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Forestar GroupFRA:4F31 +2.46%85 Return-on-Tangible-Asset is 4.50% as of Jun. 2026, which is 29% below its 10-year median of 6.33. GuruFocus rates FRA:4F31 with a GF Score™ of 85/100 and a GF Value™ of €25.79 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,799 Real Estate companies, Forestar Group ranks better than 79.21% 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. Forestar Group's annualizedNet Income for the quarter that ended in Jun. 2026 was €125 Mil. Forestar Group's average total tangible assets for the quarter that ended in Jun. 2026 was €2,770 Mil. Therefore, Forestar Group's annualized Return-on-Tangible-Asset for the quarter that ended in Jun. 2026 was 4.50%.
The historical rank and industry rank for Forestar Group's Return-on-Tangible-Asset or its related term are showing as below:
FRA:4F31'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -20.09 Med: 6.33 Max: 8.05
Current: 5.38
During the past 13 years, Forestar Group's highest Return-on-Tangible-Asset was 8.05%. The lowest was -20.09%. And the median was 6.33%.
FRA:4F31's Return-on-Tangible-Asset is ranked better than 79.21% of 1799
companies
in the Real Estate industry
Industry Median: 1.9
vs FRA:4F31: 5.38
Forestar Group (FRA:4F31) 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.
Forestar Group Return-on-Tangible-Asset Related Terms
Forestar Group Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Forestar Group'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.
FRA:4F31 vs CCS, FPH, SKYH: Return-on-Tangible-Asset Comparison
For the Real Estate - Development subindustry, Forestar 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.
Forestar Group Return-on-Tangible-Asset vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Forestar Group's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Forestar 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 four times the quarterly (Jun. 2026) net income data.
What does a Return-on-Tangible-Asset of 4.50% mean?
Forestar Group (FRA:4F31) has a Return-on-Tangible-Asset of 4.50% as of Jun. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Forestar Group and its competitors. This is 29% below median its historical median of 6.33. According to the industry distribution chart, Forestar Group ranks #374 out of 1799 companies in the Real Estate industry, placing it in the top 20.8%.
Is Forestar Group's Return-on-Tangible-Asset too high?
Forestar Group's current Return-on-Tangible-Asset of 4.50% is 29% below median its 10-year median of 6.33. The Real Estate industry median Return-on-Tangible-Asset is 1.90. Forestar Group's value of 4.50% is 136.8% above this industry median. Based on the distribution chart, Forestar Group ranks #374 out of 1799 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Forestar Group has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Forestar Group's Return-on-Tangible-Asset compare to CCS and FPH?
According to the Real Estate industry distribution chart, Forestar Group ranks #374 out of 1799 companies for Return-on-Tangible-Asset. This places Forestar Group in the top 21% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 1.90. Forestar Group's value of 4.50% is 136.8% above this benchmark. While the company's 10-year median is 6.33 vs. the industry median of 1.90, Forestar Group 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 Real Estate company?
The median Return-on-Tangible-Asset among Real Estate companies is 1.90, based on 1,799 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. Forestar Group's current Return-on-Tangible-Asset of 4.50% is 136.8% 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 Forestar Group and its competitors. For the Real Estate industry, the median Return-on-Tangible-Asset is 1.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Forestar Group's current Return-on-Tangible-Asset is 4.50%, which is 29% below median its own 10-year median of 6.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Forestar Group stock overvalued right now?
Based on GuruFocus' analysis, Forestar Group (FRA:4F31) is currently considered Fairly Valued. The stock's GF Value™ is €25.79, compared to a current price of €25.00 — trading 3.1% below its estimated fair value. The current Return-on-Tangible-Asset is 4.50%, which is 29% below median its 10-year median of 6.33 and 136.8% above the Real Estate industry median of 1.90. Forestar Group's overall GF Score™ is 85/100 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 Forestar Group (FRA:4F31), the current Return-on-Tangible-Asset is 4.50% as of Jun. 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 Forestar Group (FRA:4F31) Overvalued in 2026?
Based on GuruFocus' analysis, Forestar Group stock appears to be undervalued.
The current stock price of €25.00 is trading 3.1% below its estimated GF Value™ of €25.79.
GuruFocus considers Forestar Group to be Fairly Valued.
Key valuation signals for FRA:4F31:
Return-on-Tangible-Asset: 4.50% (29% below median its 10-year median of 6.33)
GF Value™: €25.79 vs. price of €25.00 (3.1% below fair value)
Industry Position: 136.8% above the Real Estate median (#374 of 1799)
No single metric tells the full story. See the FRA:4F31 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Forestar Group Inc is a residential lot development company engaged in land acquisition and development for the sale of finished single-family residential lots to local, regional, and national homebuilders. The company operates through a single real estate segment, which acquires land, installs infrastructure for residential communities, and generates all revenue from lot sales. Its communities mainly support entry-level, first-time move-up, and active-adult homes, with certain communities also marketed to build-to-rent operators. The company generally invests in entitled, short-duration projects that can be developed in phases to align lot production with market demand and support efficient capital deployment.
85GF Score
Get the complete analysis for FRA:4F31
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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