Spark New ZealandASX:SPK +0.66%72 Return-on-Tangible-Asset is 3.40% as of Dec. 2025, which is 76% below its 10-year median of 14.27. GuruFocus rates ASX:SPK with a GF Score™ of 72/100 and a GF Value™ of A$2.66 (Significantly Undervalued). The stock has 8 warning signs investors should review. Among 366 Telecommunication Services companies, Spark New Zealand ranks better than 70.22% 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. Spark New Zealand's annualizedNet Income for the quarter that ended in Dec. 2025 was A$111 Mil. Spark New Zealand's average total tangible assets for the quarter that ended in Dec. 2025 was A$3,275 Mil. Therefore, Spark New Zealand's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 3.40%.
The historical rank and industry rank for Spark New Zealand's Return-on-Tangible-Asset or its related term are showing as below:
ASX:SPK'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 6.93 Med: 14.27 Max: 32.31
Current: 7.65
During the past 13 years, Spark New Zealand's highest Return-on-Tangible-Asset was 32.31%. The lowest was 6.93%. And the median was 14.27%.
ASX:SPK's Return-on-Tangible-Asset is ranked better than 70.22% of 366
companies
in the Telecommunication Services industry
Industry Median: 3.43
vs ASX:SPK: 7.65
Spark New Zealand (ASX:SPK) 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 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.
Spark New Zealand Return-on-Tangible-Asset Related Terms
Spark New Zealand Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Spark New Zealand'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:SPK vs TMUS, VZ, T: Return-on-Tangible-Asset Comparison
For the Telecom Services subindustry, Spark New Zealand'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.
Spark New Zealand Return-on-Tangible-Asset vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Spark New Zealand's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Spark New Zealand'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 3.40% mean?
Spark New Zealand (ASX:SPK) has a Return-on-Tangible-Asset of 3.40% 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 Spark New Zealand and its competitors. This is 76% below median its historical median of 14.27. Over the past decade, Spark New Zealand's Return-on-Tangible-Asset has ranged from 6.93 to 32.31. According to the industry distribution chart, Spark New Zealand ranks #109 out of 366 companies in the Telecommunication Services industry, placing it in the top 29.8%.
Is Spark New Zealand's Return-on-Tangible-Asset too high?
Spark New Zealand's current Return-on-Tangible-Asset of 3.40% is 76% below median its 10-year median of 14.27. Over the past 10 years, this metric has ranged from a low of 6.93 to a high of 32.31. The Telecommunication Services industry median Return-on-Tangible-Asset is 3.43. Spark New Zealand's value of 3.40% is 0.9% below this industry median. Based on the distribution chart, Spark New Zealand ranks #109 out of 366 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Spark New Zealand has a GF Score™ of 72/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Spark New Zealand's Return-on-Tangible-Asset compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Spark New Zealand ranks #109 out of 366 companies for Return-on-Tangible-Asset. This puts Spark New Zealand in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.43. Spark New Zealand's value of 3.40% is 0.9% below this benchmark. Historically, Spark New Zealand's own Return-on-Tangible-Asset has ranged from 6.93 to 32.31 over the past decade. While the company's 10-year median is 14.27 vs. the industry median of 3.43, Spark New Zealand has consistently been below 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 Telecommunication Services company?
The median Return-on-Tangible-Asset among Telecommunication Services companies is 3.43, based on 366 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. Spark New Zealand's current Return-on-Tangible-Asset of 3.40% is 0.9% below 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 Spark New Zealand and its competitors. For the Telecommunication Services industry, the median Return-on-Tangible-Asset is 3.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Spark New Zealand's current Return-on-Tangible-Asset is 3.40%, which is 76% below median its own 10-year median of 14.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Spark New Zealand stock overvalued right now?
Based on GuruFocus' analysis, Spark New Zealand (ASX:SPK) is currently considered Significantly Undervalued. The stock's GF Value™ is A$2.66, compared to a current price of A$1.53 — trading 42.5% below its estimated fair value. The current Return-on-Tangible-Asset is 3.40%, which is 76% below median its 10-year median of 14.27 and 0.9% below the Telecommunication Services industry median of 3.43. Spark New Zealand's overall GF Score™ is 72/100 with 8 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 Spark New Zealand (ASX:SPK), the current Return-on-Tangible-Asset is 3.40% 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 Spark New Zealand (ASX:SPK) Overvalued in 2026?
Based on GuruFocus' analysis, Spark New Zealand stock appears to be undervalued.
The current stock price of A$1.53 is trading 42.5% below its estimated GF Value™ of A$2.66.
GuruFocus considers Spark New Zealand to be Significantly Undervalued.
Key valuation signals for ASX:SPK:
Return-on-Tangible-Asset: 3.40% (76% below median its 10-year median of 14.27)
GF Value™: A$2.66 vs. price of A$1.53 (42.5% below fair value)
Industry Position: 0.9% below the Telecommunication Services median (#109 of 366)
No single metric tells the full story. See the ASX:SPK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Spark is one of only three integrated telecommunications companies in New Zealand. It is the leading mobile network operator with low- to mid-40% subscriber and revenue share, and the dominant provider of fixed-line broadband services with a mid-30% subscriber share. It has a big position in the New Zealand corporate and wholesale telecommunications services provision space. Spark supplements its core telecommunications operations and related infrastructure with IT products and services across cloud, managed data and networks, procurement, data centers, and Internet of Things. Its operations are all based in New Zealand, except for its 41% interest in Southern Cross Submarine Cables, which has zero book value and to which Spark has no funding obligations.
72GF Score
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