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EmbraerSTU:EMY +4.41%67 Return-on-Tangible-Asset is 1.32% as of Mar. 2026, which is 149% above its 10-year median of 0.53. GuruFocus rates STU:EMY with a GF Score™ of 67/100 and a GF Value™ of €52.32 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 361 Aerospace & Defense companies, Embraer ranks better than 51.8% 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. Embraer's annualizedNet Income for the quarter that ended in Mar. 2026 was €116 Mil. Embraer's average total tangible assets for the quarter that ended in Mar. 2026 was €8,753 Mil. Therefore, Embraer's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 1.32%.
The historical rank and industry rank for Embraer's Return-on-Tangible-Asset or its related term are showing as below:
STU:EMY'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -9.06 Med: 0.53 Max: 4.38
Current: 3.16
During the past 13 years, Embraer's highest Return-on-Tangible-Asset was 4.38%. The lowest was -9.06%. And the median was 0.53%.
STU:EMY's Return-on-Tangible-Asset is ranked better than 51.8% of 361
companies
in the Aerospace & Defense industry
Industry Median: 3.05
vs STU:EMY: 3.16
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.
Embraer Return-on-Tangible-Asset Related Terms
Embraer Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Embraer'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.
STU:EMY vs SPCX, GE, RTX: Return-on-Tangible-Asset Comparison
For the Aerospace & Defense subindustry, Embraer'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.
Embraer Return-on-Tangible-Asset vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Embraer's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Embraer'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 1.32% mean?
Embraer (STU:EMY) has a Return-on-Tangible-Asset of 1.32% 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 Embraer and its competitors. This is 149% above median its historical median of 0.53. According to the industry distribution chart, Embraer ranks #174 out of 361 companies in the Aerospace & Defense industry, placing it in the top 48.2%.
Is Embraer's Return-on-Tangible-Asset too high?
Embraer's current Return-on-Tangible-Asset of 1.32% is 149% above median its 10-year median of 0.53. The Aerospace & Defense industry median Return-on-Tangible-Asset is 3.05. Embraer's value of 1.32% is 56.7% below this industry median. Based on the distribution chart, Embraer ranks #174 out of 361 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Embraer has a GF Score™ of 67/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Embraer's Return-on-Tangible-Asset compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Embraer ranks #174 out of 361 companies for Return-on-Tangible-Asset. This puts Embraer in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.05. Embraer's value of 1.32% is 56.7% below this benchmark. While the company's 10-year median is 0.53 vs. the industry median of 3.05, Embraer 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 Aerospace & Defense company?
The median Return-on-Tangible-Asset among Aerospace & Defense companies is 3.05, based on 361 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. Embraer's current Return-on-Tangible-Asset of 1.32% is 56.7% 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 Embraer and its competitors. For the Aerospace & Defense industry, the median Return-on-Tangible-Asset is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Embraer's current Return-on-Tangible-Asset is 1.32%, which is 149% above median its own 10-year median of 0.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Embraer stock overvalued right now?
Based on GuruFocus' analysis, Embraer (STU:EMY) is currently considered Modestly Overvalued. The stock's GF Value™ is €52.32, compared to a current price of €61.60 — trading 17.7% above its estimated fair value. The current Return-on-Tangible-Asset is 1.32%, which is 149% above median its 10-year median of 0.53 and 56.7% below the Aerospace & Defense industry median of 3.05. Embraer's overall GF Score™ is 67/100 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 Embraer (STU:EMY), the current Return-on-Tangible-Asset is 1.32% 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 Embraer (STU:EMY) Overvalued in 2026?
Based on GuruFocus' analysis, Embraer stock appears to be overvalued.
The current stock price of €61.60 is trading 17.7% above its estimated GF Value™ of €52.32.
GuruFocus considers Embraer to be Modestly Overvalued.
Key valuation signals for STU:EMY:
Return-on-Tangible-Asset: 1.32% (149% above median its 10-year median of 0.53)
GF Value™: €52.32 vs. price of €61.60 (17.7% above fair value)
Industry Position: 56.7% below the Aerospace & Defense median (#174 of 361)
No single metric tells the full story. See the STU:EMY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Embraer SA based in Sao Paulo, Brazil, manufacturer of jets. Its focus is to achieve customer satisfaction with and services addressing the commercial airline, executive jets, and defense and security markets. It has developed a customer-centric technology-driven portfolio of commercial aviation products and services that allows it to build long-term relationships with clients in the commercial aviation, executive jets, and defense and security markets. It operates through the various segments namely Commercial Aviation, Defense and Security, Executive Aviation, Service and Support, and Other Segments. The company generates maximum revenue from the Commercial Aviation segment. Geographically, the company operates in Brazil, Europe, Asia Pacific, North America, and Others.
67GF Score
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Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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