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. Embark Early Education's annualized net income for the quarter that ended in Dec. 2025 was A$14.04 Mil. Embark Early Education's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$-2.70 Mil. Therefore, Embark Early Education'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 Embark Early Education's Return-on-Tangible-Equity or its related term are showing as below:
ASX:EVO'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 50.01 Med: 100.91 Max: 151.8
Current: Negative Tangible Equity
During the past 10 years, Embark Early Education's highest Return-on-Tangible-Equity was 151.80%. The lowest was 50.01%. And the median was 100.91%.
ASX:EVO's Return-on-Tangible-Equity is ranked better than 99.59% of 246
companies
in the Education industry
Industry Median: 11.685
vs ASX:EVO: Negative Tangible Equity
Embark Early Education (ASX:EVO) 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.
Embark Early Education Return-on-Tangible-Equity Related Terms
Embark Early Education Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Embark Early Education'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.
Embark Early Education Return-on-Tangible-Equity Chart
ASX:EVO vs EDU, TAL, LAUR: Return-on-Tangible-Equity Comparison
For the Education & Training Services subindustry, Embark Early Education'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.
Embark Early Education Return-on-Tangible-Equity vs Education Industry
For the Education industry and Consumer Defensive sector, Embark Early Education's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Embark Early Education'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?
Embark Early Education (ASX:EVO) 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 Embark Early Education and its competitors. Over the past decade, Embark Early Education's Return-on-Tangible-Equity has ranged from 50.01 to 151.80. According to the industry distribution chart, Embark Early Education ranks #1 out of 246 companies in the Education industry, placing it in the top 0.40000000000001%.
Is Embark Early Education's Return-on-Tangible-Equity too high?
Embark Early Education's current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 50.01 to a high of 151.80. Based on the distribution chart, Embark Early Education ranks #1 out of 246 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, Embark Early Education has a GF Score™ of 29/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Embark Early Education's Return-on-Tangible-Equity compare to EDU and TAL?
According to the Education industry distribution chart, Embark Early Education ranks #1 out of 246 companies for Return-on-Tangible-Equity. This places Embark Early Education in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 11.69. Historically, Embark Early Education's own Return-on-Tangible-Equity has ranged from 50.01 to 151.80 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 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. 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 Embark Early Education 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. Embark Early Education'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 Embark Early Education stock overvalued right now?
Based on GuruFocus' analysis, Embark Early Education (ASX:EVO) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.90, compared to a current price of A$0.45 — trading 50.6% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Embark Early Education's overall GF Score™ is 29/100 with 7 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 Embark Early Education (ASX:EVO), 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 Embark Early Education (ASX:EVO) Overvalued in 2026?
Based on GuruFocus' analysis, Embark Early Education stock appears to be undervalued.
The current stock price of A$0.45 is trading 50.6% below its estimated GF Value™ of A$0.90.
GuruFocus considers Embark Early Education to be Possible Value Trap.
No single metric tells the full story. See the ASX:EVO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Embark Early Education Ltd is a company that is engaged in the provision and management of an early childhood education service that gives parents and caregivers the option of which service suits their child's learning and care needs. The company is engaged in operation of childcare centres in Australia. The company owns and operates childcare centers. It has centers in Queensland, Victoria, New South Wales, Tasmania and South Australia.
29GF Score
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Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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