Air Products and ChemicalsMEX:APD 72 Return-on-Tangible-Asset is 7.08% as of Mar. 2026, which is 18% below its 10-year median of 8.63. GuruFocus rates MEX:APD with a GF Score™ of 72/100 and a GF Value™ of MXN4,984.75 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,609 Chemicals companies, Air Products and Chemicals ranks better than 66.56% 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. Air Products and Chemicals's annualizedNet Income for the quarter that ended in Mar. 2026 was MXN51,242 Mil. Air Products and Chemicals's average total tangible assets for the quarter that ended in Mar. 2026 was MXN724,170 Mil. Therefore, Air Products and Chemicals's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 7.08%.
The historical rank and industry rank for Air Products and Chemicals's Return-on-Tangible-Asset or its related term are showing as below:
MEX:APD'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -1.01 Med: 8.63 Max: 17.56
Current: 5.31
During the past 13 years, Air Products and Chemicals's highest Return-on-Tangible-Asset was 17.56%. The lowest was -1.01%. And the median was 8.63%.
MEX:APD's Return-on-Tangible-Asset is ranked better than 66.56% of 1609
companies
in the Chemicals industry
Industry Median: 3.07
vs MEX:APD: 5.31
Air Products and Chemicals (MEX:APD) 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.
Air Products and Chemicals Return-on-Tangible-Asset Related Terms
Air Products and Chemicals 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.
Air Products and Chemicals Return-on-Tangible-Asset Chart
MEX:APD vs ECL, SHW, PPG: Return-on-Tangible-Asset Comparison
For the Specialty Chemicals subindustry, Air Products and Chemicals'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.
Air Products and Chemicals Return-on-Tangible-Asset vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Air Products and Chemicals's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Air Products and Chemicals'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 7.08% mean?
Air Products and Chemicals (MEX:APD) has a Return-on-Tangible-Asset of 7.08% 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 Air Products and Chemicals and its competitors. This is 18% below median its historical median of 8.63. According to the industry distribution chart, Air Products and Chemicals ranks #538 out of 1609 companies in the Chemicals industry, placing it in the top 33.4%.
Is Air Products and Chemicals' Return-on-Tangible-Asset too high?
Air Products and Chemicals' current Return-on-Tangible-Asset of 7.08% is 18% below median its 10-year median of 8.63. The Chemicals industry median Return-on-Tangible-Asset is 3.07. Air Products and Chemicals' value of 7.08% is 130.6% above this industry median. Based on the distribution chart, Air Products and Chemicals ranks #538 out of 1609 companies in the Chemicals industry, which is above the industry midpoint. Overall, Air Products and Chemicals has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Air Products and Chemicals' Return-on-Tangible-Asset compare to ECL and SHW?
According to the Chemicals industry distribution chart, Air Products and Chemicals ranks #538 out of 1609 companies for Return-on-Tangible-Asset. This puts Air Products and Chemicals in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.07. Air Products and Chemicals' value of 7.08% is 130.6% above this benchmark. While the company's 10-year median is 8.63 vs. the industry median of 3.07, Air Products and Chemicals 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 Chemicals company?
The median Return-on-Tangible-Asset among Chemicals companies is 3.07, based on 1,609 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. Air Products and Chemicals's current Return-on-Tangible-Asset of 7.08% is 130.6% 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 Air Products and Chemicals and its competitors. For the Chemicals industry, the median Return-on-Tangible-Asset is 3.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Air Products and Chemicals's current Return-on-Tangible-Asset is 7.08%, which is 18% below median its own 10-year median of 8.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Air Products and Chemicals stock overvalued right now?
Based on GuruFocus' analysis, Air Products and Chemicals (MEX:APD) is currently considered Fairly Valued. The stock's GF Value™ is MXN4,984.75, compared to a current price of MXN5,254.93 — trading 5.4% above its estimated fair value. The current Return-on-Tangible-Asset is 7.08%, which is 18% below median its 10-year median of 8.63 and 130.6% above the Chemicals industry median of 3.07. Air Products and Chemicals' overall GF Score™ is 72/100 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 Air Products and Chemicals (MEX:APD), the current Return-on-Tangible-Asset is 7.08% 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 Air Products and Chemicals (MEX:APD) Overvalued in 2026?
Based on GuruFocus' analysis, Air Products and Chemicals stock appears to be overvalued.
The current stock price of MXN5,254.93 is trading 5.4% above its estimated GF Value™ of MXN4,984.75.
GuruFocus considers Air Products and Chemicals to be Fairly Valued.
Key valuation signals for MEX:APD:
Return-on-Tangible-Asset: 7.08% (18% below median its 10-year median of 8.63)
GF Value™: MXN4,984.75 vs. price of MXN5,254.93 (5.4% above fair value)
Industry Position: 130.6% above the Chemicals median (#538 of 1609)
No single metric tells the full story. See the MEX:APD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Since its founding in 1940, Air Products has become one of the leading industrial gas suppliers globally, with operations in 50 countries and 19,000 employees. The company is the world's largest supplier of hydrogen and helium. It has a unique portfolio serving customers across industries, including chemicals, energy, healthcare, metals, and electronics. Air Products generated roughly $12 billion in revenue in fiscal 2025.
72GF Score
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