dotDigital GroupDOTDF -9.62%84 Return-on-Tangible-Equity is 40.15% as of Dec. 2025, which is 20% above its 10-year median of 33.58. GuruFocus rates DOTDF with a GF Score™ of 84/100 and a GF Value™ of $1.64 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 2,471 Software companies, dotDigital Group ranks better than 77.3% 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. dotDigital Group's annualized net income for the quarter that ended in Dec. 2025 was $11.6 Mil. dotDigital Group's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $28.8 Mil. Therefore, dotDigital Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 40.15%.
The historical rank and industry rank for dotDigital Group's Return-on-Tangible-Equity or its related term are showing as below:
DOTDF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 25.69 Med: 33.58 Max: 45.85
Current: 32.58
During the past 13 years, dotDigital Group's highest Return-on-Tangible-Equity was 45.85%. The lowest was 25.69%. And the median was 33.58%.
DOTDF's Return-on-Tangible-Equity is ranked better than 77.3% of 2471
companies
in the Software industry
Industry Median: 8.77
vs DOTDF: 32.58
dotDigital Group (OTCPK:DOTDF) 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.
dotDigital Group Return-on-Tangible-Equity Related Terms
dotDigital Group Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for dotDigital Group'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.
DOTDF vs UBER, SHOP, CRM: Return-on-Tangible-Equity Comparison
For the Software - Application subindustry, dotDigital Group'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.
dotDigital Group Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, dotDigital Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where dotDigital Group'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 two times the semi-annual (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 40.15% mean?
dotDigital Group (DOTDF) has a Return-on-Tangible-Equity of 40.15% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on dotDigital Group and its competitors. This is 20% above median its historical median of 33.58. Over the past decade, dotDigital Group's Return-on-Tangible-Equity has ranged from 25.69 to 45.85. According to the industry distribution chart, dotDigital Group ranks #561 out of 2471 companies in the Software industry, placing it in the top 22.7%.
Is dotDigital Group's Return-on-Tangible-Equity too high?
dotDigital Group's current Return-on-Tangible-Equity of 40.15% is 20% above median its 10-year median of 33.58. Over the past 10 years, this metric has ranged from a low of 25.69 to a high of 45.85. The Software industry median Return-on-Tangible-Equity is 8.77. dotDigital Group's value of 40.15% is 357.8% above this industry median. Based on the distribution chart, dotDigital Group ranks #561 out of 2471 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, dotDigital Group has a GF Score™ of 84/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does dotDigital Group's Return-on-Tangible-Equity compare to UBER and SHOP?
According to the Software industry distribution chart, dotDigital Group ranks #561 out of 2471 companies for Return-on-Tangible-Equity. This places dotDigital Group in the top 23% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.77. dotDigital Group's value of 40.15% is 357.8% above this benchmark. Historically, dotDigital Group's own Return-on-Tangible-Equity has ranged from 25.69 to 45.85 over the past decade. While the company's 10-year median is 33.58 vs. the industry median of 8.77, dotDigital Group 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.77, based on 2,471 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. dotDigital Group's current Return-on-Tangible-Equity of 40.15% is 357.8% 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 dotDigital Group and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. dotDigital Group's current Return-on-Tangible-Equity is 40.15%, which is 20% above median its own 10-year median of 33.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is dotDigital Group stock overvalued right now?
Based on GuruFocus' analysis, dotDigital Group (DOTDF) is currently considered Significantly Undervalued. The stock's GF Value™ is $1.64, compared to a current price of $0.59 — trading 64.2% below its estimated fair value. The current Return-on-Tangible-Equity is 40.15%, which is 20% above median its 10-year median of 33.58 and 357.8% above the Software industry median of 8.77. dotDigital Group's overall GF Score™ is 84/100 with 4 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 dotDigital Group (DOTDF), the current Return-on-Tangible-Equity is 40.15% as of Dec. 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 dotDigital Group (DOTDF) Overvalued in 2026?
Based on GuruFocus' analysis, dotDigital Group stock appears to be undervalued.
The current stock price of $0.59 is trading 64.2% below its estimated GF Value™ of $1.64.
GuruFocus considers dotDigital Group to be Significantly Undervalued.
Key valuation signals for DOTDF:
Return-on-Tangible-Equity: 40.15% (20% above median its 10-year median of 33.58)
GF Value™: $1.64 vs. price of $0.59 (64.2% below fair value)
Industry Position: 357.8% above the Software median (#561 of 2471)
No single metric tells the full story. See the DOTDF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
dotDigital Group PLC is a software-as-a-service technology company, offering cross-channel marketing automation technology to marketing professionals. Its customer experience and data platform (CXDP) combines automation and AI to help businesses deliver hyper-relevant customer experiences at scale. The platform also allows Dotdigital's customers to automate personalised marketing experiences across web, email, SMS, WhatsApp, chat, push, social, ads, and other media. The group's operating segments are EMEA (its key revenue-generating market), the U.S., and the Asia Pacific (APAC) region.
84GF Score
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