Leidos HoldingsMEX:LDOS 73 Return-on-Tangible-Asset is 20.21% as of Mar. 2026, which is 41% above its 10-year median of 14.35. GuruFocus rates MEX:LDOS with a GF Score™ of 73/100 and a GF Value™ of MXN2,912.84 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 2,883 Software companies, Leidos Holdings ranks better than 92.4% 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. Leidos Holdings's annualizedNet Income for the quarter that ended in Mar. 2026 was MXN23,659 Mil. Leidos Holdings's average total tangible assets for the quarter that ended in Mar. 2026 was MXN117,059 Mil. Therefore, Leidos Holdings's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 20.21%.
The historical rank and industry rank for Leidos Holdings's Return-on-Tangible-Asset or its related term are showing as below:
MEX:LDOS'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 3.51 Med: 14.35 Max: 22.1
Current: 21.42
During the past 13 years, Leidos Holdings's highest Return-on-Tangible-Asset was 22.10%. The lowest was 3.51%. And the median was 14.35%.
MEX:LDOS's Return-on-Tangible-Asset is ranked better than 92.4% of 2883
companies
in the Software industry
Industry Median: 2.02
vs MEX:LDOS: 21.42
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.
Leidos Holdings Return-on-Tangible-Asset Related Terms
Leidos Holdings Return-on-Tangible-Asset Historical Data
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The historical data trend for Leidos Holdings'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.
MEX:LDOS vs WSE, APLD, CIFR: Return-on-Tangible-Asset Comparison
For the Information Technology Services subindustry, Leidos Holdings'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.
Leidos Holdings Return-on-Tangible-Asset vs Software Industry
For the Software industry and Technology sector, Leidos Holdings's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Leidos Holdings'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 20.21% mean?
Leidos Holdings (MEX:LDOS) has a Return-on-Tangible-Asset of 20.21% 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 Leidos Holdings and its competitors. This is 41% above median its historical median of 14.35. Over the past decade, Leidos Holdings' Return-on-Tangible-Asset has ranged from 3.51 to 22.10. According to the industry distribution chart, Leidos Holdings ranks #219 out of 2883 companies in the Software industry, placing it in the top 7.6%.
Is Leidos Holdings' Return-on-Tangible-Asset too high?
Leidos Holdings' current Return-on-Tangible-Asset of 20.21% is 41% above median its 10-year median of 14.35. Over the past 10 years, this metric has ranged from a low of 3.51 to a high of 22.10. The Software industry median Return-on-Tangible-Asset is 2.02. Leidos Holdings' value of 20.21% is 900.5% above this industry median. Based on the distribution chart, Leidos Holdings ranks #219 out of 2883 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Leidos Holdings has a GF Score™ of 73/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Leidos Holdings' Return-on-Tangible-Asset compare to WSE and APLD?
According to the Software industry distribution chart, Leidos Holdings ranks #219 out of 2883 companies for Return-on-Tangible-Asset. This places Leidos Holdings in the top 8% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 2.02. Leidos Holdings' value of 20.21% is 900.5% above this benchmark. Historically, Leidos Holdings' own Return-on-Tangible-Asset has ranged from 3.51 to 22.10 over the past decade. While the company's 10-year median is 14.35 vs. the industry median of 2.02, Leidos Holdings 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 Software company?
The median Return-on-Tangible-Asset among Software companies is 2.02, based on 2,883 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. Leidos Holdings's current Return-on-Tangible-Asset of 20.21% is 900.5% 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 Leidos Holdings and its competitors. For the Software industry, the median Return-on-Tangible-Asset is 2.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Leidos Holdings's current Return-on-Tangible-Asset is 20.21%, which is 41% above median its own 10-year median of 14.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Leidos Holdings stock overvalued right now?
Based on GuruFocus' analysis, Leidos Holdings (MEX:LDOS) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN2,912.84, compared to a current price of MXN1,895.00 — trading 34.9% below its estimated fair value. The current Return-on-Tangible-Asset is 20.21%, which is 41% above median its 10-year median of 14.35 and 900.5% above the Software industry median of 2.02. Leidos Holdings' overall GF Score™ is 73/100 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 Leidos Holdings (MEX:LDOS), the current Return-on-Tangible-Asset is 20.21% 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 Leidos Holdings (MEX:LDOS) Overvalued in 2026?
Based on GuruFocus' analysis, Leidos Holdings stock appears to be undervalued.
The current stock price of MXN1,895.00 is trading 34.9% below its estimated GF Value™ of MXN2,912.84.
GuruFocus considers Leidos Holdings to be Significantly Undervalued.
Key valuation signals for MEX:LDOS:
Return-on-Tangible-Asset: 20.21% (41% above median its 10-year median of 14.35)
GF Value™: MXN2,912.84 vs. price of MXN1,895.00 (34.9% below fair value)
Industry Position: 900.5% above the Software median (#219 of 2883)
No single metric tells the full story. See the MEX:LDOS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Leidos Holdings Inc is a technology, engineering, and science company that provides services and solutions in the defense, intelligence, civil, and health management, both domestically and internationally. The customers of the company includes the U.S. Department of Defense ("DoD"), the U.S. Intelligence Community, the U.S. Department of Homeland Security ("DHS"), the Federal Aviation Administration ("FAA"), the Department of Veterans Affairs ("VA"), and many other U.S. civilian, state and local government agencies, etc. The company is engaged in four reportable segments; National Security & Digital, Health & Civil, Commercial & International and Defense Systems. It provides a wide array of scientific, engineering and technical services and solutions across these reportable segments.
73GF Score
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