infineon Technologies AG (MIL:1IFX) Overvalued in 2026?
Based on GuruFocus' analysis, Infineon Technologies AG stock appears to be overvalued.
The current stock price of €80.86 is trading 133.5% above its estimated GF Value™ of €34.63.
GuruFocus considers Infineon Technologies AG to be Significantly Overvalued.
Key valuation signals for MIL:1IFX:
Return-on-Tangible-Equity: 19.21% (15% below median its 10-year median of 22.48)
GF Value™: €34.63 vs. price of €80.86 (133.5% above fair value)
Industry Position: 278.1% above the Semiconductors median (#215 of 987)
No single metric tells the full story. See the MIL:1IFX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Infineon Technologies headquartered in Munich, was spun off from German industrial conglomerate Siemens in 2000 and today is one of Europe's largest chipmakers. The company is a leader in the automotive semiconductor market with prominent products used in active safety and powertrain content within vehicles. Infineon is also the market leader in power semiconductors used to deliver voltage within a wide variety of electrical systems. The company operates in four segments: automotive, or ATV, green industrial power, or GIP, power and sensor systems, or PSS, and connected secure systems, or CSS.
78GF Score
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