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Nitto DenkoFRA:ND5 -1.15%87 Return-on-Tangible-Asset is 9.91% as of Jun. 2026, which is 6% above its 10-year median of 9.39. GuruFocus rates FRA:ND5 with a GF Score™ of 87/100 and a GF Value™ of €16.43 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,613 Chemicals companies, Nitto Denko ranks better than 87.41% 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. Nitto Denko's annualizedNet Income for the quarter that ended in Jun. 2026 was €732 Mil. Nitto Denko's average total tangible assets for the quarter that ended in Jun. 2026 was €7,383 Mil. Therefore, Nitto Denko's annualized Return-on-Tangible-Asset for the quarter that ended in Jun. 2026 was 9.91%.
The historical rank and industry rank for Nitto Denko's Return-on-Tangible-Asset or its related term are showing as below:
FRA:ND5'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 5.24 Med: 9.39 Max: 11.38
Current: 10.51
During the past 13 years, Nitto Denko's highest Return-on-Tangible-Asset was 11.38%. The lowest was 5.24%. And the median was 9.39%.
FRA:ND5's Return-on-Tangible-Asset is ranked better than 87.41% of 1613
companies
in the Chemicals industry
Industry Median: 3.11
vs FRA:ND5: 10.51
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.
Nitto Denko Return-on-Tangible-Asset Related Terms
Nitto Denko Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Nitto Denko'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:ND5 vs LIN, SHW, ECL: Return-on-Tangible-Asset Comparison
For the Specialty Chemicals subindustry, Nitto Denko'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.
Nitto Denko Return-on-Tangible-Asset vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Nitto Denko's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Nitto Denko'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 9.91% mean?
Nitto Denko (FRA:ND5) has a Return-on-Tangible-Asset of 9.91% 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 Nitto Denko and its competitors. This is near median its historical median of 9.39. Over the past decade, Nitto Denko's Return-on-Tangible-Asset has ranged from 5.24 to 11.38. According to the industry distribution chart, Nitto Denko ranks #203 out of 1613 companies in the Chemicals industry, placing it in the top 12.6%.
Is Nitto Denko's Return-on-Tangible-Asset too high?
Nitto Denko's current Return-on-Tangible-Asset of 9.91% is near median its 10-year median of 9.39. Over the past 10 years, this metric has ranged from a low of 5.24 to a high of 11.38. The Chemicals industry median Return-on-Tangible-Asset is 3.11. Nitto Denko's value of 9.91% is 218.6% above this industry median. Based on the distribution chart, Nitto Denko ranks #203 out of 1613 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Nitto Denko has a GF Score™ of 87/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nitto Denko's Return-on-Tangible-Asset compare to LIN and SHW?
According to the Chemicals industry distribution chart, Nitto Denko ranks #203 out of 1613 companies for Return-on-Tangible-Asset. This places Nitto Denko in the top 13% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.11. Nitto Denko's value of 9.91% is 218.6% above this benchmark. Historically, Nitto Denko's own Return-on-Tangible-Asset has ranged from 5.24 to 11.38 over the past decade. While the company's 10-year median is 9.39 vs. the industry median of 3.11, Nitto Denko 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 Chemicals company?
The median Return-on-Tangible-Asset among Chemicals companies is 3.11, based on 1,613 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. Nitto Denko's current Return-on-Tangible-Asset of 9.91% is 218.6% 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 Nitto Denko and its competitors. For the Chemicals industry, the median Return-on-Tangible-Asset is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nitto Denko's current Return-on-Tangible-Asset is 9.91%, which is near median its own 10-year median of 9.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nitto Denko stock overvalued right now?
Based on GuruFocus' analysis, Nitto Denko (FRA:ND5) is currently considered Fairly Valued. The stock's GF Value™ is €16.43, compared to a current price of €17.98 — trading 9.4% above its estimated fair value. The current Return-on-Tangible-Asset is 9.91%, which is near median its 10-year median of 9.39 and 218.6% above the Chemicals industry median of 3.11. Nitto Denko's overall GF Score™ is 87/100 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 Nitto Denko (FRA:ND5), the current Return-on-Tangible-Asset is 9.91% 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 Nitto Denko (FRA:ND5) Overvalued in 2026?
Based on GuruFocus' analysis, Nitto Denko stock appears to be overvalued.
The current stock price of €17.98 is trading 9.4% above its estimated GF Value™ of €16.43.
GuruFocus considers Nitto Denko to be Fairly Valued.
Key valuation signals for FRA:ND5:
Return-on-Tangible-Asset: 9.91% (near median its 10-year median of 9.39)
GF Value™: €16.43 vs. price of €17.98 (9.4% above fair value)
Industry Position: 218.6% above the Chemicals median (#203 of 1613)
No single metric tells the full story. See the FRA:ND5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nitto Denko is a manufacturer of advanced materials for niche industry applications. Its three segments are industrial tape (35% of revenue), optical films (55%), and materials used in health science (10%). Its advanced materials are used in manufacturing with main customers being suppliers to original equipment manufacturers in the computer, smartphone, and automobile industries. The company has more than 15,000 products. Most revenue is from Asia/Oceania (60%), followed by Japan (20%). The remainder is roughly equally split between Americas and Europe, each representing about 10% of revenue.
87GF 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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