Axalta Coating SystemsAXTA +2.66%77 Return-on-Tangible-Asset is 7.72% as of Mar. 2026, which is 42% above its 10-year median of 5.43. GuruFocus rates AXTA with a GF Score™ of 77/100 and a GF Value™ of $33.32 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,608 Chemicals companies, Axalta Coating Systems ranks better than 79.79% 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. Axalta Coating Systems's annualizedNet Income for the quarter that ended in Mar. 2026 was $360 Mil. Axalta Coating Systems's average total tangible assets for the quarter that ended in Mar. 2026 was $4,665 Mil. Therefore, Axalta Coating Systems's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 7.72%.
The historical rank and industry rank for Axalta Coating Systems's Return-on-Tangible-Asset or its related term are showing as below:
AXTA'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 0.93 Med: 5.43 Max: 8.68
Current: 7.82
During the past 13 years, Axalta Coating Systems's highest Return-on-Tangible-Asset was 8.68%. The lowest was 0.93%. And the median was 5.43%.
AXTA's Return-on-Tangible-Asset is ranked better than 79.79% of 1608
companies
in the Chemicals industry
Industry Median: 3.05
vs AXTA: 7.82
Axalta Coating Systems (NYSE:AXTA) 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.
Axalta Coating Systems Return-on-Tangible-Asset Related Terms
Axalta Coating Systems Return-on-Tangible-Asset Historical Data
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The historical data trend for Axalta Coating Systems'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.
Axalta Coating Systems Return-on-Tangible-Asset Chart
AXTA vs NEU, EMN, PRM: Return-on-Tangible-Asset Comparison
For the Specialty Chemicals subindustry, Axalta Coating Systems'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.
Axalta Coating Systems Return-on-Tangible-Asset vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Axalta Coating Systems's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Axalta Coating Systems'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 four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 7.72% mean?
Axalta Coating Systems (AXTA) has a Return-on-Tangible-Asset of 7.72% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Axalta Coating Systems and its competitors. This is 42% above median its historical median of 5.43. Over the past decade, Axalta Coating Systems' Return-on-Tangible-Asset has ranged from 0.93 to 8.68. According to the industry distribution chart, Axalta Coating Systems ranks #325 out of 1608 companies in the Chemicals industry, placing it in the top 20.2%.
Is Axalta Coating Systems' Return-on-Tangible-Asset too high?
Axalta Coating Systems' current Return-on-Tangible-Asset of 7.72% is 42% above median its 10-year median of 5.43. Over the past 10 years, this metric has ranged from a low of 0.93 to a high of 8.68. The Chemicals industry median Return-on-Tangible-Asset is 3.05. Axalta Coating Systems' value of 7.72% is 153.1% above this industry median. Based on the distribution chart, Axalta Coating Systems ranks #325 out of 1608 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Axalta Coating Systems has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Axalta Coating Systems' Return-on-Tangible-Asset compare to NEU and EMN?
According to the Chemicals industry distribution chart, Axalta Coating Systems ranks #325 out of 1608 companies for Return-on-Tangible-Asset. This places Axalta Coating Systems in the top 20% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.05. Axalta Coating Systems' value of 7.72% is 153.1% above this benchmark. Historically, Axalta Coating Systems' own Return-on-Tangible-Asset has ranged from 0.93 to 8.68 over the past decade. While the company's 10-year median is 5.43 vs. the industry median of 3.05, Axalta Coating Systems 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 Chemicals company?
The median Return-on-Tangible-Asset among Chemicals companies is 3.05, based on 1,608 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. Axalta Coating Systems's current Return-on-Tangible-Asset of 7.72% is 153.1% 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 Axalta Coating Systems and its competitors. For the Chemicals 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. Axalta Coating Systems's current Return-on-Tangible-Asset is 7.72%, which is 42% above median its own 10-year median of 5.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Axalta Coating Systems stock overvalued right now?
Based on GuruFocus' analysis, Axalta Coating Systems (AXTA) is currently considered Fairly Valued. The stock's GF Value™ is $33.32, compared to a current price of $35.11 — trading 5.4% above its estimated fair value. The current Return-on-Tangible-Asset is 7.72%, which is 42% above median its 10-year median of 5.43 and 153.1% above the Chemicals industry median of 3.05. Axalta Coating Systems' overall GF Score™ is 77/100 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 Axalta Coating Systems (AXTA), the current Return-on-Tangible-Asset is 7.72% as of Mar. 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 Axalta Coating Systems (AXTA) Overvalued in 2026?
Based on GuruFocus' analysis, Axalta Coating Systems stock appears to be overvalued.
The current stock price of $35.11 is trading 5.4% above its estimated GF Value™ of $33.32.
GuruFocus considers Axalta Coating Systems to be Fairly Valued.
Key valuation signals for AXTA:
Return-on-Tangible-Asset: 7.72% (42% above median its 10-year median of 5.43)
GF Value™: $33.32 vs. price of $35.11 (5.4% above fair value)
Industry Position: 153.1% above the Chemicals median (#325 of 1608)
No single metric tells the full story. See the AXTA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Axalta Coating Systems Ltd is a manufacturer, marketer, and distributor of high-performance coatings systems. It operates in two segments: Performance Coatings and Mobility Coatings. The Performance Coatings segment provides liquid and powder coatings solutions to a fragmented and local customer base. Its end markets include refinish and industrial, and the Mobility Coatings segment relates to the provision of coating technologies to original equipment manufacturers of light and commercial vehicles. The majority of its revenue is generated from the Mobility Coatings segment. Geographically, the company generates maximum revenue from the Europe, Middle East and Africa (EMEA) region, followed by North America, Asia Pacific, and Latin America.
77GF Score
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