Ari Motors Industrie SE (FRA:ARI) Return-on-Tangible-Equity: -0.42% (As of Dec. 2024)


What is Ari Motors Industrie SE Return-on-Tangible-Equity?

Ari Motors Industrie SE FRA:ARI Return-on-Tangible-Equity is -0.42% as of Dec. 2024. Among 1,283 Vehicles & Parts companies, Ari Motors Industrie SE ranks worse than 79.35% 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. Ari Motors Industrie SE's annualized net income for the quarter that ended in Dec. 2024 was €-0.04 Mil. Ari Motors Industrie SE's average shareholder tangible equity for the quarter that ended in Dec. 2024 was €9.80 Mil. Therefore, Ari Motors Industrie SE's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2024 was -0.42%.

The historical rank and industry rank for Ari Motors Industrie SE's Return-on-Tangible-Equity or its related term are showing as below:

FRA:ARI' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -3.7   Med: -2.06   Max: -0.42
Current: -0.42

During the past 3 years, Ari Motors Industrie SE's highest Return-on-Tangible-Equity was -0.42%. The lowest was -3.70%. And the median was -2.06%.

FRA:ARI's Return-on-Tangible-Equity is ranked worse than
79.35% of 1283 companies
in the Vehicles & Parts industry
Industry Median: 7.49 vs FRA:ARI: -0.42

Ari Motors Industrie SE  (FRA:ARI) 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.

Ari Motors Industrie SE Return-on-Tangible-Equity Related Terms

Ari Motors Industrie SE Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Ari Motors Industrie SE'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.

Ari Motors Industrie SE Return-on-Tangible-Equity Chart

Ari Motors Industrie SE Annual Data
Trend Dec22 Dec23 Dec24
Return-on-Tangible-Equity
0.00 -3.70 -0.42

Ari Motors Industrie SE Semi-Annual Data
Dec22 Dec23 Dec24
Return-on-Tangible-Equity 0.00 -3.70 -0.42

FRA:ARI vs TSLA, GM, F: Return-on-Tangible-Equity Comparison

For the Auto Manufacturers subindustry, Ari Motors Industrie SE'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.

Ari Motors Industrie SE Return-on-Tangible-Equity vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Ari Motors Industrie SE's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Ari Motors Industrie SE's Return-on-Tangible-Equity falls into.


Ari Motors Industrie SE Return-on-Tangible-Equity Calculation

Ari Motors Industrie SE's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=-0.041/( (9.816+9.774 )/ 2 )
=-0.041/9.795
=-0.42 %

Ari Motors Industrie SE's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2024 )  (Q: Dec. 2023 )(Q: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2024 )  (Q: Dec. 2023 )(Q: Dec. 2024 )
=-0.041/( (9.816+9.774)/ 2 )
=-0.041/9.795
=-0.42 %

* 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 one times the annual (Dec. 2024) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of -0.42% mean?
Ari Motors Industrie SE (FRA:ARI) has a Return-on-Tangible-Equity of -0.42% as of Dec. 2024. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Ari Motors Industrie SE and its competitors. According to the industry distribution chart, Ari Motors Industrie SE ranks #1018 out of 1283 companies in the Vehicles & Parts industry, placing it in the top 79.3%.
Is Ari Motors Industrie SE's Return-on-Tangible-Equity too high?
Ari Motors Industrie SE's current Return-on-Tangible-Equity is -0.42%. Based on the distribution chart, Ari Motors Industrie SE ranks #1018 out of 1283 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers.
How does Ari Motors Industrie SE's Return-on-Tangible-Equity compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Ari Motors Industrie SE ranks #1018 out of 1283 companies for Return-on-Tangible-Equity. This places Ari Motors Industrie SE in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.49. 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 a Vehicles & Parts company?
The median Return-on-Tangible-Equity among Vehicles & Parts companies is 7.49, based on 1,283 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 Ari Motors Industrie SE and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Equity is 7.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ari Motors Industrie SE's current Return-on-Tangible-Equity is -0.42%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ari Motors Industrie SE stock overvalued right now?
Ari Motors Industrie SE (FRA:ARI) has a current Return-on-Tangible-Equity of -0.42%. The current Return-on-Tangible-Equity is -0.42%. 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 Ari Motors Industrie SE (FRA:ARI), the current Return-on-Tangible-Equity is -0.42% as of Dec. 2024. 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.

Ari Motors Industrie SE Business Description

Address Lausicker street 20, Borna, Leipzig, SN, DEU, 04552
Ari Motors Industrie SE is a company providing smallest road-legal electric vans in Germany. They also offer specially designed vehicle bodies similar to a conventional van. The classic range therefore extends from flatbed vehicles to suitcase boxes and tarpaulin structures. Individually configured cool or warm boxes as well as tipper or alcove versions are also possible.