Installed Building ProductsIBP -1.07%91 Return-on-Tangible-Asset is 9.74% as of Mar. 2026, which is 32% below its 10-year median of 14.31. GuruFocus rates IBP with a GF Score™ of 91/100 and a GF Value™ of $225.64 (Fairly Valued). The stock has 2 warning signs investors should review. Among 95 Homebuilding & Construction companies, Installed Building Products ranks better than 97.89% on this metric.
The historical rank and industry rank for Installed Building Products's Return-on-Tangible-Asset or its related term are showing as below:
IBP'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 10.8 Med: 14.31 Max: 20.42
Current: 18.67
During the past 13 years, Installed Building Products's highest Return-on-Tangible-Asset was 20.42%. The lowest was 10.80%. And the median was 14.31%.
IBP's Return-on-Tangible-Asset is ranked better than 97.89% of 95
companies
in the Homebuilding & Construction industry
Industry Median: 3.2
vs IBP: 18.67
Installed Building Products (NYSE:IBP) 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.
Installed Building Products Return-on-Tangible-Asset Related Terms
Installed Building Products 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.
Installed Building Products Return-on-Tangible-Asset Chart
IBP vs TMHC, MTH, SKY: Return-on-Tangible-Asset Comparison
For the Residential Construction subindustry, Installed Building Products'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.
Installed Building Products Return-on-Tangible-Asset vs Homebuilding & Construction Industry
For the Homebuilding & Construction industry and Consumer Cyclical sector, Installed Building Products's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Installed Building Products'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 9.74% mean?
Installed Building Products (IBP) has a Return-on-Tangible-Asset of 9.74% 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 Installed Building Products and its competitors. This is 32% below median its historical median of 14.31. Over the past decade, Installed Building Products' Return-on-Tangible-Asset has ranged from 10.80 to 20.42. According to the industry distribution chart, Installed Building Products ranks #2 out of 95 companies in the Homebuilding & Construction industry, placing it in the top 2.1%.
Is Installed Building Products' Return-on-Tangible-Asset too high?
Installed Building Products' current Return-on-Tangible-Asset of 9.74% is 32% below median its 10-year median of 14.31. Over the past 10 years, this metric has ranged from a low of 10.80 to a high of 20.42. The Homebuilding & Construction industry median Return-on-Tangible-Asset is 3.20. Installed Building Products' value of 9.74% is 204.4% above this industry median. Based on the distribution chart, Installed Building Products ranks #2 out of 95 companies in the Homebuilding & Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Installed Building Products has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Installed Building Products' Return-on-Tangible-Asset compare to TMHC and MTH?
According to the Homebuilding & Construction industry distribution chart, Installed Building Products ranks #2 out of 95 companies for Return-on-Tangible-Asset. This places Installed Building Products in the top 2% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.20. Installed Building Products' value of 9.74% is 204.4% above this benchmark. Historically, Installed Building Products' own Return-on-Tangible-Asset has ranged from 10.80 to 20.42 over the past decade. While the company's 10-year median is 14.31 vs. the industry median of 3.20, Installed Building Products 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 Homebuilding & Construction company?
The median Return-on-Tangible-Asset among Homebuilding & Construction companies is 3.20, based on 95 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. Installed Building Products's current Return-on-Tangible-Asset of 9.74% is 204.4% 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 Installed Building Products and its competitors. For the Homebuilding & Construction industry, the median Return-on-Tangible-Asset is 3.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Installed Building Products's current Return-on-Tangible-Asset is 9.74%, which is 32% below median its own 10-year median of 14.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Installed Building Products stock overvalued right now?
Based on GuruFocus' analysis, Installed Building Products (IBP) is currently considered Fairly Valued. The stock's GF Value™ is $225.64, compared to a current price of $225.82 — trading 0.1% above its estimated fair value. The current Return-on-Tangible-Asset is 9.74%, which is 32% below median its 10-year median of 14.31 and 204.4% above the Homebuilding & Construction industry median of 3.20. Installed Building Products' overall GF Score™ is 91/100 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 Installed Building Products (IBP), the current Return-on-Tangible-Asset is 9.74% 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 Installed Building Products (IBP) Overvalued in 2026?
Based on GuruFocus' analysis, Installed Building Products stock appears to be overvalued.
The current stock price of $225.82 is trading 0.1% above its estimated GF Value™ of $225.64.
GuruFocus considers Installed Building Products to be Fairly Valued.
Key valuation signals for IBP:
Return-on-Tangible-Asset: 9.74% (32% below median its 10-year median of 14.31)
GF Value™: $225.64 vs. price of $225.82 (0.1% above fair value)
Industry Position: 204.4% above the Homebuilding & Construction median (#2 of 95)
No single metric tells the full story. See the IBP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Installed Building Products Inc is an insulation installer serving the residential new construction market and are also a diversified installer of complementary building products, including waterproofing, fire-stopping and fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving, mirrors and other products throughout the United States. The company installs fiberglass insulation, spray foam insulation, and cellulose insulation. The company has three operating segments consisting of Installation, Manufacturing and Distribution operations. Majority of revenue is derived from Installation segment.
91GF 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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