Journey MedicalDERM +2.40%63 Return-on-Tangible-Equity is -207.47% as of Mar. 2026. GuruFocus rates DERM with a GF Score™ of 63/100 and a GF Value™ of $4.18 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 897 Drug Manufacturers companies, Journey Medical ranks worse than 111482.61% 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. Journey Medical's annualized net income for the quarter that ended in Mar. 2026 was $-8.92 Mil. Journey Medical's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $4.30 Mil. Therefore, Journey Medical's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -207.47%.
The historical rank and industry rank for Journey Medical's Return-on-Tangible-Equity or its related term are showing as below:
DERM's Return-on-Tangible-Equity is not ranked *
in the Drug Manufacturers industry.
Industry Median: 7.89 * Ranked among companies with meaningful Return-on-Tangible-Equity only.
Journey Medical (NAS:DERM) 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.
Journey Medical Return-on-Tangible-Equity Related Terms
Journey Medical Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Journey Medical'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.
DERM vs LFCR, ANIK, ASRT: Return-on-Tangible-Equity Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Journey Medical'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.
Journey Medical Return-on-Tangible-Equity vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Journey Medical's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Journey Medical'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 -207.47% mean?
Journey Medical (DERM) has a Return-on-Tangible-Equity of -207.47% 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 Journey Medical and its competitors. According to the industry distribution chart, Journey Medical ranks #999999 out of 897 companies in the Drug Manufacturers industry.
Is Journey Medical's Return-on-Tangible-Equity too high?
Journey Medical's current Return-on-Tangible-Equity is -207.47%. Based on the distribution chart, Journey Medical ranks #999999 out of 897 companies in the Drug Manufacturers industry, which is in the bottom quartile relative to peers. Overall, Journey Medical has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Journey Medical's Return-on-Tangible-Equity compare to LFCR and ANIK?
According to the Drug Manufacturers industry distribution chart, Journey Medical ranks #999999 out of 897 companies for Return-on-Tangible-Equity. This places Journey Medical in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.89. 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 Drug Manufacturers company?
The median Return-on-Tangible-Equity among Drug Manufacturers companies is 7.89, based on 897 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 Journey Medical and its competitors. For the Drug Manufacturers industry, the median Return-on-Tangible-Equity is 7.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Journey Medical's current Return-on-Tangible-Equity is -207.47%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Journey Medical stock overvalued right now?
Based on GuruFocus' analysis, Journey Medical (DERM) is currently considered Significantly Overvalued. The stock's GF Value™ is $4.18, compared to a current price of $7.25 — trading 73.4% above its estimated fair value. The current Return-on-Tangible-Equity is -207.47%. Journey Medical's overall GF Score™ is 63/100 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 Journey Medical (DERM), the current Return-on-Tangible-Equity is -207.47% 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 Journey Medical (DERM) Overvalued in 2026?
Based on GuruFocus' analysis, Journey Medical stock appears to be overvalued.
The current stock price of $7.25 is trading 73.4% above its estimated GF Value™ of $4.18.
GuruFocus considers Journey Medical to be Significantly Overvalued.
Key valuation signals for DERM:
Return-on-Tangible-Equity: -207.47%
GF Value™: $4.18 vs. price of $7.25 (73.4% above fair value)
No single metric tells the full story. See the DERM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Journey Medical Corp is a commercial-stage pharmaceutical company that focuses on the selling and marketing of U.S. Food and Drug Administration (FDA) approved prescription pharmaceutical products for the treatment of dermatological conditions. Its current product portfolio includes FDA-approved prescription drugs for dermatological conditions that are marketed in the U.S. The company views its operations and manages its business in one segment, which reflects products for the treatment of dermatological conditions. The dermatological segment derives revenues from the sale of branded and authorized general prescription products that treat certain dermatological conditions.
63GF Score
Get the complete analysis for DERM
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
DERM has been successfully added to your 
