Rheinmetall AGFRA:RHMB -1.47%79 Return-on-Tangible-Asset is 2.98% as of Mar. 2026, which is 44% below its 10-year median of 5.34. GuruFocus rates FRA:RHMB with a GF Score™ of 79/100 and a GF Value™ of €165.38 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 359 Aerospace & Defense companies, Rheinmetall AG ranks better than 64.9% 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. Rheinmetall AG's annualizedNet Income for the quarter that ended in Mar. 2026 was €444 Mil. Rheinmetall AG's average total tangible assets for the quarter that ended in Mar. 2026 was €14,916 Mil. Therefore, Rheinmetall AG's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 2.98%.
The historical rank and industry rank for Rheinmetall AG's Return-on-Tangible-Asset or its related term are showing as below:
FRA:RHMB'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -0.41 Med: 5.34 Max: 6.77
Current: 5.43
During the past 13 years, Rheinmetall AG's highest Return-on-Tangible-Asset was 6.77%. The lowest was -0.41%. And the median was 5.34%.
FRA:RHMB's Return-on-Tangible-Asset is ranked better than 64.9% of 359
companies
in the Aerospace & Defense industry
Industry Median: 3.03
vs FRA:RHMB: 5.43
Rheinmetall AG (FRA:RHMB) 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.
Rheinmetall AG Return-on-Tangible-Asset Related Terms
Rheinmetall AG Return-on-Tangible-Asset Historical Data
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The historical data trend for Rheinmetall AG'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:RHMB vs SPCX, GE, RTX: Return-on-Tangible-Asset Comparison
For the Aerospace & Defense subindustry, Rheinmetall AG'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.
Rheinmetall AG Return-on-Tangible-Asset vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Rheinmetall AG's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Rheinmetall AG'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 2.98% mean?
Rheinmetall AG (FRA:RHMB) has a Return-on-Tangible-Asset of 2.98% 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 Rheinmetall AG and its competitors. This is 44% below median its historical median of 5.34. According to the industry distribution chart, Rheinmetall AG ranks #126 out of 359 companies in the Aerospace & Defense industry, placing it in the top 35.1%.
Is Rheinmetall AG's Return-on-Tangible-Asset too high?
Rheinmetall AG's current Return-on-Tangible-Asset of 2.98% is 44% below median its 10-year median of 5.34. The Aerospace & Defense industry median Return-on-Tangible-Asset is 3.03. Rheinmetall AG's value of 2.98% is 1.7% below this industry median. Based on the distribution chart, Rheinmetall AG ranks #126 out of 359 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Rheinmetall AG has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rheinmetall AG's Return-on-Tangible-Asset compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Rheinmetall AG ranks #126 out of 359 companies for Return-on-Tangible-Asset. This puts Rheinmetall AG in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.03. Rheinmetall AG's value of 2.98% is 1.7% below this benchmark. While the company's 10-year median is 5.34 vs. the industry median of 3.03, Rheinmetall AG 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 an Aerospace & Defense company?
The median Return-on-Tangible-Asset among Aerospace & Defense companies is 3.03, based on 359 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. Rheinmetall AG's current Return-on-Tangible-Asset of 2.98% is 1.7% 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 Rheinmetall AG and its competitors. For the Aerospace & Defense 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. Rheinmetall AG's current Return-on-Tangible-Asset is 2.98%, which is 44% below median its own 10-year median of 5.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rheinmetall AG stock overvalued right now?
Based on GuruFocus' analysis, Rheinmetall AG (FRA:RHMB) is currently considered Modestly Overvalued. The stock's GF Value™ is €165.38, compared to a current price of €201.00 — trading 21.5% above its estimated fair value. The current Return-on-Tangible-Asset is 2.98%, which is 44% below median its 10-year median of 5.34 and 1.7% below the Aerospace & Defense industry median of 3.03. Rheinmetall AG's overall GF Score™ is 79/100 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 Rheinmetall AG (FRA:RHMB), the current Return-on-Tangible-Asset is 2.98% 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 Rheinmetall AG (FRA:RHMB) Overvalued in 2026?
Based on GuruFocus' analysis, Rheinmetall AG stock appears to be overvalued.
The current stock price of €201.00 is trading 21.5% above its estimated GF Value™ of €165.38.
GuruFocus considers Rheinmetall AG to be Modestly Overvalued.
Key valuation signals for FRA:RHMB:
Return-on-Tangible-Asset: 2.98% (44% below median its 10-year median of 5.34)
GF Value™: €165.38 vs. price of €201.00 (21.5% above fair value)
Industry Position: 1.7% below the Aerospace & Defense median (#126 of 359)
No single metric tells the full story. See the FRA:RHMB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Rheinmetall is an international group active in various markets with leading technological products and services. The sales focus is on the security technology and mobility segments. Since February 2021, the group structure has been made up of five divisions—vehicle systems, weapons and ammunition, electronic solutions, sensors and actuators, and materials and trade. The vehicle systems, weapons and ammunition, and electronic solutions divisions are among the defense and security industry's leading suppliers of innovative products to German and international defense forces. The sensors and actuators, and materials and trade divisions' core area of expertise is the reduction of emissions, pollutants, and fuel consumption.
79GF 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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