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Australian Clinical LabsASX:ACL -0.83%56 Return-on-Tangible-Equity is Negative Tangible Equity% as of Dec. 2025. GuruFocus rates ASX:ACL with a GF Score™ of 56/100 and a GF Value™ of A$3.06 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 191 Medical Diagnostics & Research companies, Australian Clinical Labs ranks better than 99.48% on this metric.
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. Australian Clinical Labs's annualized net income for the quarter that ended in Dec. 2025 was A$11.1 Mil. Australian Clinical Labs's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$-4.2 Mil. Therefore, Australian Clinical Labs's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was Negative Tangible Equity%.
The historical rank and industry rank for Australian Clinical Labs's Return-on-Tangible-Equity or its related term are showing as below:
ASX:ACL'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 96.65 Med: 293.86 Max: 989.26
Current: Negative Tangible Equity
During the past 6 years, Australian Clinical Labs's highest Return-on-Tangible-Equity was 989.26%. The lowest was 96.65%. And the median was 293.86%.
ASX:ACL's Return-on-Tangible-Equity is ranked better than 99.48% of 191
companies
in the Medical Diagnostics & Research industry
Industry Median: -0.14
vs ASX:ACL: Negative Tangible Equity
Australian Clinical Labs (ASX:ACL) Return-on-Tangible-Equity Explanation
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.
Australian Clinical Labs Return-on-Tangible-Equity Related Terms
Australian Clinical Labs Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Australian Clinical Labs'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.
Australian Clinical Labs Return-on-Tangible-Equity Chart
ASX:ACL vs TMO, DHR, IDXX: Return-on-Tangible-Equity Comparison
For the Diagnostics & Research subindustry, Australian Clinical Labs'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.
Australian Clinical Labs Return-on-Tangible-Equity vs Medical Diagnostics & Research Industry
For the Medical Diagnostics & Research industry and Healthcare sector, Australian Clinical Labs's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Australian Clinical Labs'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 (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of Negative Tangible Equity% mean?
Australian Clinical Labs (ASX:ACL) has a Return-on-Tangible-Equity of Negative Tangible Equity% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Australian Clinical Labs and its competitors. Over the past decade, Australian Clinical Labs' Return-on-Tangible-Equity has ranged from 96.65 to 989.26. According to the industry distribution chart, Australian Clinical Labs ranks #1 out of 191 companies in the Medical Diagnostics & Research industry, placing it in the top 0.5%.
Is Australian Clinical Labs' Return-on-Tangible-Equity too high?
Australian Clinical Labs' current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 96.65 to a high of 989.26. Based on the distribution chart, Australian Clinical Labs ranks #1 out of 191 companies in the Medical Diagnostics & Research industry, which is in the top quartile — a strong position relative to peers. Overall, Australian Clinical Labs has a GF Score™ of 56/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Australian Clinical Labs' Return-on-Tangible-Equity compare to TMO and DHR?
According to the Medical Diagnostics & Research industry distribution chart, Australian Clinical Labs ranks #1 out of 191 companies for Return-on-Tangible-Equity. This places Australian Clinical Labs in the top 1% of its industry — outperforming the majority of peers. Historically, Australian Clinical Labs' own Return-on-Tangible-Equity has ranged from 96.65 to 989.26 over the past decade. 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 Medical Diagnostics & Research company?
A good Return-on-Tangible-Equity depends on the Medical Diagnostics & Research industry context. 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 Australian Clinical Labs and its competitors. Australian Clinical Labs's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Australian Clinical Labs stock overvalued right now?
Based on GuruFocus' analysis, Australian Clinical Labs (ASX:ACL) is currently considered Modestly Undervalued. The stock's GF Value™ is A$3.06, compared to a current price of A$2.38 — trading 22.2% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Australian Clinical Labs' overall GF Score™ is 56/100 with 5 warning signs to review. 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 Australian Clinical Labs (ASX:ACL), the current Return-on-Tangible-Equity is Negative Tangible Equity% as of Dec. 2025. 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 Australian Clinical Labs (ASX:ACL) Overvalued in 2026?
Based on GuruFocus' analysis, Australian Clinical Labs stock appears to be undervalued.
The current stock price of A$2.38 is trading 22.2% below its estimated GF Value™ of A$3.06.
GuruFocus considers Australian Clinical Labs to be Modestly Undervalued.
No single metric tells the full story. See the ASX:ACL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Australian Clinical Labs is Australia's third-largest private pathology provider. ACL earns almost its entire group revenue from pathology services in Australia, which are mostly earned via the publicly funded health Medicare system. ACL is well established in the states of Western Australia, South Australia, Victoria, and the Northern Territory.
56GF Score
Get the complete analysis for ASX:ACL
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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