VeraltoVLTO +2.45%61 Return-on-Tangible-Asset is 24.80% as of Mar. 2026, which is 32% below its 10-year median of 36.45. GuruFocus rates VLTO with a GF Score™ of 61/100 and a GF Value™ of $106.95 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 3,074 Industrial Products companies, Veralto ranks better than 98.67% 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. Veralto's annualizedNet Income for the quarter that ended in Mar. 2026 was $1,016 Mil. Veralto's average total tangible assets for the quarter that ended in Mar. 2026 was $4,096 Mil. Therefore, Veralto's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 24.80%.
The historical rank and industry rank for Veralto's Return-on-Tangible-Asset or its related term are showing as below:
VLTO'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 24.92 Med: 36.45 Max: 47.7
Current: 24.92
During the past 6 years, Veralto's highest Return-on-Tangible-Asset was 47.70%. The lowest was 24.92%. And the median was 36.45%.
VLTO's Return-on-Tangible-Asset is ranked better than 98.67% of 3074
companies
in the Industrial Products industry
Industry Median: 3.235
vs VLTO: 24.92
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.
Veralto Return-on-Tangible-Asset Related Terms
Veralto Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Veralto'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.
VLTO vs ZWS, CECO, PCT: Return-on-Tangible-Asset Comparison
For the Pollution & Treatment Controls subindustry, Veralto'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.
Veralto Return-on-Tangible-Asset vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Veralto's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Veralto'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 24.80% mean?
Veralto (VLTO) has a Return-on-Tangible-Asset of 24.80% 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 Veralto and its competitors. This is 32% below median its historical median of 36.45. Over the past decade, Veralto's Return-on-Tangible-Asset has ranged from 24.92 to 47.70. According to the industry distribution chart, Veralto ranks #41 out of 3074 companies in the Industrial Products industry, placing it in the top 1.3%.
Is Veralto's Return-on-Tangible-Asset too high?
Veralto's current Return-on-Tangible-Asset of 24.80% is 32% below median its 10-year median of 36.45. Over the past 10 years, this metric has ranged from a low of 24.92 to a high of 47.70. The Industrial Products industry median Return-on-Tangible-Asset is 3.24. Veralto's value of 24.80% is 666.6% above this industry median. Based on the distribution chart, Veralto ranks #41 out of 3074 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Veralto has a GF Score™ of 61/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Veralto's Return-on-Tangible-Asset compare to ZWS and CECO?
According to the Industrial Products industry distribution chart, Veralto ranks #41 out of 3074 companies for Return-on-Tangible-Asset. This places Veralto in the top 1% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.24. Veralto's value of 24.80% is 666.6% above this benchmark. Historically, Veralto's own Return-on-Tangible-Asset has ranged from 24.92 to 47.70 over the past decade. While the company's 10-year median is 36.45 vs. the industry median of 3.24, Veralto 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 3.24, based on 3,074 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. Veralto's current Return-on-Tangible-Asset of 24.80% is 666.6% 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 Veralto and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Asset is 3.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Veralto's current Return-on-Tangible-Asset is 24.80%, which is 32% below median its own 10-year median of 36.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Veralto stock overvalued right now?
Based on GuruFocus' analysis, Veralto (VLTO) is currently considered Modestly Undervalued. The stock's GF Value™ is $106.95, compared to a current price of $92.55 — trading 13.5% below its estimated fair value. The current Return-on-Tangible-Asset is 24.80%, which is 32% below median its 10-year median of 36.45 and 666.6% above the Industrial Products industry median of 3.24. Veralto's overall GF Score™ is 61/100 with 1 warning sign 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 Veralto (VLTO), the current Return-on-Tangible-Asset is 24.80% 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 Veralto (VLTO) Overvalued in 2026?
Based on GuruFocus' analysis, Veralto stock appears to be undervalued.
The current stock price of $92.55 is trading 13.5% below its estimated GF Value™ of $106.95.
GuruFocus considers Veralto to be Modestly Undervalued.
Key valuation signals for VLTO:
Return-on-Tangible-Asset: 24.80% (32% below median its 10-year median of 36.45)
GF Value™: $106.95 vs. price of $92.55 (13.5% below fair value)
Industry Position: 666.6% above the Industrial Products median (#41 of 3074)
No single metric tells the full story. See the VLTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Veralto is a diversified industrial firm organized into two segments. The water quality segment offers water analytics and water treatment solutions, while the product quality and innovation segment offers coding, packaging, and color solutions for consumer packaged goods and pharmaceuticals. Headquartered in Waltham, Massachusetts, the company has around 17,000 employees. Veralto generated approximately $5.5 billion in revenue in 2025.
61GF Score
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