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. Fletcher Building's annualizedNet Income for the quarter that ended in Dec. 2025 was $-13 Mil. Fletcher Building's average total tangible assets for the quarter that ended in Dec. 2025 was $4,221 Mil. Therefore, Fletcher Building's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was -0.30%.
The historical rank and industry rank for Fletcher Building's Return-on-Tangible-Asset or its related term are showing as below:
FRCEF'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -5.58 Med: 2.04 Max: 8.13
Current: -4.1
During the past 13 years, Fletcher Building's highest Return-on-Tangible-Asset was 8.13%. The lowest was -5.58%. And the median was 2.04%.
FRCEF's Return-on-Tangible-Asset is ranked worse than 83.9% of 410
companies
in the Building Materials industry
Industry Median: 2.385
vs FRCEF: -4.10
Fletcher Building (OTCPK:FRCEF) 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.
Fletcher Building Return-on-Tangible-Asset Related Terms
Fletcher Building Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Fletcher Building'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.
FRCEF vs CRH, VMC, MLM: Return-on-Tangible-Asset Comparison
For the Building Materials subindustry, Fletcher Building'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.
Fletcher Building Return-on-Tangible-Asset vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Fletcher Building's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Fletcher Building'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 two times the semi-annual (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of -0.30% mean?
Fletcher Building (FRCEF) has a Return-on-Tangible-Asset of -0.30% as of Dec. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Fletcher Building and its competitors. According to the industry distribution chart, Fletcher Building ranks #344 out of 410 companies in the Building Materials industry, placing it in the top 83.9%.
Is Fletcher Building's Return-on-Tangible-Asset too high?
Fletcher Building's current Return-on-Tangible-Asset is -0.30%. Based on the distribution chart, Fletcher Building ranks #344 out of 410 companies in the Building Materials industry, which is in the bottom quartile relative to peers. Overall, Fletcher Building has a GF Score™ of 45/100, reflecting its overall financial health beyond just this single metric.
How does Fletcher Building's Return-on-Tangible-Asset compare to CRH and VMC?
According to the Building Materials industry distribution chart, Fletcher Building ranks #344 out of 410 companies for Return-on-Tangible-Asset. This places Fletcher Building in the lower half of its industry. The industry median Return-on-Tangible-Asset is 2.39. 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 Building Materials company?
The median Return-on-Tangible-Asset among Building Materials companies is 2.39, based on 410 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 Fletcher Building and its competitors. For the Building Materials industry, the median Return-on-Tangible-Asset is 2.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fletcher Building's current Return-on-Tangible-Asset is -0.30%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fletcher Building stock overvalued right now?
Fletcher Building (FRCEF) has a current Return-on-Tangible-Asset of -0.30%. The stock's GF Value™ is $1.16, compared to a current price of $1.63 — trading 40.5% above its estimated fair value. The current Return-on-Tangible-Asset is -0.30%. Fletcher Building's overall GF Score™ is 45/100 with 7 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 Fletcher Building (FRCEF), the current Return-on-Tangible-Asset is -0.30% as of Dec. 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 Fletcher Building (FRCEF) Overvalued in 2026?
Based on GuruFocus' analysis, Fletcher Building stock appears to be overvalued.
The current stock price of $1.63 is trading 40.5% above its estimated GF Value™ of $1.16.
Key valuation signals for FRCEF:
Return-on-Tangible-Asset: -0.30%
GF Value™: $1.16 vs. price of $1.63 (40.5% above fair value)
No single metric tells the full story. See the FRCEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fletcher Building is a New Zealand-based building materials company with operations focused in New Zealand, but also extending to Australia. It has a conglomerate structure with diverse operations across concrete, building products, steel, retail distribution, and development. Most revenue is derived from new house construction, with smaller earnings contributions from commercial and infrastructure construction.
45GF Score
Get the complete analysis for FRCEF
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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