The Toro CoTTC -0.07%92 Return-on-Tangible-Asset is 21.76% as of Apr. 2026, which is 12% above its 10-year median of 19.49. GuruFocus rates TTC with a GF Score™ of 92/100 and a GF Value™ of $94.20 (Fairly Valued). The stock has 4 warning signs investors should review. Among 3,070 Industrial Products companies, The Toro Co ranks better than 90.94% 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. The Toro Co's annualizedNet Income for the quarter that ended in Apr. 2026 was $582 Mil. The Toro Co's average total tangible assets for the quarter that ended in Apr. 2026 was $2,673 Mil. Therefore, The Toro Co's annualized Return-on-Tangible-Asset for the quarter that ended in Apr. 2026 was 21.76%.
The historical rank and industry rank for The Toro Co's Return-on-Tangible-Asset or its related term are showing as below:
TTC'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 12.08 Med: 19.49 Max: 23.62
Current: 12.62
During the past 13 years, The Toro Co's highest Return-on-Tangible-Asset was 23.62%. The lowest was 12.08%. And the median was 19.49%.
TTC's Return-on-Tangible-Asset is ranked better than 90.94% of 3070
companies
in the Industrial Products industry
Industry Median: 3.245
vs TTC: 12.62
The Toro Co (NYSE:TTC) 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.
The Toro Co Return-on-Tangible-Asset Related Terms
The Toro Co Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for The Toro Co'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.
TTC vs TKR, SWK, LECO: Return-on-Tangible-Asset Comparison
For the Tools & Accessories subindustry, The Toro Co'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.
The Toro Co Return-on-Tangible-Asset vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, The Toro Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where The Toro Co'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 (Apr. 2026) net income data.
What does a Return-on-Tangible-Asset of 21.76% mean?
The Toro Co (TTC) has a Return-on-Tangible-Asset of 21.76% as of Apr. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on The Toro Co and its competitors. This is 12% above median its historical median of 19.49. Over the past decade, The Toro Co's Return-on-Tangible-Asset has ranged from 12.08 to 23.62. According to the industry distribution chart, The Toro Co ranks #278 out of 3070 companies in the Industrial Products industry, placing it in the top 9.1%.
Is The Toro Co's Return-on-Tangible-Asset too high?
The Toro Co's current Return-on-Tangible-Asset of 21.76% is 12% above median its 10-year median of 19.49. Over the past 10 years, this metric has ranged from a low of 12.08 to a high of 23.62. The Industrial Products industry median Return-on-Tangible-Asset is 3.25. The Toro Co's value of 21.76% is 570.6% above this industry median. Based on the distribution chart, The Toro Co ranks #278 out of 3070 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, The Toro Co has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does The Toro Co's Return-on-Tangible-Asset compare to TKR and SWK?
According to the Industrial Products industry distribution chart, The Toro Co ranks #278 out of 3070 companies for Return-on-Tangible-Asset. This places The Toro Co in the top 9% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.25. The Toro Co's value of 21.76% is 570.6% above this benchmark. Historically, The Toro Co's own Return-on-Tangible-Asset has ranged from 12.08 to 23.62 over the past decade. While the company's 10-year median is 19.49 vs. the industry median of 3.25, The Toro Co 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 an Industrial Products company?
The median Return-on-Tangible-Asset among Industrial Products companies is 3.25, based on 3,070 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. The Toro Co's current Return-on-Tangible-Asset of 21.76% is 570.6% 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 The Toro Co and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Asset is 3.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Toro Co's current Return-on-Tangible-Asset is 21.76%, which is 12% above median its own 10-year median of 19.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Toro Co stock overvalued right now?
Based on GuruFocus' analysis, The Toro Co (TTC) is currently considered Fairly Valued. The stock's GF Value™ is $94.20, compared to a current price of $93.33 — trading 0.9% below its estimated fair value. The current Return-on-Tangible-Asset is 21.76%, which is 12% above median its 10-year median of 19.49 and 570.6% above the Industrial Products industry median of 3.25. The Toro Co's overall GF Score™ is 92/100 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 The Toro Co (TTC), the current Return-on-Tangible-Asset is 21.76% as of Apr. 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 The Toro Co (TTC) Overvalued in 2026?
Based on GuruFocus' analysis, The Toro Co stock appears to be undervalued.
The current stock price of $93.33 is trading 0.9% below its estimated GF Value™ of $94.20.
GuruFocus considers The Toro Co to be Fairly Valued.
Key valuation signals for TTC:
Return-on-Tangible-Asset: 21.76% (12% above median its 10-year median of 19.49)
GF Value™: $94.20 vs. price of $93.33 (0.9% below fair value)
Industry Position: 570.6% above the Industrial Products median (#278 of 3070)
No single metric tells the full story. See the TTC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Toro Co designs, manufactures, markets, and sells professional turf maintenance equipment and services; turf and agricultural irrigation systems; landscaping equipment and lighting products; snow and ice management equipment; construction equipment; and residential yard and snow thrower products. The company operates through Professional and Residential segments, with the Professional segment serving commercial, agricultural, and construction customers and generating the majority of revenue, while the Residential segment focuses on homeowners. Its products are sold through distributors, dealers, retailers, rental centers, and direct channels, with the United States as its primary revenue-generating market.
92GF Score
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