Embelton (ASX:EMB) Return-on-Tangible-Asset: 3.61% (As of Dec. 2025) — 42% Above Median

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ASX:EMB Embelton Ltd ASX:EMB
68 GF Score
Price A$8.00
GF Value A$9.02
Valuation Modestly Undervalued
! 7 Warning Signs
View Full Analysis

What is Embelton Return-on-Tangible-Asset?

Embelton ASX:EMB 68 Return-on-Tangible-Asset is 3.61% as of Dec. 2025, which is 42% above its 10-year median of 2.54. GuruFocus rates ASX:EMB with a GF Score™ of 68/100 and a GF Value™ of A$9.02 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 1,783 Construction companies, Embelton ranks worse than 50.08% 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. Embelton's annualized Net Income for the quarter that ended in Dec. 2025 was A$1.22 Mil. Embelton's average total tangible assets for the quarter that ended in Dec. 2025 was A$33.89 Mil. Therefore, Embelton's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 3.61%.

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

ASX:EMB' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 1.52   Med: 2.54   Max: 6.09
Current: 3.04

During the past 13 years, Embelton's highest Return-on-Tangible-Asset was 6.09%. The lowest was 1.52%. And the median was 2.54%.

ASX:EMB's Return-on-Tangible-Asset is ranked worse than
50.08% of 1783 companies
in the Construction industry
Industry Median: 3.05 vs ASX:EMB: 3.04

Embelton  (ASX:EMB) 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.


Embelton Return-on-Tangible-Asset Related Terms


Embelton Return-on-Tangible-Asset Historical Data

* Premium members only.

The historical data trend for Embelton'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.

Embelton Return-on-Tangible-Asset Chart

Embelton Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Return-on-Tangible-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.70 1.66 1.52 2.37 2.31

Embelton Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Return-on-Tangible-Asset Get a 7-Day Free Trial 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 1.97 4.28 2.92 2.35 3.61

ASX:EMB vs TT, JCI, CARR: Return-on-Tangible-Asset Comparison

For the Building Products & Equipment subindustry, Embelton'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.


Embelton Return-on-Tangible-Asset vs Construction Industry

For the Construction industry and Industrials sector, Embelton's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Embelton's Return-on-Tangible-Asset falls into.


ASX:EMB
68GF Score
Embelton Ltd ASX:EMB
Return-on-Tangible-Asset is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Embelton Return-on-Tangible-Asset Calculation

Embelton's annualized Return-on-Tangible-Asset for the fiscal year that ended in Jun. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=0.925/( (45.819+34.153)/ 2 )
=0.925/39.986
=2.31 %

Embelton's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=1.224/( (34.153+33.623)/ 2 )
=1.224/33.888
=3.61 %

* 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 3.61% mean?
Embelton (ASX:EMB) has a Return-on-Tangible-Asset of 3.61% 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 Embelton and its competitors. This is 42% above median its historical median of 2.54. Over the past decade, Embelton's Return-on-Tangible-Asset has ranged from 1.52 to 6.09. According to the industry distribution chart, Embelton ranks #893 out of 1783 companies in the Construction industry, placing it in the top 50.1%.
Is Embelton's Return-on-Tangible-Asset too high?
Embelton's current Return-on-Tangible-Asset of 3.61% is 42% above median its 10-year median of 2.54. Over the past 10 years, this metric has ranged from a low of 1.52 to a high of 6.09. The Construction industry median Return-on-Tangible-Asset is 3.05. Embelton's value of 3.61% is 18.4% above this industry median. Based on the distribution chart, Embelton ranks #893 out of 1783 companies in the Construction industry, which is below the industry midpoint. Overall, Embelton has a GF Score™ of 68/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Embelton's Return-on-Tangible-Asset compare to TT and JCI?
According to the Construction industry distribution chart, Embelton ranks #893 out of 1783 companies for Return-on-Tangible-Asset. This places Embelton in the lower half of its industry. The industry median Return-on-Tangible-Asset is 3.05. Embelton's value of 3.61% is 18.4% above this benchmark. Historically, Embelton's own Return-on-Tangible-Asset has ranged from 1.52 to 6.09 over the past decade. While the company's 10-year median is 2.54 vs. the industry median of 3.05, Embelton 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-Asset for a Construction company?
The median Return-on-Tangible-Asset among Construction companies is 3.05, based on 1,783 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Embelton's current Return-on-Tangible-Asset of 3.61% is 18.4% 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-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 Embelton and its competitors. For the Construction industry, the median Return-on-Tangible-Asset is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Embelton's current Return-on-Tangible-Asset is 3.61%, which is 42% above median its own 10-year median of 2.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Embelton stock overvalued right now?
Based on GuruFocus' analysis, Embelton (ASX:EMB) is currently considered Modestly Undervalued. The stock's GF Value™ is A$9.02, compared to a current price of A$8.00 — trading 11.3% below its estimated fair value. The current Return-on-Tangible-Asset is 3.61%, which is 42% above median its 10-year median of 2.54 and 18.4% above the Construction industry median of 3.05. Embelton's overall GF Score™ is 68/100 with 7 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 Embelton (ASX:EMB), the current Return-on-Tangible-Asset is 3.61% 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 Embelton (ASX:EMB) Overvalued in 2026?

Based on GuruFocus' analysis, Embelton stock appears to be undervalued. The current stock price of A$8.00 is trading 11.3% below its estimated GF Value™ of A$9.02. GuruFocus considers Embelton to be Modestly Undervalued.

Key valuation signals for ASX:EMB:

  • Return-on-Tangible-Asset: 3.61% (42% above median its 10-year median of 2.54)
  • GF Value™: A$9.02 vs. price of A$8.00 (11.3% below fair value)
  • GF Score™: 68/100 with 7 warning signs
  • Industry Position: 18.4% above the Construction median (#893 of 1783)

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


Embelton Business Description

Address 147-149 Bakers Road, Coburg, Melbourne, VIC, AUS, 3058
Embelton Ltd is an Australian company specializing in the manufacture, distribution, and installation of flooring products and noise and vibration control systems. The company supplies timber flooring and commercial floor coverings through a national network that includes warehouses and retail partners. Embelton also provides metal bending, fabrication services, and engineering solutions, including noise and vibration isolation systems, with operations extending internationally. The company's reportable segments comprise Merchandising, Commercial, and Manufacturing. It generates the majority of its revenue from the Contracting and commercial segment, i.e, through supplying and installing flooring and related products across commercial and residential construction sectors in Australia.
68GF Score

Get the complete analysis for ASX:EMB

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

A$8.00
Price
A$9.02
GF Value