DiodesDIOD +0.28%67 Return-on-Tangible-Equity is 3.61% as of Mar. 2026, which is 75% below its 10-year median of 14.42. GuruFocus rates DIOD with a GF Score™ of 67/100 and a GF Value™ of $67.90 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 985 Semiconductors companies, Diodes ranks better than 50.15% 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. Diodes's annualized net income for the quarter that ended in Mar. 2026 was $60 Mil. Diodes's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $1,657 Mil. Therefore, Diodes's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.61%.
The historical rank and industry rank for Diodes's Return-on-Tangible-Equity or its related term are showing as below:
DIOD'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -0.36 Med: 14.42 Max: 29.03
Current: 5.24
During the past 13 years, Diodes's highest Return-on-Tangible-Equity was 29.03%. The lowest was -0.36%. And the median was 14.42%.
DIOD's Return-on-Tangible-Equity is ranked better than 50.15% of 985
companies
in the Semiconductors industry
Industry Median: 5.19
vs DIOD: 5.24
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.
Diodes Return-on-Tangible-Equity Related Terms
Diodes Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Diodes'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.
DIOD vs SYNA, POWI, NVTS: Return-on-Tangible-Equity Comparison
For the Semiconductors subindustry, Diodes'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.
Diodes Return-on-Tangible-Equity vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Diodes's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Diodes'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 3.61% mean?
Diodes (DIOD) has a Return-on-Tangible-Equity of 3.61% 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 Diodes and its competitors. This is 75% below median its historical median of 14.42. According to the industry distribution chart, Diodes ranks #491 out of 985 companies in the Semiconductors industry, placing it in the top 49.8%.
Is Diodes' Return-on-Tangible-Equity too high?
Diodes' current Return-on-Tangible-Equity of 3.61% is 75% below median its 10-year median of 14.42. The Semiconductors industry median Return-on-Tangible-Equity is 5.19. Diodes' value of 3.61% is 30.4% below this industry median. Based on the distribution chart, Diodes ranks #491 out of 985 companies in the Semiconductors industry, which is above the industry midpoint. Overall, Diodes has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Diodes' Return-on-Tangible-Equity compare to SYNA and POWI?
According to the Semiconductors industry distribution chart, Diodes ranks #491 out of 985 companies for Return-on-Tangible-Equity. This puts Diodes in the upper half of its industry. The industry median Return-on-Tangible-Equity is 5.19. Diodes' value of 3.61% is 30.4% below this benchmark. While the company's 10-year median is 14.42 vs. the industry median of 5.19, Diodes has consistently been below 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 Semiconductors company?
The median Return-on-Tangible-Equity among Semiconductors companies is 5.19, based on 985 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. Diodes's current Return-on-Tangible-Equity of 3.61% is 30.4% below 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 Diodes and its competitors. For the Semiconductors industry, the median Return-on-Tangible-Equity is 5.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Diodes's current Return-on-Tangible-Equity is 3.61%, which is 75% below median its own 10-year median of 14.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Diodes stock overvalued right now?
Based on GuruFocus' analysis, Diodes (DIOD) is currently considered Significantly Overvalued. The stock's GF Value™ is $67.90, compared to a current price of $103.97 — trading 53.1% above its estimated fair value. The current Return-on-Tangible-Equity is 3.61%, which is 75% below median its 10-year median of 14.42 and 30.4% below the Semiconductors industry median of 5.19. Diodes' overall GF Score™ is 67/100 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 Diodes (DIOD), the current Return-on-Tangible-Equity is 3.61% 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 Diodes (DIOD) Overvalued in 2026?
Based on GuruFocus' analysis, Diodes stock appears to be overvalued.
The current stock price of $103.97 is trading 53.1% above its estimated GF Value™ of $67.90.
GuruFocus considers Diodes to be Significantly Overvalued.
Key valuation signals for DIOD:
Return-on-Tangible-Equity: 3.61% (75% below median its 10-year median of 14.42)
GF Value™: $67.90 vs. price of $103.97 (53.1% above fair value)
Industry Position: 30.4% below the Semiconductors median (#491 of 985)
No single metric tells the full story. See the DIOD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Diodes Inc is a manufacturer and supplier of high-quality application-specific products within the broad discrete, logic, analog, and mixed-signal semiconductor markets. It serves the customer electronics, computing, communications, industrial, and automotive markets. The Company's products include diodes; rectifiers; transistors; MOSFETs; GPP bridges; GPP rectifiers; protection devices; function-specific arrays; single gate logic; amplifiers and comparators; Hall-effect and temperature sensors; and power management devices, including LED drivers, AC-DC converters and controllers, DC-DC switching and linear voltage regulators, voltage references along with special-function devices, such as USB power switches, load switches, voltage supervisors, and motor controllers.
67GF Score
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