Babcock International GroupBCKIF -2.71%67 Return-on-Tangible-Asset is 2.79% as of Mar. 2026, which is 54% below its 10-year median of 6.08. GuruFocus rates BCKIF with a GF Score™ of 67/100 and a GF Value™ of $8.04 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,780 Construction companies, Babcock International Group ranks better than 75.45% on this metric.
The historical rank and industry rank for Babcock International Group's Return-on-Tangible-Asset or its related term are showing as below:
BCKIF'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -41.97 Med: 6.08 Max: 11.62
Current: 7.26
During the past 13 years, Babcock International Group's highest Return-on-Tangible-Asset was 11.62%. The lowest was -41.97%. And the median was 6.08%.
BCKIF's Return-on-Tangible-Asset is ranked better than 75.45% of 1780
companies
in the Construction industry
Industry Median: 3.025
vs BCKIF: 7.26
Babcock International Group (OTCPK:BCKIF) 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.
Babcock International Group Return-on-Tangible-Asset Related Terms
Babcock International Group Return-on-Tangible-Asset Historical Data
* 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.
Babcock International Group Return-on-Tangible-Asset Chart
BCKIF vs PWR, FIX, EME: Return-on-Tangible-Asset Comparison
For the Engineering & Construction subindustry, Babcock International Group'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.
Babcock International Group Return-on-Tangible-Asset vs Construction Industry
For the Construction industry and Industrials sector, Babcock International Group's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Babcock International Group'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 (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 2.79% mean?
Babcock International Group (BCKIF) has a Return-on-Tangible-Asset of 2.79% 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 Babcock International Group and its competitors. This is 54% below median its historical median of 6.08. According to the industry distribution chart, Babcock International Group ranks #437 out of 1780 companies in the Construction industry, placing it in the top 24.6%.
Is Babcock International Group's Return-on-Tangible-Asset too high?
Babcock International Group's current Return-on-Tangible-Asset of 2.79% is 54% below median its 10-year median of 6.08. The Construction industry median Return-on-Tangible-Asset is 3.03. Babcock International Group's value of 2.79% is 7.8% below this industry median. Based on the distribution chart, Babcock International Group ranks #437 out of 1780 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Babcock International Group has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Babcock International Group's Return-on-Tangible-Asset compare to PWR and FIX?
According to the Construction industry distribution chart, Babcock International Group ranks #437 out of 1780 companies for Return-on-Tangible-Asset. This places Babcock International Group in the top 25% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.03. Babcock International Group's value of 2.79% is 7.8% below this benchmark. While the company's 10-year median is 6.08 vs. the industry median of 3.03, Babcock International Group 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 Construction company?
The median Return-on-Tangible-Asset among Construction companies is 3.03, based on 1,780 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. Babcock International Group's current Return-on-Tangible-Asset of 2.79% is 7.8% 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 Babcock International Group and its competitors. For the Construction industry, the median Return-on-Tangible-Asset is 3.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Babcock International Group's current Return-on-Tangible-Asset is 2.79%, which is 54% below median its own 10-year median of 6.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Babcock International Group stock overvalued right now?
Based on GuruFocus' analysis, Babcock International Group (BCKIF) is currently considered Significantly Overvalued. The stock's GF Value™ is $8.04, compared to a current price of $13.91 — trading 73% above its estimated fair value. The current Return-on-Tangible-Asset is 2.79%, which is 54% below median its 10-year median of 6.08 and 7.8% below the Construction industry median of 3.03. Babcock International Group's overall GF Score™ is 67/100 with 2 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 Babcock International Group (BCKIF), the current Return-on-Tangible-Asset is 2.79% 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 Babcock International Group (BCKIF) Overvalued in 2026?
Based on GuruFocus' analysis, Babcock International Group stock appears to be overvalued.
The current stock price of $13.91 is trading 73% above its estimated GF Value™ of $8.04.
GuruFocus considers Babcock International Group to be Significantly Overvalued.
Key valuation signals for BCKIF:
Return-on-Tangible-Asset: 2.79% (54% below median its 10-year median of 6.08)
GF Value™: $8.04 vs. price of $13.91 (73% above fair value)
Industry Position: 7.8% below the Construction median (#437 of 1780)
No single metric tells the full story. See the BCKIF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Babcock International Group PLC is a British engineering company specializing in the construction and decommissioning of nuclear power plants and submarines; maintenance support; fleet management for aviation, marine, and land; and provision of technical training and emergency services. The company's operating segments include Marine, Land, Aviation, and Nuclear. It generates maximum revenue from the Nuclear segment, which is engaged in providing engineering support to the United Kingdom's nuclear submarine fleet, decommissioning nuclear facilities, supporting nuclear generation, and new build projects. Geographically, it derives a majority of its revenue from the United Kingdom and also has a presence in the Rest of Europe, Africa, North America, Australasia, and the Rest of the World.
67GF Score
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