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. Matrix Composites & Engineering's annualized net income for the quarter that ended in Dec. 2025 was A$-18.82 Mil. Matrix Composites & Engineering's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$23.63 Mil. Therefore, Matrix Composites & Engineering's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was -79.64%.
The historical rank and industry rank for Matrix Composites & Engineering's Return-on-Tangible-Equity or its related term are showing as below:
ASX:MCE'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -214.59 Med: -9.28 Max: 72.62
Current: -48.66
During the past 13 years, Matrix Composites & Engineering's highest Return-on-Tangible-Equity was 72.62%. The lowest was -214.59%. And the median was -9.28%.
ASX:MCE's Return-on-Tangible-Equity is ranked worse than 94.54% of 1704
companies
in the Construction industry
Industry Median: 8.245
vs ASX:MCE: -48.66
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.
Matrix Composites & Engineering Return-on-Tangible-Equity Related Terms
Matrix Composites & Engineering Return-on-Tangible-Equity Historical Data
* 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:MCE vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, Matrix Composites & Engineering'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.
Matrix Composites & Engineering Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, Matrix Composites & Engineering's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Matrix Composites & Engineering'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 -79.64% mean?
Matrix Composites & Engineering (ASX:MCE) has a Return-on-Tangible-Equity of -79.64% 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 Matrix Composites & Engineering and its competitors. According to the industry distribution chart, Matrix Composites & Engineering ranks #1611 out of 1704 companies in the Construction industry, placing it in the top 94.5%.
Is Matrix Composites & Engineering's Return-on-Tangible-Equity too high?
Matrix Composites & Engineering's current Return-on-Tangible-Equity is -79.64%. Based on the distribution chart, Matrix Composites & Engineering ranks #1611 out of 1704 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Matrix Composites & Engineering has a GF Score™ of 39/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Matrix Composites & Engineering's Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Matrix Composites & Engineering ranks #1611 out of 1704 companies for Return-on-Tangible-Equity. This places Matrix Composites & Engineering in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.25. 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.25, based on 1,704 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 Matrix Composites & Engineering and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Matrix Composites & Engineering's current Return-on-Tangible-Equity is -79.64%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Matrix Composites & Engineering stock overvalued right now?
Based on GuruFocus' analysis, Matrix Composites & Engineering (ASX:MCE) is currently considered Fairly Valued. The stock's GF Value™ is A$0.38, compared to a current price of A$0.40 — trading 3.9% above its estimated fair value. The current Return-on-Tangible-Equity is -79.64%. Matrix Composites & Engineering's overall GF Score™ is 39/100 with 10 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 Matrix Composites & Engineering (ASX:MCE), the current Return-on-Tangible-Equity is -79.64% 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 Matrix Composites & Engineering (ASX:MCE) Overvalued in 2026?
Based on GuruFocus' analysis, Matrix Composites & Engineering stock appears to be overvalued.
The current stock price of A$0.40 is trading 3.9% above its estimated GF Value™ of A$0.38.
GuruFocus considers Matrix Composites & Engineering to be Fairly Valued.
Key valuation signals for ASX:MCE:
Return-on-Tangible-Equity: -79.64%
GF Value™: A$0.38 vs. price of A$0.40 (3.9% above fair value)
No single metric tells the full story. See the ASX:MCE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Matrix Composites & Engineering Business Description
Matrix Composites & Engineering Ltd is a manufacturer of engineered products and services for the offshore oil and gas, civil and infrastructure, and defence industry. The group is also involved in the businesses of manufacturing and supplying capital drilling equipment, consisting of syntactic foam buoyancy; manufacturing and supply of subsea umbilical risers and flowline (SURF) ancillary equipment and associated services; and manufacturing and supply of well construction products, including centralizers and conductors. Its products consist of buoyancy systems, epoxy resin systems, energy absorption systems, reinforced thermoplastics, and others. Geographically, it derives maximum revenue from Brazil and rest from Australia, Japan, China, the United States of America, and other regions.
39GF Score
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