Frontier Developments (CHIX:FDEVL) Return-on-Tangible-Equity: 35.21% (As of Nov. 2025) — 17% Above Median


CHIX:FDEVL Frontier Developments PLC CHIX:FDEVL
49 GF Score
Price £4.10
GF Value £2.83
Valuation Significantly Overvalued
! 3 Warning Signs
View Full Analysis

What is Frontier Developments Return-on-Tangible-Equity?

Frontier Developments CHIX:FDEVL +1.99% 49 Return-on-Tangible-Equity is 35.21% as of Nov. 2025, which is 17% above its 10-year median of 30.21. GuruFocus rates CHIX:FDEVL with a GF Score™ of 49/100 and a GF Value™ of £2.83 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 491 Interactive Media companies, Frontier Developments ranks better than 87.58% 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. Frontier Developments's annualized net income for the quarter that ended in Nov. 2025 was £16.0 Mil. Frontier Developments's average shareholder tangible equity for the quarter that ended in Nov. 2025 was £45.5 Mil. Therefore, Frontier Developments's annualized Return-on-Tangible-Equity for the quarter that ended in Nov. 2025 was 35.21%.

The historical rank and industry rank for Frontier Developments's Return-on-Tangible-Equity or its related term are showing as below:

CHIX:FDEVl' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -65.08   Med: 30.21   Max: 99.51
Current: 46.43

During the past 13 years, Frontier Developments's highest Return-on-Tangible-Equity was 99.51%. The lowest was -65.08%. And the median was 30.21%.

CHIX:FDEVl's Return-on-Tangible-Equity is ranked better than
87.58% of 491 companies
in the Interactive Media industry
Industry Median: 5.8 vs CHIX:FDEVl: 46.43

Frontier Developments  (CHIX:FDEVl) 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.


Frontier Developments Return-on-Tangible-Equity Related Terms


Frontier Developments Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Frontier Developments'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.

Frontier Developments Return-on-Tangible-Equity Chart

Frontier Developments Annual Data
Trend May16 May17 May18 May19 May20 May21 May22 May23 May24 May25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 50.19 21.55 -52.69 -65.08 40.55

Frontier Developments Semi-Annual Data
May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23 May24 Nov24 May25 Nov25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -239.28 80.64 24.30 56.50 35.21

CHIX:FDEVL vs NTES, EA, TTWO: Return-on-Tangible-Equity Comparison

For the Electronic Gaming & Multimedia subindustry, Frontier Developments'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.


Frontier Developments Return-on-Tangible-Equity vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Frontier Developments's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Frontier Developments's Return-on-Tangible-Equity falls into.


CHIX:FDEVL
49GF Score
Frontier Developments PLC CHIX:FDEVL
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Frontier Developments Return-on-Tangible-Equity Calculation

Frontier Developments's annualized Return-on-Tangible-Equity for the fiscal year that ended in May. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: May. 2025 )  (A: May. 2024 )(A: May. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: May. 2025 )  (A: May. 2024 )(A: May. 2025 )
=16.387/( (34.167+46.652 )/ 2 )
=16.387/40.4095
=40.55 %

Frontier Developments's annualized Return-on-Tangible-Equity for the quarter that ended in Nov. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Nov. 2025 )  (Q: May. 2025 )(Q: Nov. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Nov. 2025 )  (Q: May. 2025 )(Q: Nov. 2025 )
=16.024/( (46.652+44.368)/ 2 )
=16.024/45.51
=35.21 %

* 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 (Nov. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 35.21% mean?
Frontier Developments (CHIX:FDEVL) has a Return-on-Tangible-Equity of 35.21% as of Nov. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Frontier Developments and its competitors. This is 17% above median its historical median of 30.21. According to the industry distribution chart, Frontier Developments ranks #61 out of 491 companies in the Interactive Media industry, placing it in the top 12.4%.
Is Frontier Developments' Return-on-Tangible-Equity too high?
Frontier Developments' current Return-on-Tangible-Equity of 35.21% is 17% above median its 10-year median of 30.21. The Interactive Media industry median Return-on-Tangible-Equity is 5.80. Frontier Developments' value of 35.21% is 507.1% above this industry median. Based on the distribution chart, Frontier Developments ranks #61 out of 491 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, Frontier Developments has a GF Score™ of 49/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Frontier Developments' Return-on-Tangible-Equity compare to NTES and EA?
According to the Interactive Media industry distribution chart, Frontier Developments ranks #61 out of 491 companies for Return-on-Tangible-Equity. This places Frontier Developments in the top 12% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.80. Frontier Developments' value of 35.21% is 507.1% above this benchmark. While the company's 10-year median is 30.21 vs. the industry median of 5.80, Frontier Developments 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 an Interactive Media company?
The median Return-on-Tangible-Equity among Interactive Media companies is 5.80, based on 491 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. Frontier Developments's current Return-on-Tangible-Equity of 35.21% is 507.1% 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 Frontier Developments and its competitors. For the Interactive Media industry, the median Return-on-Tangible-Equity is 5.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Frontier Developments's current Return-on-Tangible-Equity is 35.21%, which is 17% above median its own 10-year median of 30.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Frontier Developments stock overvalued right now?
Based on GuruFocus' analysis, Frontier Developments (CHIX:FDEVL) is currently considered Significantly Overvalued. The stock's GF Value™ is £2.83, compared to a current price of £4.10 — trading 44.7% above its estimated fair value. The current Return-on-Tangible-Equity is 35.21%, which is 17% above median its 10-year median of 30.21 and 507.1% above the Interactive Media industry median of 5.80. Frontier Developments' overall GF Score™ is 49/100 with 3 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 Frontier Developments (CHIX:FDEVL), the current Return-on-Tangible-Equity is 35.21% as of Nov. 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 Frontier Developments (CHIX:FDEVL) Overvalued in 2026?

Based on GuruFocus' analysis, Frontier Developments stock appears to be overvalued. The current stock price of £4.10 is trading 44.7% above its estimated GF Value™ of £2.83. GuruFocus considers Frontier Developments to be Significantly Overvalued.

Key valuation signals for CHIX:FDEVL:

  • Return-on-Tangible-Equity: 35.21% (17% above median its 10-year median of 30.21)
  • GF Value™: £2.83 vs. price of £4.10 (44.7% above fair value)
  • GF Score™: 49/100 with 3 warning signs
  • Industry Position: 507.1% above the Interactive Media median (#61 of 491)

No single metric tells the full story. See the CHIX:FDEVL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Frontier Developments Business Description

Other Exchanges FRRDF:USAFDEV:UK5FD:Germany
Address Milton Road, 26 Science Park, Cambridge, GBR, CB4 0FP
Frontier Developments PLC is a United Kingdom-based company that develops and publishes video games for personal computers and consoles. The company is known for titles such as the Elite series, Planet Coaster, Planet Zoo, and Jurassic World Evolution. It operates through game development and publishing, using in-house technology to create and distribute interactive entertainment software. Frontier Developments has one operating segment, being revenue from publishing games and revenue from other streams such as royalties and licensing. The majority of revenue is generated from Publishing revenue.
49GF Score

Get the complete analysis for CHIX:FDEVL

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£4.10
Price
£2.83
GF Value