Telstra GroupTLGPY -1.85%74 Return-on-Tangible-Asset is 6.82% as of Dec. 2025, which is 14% above its 10-year median of 5.98. GuruFocus rates TLGPY with a GF Score™ of 74/100 and a GF Value™ of $16.00 (Fairly Valued). The stock has 6 warning signs investors should review. Among 364 Telecommunication Services companies, Telstra Group ranks better than 67.31% 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. Telstra Group's annualizedNet Income for the quarter that ended in Dec. 2025 was $1,494 Mil. Telstra Group's average total tangible assets for the quarter that ended in Dec. 2025 was $21,888 Mil. Therefore, Telstra Group's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 6.82%.
The historical rank and industry rank for Telstra Group's Return-on-Tangible-Asset or its related term are showing as below:
TLGPY'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 4.83 Med: 5.98 Max: 17.74
Current: 6.82
During the past 13 years, Telstra Group's highest Return-on-Tangible-Asset was 17.74%. The lowest was 4.83%. And the median was 5.98%.
TLGPY's Return-on-Tangible-Asset is ranked better than 67.31% of 364
companies
in the Telecommunication Services industry
Industry Median: 3.47
vs TLGPY: 6.82
Telstra Group (OTCPK:TLGPY) 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.
Telstra Group Return-on-Tangible-Asset Related Terms
Telstra Group Return-on-Tangible-Asset Historical Data
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The historical data trend for Telstra Group'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.
TLGPY vs TMUS, VZ, T: Return-on-Tangible-Asset Comparison
For the Telecom Services subindustry, Telstra Group'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.
Telstra Group Return-on-Tangible-Asset vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Telstra Group's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Telstra Group'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 two times the semi-annual (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of 6.82% mean?
Telstra Group (TLGPY) has a Return-on-Tangible-Asset of 6.82% 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 Telstra Group and its competitors. This is 14% above median its historical median of 5.98. Over the past decade, Telstra Group's Return-on-Tangible-Asset has ranged from 4.83 to 17.74. According to the industry distribution chart, Telstra Group ranks #119 out of 364 companies in the Telecommunication Services industry, placing it in the top 32.7%.
Is Telstra Group's Return-on-Tangible-Asset too high?
Telstra Group's current Return-on-Tangible-Asset of 6.82% is 14% above median its 10-year median of 5.98. Over the past 10 years, this metric has ranged from a low of 4.83 to a high of 17.74. The Telecommunication Services industry median Return-on-Tangible-Asset is 3.47. Telstra Group's value of 6.82% is 96.5% above this industry median. Based on the distribution chart, Telstra Group ranks #119 out of 364 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Telstra Group has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Telstra Group's Return-on-Tangible-Asset compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Telstra Group ranks #119 out of 364 companies for Return-on-Tangible-Asset. This puts Telstra Group in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.47. Telstra Group's value of 6.82% is 96.5% above this benchmark. Historically, Telstra Group's own Return-on-Tangible-Asset has ranged from 4.83 to 17.74 over the past decade. While the company's 10-year median is 5.98 vs. the industry median of 3.47, Telstra Group 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 Telecommunication Services company?
The median Return-on-Tangible-Asset among Telecommunication Services companies is 3.47, based on 364 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. Telstra Group's current Return-on-Tangible-Asset of 6.82% is 96.5% 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 Telstra Group and its competitors. For the Telecommunication Services industry, the median Return-on-Tangible-Asset is 3.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telstra Group's current Return-on-Tangible-Asset is 6.82%, which is 14% above median its own 10-year median of 5.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telstra Group stock overvalued right now?
Based on GuruFocus' analysis, Telstra Group (TLGPY) is currently considered Fairly Valued. The stock's GF Value™ is $16.00, compared to a current price of $16.97 — trading 6.1% above its estimated fair value. The current Return-on-Tangible-Asset is 6.82%, which is 14% above median its 10-year median of 5.98 and 96.5% above the Telecommunication Services industry median of 3.47. Telstra Group's overall GF Score™ is 74/100 with 6 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 Telstra Group (TLGPY), the current Return-on-Tangible-Asset is 6.82% 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 Telstra Group (TLGPY) Overvalued in 2026?
Based on GuruFocus' analysis, Telstra Group stock appears to be overvalued.
The current stock price of $16.97 is trading 6.1% above its estimated GF Value™ of $16.00.
GuruFocus considers Telstra Group to be Fairly Valued.
Key valuation signals for TLGPY:
Return-on-Tangible-Asset: 6.82% (14% above median its 10-year median of 5.98)
GF Value™: $16.00 vs. price of $16.97 (6.1% above fair value)
Industry Position: 96.5% above the Telecommunication Services median (#119 of 364)
No single metric tells the full story. See the TLGPY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telstra is Australia's largest telecommunications company, with dominant market shares in voice, mobile, enterprise telecom, and fixed-line broadband resale via the national broadband network. Telstra provides most of its services via its infrastructure assets, such as a fixed-line network (data centers, exchanges, poles, ducts, pits and pipes, fiber network), a mobile network, and mobile towers. Its customers span retail, corporate, government, wholesale, and overseas segments. Telstra also provides the government-owned, last-mile fixed-line National Broadband Network with long-term access to its infrastructure, in return for recurring payments. Finally, Telstra operates a leading telecom operation in Papua New Guinea and the surrounding South-Pacific countries.
74GF Score
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