EDU HoldingsASX:EDU -3.79%63 Return-on-Tangible-Equity is 301.02% as of Dec. 2025, which is 7927% above its 10-year median of 3.75. GuruFocus rates ASX:EDU with a GF Score™ of 63/100 and a GF Value™ of A$0.74 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 246 Education companies, EDU Holdings ranks better than 87.8% 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. EDU Holdings's annualized net income for the quarter that ended in Dec. 2025 was A$17.05 Mil. EDU Holdings's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$5.66 Mil. Therefore, EDU Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 301.02%.
The historical rank and industry rank for EDU Holdings's Return-on-Tangible-Equity or its related term are showing as below:
ASX:EDU'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -389.7 Med: 3.75 Max: 588.86
Current: 497.26
During the past 13 years, EDU Holdings's highest Return-on-Tangible-Equity was 588.86%. The lowest was -389.70%. And the median was 3.75%.
ASX:EDU's Return-on-Tangible-Equity is ranked better than 87.8% of 246
companies
in the Education industry
Industry Median: 11.685
vs ASX:EDU: 497.26
EDU Holdings (ASX:EDU) 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.
EDU Holdings Return-on-Tangible-Equity Related Terms
EDU Holdings Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for EDU Holdings'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:EDU vs EDU, TAL, LAUR: Return-on-Tangible-Equity Comparison
For the Education & Training Services subindustry, EDU Holdings'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.
EDU Holdings Return-on-Tangible-Equity vs Education Industry
For the Education industry and Consumer Defensive sector, EDU Holdings's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where EDU Holdings'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 301.02% mean?
EDU Holdings (ASX:EDU) has a Return-on-Tangible-Equity of 301.02% 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 EDU Holdings and its competitors. This is 7927% above median its historical median of 3.75. According to the industry distribution chart, EDU Holdings ranks #30 out of 246 companies in the Education industry, placing it in the top 12.2%.
Is EDU Holdings' Return-on-Tangible-Equity too high?
EDU Holdings' current Return-on-Tangible-Equity of 301.02% is 7927% above median its 10-year median of 3.75. The Education industry median Return-on-Tangible-Equity is 11.69. EDU Holdings' value of 301.02% is 2476.1% above this industry median. Based on the distribution chart, EDU Holdings ranks #30 out of 246 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, EDU Holdings has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does EDU Holdings' Return-on-Tangible-Equity compare to EDU and TAL?
According to the Education industry distribution chart, EDU Holdings ranks #30 out of 246 companies for Return-on-Tangible-Equity. This places EDU Holdings in the top 12% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 11.69. EDU Holdings' value of 301.02% is 2476.1% above this benchmark. While the company's 10-year median is 3.75 vs. the industry median of 11.69, EDU Holdings 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 Education company?
The median Return-on-Tangible-Equity among Education companies is 11.69, based on 246 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. EDU Holdings's current Return-on-Tangible-Equity of 301.02% is 2476.1% 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 EDU Holdings and its competitors. For the Education industry, the median Return-on-Tangible-Equity is 11.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EDU Holdings's current Return-on-Tangible-Equity is 301.02%, which is 7927% above median its own 10-year median of 3.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EDU Holdings stock overvalued right now?
Based on GuruFocus' analysis, EDU Holdings (ASX:EDU) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.74, compared to a current price of A$1.02 — trading 37.2% above its estimated fair value. The current Return-on-Tangible-Equity is 301.02%, which is 7927% above median its 10-year median of 3.75 and 2476.1% above the Education industry median of 11.69. EDU Holdings' overall GF Score™ is 63/100 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 EDU Holdings (ASX:EDU), the current Return-on-Tangible-Equity is 301.02% 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 EDU Holdings (ASX:EDU) Overvalued in 2026?
Based on GuruFocus' analysis, EDU Holdings stock appears to be overvalued.
The current stock price of A$1.02 is trading 37.2% above its estimated GF Value™ of A$0.74.
GuruFocus considers EDU Holdings to be Significantly Overvalued.
Key valuation signals for ASX:EDU:
Return-on-Tangible-Equity: 301.02% (7927% above median its 10-year median of 3.75)
GF Value™: A$0.74 vs. price of A$1.02 (37.2% above fair value)
Industry Position: 2476.1% above the Education median (#30 of 246)
No single metric tells the full story. See the ASX:EDU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
EDU Holdings Ltd is engaged in the provision of tertiary education services. The Group operates in two segments, being Ikon (the provision of higher education to both domestic and international students) and ALG (the provision of vocational education to international students), and in one geographical segment, being Australia. The company offers a diverse range of qualifications, from certificate III entry-level courses to professional master's degrees.
63GF Score
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