ElsightASX:ELS +4.23%74 Return-on-Tangible-Equity is 62.74% as of Dec. 2025. GuruFocus rates ASX:ELS with a GF Score™ of 74/100 and a GF Value™ of A$5.50 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,380 Hardware companies, Elsight ranks better than 94.79% 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. Elsight's annualized net income for the quarter that ended in Dec. 2025 was A$24.82 Mil. Elsight's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$39.56 Mil. Therefore, Elsight's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 62.74%.
The historical rank and industry rank for Elsight's Return-on-Tangible-Equity or its related term are showing as below:
ASX:ELS'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -270.9 Med: -119.98 Max: 41.69
Current: 41.69
During the past 9 years, Elsight's highest Return-on-Tangible-Equity was 41.69%. The lowest was -270.90%. And the median was -119.98%.
ASX:ELS's Return-on-Tangible-Equity is ranked better than 94.79% of 2380
companies
in the Hardware industry
Industry Median: 5.25
vs ASX:ELS: 41.69
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.
Elsight Return-on-Tangible-Equity Related Terms
Elsight Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Elsight'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:ELS vs CSCO, CIEN, MSI: Return-on-Tangible-Equity Comparison
For the Communication Equipment subindustry, Elsight'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.
Elsight Return-on-Tangible-Equity vs Hardware Industry
For the Hardware industry and Technology sector, Elsight's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Elsight'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 62.74% mean?
Elsight (ASX:ELS) has a Return-on-Tangible-Equity of 62.74% 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 Elsight and its competitors. According to the industry distribution chart, Elsight ranks #124 out of 2380 companies in the Hardware industry, placing it in the top 5.2%.
Is Elsight's Return-on-Tangible-Equity too high?
Elsight's current Return-on-Tangible-Equity is 62.74%. The Hardware industry median Return-on-Tangible-Equity is 5.25. Elsight's value of 62.74% is 1095% above this industry median. Based on the distribution chart, Elsight ranks #124 out of 2380 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Elsight has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Elsight's Return-on-Tangible-Equity compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Elsight ranks #124 out of 2380 companies for Return-on-Tangible-Equity. This places Elsight in the top 5% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.25. Elsight's value of 62.74% is 1095% above this benchmark. 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 5.25, based on 2,380 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. Elsight's current Return-on-Tangible-Equity of 62.74% is 1095% 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 Elsight and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 5.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elsight's current Return-on-Tangible-Equity is 62.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elsight stock overvalued right now?
Based on GuruFocus' analysis, Elsight (ASX:ELS) is currently considered Significantly Overvalued. The stock's GF Value™ is A$5.50, compared to a current price of A$7.40 — trading 34.5% above its estimated fair value. The current Return-on-Tangible-Equity is 62.74% and 1095% above the Hardware industry median of 5.25. Elsight's overall GF Score™ is 74/100 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 Elsight (ASX:ELS), the current Return-on-Tangible-Equity is 62.74% 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 Elsight (ASX:ELS) Overvalued in 2026?
Based on GuruFocus' analysis, Elsight stock appears to be overvalued.
The current stock price of A$7.40 is trading 34.5% above its estimated GF Value™ of A$5.50.
GuruFocus considers Elsight to be Significantly Overvalued.
Key valuation signals for ASX:ELS:
Return-on-Tangible-Equity: 62.74%
GF Value™: A$5.50 vs. price of A$7.40 (34.5% above fair value)
Industry Position: 1095% above the Hardware median (#124 of 2380)
No single metric tells the full story. See the ASX:ELS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elsight Ltd development and commercialisation of the Halo platform for mission-critical applications across defence, homeland security (HLS), and uncrewed systems markets. Providing proprietary software and hardware technology solutions enabling reliable connection confidence for unmanned aerial and ground systems, including drones, robots, and other uncrewed systems. Products include Halo for the Military, Halo for HLS/Public Safety, Halo for Commercial Use, AllSight Management Platform, and HeatSight. Serves Agriculture, Construction and Surveying, Firefighting, First Responders, Mining, Military & Defense, Oil & Gas, Electric & Water Utilities, and Deliveries. Operates in Europe with maximum revenue, Israel, United States of America, and Other foreign countries.
74GF Score
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