Vulcan SteelASX:VSL -2.86%60 Return-on-Tangible-Equity is 8.33% as of Dec. 2025, which is 78% below its 10-year median of 37.95. GuruFocus rates ASX:VSL with a GF Score™ of 60/100 and a GF Value™ of A$6.21 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 616 Steel companies, Vulcan Steel ranks better than 69.48% 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. Vulcan Steel's annualized net income for the quarter that ended in Dec. 2025 was A$14.4 Mil. Vulcan Steel's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$173.4 Mil. Therefore, Vulcan Steel's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 8.33%.
The historical rank and industry rank for Vulcan Steel's Return-on-Tangible-Equity or its related term are showing as below:
ASX:VSL'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 8.16 Med: 37.95 Max: 71.88
Current: 8.16
During the past 4 years, Vulcan Steel's highest Return-on-Tangible-Equity was 71.88%. The lowest was 8.16%. And the median was 37.95%.
ASX:VSL's Return-on-Tangible-Equity is ranked better than 69.48% of 616
companies
in the Steel industry
Industry Median: 3.93
vs ASX:VSL: 8.16
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.
Vulcan Steel Return-on-Tangible-Equity Related Terms
Vulcan Steel Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Vulcan Steel'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:VSL vs NUE, STLD, RS: Return-on-Tangible-Equity Comparison
For the Steel subindustry, Vulcan Steel'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.
Vulcan Steel Return-on-Tangible-Equity vs Steel Industry
For the Steel industry and Basic Materials sector, Vulcan Steel's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Vulcan Steel'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 8.33% mean?
Vulcan Steel (ASX:VSL) has a Return-on-Tangible-Equity of 8.33% 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 Vulcan Steel and its competitors. This is 78% below median its historical median of 37.95. Over the past decade, Vulcan Steel's Return-on-Tangible-Equity has ranged from 8.16 to 71.88. According to the industry distribution chart, Vulcan Steel ranks #188 out of 616 companies in the Steel industry, placing it in the top 30.5%.
Is Vulcan Steel's Return-on-Tangible-Equity too high?
Vulcan Steel's current Return-on-Tangible-Equity of 8.33% is 78% below median its 10-year median of 37.95. Over the past 10 years, this metric has ranged from a low of 8.16 to a high of 71.88. The Steel industry median Return-on-Tangible-Equity is 3.93. Vulcan Steel's value of 8.33% is 112% above this industry median. Based on the distribution chart, Vulcan Steel ranks #188 out of 616 companies in the Steel industry, which is above the industry midpoint. Overall, Vulcan Steel has a GF Score™ of 60/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Vulcan Steel's Return-on-Tangible-Equity compare to NUE and STLD?
According to the Steel industry distribution chart, Vulcan Steel ranks #188 out of 616 companies for Return-on-Tangible-Equity. This puts Vulcan Steel in the upper half of its industry. The industry median Return-on-Tangible-Equity is 3.93. Vulcan Steel's value of 8.33% is 112% above this benchmark. Historically, Vulcan Steel's own Return-on-Tangible-Equity has ranged from 8.16 to 71.88 over the past decade. While the company's 10-year median is 37.95 vs. the industry median of 3.93, Vulcan Steel 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 a Steel company?
The median Return-on-Tangible-Equity among Steel companies is 3.93, based on 616 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. Vulcan Steel's current Return-on-Tangible-Equity of 8.33% is 112% 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 Vulcan Steel and its competitors. For the Steel industry, the median Return-on-Tangible-Equity is 3.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vulcan Steel's current Return-on-Tangible-Equity is 8.33%, which is 78% below median its own 10-year median of 37.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vulcan Steel stock overvalued right now?
Based on GuruFocus' analysis, Vulcan Steel (ASX:VSL) is currently considered Modestly Undervalued. The stock's GF Value™ is A$6.21, compared to a current price of A$5.10 — trading 17.9% below its estimated fair value. The current Return-on-Tangible-Equity is 8.33%, which is 78% below median its 10-year median of 37.95 and 112% above the Steel industry median of 3.93. Vulcan Steel's overall GF Score™ is 60/100 with 5 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 Vulcan Steel (ASX:VSL), the current Return-on-Tangible-Equity is 8.33% 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 Vulcan Steel (ASX:VSL) Overvalued in 2026?
Based on GuruFocus' analysis, Vulcan Steel stock appears to be undervalued.
The current stock price of A$5.10 is trading 17.9% below its estimated GF Value™ of A$6.21.
GuruFocus considers Vulcan Steel to be Modestly Undervalued.
Key valuation signals for ASX:VSL:
Return-on-Tangible-Equity: 8.33% (78% below median its 10-year median of 37.95)
GF Value™: A$6.21 vs. price of A$5.10 (17.9% below fair value)
Industry Position: 112% above the Steel median (#188 of 616)
No single metric tells the full story. See the ASX:VSL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vulcan Steel Ltd is a metals distributor and processor. Its products include Steel, Stainless Steel, Engineering steel, Plate processing, and Coil processing. The company has two operating segments namely, the Steel business across New Zealand and Australia which includes Steel distribution, Plate processing, and Coil processing; and Metals business across New Zealand, which includes Stainless Steel, Engineering Steel, and Aluminium.
60GF Score
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