Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Adacel Technologies's annualized net income for the quarter that ended in Jun. 2024 was $-6.09 Mil. Adacel Technologies's average shareholder tangible equity for the quarter that ended in Jun. 2024 was $3.33 Mil. Therefore, Adacel Technologies's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2024 was -183.10%.
The historical rank and industry rank for Adacel Technologies's Return-on-Tangible-Equity or its related term are showing as below:
AELTF's Return-on-Tangible-Equity is not ranked *
in the Software industry.
Industry Median: 8.82 * Ranked among companies with meaningful Return-on-Tangible-Equity only.
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Adacel Technologies Return-on-Tangible-Equity Related Terms
Adacel Technologies Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Adacel Technologies's Return-on-Tangible-Equity 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.
AELTF vs CURR, RDZN, YAAS: Return-on-Tangible-Equity Comparison
For the Software - Application subindustry, Adacel Technologies's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.
Adacel Technologies Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Adacel Technologies's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Adacel Technologies's Return-on-Tangible-Equity 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is two times the semi-annual (Jun. 2024) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -183.10% mean?
Adacel Technologies (AELTF) has a Return-on-Tangible-Equity of -183.10% as of Jun. 2024. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Adacel Technologies and its competitors.
Is Adacel Technologies' Return-on-Tangible-Equity too high?
Adacel Technologies' current Return-on-Tangible-Equity is -183.10%. Overall, Adacel Technologies has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Adacel Technologies' Return-on-Tangible-Equity compare to CURR and RDZN?
Adacel Technologies' Return-on-Tangible-Equity of -183.10% can be compared against companies in the Software industry. The industry median Return-on-Tangible-Equity is 8.82. 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-Equity for a Software company?
The median Return-on-Tangible-Equity among Software companies is 8.82, based on 2,476 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity 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-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Adacel Technologies and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adacel Technologies's current Return-on-Tangible-Equity is -183.10%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adacel Technologies stock overvalued right now?
Adacel Technologies (AELTF) has a current Return-on-Tangible-Equity of -183.10%. The current Return-on-Tangible-Equity is -183.10%. Adacel Technologies' overall GF Score™ is 12/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Adacel Technologies (AELTF), the current Return-on-Tangible-Equity is -183.10% as of Jun. 2024. 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.
Adacel Technologies Ltd develops and sells simulation and control systems. The company's operating segment includes Systems and Services. It generates maximum revenue from the Services segment. The Services segment includes software maintenance and all aspects of system support, field services, and on-site technical services. Its Systems segment includes operational air traffic management as well as simulation and training applications. Geographically, it derives a majority of its revenue from Canada and also has a presence in the USA Estonia and Australia.
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