TopBuildBLD 94 Return-on-Tangible-Asset is 18.54% as of Mar. 2026, which is 22% below its 10-year median of 23.62. GuruFocus rates BLD with a GF Score™ of 94/100 and a GF Value™ of $454.53 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,780 Construction companies, TopBuild ranks better than 97.3% 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. TopBuild's annualizedNet Income for the quarter that ended in Mar. 2026 was $419 Mil. TopBuild's average total tangible assets for the quarter that ended in Mar. 2026 was $2,262 Mil. Therefore, TopBuild's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 18.54%.
The historical rank and industry rank for TopBuild's Return-on-Tangible-Asset or its related term are showing as below:
BLD'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 11.72 Med: 23.62 Max: 30.47
Current: 21.21
During the past 13 years, TopBuild's highest Return-on-Tangible-Asset was 30.47%. The lowest was 11.72%. And the median was 23.62%.
BLD's Return-on-Tangible-Asset is ranked better than 97.3% of 1780
companies
in the Construction industry
Industry Median: 3.025
vs BLD: 21.21
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.
TopBuild Return-on-Tangible-Asset Related Terms
TopBuild Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for TopBuild'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.
BLD vs AGX, IESC, DY: Return-on-Tangible-Asset Comparison
For the Engineering & Construction subindustry, TopBuild'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.
TopBuild Return-on-Tangible-Asset vs Construction Industry
For the Construction industry and Industrials sector, TopBuild's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where TopBuild'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 18.54% mean?
TopBuild (BLD) has a Return-on-Tangible-Asset of 18.54% 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 TopBuild and its competitors. This is 22% below median its historical median of 23.62. Over the past decade, TopBuild's Return-on-Tangible-Asset has ranged from 11.72 to 30.47. According to the industry distribution chart, TopBuild ranks #48 out of 1780 companies in the Construction industry, placing it in the top 2.7%.
Is TopBuild's Return-on-Tangible-Asset too high?
TopBuild's current Return-on-Tangible-Asset of 18.54% is 22% below median its 10-year median of 23.62. Over the past 10 years, this metric has ranged from a low of 11.72 to a high of 30.47. The Construction industry median Return-on-Tangible-Asset is 3.03. TopBuild's value of 18.54% is 512.9% above this industry median. Based on the distribution chart, TopBuild ranks #48 out of 1780 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, TopBuild has a GF Score™ of 94/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does TopBuild's Return-on-Tangible-Asset compare to AGX and IESC?
According to the Construction industry distribution chart, TopBuild ranks #48 out of 1780 companies for Return-on-Tangible-Asset. This places TopBuild in the top 3% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.03. TopBuild's value of 18.54% is 512.9% above this benchmark. Historically, TopBuild's own Return-on-Tangible-Asset has ranged from 11.72 to 30.47 over the past decade. While the company's 10-year median is 23.62 vs. the industry median of 3.03, TopBuild 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 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. TopBuild's current Return-on-Tangible-Asset of 18.54% is 512.9% 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 TopBuild 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. TopBuild's current Return-on-Tangible-Asset is 18.54%, which is 22% below median its own 10-year median of 23.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TopBuild stock overvalued right now?
Based on GuruFocus' analysis, TopBuild (BLD) is currently considered Modestly Undervalued. The stock's GF Value™ is $454.53, compared to a current price of $354.53 — trading 22% below its estimated fair value. The current Return-on-Tangible-Asset is 18.54%, which is 22% below median its 10-year median of 23.62 and 512.9% above the Construction industry median of 3.03. TopBuild's overall GF Score™ is 94/100 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 TopBuild (BLD), the current Return-on-Tangible-Asset is 18.54% 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 TopBuild (BLD) Overvalued in 2026?
Based on GuruFocus' analysis, TopBuild stock appears to be undervalued.
The current stock price of $354.53 is trading 22% below its estimated GF Value™ of $454.53.
GuruFocus considers TopBuild to be Modestly Undervalued.
Key valuation signals for BLD:
Return-on-Tangible-Asset: 18.54% (22% below median its 10-year median of 23.62)
GF Value™: $454.53 vs. price of $354.53 (22% below fair value)
Industry Position: 512.9% above the Construction median (#48 of 1780)
No single metric tells the full story. See the BLD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TopBuild Corp is an installer and distributor of insulation products. Its operating segments are: Installation Services and Specialty Distribution. The Installation Services segment, which generates maximum revenue, installs insulation, commercial roofing, and other building products like glass and windows, rain gutters, doors, etc, mainly in the residential new construction market. The Specialty Distribution segment distributes building and mechanical insulation, insulation accessories, and other building product materials for the residential, commercial, and industrial markets. In addition to insulation and accessories, it distributes rain gutters, closet shelving, roofing materials, and other items. Geographically, the firm mainly operates in the U.S. and, to a lesser extent, in Canada.
94GF Score
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