AyalaAYALY 87 Return-on-Tangible-Equity is 10.11% as of Mar. 2026, which is 20% below its 10-year median of 12.71. GuruFocus rates AYALY with a GF Score™ of 87/100 and a GF Value™ of $11.12 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 550 Conglomerates companies, Ayala ranks better than 70.55% 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. Ayala's annualized net income for the quarter that ended in Mar. 2026 was $778 Mil. Ayala's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $7,698 Mil. Therefore, Ayala's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 10.11%.
The historical rank and industry rank for Ayala's Return-on-Tangible-Equity or its related term are showing as below:
AYALY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.45 Med: 12.71 Max: 21.08
Current: 13.49
During the past 13 years, Ayala's highest Return-on-Tangible-Equity was 21.08%. The lowest was 5.45%. And the median was 12.71%.
AYALY's Return-on-Tangible-Equity is ranked better than 70.55% of 550
companies
in the Conglomerates industry
Industry Median: 7.44
vs AYALY: 13.49
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.
Ayala Return-on-Tangible-Equity Related Terms
Ayala Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Ayala'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.
AYALY vs HON, MMM: Return-on-Tangible-Equity Comparison
For the Conglomerates subindustry, Ayala'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.
Ayala Return-on-Tangible-Equity vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Ayala's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Ayala'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 four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 10.11% mean?
Ayala (AYALY) has a Return-on-Tangible-Equity of 10.11% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Ayala and its competitors. This is 20% below median its historical median of 12.71. Over the past decade, Ayala's Return-on-Tangible-Equity has ranged from 5.45 to 21.08. According to the industry distribution chart, Ayala ranks #162 out of 550 companies in the Conglomerates industry, placing it in the top 29.5%.
Is Ayala's Return-on-Tangible-Equity too high?
Ayala's current Return-on-Tangible-Equity of 10.11% is 20% below median its 10-year median of 12.71. Over the past 10 years, this metric has ranged from a low of 5.45 to a high of 21.08. The Conglomerates industry median Return-on-Tangible-Equity is 7.44. Ayala's value of 10.11% is 35.9% above this industry median. Based on the distribution chart, Ayala ranks #162 out of 550 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Ayala has a GF Score™ of 87/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ayala's Return-on-Tangible-Equity compare to HON and MMM?
According to the Conglomerates industry distribution chart, Ayala ranks #162 out of 550 companies for Return-on-Tangible-Equity. This puts Ayala in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.44. Ayala's value of 10.11% is 35.9% above this benchmark. Historically, Ayala's own Return-on-Tangible-Equity has ranged from 5.45 to 21.08 over the past decade. While the company's 10-year median is 12.71 vs. the industry median of 7.44, Ayala 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 Conglomerates company?
The median Return-on-Tangible-Equity among Conglomerates companies is 7.44, based on 550 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. Ayala's current Return-on-Tangible-Equity of 10.11% is 35.9% 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 Ayala and its competitors. For the Conglomerates industry, the median Return-on-Tangible-Equity is 7.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ayala's current Return-on-Tangible-Equity is 10.11%, which is 20% below median its own 10-year median of 12.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ayala stock overvalued right now?
Based on GuruFocus' analysis, Ayala (AYALY) is currently considered Modestly Undervalued. The stock's GF Value™ is $11.12, compared to a current price of $7.88 — trading 29.1% below its estimated fair value. The current Return-on-Tangible-Equity is 10.11%, which is 20% below median its 10-year median of 12.71 and 35.9% above the Conglomerates industry median of 7.44. Ayala's overall GF Score™ is 87/100 with 6 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 Ayala (AYALY), the current Return-on-Tangible-Equity is 10.11% as of Mar. 2026. 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 Ayala (AYALY) Overvalued in 2026?
Based on GuruFocus' analysis, Ayala stock appears to be undervalued.
The current stock price of $7.88 is trading 29.1% below its estimated GF Value™ of $11.12.
GuruFocus considers Ayala to be Modestly Undervalued.
Key valuation signals for AYALY:
Return-on-Tangible-Equity: 10.11% (20% below median its 10-year median of 12.71)
GF Value™: $11.12 vs. price of $7.88 (29.1% below fair value)
Industry Position: 35.9% above the Conglomerates median (#162 of 550)
No single metric tells the full story. See the AYALY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ayala Corporation is a general real estate company. The group is organized into a variety of business units. Ayala's real estate business is predominantly conducted through its subsidiary, Ayala Land, Inc. Its involvement in financial services is through an affiliate, the Bank of the Philippine Islands. The group's business has the following main segments: Parent Company; Real estate and hotels; Financial services and insurance; Telecommunications; Industrial Technologies; Power Generation; and Automotive and Others. It derives maximum revenue from Real Estate and hotels segment. The group geographically, operates in Philippines, Europe, Asia, and USA, of which it derives maximum revenue from Philippines.
87GF Score
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