African Rainbow MineralsAFBOF 84 Return-on-Tangible-Asset is 6.13% as of Dec. 2025, which is 38% below its 10-year median of 9.96. GuruFocus rates AFBOF with a GF Score™ of 84/100 and a GF Value™ of $12.78 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 2,662 Metals & Mining companies, African Rainbow Minerals ranks better than 77.91% on this metric.
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. African Rainbow Minerals's annualizedNet Income for the quarter that ended in Dec. 2025 was $279.6 Mil. African Rainbow Minerals's average total tangible assets for the quarter that ended in Dec. 2025 was $4,562.0 Mil. Therefore, African Rainbow Minerals's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 6.13%.
The historical rank and industry rank for African Rainbow Minerals's Return-on-Tangible-Asset or its related term are showing as below:
AFBOF'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -1.61 Med: 9.96 Max: 26.43
Current: 1.7
During the past 13 years, African Rainbow Minerals's highest Return-on-Tangible-Asset was 26.43%. The lowest was -1.61%. And the median was 9.96%.
AFBOF's Return-on-Tangible-Asset is ranked better than 77.91% of 2662
companies
in the Metals & Mining industry
Industry Median: -17.275
vs AFBOF: 1.70
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.
African Rainbow Minerals Return-on-Tangible-Asset Related Terms
African Rainbow Minerals Return-on-Tangible-Asset Historical Data
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The historical data trend for African Rainbow Minerals'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.
For the Other Industrial Metals & Mining subindustry, African Rainbow Minerals'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.
African Rainbow Minerals Return-on-Tangible-Asset vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, African Rainbow Minerals's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where African Rainbow Minerals'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. 2025) net income data.
What does a Return-on-Tangible-Asset of 6.13% mean?
African Rainbow Minerals (AFBOF) has a Return-on-Tangible-Asset of 6.13% as of Dec. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on African Rainbow Minerals and its competitors. This is 38% below median its historical median of 9.96. According to the industry distribution chart, African Rainbow Minerals ranks #588 out of 2662 companies in the Metals & Mining industry, placing it in the top 22.1%.
Is African Rainbow Minerals' Return-on-Tangible-Asset too high?
African Rainbow Minerals' current Return-on-Tangible-Asset of 6.13% is 38% below median its 10-year median of 9.96. Based on the distribution chart, African Rainbow Minerals ranks #588 out of 2662 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, African Rainbow Minerals has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does African Rainbow Minerals' Return-on-Tangible-Asset compare to competitors?
According to the Metals & Mining industry distribution chart, African Rainbow Minerals ranks #588 out of 2662 companies for Return-on-Tangible-Asset. This places African Rainbow Minerals in the top 22% of its industry — outperforming the majority of peers. 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-Asset for a Metals & Mining company?
A good Return-on-Tangible-Asset depends on the Metals & Mining industry context. However, Return-on-Tangible-Asset 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on African Rainbow Minerals and its competitors. African Rainbow Minerals's current Return-on-Tangible-Asset is 6.13%, which is 38% below median its own 10-year median of 9.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is African Rainbow Minerals stock overvalued right now?
Based on GuruFocus' analysis, African Rainbow Minerals (AFBOF) is currently considered Modestly Undervalued. The stock's GF Value™ is $12.78, compared to a current price of $11.07 — trading 13.4% below its estimated fair value. The current Return-on-Tangible-Asset is 6.13%, which is 38% below median its 10-year median of 9.96. African Rainbow Minerals' overall GF Score™ is 84/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For African Rainbow Minerals (AFBOF), the current Return-on-Tangible-Asset is 6.13% 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 African Rainbow Minerals (AFBOF) Overvalued in 2026?
Based on GuruFocus' analysis, African Rainbow Minerals stock appears to be undervalued.
The current stock price of $11.07 is trading 13.4% below its estimated GF Value™ of $12.78.
GuruFocus considers African Rainbow Minerals to be Modestly Undervalued.
Key valuation signals for AFBOF:
Return-on-Tangible-Asset: 6.13% (38% below median its 10-year median of 9.96)
GF Value™: $12.78 vs. price of $11.07 (13.4% below fair value)
No single metric tells the full story. See the AFBOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
African Rainbow Minerals Ltd is a South African diversified mining and minerals company with operations in South Africa and Malaysia. The group operates through four main segments: ARM Platinum, which includes platinum group metals and nickel; ARM Ferrous, focused on iron ore, manganese ore, and chrome ore; ARM Coal, operating mainly in the Goedgevonden Mine; and ARM Corporate, which includes Machadodorp Works, gold investments, and other activities. The company produces manganese alloys and holds a strategic investment in gold. The company generates the majority of its revenue from South Africa and maintains a presence in Europe, the Americas, and the Far and Middle East.
84GF Score
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