SemiLEDsLEDS -7.19%51 Return-on-Tangible-Asset is -15.94% as of Feb. 2026. GuruFocus rates LEDS with a GF Score™ of 51/100 and a GF Value™ of $6.01 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,028 Semiconductors companies, SemiLEDs ranks worse than 86.87% 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. SemiLEDs's annualizedNet Income for the quarter that ended in Feb. 2026 was $-2.41 Mil. SemiLEDs's average total tangible assets for the quarter that ended in Feb. 2026 was $15.14 Mil. Therefore, SemiLEDs's annualized Return-on-Tangible-Asset for the quarter that ended in Feb. 2026 was -15.94%.
The historical rank and industry rank for SemiLEDs's Return-on-Tangible-Asset or its related term are showing as below:
LEDS'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -71.75 Med: -17.93 Max: -4.17
Current: -12.59
During the past 13 years, SemiLEDs's highest Return-on-Tangible-Asset was -4.17%. The lowest was -71.75%. And the median was -17.93%.
LEDS's Return-on-Tangible-Asset is ranked worse than 86.87% of 1028
companies
in the Semiconductors industry
Industry Median: 2.59
vs LEDS: -12.59
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.
SemiLEDs Return-on-Tangible-Asset Related Terms
SemiLEDs Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for SemiLEDs'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.
LEDS vs PRSO, GUER, MOBX: Return-on-Tangible-Asset Comparison
For the Semiconductors subindustry, SemiLEDs'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.
SemiLEDs Return-on-Tangible-Asset vs Semiconductors Industry
For the Semiconductors industry and Technology sector, SemiLEDs's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where SemiLEDs'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 (Feb. 2026) net income data.
What does a Return-on-Tangible-Asset of -15.94% mean?
SemiLEDs (LEDS) has a Return-on-Tangible-Asset of -15.94% as of Feb. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on SemiLEDs and its competitors. According to the industry distribution chart, SemiLEDs ranks #893 out of 1028 companies in the Semiconductors industry, placing it in the top 86.9%.
Is SemiLEDs' Return-on-Tangible-Asset too high?
SemiLEDs' current Return-on-Tangible-Asset is -15.94%. Based on the distribution chart, SemiLEDs ranks #893 out of 1028 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, SemiLEDs has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does SemiLEDs' Return-on-Tangible-Asset compare to PRSO and GUER?
According to the Semiconductors industry distribution chart, SemiLEDs ranks #893 out of 1028 companies for Return-on-Tangible-Asset. This places SemiLEDs in the lower half of its industry. The industry median Return-on-Tangible-Asset is 2.59. 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 Semiconductors company?
The median Return-on-Tangible-Asset among Semiconductors companies is 2.59, based on 1,028 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 SemiLEDs and its competitors. For the Semiconductors industry, the median Return-on-Tangible-Asset is 2.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SemiLEDs's current Return-on-Tangible-Asset is -15.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SemiLEDs stock overvalued right now?
Based on GuruFocus' analysis, SemiLEDs (LEDS) is currently considered Possible Value Trap. The stock's GF Value™ is $6.01, compared to a current price of $1.57 — trading 73.9% below its estimated fair value. The current Return-on-Tangible-Asset is -15.94%. SemiLEDs' overall GF Score™ is 51/100 with 4 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 SemiLEDs (LEDS), the current Return-on-Tangible-Asset is -15.94% as of Feb. 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 SemiLEDs (LEDS) Overvalued in 2026?
Based on GuruFocus' analysis, SemiLEDs stock appears to be undervalued.
The current stock price of $1.57 is trading 73.9% below its estimated GF Value™ of $6.01.
GuruFocus considers SemiLEDs to be Possible Value Trap.
Key valuation signals for LEDS:
Return-on-Tangible-Asset: -15.94%
GF Value™: $6.01 vs. price of $1.57 (73.9% below fair value)
No single metric tells the full story. See the LEDS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SemiLEDs Corp develops, manufactures, and sells light-emitting diode chips and LED components. The company's products include LED Chips, LED Components, and Lighting Products. Its products are used for general lighting applications, including street lights and commercial, industrial, system, and residential lighting; specialty industrial applications, such as ultraviolet, or Ultraviolet, curing of polymers, LED light therapy in medical/cosmetic applications, counterfeit detection, LED lighting for horticulture applications, architectural lighting and entertainment lighting. Substantial revenue is generated from the sale of LED components products. Geographically, it derives a majority of its revenue from Japan.
51GF Score
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