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The historical rank and industry rank for Sumitomo Mitsui Construction Co's Return-on-Tangible-Asset or its related term are showing as below:
FRA:72S'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -6.5 Med: 2.95 Max: 6.73
Current: 4.51
During the past 13 years, Sumitomo Mitsui Construction Co's highest Return-on-Tangible-Asset was 6.73%. The lowest was -6.50%. And the median was 2.95%.
FRA:72S's Return-on-Tangible-Asset is not ranked
in the Conglomerates industry.
Industry Median: 2.735
vs FRA:72S: 4.51
Sumitomo Mitsui Construction Co (FRA:72S) 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.
Sumitomo Mitsui Construction Co Return-on-Tangible-Asset Related Terms
Sumitomo Mitsui Construction Co 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.
Sumitomo Mitsui Construction Co Return-on-Tangible-Asset Chart
FRA:72S vs HON, MMM: Return-on-Tangible-Asset Comparison
For the Conglomerates subindustry, Sumitomo Mitsui Construction Co'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.
Sumitomo Mitsui Construction Co Return-on-Tangible-Asset vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Sumitomo Mitsui Construction Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Sumitomo Mitsui Construction Co'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 (Sep. 2025) net income data.
What does a Return-on-Tangible-Asset of 2.26% mean?
Sumitomo Mitsui Construction Co (FRA:72S) has a Return-on-Tangible-Asset of 2.26% as of Sep. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Sumitomo Mitsui Construction Co and its competitors. This is 23% below median its historical median of 2.95.
Is Sumitomo Mitsui Construction Co's Return-on-Tangible-Asset too high?
Sumitomo Mitsui Construction Co's current Return-on-Tangible-Asset of 2.26% is 23% below median its 10-year median of 2.95. The Conglomerates industry median Return-on-Tangible-Asset is 2.74. Sumitomo Mitsui Construction Co's value of 2.26% is 17.4% below this industry median. Overall, Sumitomo Mitsui Construction Co has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does Sumitomo Mitsui Construction Co's Return-on-Tangible-Asset compare to HON and MMM?
Sumitomo Mitsui Construction Co's Return-on-Tangible-Asset of 2.26% can be compared against companies in the Conglomerates industry. The industry median Return-on-Tangible-Asset is 2.74. Sumitomo Mitsui Construction Co's value of 2.26% is 17.4% below this benchmark. While the company's 10-year median is 2.95 vs. the industry median of 2.74, Sumitomo Mitsui Construction Co 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 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. Sumitomo Mitsui Construction Co's current Return-on-Tangible-Asset of 2.26% is 17.4% 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 Sumitomo Mitsui Construction Co 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. Sumitomo Mitsui Construction Co's current Return-on-Tangible-Asset is 2.26%, which is 23% below median its own 10-year median of 2.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sumitomo Mitsui Construction Co stock overvalued right now?
Sumitomo Mitsui Construction Co (FRA:72S) has a current Return-on-Tangible-Asset of 2.26%. The stock's GF Value™ is €2.03, compared to a current price of €3.18 — trading 56.7% above its estimated fair value. The current Return-on-Tangible-Asset is 2.26%, which is 23% below median its 10-year median of 2.95 and 17.4% below the Conglomerates industry median of 2.74. Sumitomo Mitsui Construction Co's overall GF Score™ is 13/100 with 10 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 Sumitomo Mitsui Construction Co (FRA:72S), the current Return-on-Tangible-Asset is 2.26% as of Sep. 2025. 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 Sumitomo Mitsui Construction Co (FRA:72S) Overvalued in 2026?
Based on GuruFocus' analysis, Sumitomo Mitsui Construction Co stock appears to be overvalued.
The current stock price of €3.18 is trading 56.7% above its estimated GF Value™ of €2.03.
Key valuation signals for FRA:72S:
Return-on-Tangible-Asset: 2.26% (23% below median its 10-year median of 2.95)
GF Value™: €2.03 vs. price of €3.18 (56.7% above fair value)
Industry Position: 17.4% below the Conglomerates median
No single metric tells the full story. See the FRA:72S stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sumitomo Mitsui Construction Co Business Description
Sumitomo Mitsui Construction Co Ltd is a construction company based in Japan. The company is primarily engaged in designing, engineering and executing civil projects which mainly include skyscrapers and high-rise buildings. It uses various technologies, such as controllable wide wall column, inverted construction method, lead rubber isolator, flat lead plug rubber, and dustless shotcrete method to construct high rise buildings and tunnel branching. It also engages in real estate trading, leasing, and management services.
13GF Score
Get the complete analysis for FRA:72S
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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