CPS TechnologiesCPSH -9.17%51 Return-on-Tangible-Equity is -4.80% as of Mar. 2026. GuruFocus rates CPSH with a GF Score™ of 51/100 and a GF Value™ of $2.62 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 2,379 Hardware companies, CPS Technologies ranks worse than 68.6% 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. CPS Technologies's annualized net income for the quarter that ended in Mar. 2026 was $-1.18 Mil. CPS Technologies's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $24.50 Mil. Therefore, CPS Technologies's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -4.80%.
The historical rank and industry rank for CPS Technologies's Return-on-Tangible-Equity or its related term are showing as below:
CPSH'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -48.9 Med: -1.01 Max: 32.94
Current: 0.17
During the past 13 years, CPS Technologies's highest Return-on-Tangible-Equity was 32.94%. The lowest was -48.90%. And the median was -1.01%.
CPSH's Return-on-Tangible-Equity is ranked worse than 68.6% of 2379
companies
in the Hardware industry
Industry Median: 5.26
vs CPSH: 0.17
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.
CPS Technologies Return-on-Tangible-Equity Related Terms
CPS Technologies Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for CPS Technologies'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.
CPSH vs WBX, LINK, ELTK: Return-on-Tangible-Equity Comparison
For the Electronic Components subindustry, CPS Technologies'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.
CPS Technologies Return-on-Tangible-Equity vs Hardware Industry
For the Hardware industry and Technology sector, CPS Technologies's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where CPS Technologies'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 -4.80% mean?
CPS Technologies (CPSH) has a Return-on-Tangible-Equity of -4.80% 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 CPS Technologies and its competitors. According to the industry distribution chart, CPS Technologies ranks #1632 out of 2379 companies in the Hardware industry, placing it in the top 68.6%.
Is CPS Technologies' Return-on-Tangible-Equity too high?
CPS Technologies' current Return-on-Tangible-Equity is -4.80%. Based on the distribution chart, CPS Technologies ranks #1632 out of 2379 companies in the Hardware industry, which is below the industry midpoint. Overall, CPS Technologies has a GF Score™ of 51/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CPS Technologies' Return-on-Tangible-Equity compare to WBX and LINK?
According to the Hardware industry distribution chart, CPS Technologies ranks #1632 out of 2379 companies for Return-on-Tangible-Equity. This places CPS Technologies in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.26. 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 5.26, based on 2,379 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 CPS Technologies and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CPS Technologies's current Return-on-Tangible-Equity is -4.80%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CPS Technologies stock overvalued right now?
Based on GuruFocus' analysis, CPS Technologies (CPSH) is currently considered Significantly Overvalued. The stock's GF Value™ is $2.62, compared to a current price of $5.06 — trading 93.1% above its estimated fair value. The current Return-on-Tangible-Equity is -4.80%. CPS Technologies' overall GF Score™ is 51/100 with 2 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 CPS Technologies (CPSH), the current Return-on-Tangible-Equity is -4.80% 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 CPS Technologies (CPSH) Overvalued in 2026?
Based on GuruFocus' analysis, CPS Technologies stock appears to be overvalued.
The current stock price of $5.06 is trading 93.1% above its estimated GF Value™ of $2.62.
GuruFocus considers CPS Technologies to be Significantly Overvalued.
Key valuation signals for CPSH:
Return-on-Tangible-Equity: -4.80%
GF Value™: $2.62 vs. price of $5.06 (93.1% above fair value)
No single metric tells the full story. See the CPSH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CPS Technologies Corp designs, manufactures, and sells high-performance material solutions for customers across various markets, including transportation, energy, automotive, electronics, telecommunications, aerospace, and defense. The company develops and applies proprietary expertise in metal matrix composites (MMCs), which are engineered materials combining metals and ceramics to achieve enhanced performance properties. It also provides baseplates and housings used in radar, satellite and avionics applications. The company provides lids and heat spreaders used with integrated circuits in Internet switches and routers. The majority of the company's revenue is derived from the sale of its products in the United States of America.
51GF Score
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