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Cathay Financial Holding CoLSE:CFHS 54 Return-on-Tangible-Asset is 0.90% as of Dec. 2025, which is 36% above its 10-year median of 0.66. GuruFocus rates LSE:CFHS with a GF Score™ of 54/100 and a GF Value™ of $15.11. The stock has 4 warning signs investors should review. Among 507 Insurance companies, Cathay Financial Holding Co ranks worse than 76.92% 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. Cathay Financial Holding Co's annualizedNet Income for the quarter that ended in Dec. 2025 was $4,149 Mil. Cathay Financial Holding Co's average total tangible assets for the quarter that ended in Dec. 2025 was $462,178 Mil. Therefore, Cathay Financial Holding Co's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 0.90%.
The historical rank and industry rank for Cathay Financial Holding Co's Return-on-Tangible-Asset or its related term are showing as below:
LSE:CFHS'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 0.32 Med: 0.66 Max: 1.24
Current: 0.77
During the past 13 years, Cathay Financial Holding Co's highest Return-on-Tangible-Asset was 1.24%. The lowest was 0.32%. And the median was 0.66%.
LSE:CFHS's Return-on-Tangible-Asset is ranked worse than 76.92% of 507
companies
in the Insurance industry
Industry Median: 2.74
vs LSE:CFHS: 0.77
Cathay Financial Holding Co (LSE:CFHS) 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.
Cathay Financial Holding Co Return-on-Tangible-Asset Related Terms
Cathay Financial Holding Co 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.
Cathay Financial Holding Co Return-on-Tangible-Asset Chart
LSE:CFHS vs AFL, MET, PRU: Return-on-Tangible-Asset Comparison
For the Insurance - Life subindustry, Cathay Financial Holding Co'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.
Cathay Financial Holding Co Return-on-Tangible-Asset vs Insurance Industry
For the Insurance industry and Financial Services sector, Cathay Financial Holding Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Cathay Financial Holding Co'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 (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of 0.90% mean?
Cathay Financial Holding Co (LSE:CFHS) has a Return-on-Tangible-Asset of 0.90% 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 Cathay Financial Holding Co and its competitors. This is 36% above median its historical median of 0.66. Over the past decade, Cathay Financial Holding Co's Return-on-Tangible-Asset has ranged from 0.32 to 1.24. According to the industry distribution chart, Cathay Financial Holding Co ranks #390 out of 507 companies in the Insurance industry, placing it in the top 76.9%.
Is Cathay Financial Holding Co's Return-on-Tangible-Asset too high?
Cathay Financial Holding Co's current Return-on-Tangible-Asset of 0.90% is 36% above median its 10-year median of 0.66. Over the past 10 years, this metric has ranged from a low of 0.32 to a high of 1.24. The Insurance industry median Return-on-Tangible-Asset is 2.74. Cathay Financial Holding Co's value of 0.90% is 67.2% below this industry median. Based on the distribution chart, Cathay Financial Holding Co ranks #390 out of 507 companies in the Insurance industry, which is in the bottom quartile relative to peers. Overall, Cathay Financial Holding Co has a GF Score™ of 54/100, reflecting its overall financial health beyond just this single metric.
How does Cathay Financial Holding Co's Return-on-Tangible-Asset compare to AFL and MET?
According to the Insurance industry distribution chart, Cathay Financial Holding Co ranks #390 out of 507 companies for Return-on-Tangible-Asset. This places Cathay Financial Holding Co in the lower half of its industry. The industry median Return-on-Tangible-Asset is 2.74. Cathay Financial Holding Co's value of 0.90% is 67.2% below this benchmark. Historically, Cathay Financial Holding Co's own Return-on-Tangible-Asset has ranged from 0.32 to 1.24 over the past decade. While the company's 10-year median is 0.66 vs. the industry median of 2.74, Cathay Financial Holding Co 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 Insurance company?
The median Return-on-Tangible-Asset among Insurance companies is 2.74, based on 507 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. Cathay Financial Holding Co's current Return-on-Tangible-Asset of 0.90% is 67.2% 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 Cathay Financial Holding Co and its competitors. For the Insurance industry, the median Return-on-Tangible-Asset is 2.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cathay Financial Holding Co's current Return-on-Tangible-Asset is 0.90%, which is 36% above median its own 10-year median of 0.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cathay Financial Holding Co stock overvalued right now?
Cathay Financial Holding Co (LSE:CFHS) has a current Return-on-Tangible-Asset of 0.90%. The stock's GF Value™ is $15.11, compared to a current price of $19.20 — trading 27.1% above its estimated fair value. The current Return-on-Tangible-Asset is 0.90%, which is 36% above median its 10-year median of 0.66 and 67.2% below the Insurance industry median of 2.74. Cathay Financial Holding Co's overall GF Score™ is 54/100 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 Cathay Financial Holding Co (LSE:CFHS), the current Return-on-Tangible-Asset is 0.90% 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 Cathay Financial Holding Co (LSE:CFHS) Overvalued in 2026?
Based on GuruFocus' analysis, Cathay Financial Holding Co stock appears to be overvalued.
The current stock price of $19.20 is trading 27.1% above its estimated GF Value™ of $15.11.
Key valuation signals for LSE:CFHS:
Return-on-Tangible-Asset: 0.90% (36% above median its 10-year median of 0.66)
GF Value™: $15.11 vs. price of $19.20 (27.1% above fair value)
Industry Position: 67.2% below the Insurance median (#390 of 507)
No single metric tells the full story. See the LSE:CFHS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cathay Financial Holding Co Ltd is a financial holding company. It has five operating segments Banking segment is engaged in permitted businesses of commercial banks; Life insurance segments is engaged in traditional insurance, investment-linked insurance and interest-sensitive sales of annuity insurance and providing financial planning services and policy loan services; Property insurance segment is engaged in fire insurance, marine insurance, land and air insurance, liability insurance, financial guarantee insurance, reinsurance and other insurance; Securities segment is engaged in brokerage, dealership, and underwriting business; and Other operating segment of which majority of revenue is from Life insurance. Geographically revenue comes from Taiwan.
54GF Score
Get the complete analysis for LSE:CFHS
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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