Avenir TelecomFRA:AW5 20 Return-on-Tangible-Equity is -238.79% as of Sep. 2025. GuruFocus rates FRA:AW5 with a GF Score™ of 20/100 and a GF Value™ of €0.03 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,377 Hardware companies, Avenir Telecom ranks worse than 98.53% 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. Avenir Telecom's annualized net income for the quarter that ended in Sep. 2025 was €-5.37 Mil. Avenir Telecom's average shareholder tangible equity for the quarter that ended in Sep. 2025 was €2.25 Mil. Therefore, Avenir Telecom's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was -238.79%.
The historical rank and industry rank for Avenir Telecom's Return-on-Tangible-Equity or its related term are showing as below:
FRA:AW5'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -193.58 Med: -31.71 Max: -11.99
Current: -193.58
During the past 13 years, Avenir Telecom's highest Return-on-Tangible-Equity was -11.99%. The lowest was -193.58%. And the median was -31.71%.
FRA:AW5's Return-on-Tangible-Equity is ranked worse than 98.53% of 2377
companies
in the Hardware industry
Industry Median: 5.27
vs FRA:AW5: -193.58
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.
Avenir Telecom Return-on-Tangible-Equity Related Terms
Avenir Telecom Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Avenir Telecom'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.
FRA:AW5 vs CSCO, CIEN, MSI: Return-on-Tangible-Equity Comparison
For the Communication Equipment subindustry, Avenir Telecom'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.
Avenir Telecom Return-on-Tangible-Equity vs Hardware Industry
For the Hardware industry and Technology sector, Avenir Telecom's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Avenir Telecom'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 (Sep. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -238.79% mean?
Avenir Telecom (FRA:AW5) has a Return-on-Tangible-Equity of -238.79% as of Sep. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Avenir Telecom and its competitors. According to the industry distribution chart, Avenir Telecom ranks #2342 out of 2377 companies in the Hardware industry, placing it in the top 98.5%.
Is Avenir Telecom's Return-on-Tangible-Equity too high?
Avenir Telecom's current Return-on-Tangible-Equity is -238.79%. Based on the distribution chart, Avenir Telecom ranks #2342 out of 2377 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Avenir Telecom has a GF Score™ of 20/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Avenir Telecom's Return-on-Tangible-Equity compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Avenir Telecom ranks #2342 out of 2377 companies for Return-on-Tangible-Equity. This places Avenir Telecom in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.27. 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 5.27, based on 2,377 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 Avenir Telecom and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 5.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Avenir Telecom's current Return-on-Tangible-Equity is -238.79%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avenir Telecom stock overvalued right now?
Based on GuruFocus' analysis, Avenir Telecom (FRA:AW5) is currently considered Significantly Overvalued. The stock's GF Value™ is €0.03, compared to a current price of €0.08 — trading 176.7% above its estimated fair value. The current Return-on-Tangible-Equity is -238.79%. Avenir Telecom's overall GF Score™ is 20/100 with 7 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 Avenir Telecom (FRA:AW5), the current Return-on-Tangible-Equity is -238.79% as of Sep. 2025. 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 Avenir Telecom (FRA:AW5) Overvalued in 2026?
Based on GuruFocus' analysis, Avenir Telecom stock appears to be overvalued.
The current stock price of €0.08 is trading 176.7% above its estimated GF Value™ of €0.03.
GuruFocus considers Avenir Telecom to be Significantly Overvalued.
Key valuation signals for FRA:AW5:
Return-on-Tangible-Equity: -238.79%
GF Value™: €0.03 vs. price of €0.08 (176.7% above fair value)
No single metric tells the full story. See the FRA:AW5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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