Motorcycle HoldingsASX:MTO -0.38%83 Return-on-Tangible-Asset is 7.80% as of Dec. 2025, which is 23% below its 10-year median of 10.12. GuruFocus rates ASX:MTO with a GF Score™ of 83/100 and a GF Value™ of A$2.65 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,334 Vehicles & Parts companies, Motorcycle Holdings ranks better than 78.04% 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. Motorcycle Holdings's annualizedNet Income for the quarter that ended in Dec. 2025 was A$22.4 Mil. Motorcycle Holdings's average total tangible assets for the quarter that ended in Dec. 2025 was A$287.2 Mil. Therefore, Motorcycle Holdings's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 7.80%.
The historical rank and industry rank for Motorcycle Holdings's Return-on-Tangible-Asset or its related term are showing as below:
ASX:MTO'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -6.39 Med: 10.12 Max: 17.39
Current: 7.2
During the past 10 years, Motorcycle Holdings's highest Return-on-Tangible-Asset was 17.39%. The lowest was -6.39%. And the median was 10.12%.
ASX:MTO's Return-on-Tangible-Asset is ranked better than 78.04% of 1334
companies
in the Vehicles & Parts industry
Industry Median: 3.115
vs ASX:MTO: 7.20
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.
Motorcycle Holdings Return-on-Tangible-Asset Related Terms
Motorcycle Holdings Return-on-Tangible-Asset Historical Data
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The historical data trend for Motorcycle 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.
ASX:MTO vs CVNA, PAG, ALTB: Return-on-Tangible-Asset Comparison
For the Auto & Truck Dealerships subindustry, Motorcycle 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.
Motorcycle Holdings Return-on-Tangible-Asset vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Motorcycle Holdings's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Motorcycle 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. 2025) net income data.
What does a Return-on-Tangible-Asset of 7.80% mean?
Motorcycle Holdings (ASX:MTO) has a Return-on-Tangible-Asset of 7.80% 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 Motorcycle Holdings and its competitors. This is 23% below median its historical median of 10.12. According to the industry distribution chart, Motorcycle Holdings ranks #293 out of 1334 companies in the Vehicles & Parts industry, placing it in the top 22%.
Is Motorcycle Holdings' Return-on-Tangible-Asset too high?
Motorcycle Holdings' current Return-on-Tangible-Asset of 7.80% is 23% below median its 10-year median of 10.12. The Vehicles & Parts industry median Return-on-Tangible-Asset is 3.12. Motorcycle Holdings' value of 7.80% is 150.4% above this industry median. Based on the distribution chart, Motorcycle Holdings ranks #293 out of 1334 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Motorcycle Holdings has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Motorcycle Holdings' Return-on-Tangible-Asset compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, Motorcycle Holdings ranks #293 out of 1334 companies for Return-on-Tangible-Asset. This places Motorcycle Holdings in the top 22% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.12. Motorcycle Holdings' value of 7.80% is 150.4% above this benchmark. While the company's 10-year median is 10.12 vs. the industry median of 3.12, Motorcycle Holdings 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 Vehicles & Parts company?
The median Return-on-Tangible-Asset among Vehicles & Parts companies is 3.12, based on 1,334 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. Motorcycle Holdings's current Return-on-Tangible-Asset of 7.80% is 150.4% 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 Motorcycle Holdings and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Asset is 3.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Motorcycle Holdings's current Return-on-Tangible-Asset is 7.80%, which is 23% below median its own 10-year median of 10.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Motorcycle Holdings stock overvalued right now?
Based on GuruFocus' analysis, Motorcycle Holdings (ASX:MTO) is currently considered Fairly Valued. The stock's GF Value™ is A$2.65, compared to a current price of A$2.60 — trading 1.9% below its estimated fair value. The current Return-on-Tangible-Asset is 7.80%, which is 23% below median its 10-year median of 10.12 and 150.4% above the Vehicles & Parts industry median of 3.12. Motorcycle Holdings' overall GF Score™ is 83/100 with 5 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 Motorcycle Holdings (ASX:MTO), the current Return-on-Tangible-Asset is 7.80% 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 Motorcycle Holdings (ASX:MTO) Overvalued in 2026?
Based on GuruFocus' analysis, Motorcycle Holdings stock appears to be undervalued.
The current stock price of A$2.60 is trading 1.9% below its estimated GF Value™ of A$2.65.
GuruFocus considers Motorcycle Holdings to be Fairly Valued.
Key valuation signals for ASX:MTO:
Return-on-Tangible-Asset: 7.80% (23% below median its 10-year median of 10.12)
GF Value™: A$2.65 vs. price of A$2.60 (1.9% below fair value)
Industry Position: 150.4% above the Vehicles & Parts median (#293 of 1334)
No single metric tells the full story. See the ASX:MTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Motorcycle Holdings Ltd is a motorcycle dealer in Australia. It has two reporting segments. First, Motorcycle Retailing, which offers a range of motorcycle products and services to the general public in Australia, including the sale of new and used motorcycles, parts, servicing, accessories, and MPPs. The segment also facilitates insurance and financing for motorcycle purchases through third-party sources. Second, the Motorcycle and Accessories Wholesaling segment, which imports and distributes a range of motorcycles, ATVs, scooters, and motorcycle parts and accessories to wholesale customers in Australia and New Zealand, including the Group's own retail outlets.
83GF Score
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