Cadence CapitalASX:CDM +1.35%26 Return-on-Tangible-Equity is 25.86% as of Dec. 2025, which is 6365% above its 10-year median of 0.40. GuruFocus rates ASX:CDM with a GF Score™ of 26/100. The stock has 1 warning sign investors should review. Among 1,588 Asset Management companies, Cadence Capital ranks better than 75.5% 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. Cadence Capital's annualized net income for the quarter that ended in Dec. 2025 was A$79.58 Mil. Cadence Capital's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$307.77 Mil. Therefore, Cadence Capital's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 25.86%.
The historical rank and industry rank for Cadence Capital's Return-on-Tangible-Equity or its related term are showing as below:
ASX:CDM'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -15.9 Med: 0.4 Max: 22.88
Current: 17.89
During the past 13 years, Cadence Capital's highest Return-on-Tangible-Equity was 22.88%. The lowest was -15.90%. And the median was 0.40%.
ASX:CDM's Return-on-Tangible-Equity is ranked better than 75.5% of 1588
companies
in the Asset Management industry
Industry Median: 7.165
vs ASX:CDM: 17.89
Cadence Capital (ASX:CDM) 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.
Cadence Capital Return-on-Tangible-Equity Related Terms
Cadence Capital Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Cadence Capital'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.
ASX:CDM vs BLK, BX, KKR: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, Cadence Capital'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.
Cadence Capital Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Cadence Capital's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Cadence Capital'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 25.86% mean?
Cadence Capital (ASX:CDM) has a Return-on-Tangible-Equity of 25.86% 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 Cadence Capital and its competitors. This is 6365% above median its historical median of 0.40. According to the industry distribution chart, Cadence Capital ranks #389 out of 1588 companies in the Asset Management industry, placing it in the top 24.5%.
Is Cadence Capital's Return-on-Tangible-Equity too high?
Cadence Capital's current Return-on-Tangible-Equity of 25.86% is 6365% above median its 10-year median of 0.40. The Asset Management industry median Return-on-Tangible-Equity is 7.17. Cadence Capital's value of 25.86% is 260.9% above this industry median. Based on the distribution chart, Cadence Capital ranks #389 out of 1588 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Cadence Capital has a GF Score™ of 26/100, reflecting its overall financial health beyond just this single metric.
How does Cadence Capital's Return-on-Tangible-Equity compare to BLK and BX?
According to the Asset Management industry distribution chart, Cadence Capital ranks #389 out of 1588 companies for Return-on-Tangible-Equity. This places Cadence Capital in the top 25% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.17. Cadence Capital's value of 25.86% is 260.9% above this benchmark. While the company's 10-year median is 0.40 vs. the industry median of 7.17, Cadence Capital 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-Equity for an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.17, based on 1,588 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. Cadence Capital's current Return-on-Tangible-Equity of 25.86% is 260.9% 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-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 Cadence Capital and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cadence Capital's current Return-on-Tangible-Equity is 25.86%, which is 6365% above median its own 10-year median of 0.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cadence Capital stock overvalued right now?
Cadence Capital (ASX:CDM) has a current Return-on-Tangible-Equity of 25.86%. The current Return-on-Tangible-Equity is 25.86%, which is 6365% above median its 10-year median of 0.40 and 260.9% above the Asset Management industry median of 7.17. Cadence Capital's overall GF Score™ is 26/100 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-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Cadence Capital (ASX:CDM), the current Return-on-Tangible-Equity is 25.86% 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.
Cadence Capital Ltd is an investment company that invests in listed equities, with the aim of producing above market risk-adjusted returns over time. The principal activity of the company is to invest primarily in securities located in Australia and internationally. The company intends to take short positions and may also deal in derivatives for hedging purposes. It derives revenue from dividend income, interest income, and the sale of its financial assets.
26GF Score
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