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. Alcoa's annualizedNet Income for the quarter that ended in Mar. 2026 was CHF1,338 Mil. Alcoa's average total tangible assets for the quarter that ended in Mar. 2026 was CHF12,950 Mil. Therefore, Alcoa's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 10.34%.
The historical rank and industry rank for Alcoa's Return-on-Tangible-Asset or its related term are showing as below:
XSWX:AA'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -7.41 Med: -0.21 Max: 7.72
Current: 6.65
During the past 13 years, Alcoa's highest Return-on-Tangible-Asset was 7.72%. The lowest was -7.41%. And the median was -0.21%.
XSWX:AA's Return-on-Tangible-Asset is ranked better than 85.25% of 2657
companies
in the Metals & Mining industry
Industry Median: -17.41
vs XSWX:AA: 6.65
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.
Alcoa Return-on-Tangible-Asset Related Terms
Alcoa Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Alcoa'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.
XSWX:AA vs CENX, CSTM, KALU: Return-on-Tangible-Asset Comparison
For the Aluminum subindustry, Alcoa'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.
Alcoa Return-on-Tangible-Asset vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Alcoa's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Alcoa'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 10.34% mean?
Alcoa (XSWX:AA) has a Return-on-Tangible-Asset of 10.34% 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 Alcoa and its competitors. According to the industry distribution chart, Alcoa ranks #392 out of 2657 companies in the Metals & Mining industry, placing it in the top 14.8%.
Is Alcoa's Return-on-Tangible-Asset too high?
Alcoa's current Return-on-Tangible-Asset is 10.34%. Based on the distribution chart, Alcoa ranks #392 out of 2657 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Alcoa has a GF Score™ of 68/100, reflecting its overall financial health beyond just this single metric.
How does Alcoa's Return-on-Tangible-Asset compare to CENX and CSTM?
According to the Metals & Mining industry distribution chart, Alcoa ranks #392 out of 2657 companies for Return-on-Tangible-Asset. This places Alcoa in the top 15% of its industry — outperforming the majority of peers. 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 Metals & Mining company?
A good Return-on-Tangible-Asset depends on the Metals & Mining industry context. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 Alcoa and its competitors. Alcoa's current Return-on-Tangible-Asset is 10.34%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alcoa stock overvalued right now?
Alcoa (XSWX:AA) has a current Return-on-Tangible-Asset of 10.34%. The stock's GF Value™ is CHF25.13, compared to a current price of CHF40.55 — trading 61.4% above its estimated fair value. The current Return-on-Tangible-Asset is 10.34%. Alcoa's overall GF Score™ is 68/100 with 7 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 Alcoa (XSWX:AA), the current Return-on-Tangible-Asset is 10.34% 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 Alcoa (XSWX:AA) Overvalued in 2026?
Based on GuruFocus' analysis, Alcoa stock appears to be overvalued.
The current stock price of CHF40.55 is trading 61.4% above its estimated GF Value™ of CHF25.13.
Key valuation signals for XSWX:AA:
Return-on-Tangible-Asset: 10.34%
GF Value™: CHF25.13 vs. price of CHF40.55 (61.4% above fair value)
No single metric tells the full story. See the XSWX:AA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alcoa is a vertically integrated aluminum company whose operations include bauxite mining, alumina refining, and manufacturing primary aluminum. It is one of the world's largest bauxite miners and alumina refiners by production volume, but sits outside the top-10 aluminum producers, a list dominated by Chinese companies. Profits are closely tied to prevailing commodity prices along the aluminum supply chain.Alcoa was the first mass producer of aluminum, launching the world-changing Hall-Heroult smelting process in the 1880s, making aluminum affordable. It listed as a public company in 1925. In 2016, Alcoa spun off its automotive and aerospace metal parts segment to focus on mining, smelting, and refining. It bought the 40% unowned balance of AWAC in mid-2024.
68GF Score
Get the complete analysis for XSWX:AA
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