Wisdom Education International Holdings Co (FRA:5Q4) Return-on-Tangible-Equity: 10.05% (As of Feb. 2026) — 52% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is Wisdom Education International Holdings Co Return-on-Tangible-Equity?

Wisdom Education International Holdings Co FRA:5Q4 Return-on-Tangible-Equity is 10.05% as of Feb. 2026, which is 52% below its 10-year median of 20.92. The stock has 6 warning signs investors should review. Among 248 Education companies, Wisdom Education International Holdings Co ranks worse than 68.15% 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. Wisdom Education International Holdings Co's annualized net income for the quarter that ended in Feb. 2026 was €7.48 Mil. Wisdom Education International Holdings Co's average shareholder tangible equity for the quarter that ended in Feb. 2026 was €74.48 Mil. Therefore, Wisdom Education International Holdings Co's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2026 was 10.05%.

The historical rank and industry rank for Wisdom Education International Holdings Co's Return-on-Tangible-Equity or its related term are showing as below:

FRA:5Q4' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -133.04   Med: 20.92   Max: 29.8
Current: 2.91

During the past 12 years, Wisdom Education International Holdings Co's highest Return-on-Tangible-Equity was 29.80%. The lowest was -133.04%. And the median was 20.92%.

FRA:5Q4's Return-on-Tangible-Equity is ranked worse than
68.15% of 248 companies
in the Education industry
Industry Median: 12.085 vs FRA:5Q4: 2.91

Wisdom Education International Holdings Co  (FRA:5Q4) 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.


Wisdom Education International Holdings Co Return-on-Tangible-Equity Related Terms


Wisdom Education International Holdings Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Wisdom Education International Holdings 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.

Wisdom Education International Holdings Co Return-on-Tangible-Equity Chart

Wisdom Education International Holdings 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 -133.22 19.51 28.86 15.92 6.13

Wisdom Education International Holdings Co Semi-Annual Data
Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 16.38 16.97 16.76 -3.99 10.05

FRA:5Q4 vs EDU, TAL, LAUR: Return-on-Tangible-Equity Comparison

For the Education & Training Services subindustry, Wisdom Education International Holdings 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.


Wisdom Education International Holdings Co Return-on-Tangible-Equity vs Education Industry

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

* The bar in red indicates where Wisdom Education International Holdings Co's Return-on-Tangible-Equity falls into.



Wisdom Education International Holdings Co Return-on-Tangible-Equity Calculation

Wisdom Education International Holdings 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 )
=4.587/( (76.32+73.336 )/ 2 )
=4.587/74.828
=6.13 %

Wisdom Education International Holdings Co's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Feb. 2026 )  (Q: Aug. 2025 )(Q: Feb. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Feb. 2026 )  (Q: Aug. 2025 )(Q: Feb. 2026 )
=7.484/( (73.336+75.618)/ 2 )
=7.484/74.477
=10.05 %

* 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 10.05% mean?
Wisdom Education International Holdings Co (FRA:5Q4) has a Return-on-Tangible-Equity of 10.05% 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 Wisdom Education International Holdings Co and its competitors. This is 52% below median its historical median of 20.92. According to the industry distribution chart, Wisdom Education International Holdings Co ranks #169 out of 248 companies in the Education industry, placing it in the top 68.1%.
Is Wisdom Education International Holdings Co's Return-on-Tangible-Equity too high?
Wisdom Education International Holdings Co's current Return-on-Tangible-Equity of 10.05% is 52% below median its 10-year median of 20.92. The Education industry median Return-on-Tangible-Equity is 12.09. Wisdom Education International Holdings Co's value of 10.05% is 16.8% below this industry median. Based on the distribution chart, Wisdom Education International Holdings Co ranks #169 out of 248 companies in the Education industry, which is below the industry midpoint.
How does Wisdom Education International Holdings Co's Return-on-Tangible-Equity compare to EDU and TAL?
According to the Education industry distribution chart, Wisdom Education International Holdings Co ranks #169 out of 248 companies for Return-on-Tangible-Equity. This places Wisdom Education International Holdings Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 12.09. Wisdom Education International Holdings Co's value of 10.05% is 16.8% below this benchmark. While the company's 10-year median is 20.92 vs. the industry median of 12.09, Wisdom Education International Holdings Co 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 12.09, based on 248 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. Wisdom Education International Holdings Co's current Return-on-Tangible-Equity of 10.05% is 16.8% 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 Wisdom Education International Holdings Co and its competitors. For the Education industry, the median Return-on-Tangible-Equity is 12.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wisdom Education International Holdings Co's current Return-on-Tangible-Equity is 10.05%, which is 52% below median its own 10-year median of 20.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wisdom Education International Holdings Co stock overvalued right now?
Wisdom Education International Holdings Co (FRA:5Q4) has a current Return-on-Tangible-Equity of 10.05%. The current Return-on-Tangible-Equity is 10.05%, which is 52% below median its 10-year median of 20.92 and 16.8% below the Education industry median of 12.09. 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 Wisdom Education International Holdings Co (FRA:5Q4), the current Return-on-Tangible-Equity is 10.05% 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.

Wisdom Education International Holdings Co Business Description

Other Exchanges 06068:Hong Kong
Address No. 68 Guangming Da Dao, Dongcheng District, Dongguan, CHN
Wisdom Education International Holdings Co Ltd is a private education group operating premium primary and secondary schools in China. Its service line includes School-related supply chain business and comprehensive educational services out of which it generates the majority of its revenue from the School-related supply chain business. Geographically it generates key revenue from the Mainland, PRC.