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. Canadian Phosphate's annualized net income for the quarter that ended in Dec. 2025 was A$-2.40 Mil. Canadian Phosphate's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$9.70 Mil. Therefore, Canadian Phosphate's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was -24.77%.
The historical rank and industry rank for Canadian Phosphate's Return-on-Tangible-Equity or its related term are showing as below:
ASX:CP8'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -75.41 Med: -26.26 Max: -15.77
Current: -22.28
During the past 12 years, Canadian Phosphate's highest Return-on-Tangible-Equity was -15.77%. The lowest was -75.41%. And the median was -26.26%.
ASX:CP8's Return-on-Tangible-Equity is ranked worse than 89.16% of 249
companies
in the Agriculture industry
Industry Median: 7.84
vs ASX:CP8: -22.28
Canadian Phosphate (ASX:CP8) 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.
Canadian Phosphate Return-on-Tangible-Equity Related Terms
Canadian Phosphate Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Canadian Phosphate'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.
Canadian Phosphate Return-on-Tangible-Equity Chart
ASX:CP8 vs CTVA, CF, MOS: Return-on-Tangible-Equity Comparison
For the Agricultural Inputs subindustry, Canadian Phosphate'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.
Canadian Phosphate Return-on-Tangible-Equity vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, Canadian Phosphate's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Canadian Phosphate'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 -24.77% mean?
Canadian Phosphate (ASX:CP8) has a Return-on-Tangible-Equity of -24.77% 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 Canadian Phosphate and its competitors. According to the industry distribution chart, Canadian Phosphate ranks #222 out of 249 companies in the Agriculture industry, placing it in the top 89.2%.
Is Canadian Phosphate's Return-on-Tangible-Equity too high?
Canadian Phosphate's current Return-on-Tangible-Equity is -24.77%. Based on the distribution chart, Canadian Phosphate ranks #222 out of 249 companies in the Agriculture industry, which is in the bottom quartile relative to peers. Overall, Canadian Phosphate has a GF Score™ of 36/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Canadian Phosphate's Return-on-Tangible-Equity compare to CTVA and CF?
According to the Agriculture industry distribution chart, Canadian Phosphate ranks #222 out of 249 companies for Return-on-Tangible-Equity. This places Canadian Phosphate in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.84. 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 Agriculture company?
The median Return-on-Tangible-Equity among Agriculture companies is 7.84, based on 249 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 Canadian Phosphate and its competitors. For the Agriculture industry, the median Return-on-Tangible-Equity is 7.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Canadian Phosphate's current Return-on-Tangible-Equity is -24.77%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canadian Phosphate stock overvalued right now?
Based on GuruFocus' analysis, Canadian Phosphate (ASX:CP8) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.03, compared to a current price of A$0.13 — trading 316.7% above its estimated fair value. The current Return-on-Tangible-Equity is -24.77%. Canadian Phosphate's overall GF Score™ is 36/100 with 3 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 Canadian Phosphate (ASX:CP8), the current Return-on-Tangible-Equity is -24.77% 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 Canadian Phosphate (ASX:CP8) Overvalued in 2026?
Based on GuruFocus' analysis, Canadian Phosphate stock appears to be overvalued.
The current stock price of A$0.13 is trading 316.7% above its estimated GF Value™ of A$0.03.
GuruFocus considers Canadian Phosphate to be Significantly Overvalued.
Key valuation signals for ASX:CP8:
Return-on-Tangible-Equity: -24.77%
GF Value™: A$0.03 vs. price of A$0.13 (316.7% above fair value)
No single metric tells the full story. See the ASX:CP8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Canadian Phosphate Ltd is a miner, manufacturer, and distributor of rock phosphate fertilizer, focused on advancing its Wapiti and Fernie sedimentary rock phosphate projects in British Columbia, Canada. The company is organised into two operating segments based on geographical location, being Australian and North American operations. A majority of its revenue is generated from its North American operations, through the sale of phosphate fertilizers.
36GF Score
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