Toyota MotorTOYOF +1.27%76 Return-on-Tangible-Asset is 3.16% as of Mar. 2026, which is 20% below its 10-year median of 3.93. GuruFocus rates TOYOF with a GF Score™ of 76/100 and a GF Value™ of $20.51 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,336 Vehicles & Parts companies, Toyota Motor ranks better than 56.14% 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. Toyota Motor's annualizedNet Income for the quarter that ended in Mar. 2026 was $20,600 Mil. Toyota Motor's average total tangible assets for the quarter that ended in Mar. 2026 was $651,956 Mil. Therefore, Toyota Motor's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 3.16%.
The historical rank and industry rank for Toyota Motor's Return-on-Tangible-Asset or its related term are showing as below:
TOYOF'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 3.51 Med: 3.93 Max: 6.11
Current: 3.96
During the past 13 years, Toyota Motor's highest Return-on-Tangible-Asset was 6.11%. The lowest was 3.51%. And the median was 3.93%.
TOYOF's Return-on-Tangible-Asset is ranked better than 56.14% of 1336
companies
in the Vehicles & Parts industry
Industry Median: 3.115
vs TOYOF: 3.96
Toyota Motor (OTCPK:TOYOF) 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.
Toyota Motor Return-on-Tangible-Asset Related Terms
Toyota Motor Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Toyota Motor'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.
TOYOF vs TSLA, GM, F: Return-on-Tangible-Asset Comparison
For the Auto Manufacturers subindustry, Toyota Motor'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.
Toyota Motor Return-on-Tangible-Asset vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Toyota Motor's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Toyota Motor'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 3.16% mean?
Toyota Motor (TOYOF) has a Return-on-Tangible-Asset of 3.16% 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 Toyota Motor and its competitors. This is 20% below median its historical median of 3.93. Over the past decade, Toyota Motor's Return-on-Tangible-Asset has ranged from 3.51 to 6.11. According to the industry distribution chart, Toyota Motor ranks #586 out of 1336 companies in the Vehicles & Parts industry, placing it in the top 43.9%.
Is Toyota Motor's Return-on-Tangible-Asset too high?
Toyota Motor's current Return-on-Tangible-Asset of 3.16% is 20% below median its 10-year median of 3.93. Over the past 10 years, this metric has ranged from a low of 3.51 to a high of 6.11. The Vehicles & Parts industry median Return-on-Tangible-Asset is 3.12. Toyota Motor's value of 3.16% is 1.4% above this industry median. Based on the distribution chart, Toyota Motor ranks #586 out of 1336 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Toyota Motor has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Toyota Motor's Return-on-Tangible-Asset compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Toyota Motor ranks #586 out of 1336 companies for Return-on-Tangible-Asset. This puts Toyota Motor in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.12. Toyota Motor's value of 3.16% is 1.4% above this benchmark. Historically, Toyota Motor's own Return-on-Tangible-Asset has ranged from 3.51 to 6.11 over the past decade. While the company's 10-year median is 3.93 vs. the industry median of 3.12, Toyota Motor 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 Vehicles & Parts company?
The median Return-on-Tangible-Asset among Vehicles & Parts companies is 3.12, based on 1,336 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. Toyota Motor's current Return-on-Tangible-Asset of 3.16% is 1.4% 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 Toyota Motor and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Asset is 3.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Toyota Motor's current Return-on-Tangible-Asset is 3.16%, which is 20% below median its own 10-year median of 3.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Toyota Motor stock overvalued right now?
Based on GuruFocus' analysis, Toyota Motor (TOYOF) is currently considered Modestly Undervalued. The stock's GF Value™ is $20.51, compared to a current price of $17.20 — trading 16.1% below its estimated fair value. The current Return-on-Tangible-Asset is 3.16%, which is 20% below median its 10-year median of 3.93 and 1.4% above the Vehicles & Parts industry median of 3.12. Toyota Motor's overall GF Score™ is 76/100 with 3 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 Toyota Motor (TOYOF), the current Return-on-Tangible-Asset is 3.16% 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 Toyota Motor (TOYOF) Overvalued in 2026?
Based on GuruFocus' analysis, Toyota Motor stock appears to be undervalued.
The current stock price of $17.20 is trading 16.1% below its estimated GF Value™ of $20.51.
GuruFocus considers Toyota Motor to be Modestly Undervalued.
Key valuation signals for TOYOF:
Return-on-Tangible-Asset: 3.16% (20% below median its 10-year median of 3.93)
GF Value™: $20.51 vs. price of $17.20 (16.1% below fair value)
Industry Position: 1.4% above the Vehicles & Parts median (#586 of 1336)
No single metric tells the full story. See the TOYOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1937, Toyota is one of the world's largest automakers, with 11.3 million units sold at retail in fiscal 2026, including 10.5 million across the Toyota and Lexus brands. Brands include Toyota, Lexus, Daihatsu, and truck maker Hino; market share in Japan is about 50% excluding mini-vehicles, while US share is around 14%. The firm also owns stakes in Denso, a parts supplier, about 20% of Subaru, and holds investments in many other firms, including shares of Uber Technologies, Joby Aviation, Aurora Innovation, Isuzu Motors, and about 5% in each of Mazda and Suzuki. Fiscal 2026 sales excluding financial services were JPY 46.1 trillion. Toyota also has a financing arm and manufactures homes and boats.
76GF Score
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