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The historical rank and industry rank for Compass Diversified Holdings's Return-on-Tangible-Asset or its related term are showing as below:
CODI'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -16.97 Med: 3.07 Max: 27.73
Current: -16.39
During the past 13 years, Compass Diversified Holdings's highest Return-on-Tangible-Asset was 27.73%. The lowest was -16.97%. And the median was 3.07%.
CODI's Return-on-Tangible-Asset is ranked worse than 94.89% of 568
companies
in the Conglomerates industry
Industry Median: 2.735
vs CODI: -16.39
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.
Compass Diversified Holdings Return-on-Tangible-Asset Related Terms
Compass Diversified Holdings 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.
CODI vs FBYD, MATW, FIP: Return-on-Tangible-Asset Comparison
For the Conglomerates subindustry, Compass Diversified Holdings'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.
Compass Diversified Holdings Return-on-Tangible-Asset vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Compass Diversified Holdings's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Compass Diversified Holdings'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 -9.67% mean?
Compass Diversified Holdings (CODI) has a Return-on-Tangible-Asset of -9.67% 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 Compass Diversified Holdings and its competitors. According to the industry distribution chart, Compass Diversified Holdings ranks #539 out of 568 companies in the Conglomerates industry, placing it in the top 94.9%.
Is Compass Diversified Holdings' Return-on-Tangible-Asset too high?
Compass Diversified Holdings' current Return-on-Tangible-Asset is -9.67%. Based on the distribution chart, Compass Diversified Holdings ranks #539 out of 568 companies in the Conglomerates industry, which is in the bottom quartile relative to peers. Overall, Compass Diversified Holdings has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Compass Diversified Holdings' Return-on-Tangible-Asset compare to FBYD and MATW?
According to the Conglomerates industry distribution chart, Compass Diversified Holdings ranks #539 out of 568 companies for Return-on-Tangible-Asset. This places Compass Diversified Holdings in the lower half of its industry. The industry median Return-on-Tangible-Asset is 2.74. 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 Conglomerates company?
The median Return-on-Tangible-Asset among Conglomerates companies is 2.74, based on 568 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 Compass Diversified Holdings and its competitors. For the Conglomerates industry, the median Return-on-Tangible-Asset is 2.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Compass Diversified Holdings's current Return-on-Tangible-Asset is -9.67%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Compass Diversified Holdings stock overvalued right now?
Based on GuruFocus' analysis, Compass Diversified Holdings (CODI) is currently considered Possible Value Trap. The stock's GF Value™ is $20.81, compared to a current price of $10.45 — trading 49.8% below its estimated fair value. The current Return-on-Tangible-Asset is -9.67%. Compass Diversified Holdings' overall GF Score™ is 51/100 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 Compass Diversified Holdings (CODI), the current Return-on-Tangible-Asset is -9.67% 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 Compass Diversified Holdings (CODI) Overvalued in 2026?
Based on GuruFocus' analysis, Compass Diversified Holdings stock appears to be undervalued.
The current stock price of $10.45 is trading 49.8% below its estimated GF Value™ of $20.81.
GuruFocus considers Compass Diversified Holdings to be Possible Value Trap.
Key valuation signals for CODI:
Return-on-Tangible-Asset: -9.67%
GF Value™: $20.81 vs. price of $10.45 (49.8% below fair value)
No single metric tells the full story. See the CODI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Compass Diversified Holdings is a diversified business conglomerate based in the United States having two groups: branded consumer business and industrial business. Branded consumer businesses are characterized as those businesses that capitalize on a valuable brand name in their respective market sector. It includes 5.11, Ergobaby, Liberty Safe, and Velocity Outdoor. Industrial businesses are characterized as those businesses that focus on manufacturing and selling particular products and industrial services within a specific market sector. The company has operations in the United States, Canada, Europe, Asia Pacific, and other International areas.
51GF 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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