FC (Franklin Covey Co) Return-on-Tangible-Equity: Negative Tangible Equity% (As of May. 2026)

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FC Franklin Covey Co FC
70 GF Score
Price $21.81
GF Value $38.26
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Franklin Covey Co Return-on-Tangible-Equity?

Franklin Covey Co FC +1.82% 70 Return-on-Tangible-Equity is Negative Tangible Equity% as of May. 2026. GuruFocus rates FC with a GF Score™ of 70/100 and a GF Value™ of $38.26 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 247 Education companies, Franklin Covey Co ranks better than 99.6% 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. Franklin Covey Co's annualized net income for the quarter that ended in May. 2026 was $12.3 Mil. Franklin Covey Co's average shareholder tangible equity for the quarter that ended in May. 2026 was $-22.9 Mil. Therefore, Franklin Covey Co's annualized Return-on-Tangible-Equity for the quarter that ended in May. 2026 was Negative Tangible Equity%.

The historical rank and industry rank for Franklin Covey Co's Return-on-Tangible-Equity or its related term are showing as below:

FC' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -149.09   Med: 29.33   Max: 694.55
Current: Negative Tangible Equity

During the past 13 years, Franklin Covey Co's highest Return-on-Tangible-Equity was 694.55%. The lowest was -149.09%. And the median was 29.33%.

FC's Return-on-Tangible-Equity is ranked better than
99.6% of 247 companies
in the Education industry
Industry Median: 12.49 vs FC: Negative Tangible Equity

Franklin Covey Co  (NYSE:FC) 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.


Franklin Covey Co Return-on-Tangible-Equity Related Terms


Franklin Covey Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Franklin Covey Co'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.

Franklin Covey Co Return-on-Tangible-Equity Chart

Franklin Covey Co Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity 694.55 259.88 222.11 40.13

Franklin Covey Co Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -285.37 Negative Tangible Equity 0.00 0.00 Negative Tangible Equity

FC vs JDZG, LGCY, CHGG: Return-on-Tangible-Equity Comparison

For the Education & Training Services subindustry, Franklin Covey Co'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.


Franklin Covey Co Return-on-Tangible-Equity vs Education Industry

For the Education industry and Consumer Defensive sector, Franklin Covey Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Franklin Covey Co's Return-on-Tangible-Equity falls into.


FC
70GF Score
Franklin Covey Co FC
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Franklin Covey Co Return-on-Tangible-Equity Calculation

Franklin Covey Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Aug. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Aug. 2025 )  (A: Aug. 2024 )(A: Aug. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Aug. 2025 )  (A: Aug. 2024 )(A: Aug. 2025 )
=3.068/( (14.149+1.14 )/ 2 )
=3.068/7.6445
=40.13 %

Franklin Covey Co's annualized Return-on-Tangible-Equity for the quarter that ended in May. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: May. 2026 )  (Q: Feb. 2026 )(Q: May. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: May. 2026 )  (Q: Feb. 2026 )(Q: May. 2026 )
=12.34/( (-25.619+-20.127)/ 2 )
=12.34/-22.873
=Negative Tangible Equity %

* 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 (May. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of Negative Tangible Equity% mean?
Franklin Covey Co (FC) has a Return-on-Tangible-Equity of Negative Tangible Equity% as of May. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Franklin Covey Co and its competitors. According to the industry distribution chart, Franklin Covey Co ranks #1 out of 247 companies in the Education industry, placing it in the top 0.40000000000001%.
Is Franklin Covey Co's Return-on-Tangible-Equity too high?
Franklin Covey Co's current Return-on-Tangible-Equity is Negative Tangible Equity%. Based on the distribution chart, Franklin Covey Co ranks #1 out of 247 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, Franklin Covey Co has a GF Score™ of 70/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Franklin Covey Co's Return-on-Tangible-Equity compare to JDZG and LGCY?
According to the Education industry distribution chart, Franklin Covey Co ranks #1 out of 247 companies for Return-on-Tangible-Equity. This places Franklin Covey Co in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 12.49. 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 an Education company?
The median Return-on-Tangible-Equity among Education companies is 12.49, based on 247 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 Franklin Covey Co and its competitors. For the Education industry, the median Return-on-Tangible-Equity is 12.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Franklin Covey Co's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Franklin Covey Co stock overvalued right now?
Based on GuruFocus' analysis, Franklin Covey Co (FC) is currently considered Significantly Undervalued. The stock's GF Value™ is $38.26, compared to a current price of $21.81 — trading 43% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Franklin Covey Co's overall GF Score™ is 70/100 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 Franklin Covey Co (FC), the current Return-on-Tangible-Equity is Negative Tangible Equity% as of May. 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 Franklin Covey Co (FC) Overvalued in 2026?

Based on GuruFocus' analysis, Franklin Covey Co stock appears to be undervalued. The current stock price of $21.81 is trading 43% below its estimated GF Value™ of $38.26. GuruFocus considers Franklin Covey Co to be Significantly Undervalued.

Key valuation signals for FC:

  • Return-on-Tangible-Equity: Negative Tangible Equity%
  • GF Value™: $38.26 vs. price of $21.81 (43% below fair value)
  • GF Score™: 70/100 with 3 warning signs

No single metric tells the full story. See the FC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Franklin Covey Co Business Description

Address 13907 South Minuteman Drive, Suite 500, Draper, UT, USA, 84020
Franklin Covey Co is a company focused on organizational performance improvement. It operates in the business segments of North America, International Direct Offices, International Licensees, Education Division. The company derives revenue from providing training and consulting services and through the sale of books, audio media, and other related products. It has a business presence in Australia, New Zealand, China, Japan, the United Kingdom, Ireland, and Other countries.
70GF Score

Get the complete analysis for FC

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$21.81
Price
$38.26
GF Value