Four Seasons Education (Cayman)FEDU +4.46%62 Return-on-Tangible-Equity is 8.99% as of Feb. 2026, which is 22375% above its 10-year median of 0.04. GuruFocus rates FEDU with a GF Score™ of 62/100 and a GF Value™ of $18.64 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 246 Education companies, Four Seasons Education (Cayman) ranks worse than 61.79% on this metric.
The historical rank and industry rank for Four Seasons Education (Cayman)'s Return-on-Tangible-Equity or its related term are showing as below:
FEDU'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -23.22 Med: 0.04 Max: 21.6
Current: 6.79
During the past 11 years, Four Seasons Education (Cayman)'s highest Return-on-Tangible-Equity was 21.60%. The lowest was -23.22%. And the median was 0.04%.
FEDU's Return-on-Tangible-Equity is ranked worse than 61.79% of 246
companies
in the Education industry
Industry Median: 11.685
vs FEDU: 6.79
Four Seasons Education (Cayman) (NYSE:FEDU) 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.
Four Seasons Education (Cayman) Return-on-Tangible-Equity Related Terms
Four Seasons Education (Cayman) Return-on-Tangible-Equity Historical Data
* 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.
Four Seasons Education (Cayman) Return-on-Tangible-Equity Chart
FEDU vs LMMY, GNS, EDTK: Return-on-Tangible-Equity Comparison
For the Education & Training Services subindustry, Four Seasons Education (Cayman)'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.
Four Seasons Education (Cayman) Return-on-Tangible-Equity vs Education Industry
For the Education industry and Consumer Defensive sector, Four Seasons Education (Cayman)'s Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Four Seasons Education (Cayman)'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 (Feb. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 8.99% mean?
Four Seasons Education (Cayman) (FEDU) has a Return-on-Tangible-Equity of 8.99% as of Feb. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Four Seasons Education (Cayman) and its competitors. This is 22375% above median its historical median of 0.04. According to the industry distribution chart, Four Seasons Education (Cayman) ranks #152 out of 246 companies in the Education industry, placing it in the top 61.8%.
Is Four Seasons Education (Cayman)'s Return-on-Tangible-Equity too high?
Four Seasons Education (Cayman)'s current Return-on-Tangible-Equity of 8.99% is 22375% above median its 10-year median of 0.04. The Education industry median Return-on-Tangible-Equity is 11.69. Four Seasons Education (Cayman)'s value of 8.99% is 23.1% below this industry median. Based on the distribution chart, Four Seasons Education (Cayman) ranks #152 out of 246 companies in the Education industry, which is below the industry midpoint. Overall, Four Seasons Education (Cayman) has a GF Score™ of 62/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Four Seasons Education (Cayman)'s Return-on-Tangible-Equity compare to LMMY and GNS?
According to the Education industry distribution chart, Four Seasons Education (Cayman) ranks #152 out of 246 companies for Return-on-Tangible-Equity. This places Four Seasons Education (Cayman) in the lower half of its industry. The industry median Return-on-Tangible-Equity is 11.69. Four Seasons Education (Cayman)'s value of 8.99% is 23.1% below this benchmark. While the company's 10-year median is 0.04 vs. the industry median of 11.69, Four Seasons Education (Cayman) 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 an Education company?
The median Return-on-Tangible-Equity among Education companies is 11.69, based on 246 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. Four Seasons Education (Cayman)'s current Return-on-Tangible-Equity of 8.99% is 23.1% 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 Four Seasons Education (Cayman) and its competitors. For the Education industry, the median Return-on-Tangible-Equity is 11.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Four Seasons Education (Cayman)'s current Return-on-Tangible-Equity is 8.99%, which is 22375% above median its own 10-year median of 0.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Four Seasons Education (Cayman) stock overvalued right now?
Based on GuruFocus' analysis, Four Seasons Education (Cayman) (FEDU) is currently considered Possible Value Trap. The stock's GF Value™ is $18.64, compared to a current price of $10.07 — trading 46% below its estimated fair value. The current Return-on-Tangible-Equity is 8.99%, which is 22375% above median its 10-year median of 0.04 and 23.1% below the Education industry median of 11.69. Four Seasons Education (Cayman)'s overall GF Score™ is 62/100 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 Four Seasons Education (Cayman) (FEDU), the current Return-on-Tangible-Equity is 8.99% as of Feb. 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 Four Seasons Education (Cayman) (FEDU) Overvalued in 2026?
Based on GuruFocus' analysis, Four Seasons Education (Cayman) stock appears to be undervalued.
The current stock price of $10.07 is trading 46% below its estimated GF Value™ of $18.64.
GuruFocus considers Four Seasons Education (Cayman) to be Possible Value Trap.
Key valuation signals for FEDU:
Return-on-Tangible-Equity: 8.99% (22375% above median its 10-year median of 0.04)
GF Value™: $18.64 vs. price of $10.07 (46% below fair value)
Industry Position: 23.1% below the Education median (#152 of 246)
No single metric tells the full story. See the FEDU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Four Seasons Education (Cayman) Business Description
Four Seasons Education (Cayman) Inc is a service provider of both tourism and education-related services in China. Its program, service, and product offerings mainly consist of enrichment learning programs, school-based tutoring product solutions, and training programs for teachers, study camps and learning trips for students, and travel agency services for all age groups. The Company provides a wide variety of learning and tourism services and is committed to maximizing a learner's potential through technology and content capabilities. The Group operates through three segments: Learning Services, which generates maximum revenue, Tourism Services, and Learning Technology and Content Solutions. The Group mainly operates in the PRC.
62GF Score
Get the complete analysis for FEDU
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
FEDU has been successfully added to your 
