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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. Reliance Worldwide's annualizedNet Income for the quarter that ended in Jun. 2026 was A$-107 Mil. Reliance Worldwide's average total tangible assets for the quarter that ended in Jun. 2026 was A$1,448 Mil. Therefore, Reliance Worldwide's annualized Return-on-Tangible-Asset for the quarter that ended in Jun. 2026 was -7.36%.
The historical rank and industry rank for Reliance Worldwide's Return-on-Tangible-Asset or its related term are showing as below:
ASX:RWC'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 0.61 Med: 13.67 Max: 18.8
Current: 0.85
During the past 10 years, Reliance Worldwide's highest Return-on-Tangible-Asset was 18.80%. The lowest was 0.61%. And the median was 13.67%.
ASX:RWC's Return-on-Tangible-Asset is ranked worse than 67.04% of 1787
companies
in the Construction industry
Industry Median: 3.08
vs ASX:RWC: 0.85
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.
Reliance Worldwide Return-on-Tangible-Asset Related Terms
Reliance Worldwide Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Reliance Worldwide'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:RWC vs TT, JCI, CARR: Return-on-Tangible-Asset Comparison
For the Building Products & Equipment subindustry, Reliance Worldwide'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.
Reliance Worldwide Return-on-Tangible-Asset vs Construction Industry
For the Construction industry and Industrials sector, Reliance Worldwide's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Reliance Worldwide'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 (Jun. 2026) net income data.
What does a Return-on-Tangible-Asset of -7.36% mean?
Reliance Worldwide (ASX:RWC) has a Return-on-Tangible-Asset of -7.36% as of Jun. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Reliance Worldwide and its competitors. Over the past decade, Reliance Worldwide's Return-on-Tangible-Asset has ranged from 0.61 to 18.80. According to the industry distribution chart, Reliance Worldwide ranks #1198 out of 1787 companies in the Construction industry, placing it in the top 67%.
Is Reliance Worldwide's Return-on-Tangible-Asset too high?
Reliance Worldwide's current Return-on-Tangible-Asset is -7.36%. Over the past 10 years, this metric has ranged from a low of 0.61 to a high of 18.80. Based on the distribution chart, Reliance Worldwide ranks #1198 out of 1787 companies in the Construction industry, which is below the industry midpoint. Overall, Reliance Worldwide has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Reliance Worldwide's Return-on-Tangible-Asset compare to TT and JCI?
According to the Construction industry distribution chart, Reliance Worldwide ranks #1198 out of 1787 companies for Return-on-Tangible-Asset. This places Reliance Worldwide in the lower half of its industry. The industry median Return-on-Tangible-Asset is 3.08. Historically, Reliance Worldwide's own Return-on-Tangible-Asset has ranged from 0.61 to 18.80 over the past decade. 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 3.08, based on 1,787 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. 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 Reliance Worldwide and its competitors. For the Construction industry, the median Return-on-Tangible-Asset is 3.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reliance Worldwide's current Return-on-Tangible-Asset is -7.36%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reliance Worldwide stock overvalued right now?
Based on GuruFocus' analysis, Reliance Worldwide (ASX:RWC) is currently considered Fairly Valued. The stock's GF Value™ is A$4.09, compared to a current price of A$4.41 — trading 7.8% above its estimated fair value. The current Return-on-Tangible-Asset is -7.36%. Reliance Worldwide's overall GF Score™ is 81/100 with 10 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 Reliance Worldwide (ASX:RWC), the current Return-on-Tangible-Asset is -7.36% as of Jun. 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 Reliance Worldwide (ASX:RWC) Overvalued in 2026?
Based on GuruFocus' analysis, Reliance Worldwide stock appears to be overvalued.
The current stock price of A$4.41 is trading 7.8% above its estimated GF Value™ of A$4.09.
GuruFocus considers Reliance Worldwide to be Fairly Valued.
Key valuation signals for ASX:RWC:
Return-on-Tangible-Asset: -7.36%
GF Value™: A$4.09 vs. price of A$4.41 (7.8% above fair value)
No single metric tells the full story. See the ASX:RWC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Reliance manufactures behind-the-wall plumbing products, which include fittings, pipes, valves, fluid dispensers, pipe systems, and appliance connectors. Its main segment is the US, which comprises about two-thirds of our midcycle EBITDA estimates. Other segments include EMEA and the Asia-Pacific, which contribute about 15% and 20%, respectively, of our midcycle EBITDA estimates. The firm is best known for its push-to-connect products, including the brands SharkBite in the US and John Guest in the United Kingdom. Reliance's primary target segment is the do-it-yourself market. Smaller sales segments include residential and commercial construction, and hot water system manufacturers, which use some Reliance products in manufacturing.
81GF Score
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Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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