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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. Denny's's annualized net income for the quarter that ended in Sep. 2025 was €2.2 Mil. Denny's's average shareholder tangible equity for the quarter that ended in Sep. 2025 was €-164.7 Mil. Therefore, Denny's's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was Negative Tangible Equity%.
The historical rank and industry rank for Denny's's Return-on-Tangible-Equity or its related term are showing as below:
FRA:DE8'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0 Med: 0 Max: 0
Current: Negative Tangible Equity
FRA:DE8's Return-on-Tangible-Equity is not ranked
in the Restaurants industry.
Industry Median: 8.715
vs FRA:DE8: Negative Tangible Equity
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.
Denny's Return-on-Tangible-Equity Related Terms
Denny's Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Denny's'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:DE8 vs LOCO, BRCB, VENU: Return-on-Tangible-Equity Comparison
For the Restaurants subindustry, Denny's'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.
Denny's Return-on-Tangible-Equity vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Denny's's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Denny's'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 (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 Negative Tangible Equity% mean?
Denny's (FRA:DE8) has a Return-on-Tangible-Equity of Negative Tangible Equity% 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 Denny's and its competitors.
Is Denny's' Return-on-Tangible-Equity too high?
Denny's' current Return-on-Tangible-Equity is Negative Tangible Equity%. Overall, Denny's has a GF Score™ of 58/100, reflecting its overall financial health beyond just this single metric.
How does Denny's' Return-on-Tangible-Equity compare to LOCO and BRCB?
Denny's' Return-on-Tangible-Equity of Negative Tangible Equity% can be compared against companies in the Restaurants industry. The industry median Return-on-Tangible-Equity is 8.72. 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 Restaurants company?
The median Return-on-Tangible-Equity among Restaurants companies is 8.72, based on 332 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 Denny's and its competitors. For the Restaurants industry, the median Return-on-Tangible-Equity is 8.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Denny's's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Denny's stock overvalued right now?
Denny's (FRA:DE8) has a current Return-on-Tangible-Equity of Negative Tangible Equity%. The stock's GF Value™ is €7.23, compared to a current price of €5.30 — trading 26.7% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Denny's' overall GF Score™ is 58/100 with 8 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 Denny's (FRA:DE8), the current Return-on-Tangible-Equity is Negative Tangible Equity% 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 Denny's (FRA:DE8) Overvalued in 2026?
Based on GuruFocus' analysis, Denny's stock appears to be undervalued.
The current stock price of €5.30 is trading 26.7% below its estimated GF Value™ of €7.23.
No single metric tells the full story. See the FRA:DE8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Denny's Corp is America's franchised full-service restaurant chains based on the number of restaurants. The company owns and operates the Denny's brand and the Keke's Breakfast Cafe brand. It provides Pancakes, Appetizers & Soups, Sandwiches & Salads, Breakfast Melts, Omelets, and others. The company generates its revenue from two sources: the sale of food and beverages and the collection of royalties, advertising revenue, initial and other fees, including occupancy revenue, from restaurants operated by their franchisees. Geographically operates in USA states as well as globally like Canada, Mexico, Guatemala, Indonesia, United Kingdom, New Zealand and others. Maximum revenue is from USA and Canada.
58GF Score
Get the complete analysis for FRA:DE8
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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