GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Smithfield Foods Inc (NAS:SFD) » Definitions » Return-on-Tangible-Asset

SFD (Smithfield Foods) Return-on-Tangible-Asset : 10.90% (As of Mar. 2025)


View and export this data going back to 2025. Start your Free Trial

What is Smithfield Foods Return-on-Tangible-Asset?

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. Smithfield Foods's annualized Net Income for the quarter that ended in Mar. 2025 was $896 Mil. Smithfield Foods's average total tangible assets for the quarter that ended in Mar. 2025 was $8,222 Mil. Therefore, Smithfield Foods's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2025 was 10.90%.

The historical rank and industry rank for Smithfield Foods's Return-on-Tangible-Asset or its related term are showing as below:

SFD' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -1.62   Med: 6.64   Max: 10.25
Current: 5.3

During the past 13 years, Smithfield Foods's highest Return-on-Tangible-Asset was 10.25%. The lowest was -1.62%. And the median was 6.64%.

SFD's Return-on-Tangible-Asset is ranked better than
61.12% of 1934 companies
in the Consumer Packaged Goods industry
Industry Median: 3.62 vs SFD: 5.30

Smithfield Foods Return-on-Tangible-Asset Historical Data

The historical data trend for Smithfield Foods'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.

* Premium members only.

Smithfield Foods Return-on-Tangible-Asset Chart

Smithfield Foods Annual Data
Trend Apr10 Apr11 Apr12 Apr13 Dec14 Dec15 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.45 6.83 7.95 0.16 10.25

Smithfield Foods Quarterly Data
Apr13 Jul13 Oct13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec22 Dec23 Mar24 Sep24 Dec24 Mar25
Return-on-Tangible-Asset Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -3.59 5.99 - 10.24 10.90

Competitive Comparison of Smithfield Foods's Return-on-Tangible-Asset

For the Packaged Foods subindustry, Smithfield Foods'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.


Smithfield Foods's Return-on-Tangible-Asset Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Smithfield Foods's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Smithfield Foods's Return-on-Tangible-Asset falls into.


;
;

Smithfield Foods Return-on-Tangible-Asset Calculation

Smithfield Foods's annualized Return-on-Tangible-Asset for the fiscal year that ended in Dec. 2024 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=953/( (10417+8175)/ 2 )
=953/9296
=10.25 %

Smithfield Foods's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=896/( (8175+8269)/ 2 )
=896/8222
=10.90 %

* 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. 2025) net income data.


Smithfield Foods  (NAS:SFD) 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 company’s 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 company’s 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.


Smithfield Foods Return-on-Tangible-Asset Related Terms

Thank you for viewing the detailed overview of Smithfield Foods's Return-on-Tangible-Asset provided by GuruFocus.com. Please click on the following links to see related term pages.


Smithfield Foods Business Description

Traded in Other Exchanges
Address
200 Commerce Street, Smithfield, VA, USA, 23430
Smithfield Foods Inc is a hog producer and pork processor based in the United States of America. The company conducts its operations through three reportable segments: Packaged Meats, Fresh Pork, and Hog Production. The company generates the majority of its revenue from the Packaged Meats segment. The Packaged Meats segment consists of the company's U.S. operations that process fresh meat into a wide variety of packaged meats products, including bacon, sausage, hot dogs, deli and lunch meats, dry sausage products (such as pepperoni and genoa), ham products, ready-to-eat products and prepared foods (such as pre-cooked entrees, bacon and sausage).