ASXASXFF +4.68%80 Return-on-Tangible-Equity is 46.21% as of Dec. 2025, which is 31% above its 10-year median of 35.19. GuruFocus rates ASXFF with a GF Score™ of 80/100 and a GF Value™ of $52.30 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 783 Capital Markets companies, ASX ranks better than 91.44% 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. ASX's annualized net income for the quarter that ended in Dec. 2025 was $350.3 Mil. ASX's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $758.1 Mil. Therefore, ASX's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 46.21%.
The historical rank and industry rank for ASX's Return-on-Tangible-Equity or its related term are showing as below:
ASXFF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 27.12 Med: 35.19 Max: 45.69
Current: 45.69
During the past 13 years, ASX's highest Return-on-Tangible-Equity was 45.69%. The lowest was 27.12%. And the median was 35.19%.
ASXFF's Return-on-Tangible-Equity is ranked better than 91.44% of 783
companies
in the Capital Markets industry
Industry Median: 6.52
vs ASXFF: 45.69
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.
ASX Return-on-Tangible-Equity Related Terms
ASX Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for ASX'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.
ASXFF vs SPGI, CME, MCO: Return-on-Tangible-Equity Comparison
For the Financial Data & Stock Exchanges subindustry, ASX'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.
ASX Return-on-Tangible-Equity vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, ASX's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where ASX'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 46.21% mean?
ASX (ASXFF) has a Return-on-Tangible-Equity of 46.21% 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 ASX and its competitors. This is 31% above median its historical median of 35.19. Over the past decade, ASX's Return-on-Tangible-Equity has ranged from 27.12 to 45.69. According to the industry distribution chart, ASX ranks #67 out of 783 companies in the Capital Markets industry, placing it in the top 8.6%.
Is ASX's Return-on-Tangible-Equity too high?
ASX's current Return-on-Tangible-Equity of 46.21% is 31% above median its 10-year median of 35.19. Over the past 10 years, this metric has ranged from a low of 27.12 to a high of 45.69. The Capital Markets industry median Return-on-Tangible-Equity is 6.52. ASX's value of 46.21% is 608.7% above this industry median. Based on the distribution chart, ASX ranks #67 out of 783 companies in the Capital Markets industry, which is in the top quartile — a strong position relative to peers. Overall, ASX has a GF Score™ of 80/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does ASX's Return-on-Tangible-Equity compare to SPGI and CME?
According to the Capital Markets industry distribution chart, ASX ranks #67 out of 783 companies for Return-on-Tangible-Equity. This places ASX in the top 9% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.52. ASX's value of 46.21% is 608.7% above this benchmark. Historically, ASX's own Return-on-Tangible-Equity has ranged from 27.12 to 45.69 over the past decade. While the company's 10-year median is 35.19 vs. the industry median of 6.52, ASX 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 Capital Markets company?
The median Return-on-Tangible-Equity among Capital Markets companies is 6.52, based on 783 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. ASX's current Return-on-Tangible-Equity of 46.21% is 608.7% 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 ASX and its competitors. For the Capital Markets industry, the median Return-on-Tangible-Equity is 6.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ASX's current Return-on-Tangible-Equity is 46.21%, which is 31% above median its own 10-year median of 35.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ASX stock overvalued right now?
Based on GuruFocus' analysis, ASX (ASXFF) is currently considered Possible Value Trap. The stock's GF Value™ is $52.30, compared to a current price of $35.85 — trading 31.5% below its estimated fair value. The current Return-on-Tangible-Equity is 46.21%, which is 31% above median its 10-year median of 35.19 and 608.7% above the Capital Markets industry median of 6.52. ASX's overall GF Score™ is 80/100 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 ASX (ASXFF), the current Return-on-Tangible-Equity is 46.21% 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 ASX (ASXFF) Overvalued in 2026?
Based on GuruFocus' analysis, ASX stock appears to be undervalued.
The current stock price of $35.85 is trading 31.5% below its estimated GF Value™ of $52.30.
GuruFocus considers ASX to be Possible Value Trap.
Key valuation signals for ASXFF:
Return-on-Tangible-Equity: 46.21% (31% above median its 10-year median of 35.19)
GF Value™: $52.30 vs. price of $35.85 (31.5% below fair value)
Industry Position: 608.7% above the Capital Markets median (#67 of 783)
No single metric tells the full story. See the ASXFF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Australian Securities Exchange is a vertically integrated securities exchange business offering listing, data, trading, clearing, and settlement services across equities, debt, and derivatives. ASX benefits from various effective monopolies across its business and a disproportionately large listings business from Australia's outsize natural resources sector.
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