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. Evelo Biosciences's annualized net income for the quarter that ended in Sep. 2023 was $-49.46 Mil. Evelo Biosciences's average shareholder tangible equity for the quarter that ended in Sep. 2023 was $-36.42 Mil. Therefore, Evelo Biosciences's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2023 was N/A%.
The historical rank and industry rank for Evelo Biosciences's Return-on-Tangible-Equity or its related term are showing as below:
EVLO's Return-on-Tangible-Equity is not ranked *
in the Biotechnology industry.
Industry Median: -42.435 * Ranked among companies with meaningful Return-on-Tangible-Equity only.
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.
Evelo Biosciences Return-on-Tangible-Equity Related Terms
Evelo Biosciences Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Evelo Biosciences'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.
EVLO vs IMNN, EDSA, TMBR: Return-on-Tangible-Equity Comparison
For the Biotechnology subindustry, Evelo Biosciences'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.
Evelo Biosciences Return-on-Tangible-Equity vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Evelo Biosciences's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Evelo Biosciences'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 (Sep. 2023) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 0.00% mean?
Evelo Biosciences (EVLO) has a Return-on-Tangible-Equity of 0.00% as of Sep. 2023. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Evelo Biosciences and its competitors.
Is Evelo Biosciences' Return-on-Tangible-Equity too high?
Evelo Biosciences' current Return-on-Tangible-Equity is 0.00%.
How does Evelo Biosciences' Return-on-Tangible-Equity compare to IMNN and EDSA?
Evelo Biosciences' Return-on-Tangible-Equity of 0.00% can be compared against companies in the Biotechnology industry. 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 Biotechnology company?
A good Return-on-Tangible-Equity depends on the Biotechnology industry context. 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 Evelo Biosciences and its competitors. Evelo Biosciences's current Return-on-Tangible-Equity is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Evelo Biosciences stock overvalued right now?
Evelo Biosciences (EVLO) has a current Return-on-Tangible-Equity of 0.00%. The current Return-on-Tangible-Equity is 0.00%. 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 Evelo Biosciences (EVLO), the current Return-on-Tangible-Equity is 0.00% as of Sep. 2023. 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.
Evelo Biosciences Inc is a clinical-stage biotechnology company focused on discovering and developing a new class of oral medicines that act on immune cells in the small intestine with systemic effects. The company is developing EDP1815 as a treatment in psoriasis and atopic dermatitis and EDP2939 in psoriasis.
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