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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. MidCap Financial Investment's annualized net income for the quarter that ended in Jun. 2026 was €-60.78 Mil. MidCap Financial Investment's average shareholder tangible equity for the quarter that ended in Jun. 2026 was €986.71 Mil. Therefore, MidCap Financial Investment's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was -6.16%.
The historical rank and industry rank for MidCap Financial Investment's Return-on-Tangible-Equity or its related term are showing as below:
FRA:55O1'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -9.93 Med: 5.64 Max: 11.82
Current: -2.34
During the past 13 years, MidCap Financial Investment's highest Return-on-Tangible-Equity was 11.82%. The lowest was -9.93%. And the median was 5.64%.
FRA:55O1's Return-on-Tangible-Equity is ranked worse than 81.52% of 1591
companies
in the Asset Management industry
Industry Median: 7.44
vs FRA:55O1: -2.34
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.
MidCap Financial Investment Return-on-Tangible-Equity Related Terms
MidCap Financial Investment 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.
FRA:55O1 vs THQ, FFC, GGN: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, MidCap Financial Investment'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.
MidCap Financial Investment Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, MidCap Financial Investment's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where MidCap Financial Investment'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 (Jun. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -6.16% mean?
MidCap Financial Investment (FRA:55O1) has a Return-on-Tangible-Equity of -6.16% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on MidCap Financial Investment and its competitors. According to the industry distribution chart, MidCap Financial Investment ranks #1297 out of 1591 companies in the Asset Management industry, placing it in the top 81.5%.
Is MidCap Financial Investment's Return-on-Tangible-Equity too high?
MidCap Financial Investment's current Return-on-Tangible-Equity is -6.16%. Based on the distribution chart, MidCap Financial Investment ranks #1297 out of 1591 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, MidCap Financial Investment has a GF Score™ of 36/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does MidCap Financial Investment's Return-on-Tangible-Equity compare to THQ and FFC?
According to the Asset Management industry distribution chart, MidCap Financial Investment ranks #1297 out of 1591 companies for Return-on-Tangible-Equity. This places MidCap Financial Investment in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.44. 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 Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.44, based on 1,591 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 MidCap Financial Investment and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MidCap Financial Investment's current Return-on-Tangible-Equity is -6.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MidCap Financial Investment stock overvalued right now?
Based on GuruFocus' analysis, MidCap Financial Investment (FRA:55O1) is currently considered Significantly Overvalued. The stock's GF Value™ is €1.78, compared to a current price of €8.28 — trading 365% above its estimated fair value. The current Return-on-Tangible-Equity is -6.16%. MidCap Financial Investment's overall GF Score™ is 36/100 with 2 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 MidCap Financial Investment (FRA:55O1), the current Return-on-Tangible-Equity is -6.16% as of Jun. 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 MidCap Financial Investment (FRA:55O1) Overvalued in 2026?
Based on GuruFocus' analysis, MidCap Financial Investment stock appears to be overvalued.
The current stock price of €8.28 is trading 365% above its estimated GF Value™ of €1.78.
GuruFocus considers MidCap Financial Investment to be Significantly Overvalued.
Key valuation signals for FRA:55O1:
Return-on-Tangible-Equity: -6.16%
GF Value™: €1.78 vs. price of €8.28 (365% above fair value)
No single metric tells the full story. See the FRA:55O1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
MidCap Financial Investment Corp is an externally managed, publicly traded, closed-end, diversified management investment company. The investment objective of the company is to generate current income and, to a lesser extent, long-term capital appreciation. It predominantly invests in directly originated and privately negotiated first lien senior secured loans to privately held U.S. middle-market companies, and in other types of securities including, first lien unitranche, second lien senior secured, unsecured, subordinated, and mezzanine loans, and equities in both private and public middle market companies.
36GF Score
Get the complete analysis for FRA:55O1
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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