Intertek GroupFRA:IT1 -1.81%80 Return-on-Tangible-Equity is Negative Tangible Equity% as of Dec. 2025. GuruFocus rates FRA:IT1 with a GF Score™ of 80/100 and a GF Value™ of €58.14 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,009 Business Services companies, Intertek Group ranks better than 99.8% 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. Intertek Group's annualized net income for the quarter that ended in Dec. 2025 was €424 Mil. Intertek Group's average shareholder tangible equity for the quarter that ended in Dec. 2025 was €-644 Mil. Therefore, Intertek Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was Negative Tangible Equity%.
The historical rank and industry rank for Intertek Group's Return-on-Tangible-Equity or its related term are showing as below:
FRA:IT1'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0 Med: 0 Max: 0
Current: Negative Tangible Equity
FRA:IT1's Return-on-Tangible-Equity is ranked better than 99.8% of 1009
companies
in the Business Services industry
Industry Median: 10.57
vs FRA:IT1: Negative Tangible Equity
Intertek Group (FRA:IT1) 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.
Intertek Group Return-on-Tangible-Equity Related Terms
Intertek Group Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Intertek Group'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:IT1 vs CTAS, CPRT, ULS: Return-on-Tangible-Equity Comparison
For the Specialty Business Services subindustry, Intertek Group'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.
Intertek Group Return-on-Tangible-Equity vs Business Services Industry
For the Business Services industry and Industrials sector, Intertek Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Intertek Group'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 (Dec. 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?
Intertek Group (FRA:IT1) has a Return-on-Tangible-Equity of Negative Tangible Equity% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Intertek Group and its competitors. According to the industry distribution chart, Intertek Group ranks #2 out of 1009 companies in the Business Services industry, placing it in the top 0.2%.
Is Intertek Group's Return-on-Tangible-Equity too high?
Intertek Group's current Return-on-Tangible-Equity is Negative Tangible Equity%. Based on the distribution chart, Intertek Group ranks #2 out of 1009 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Intertek Group has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Intertek Group's Return-on-Tangible-Equity compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Intertek Group ranks #2 out of 1009 companies for Return-on-Tangible-Equity. This places Intertek Group in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 10.57. 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 Business Services company?
The median Return-on-Tangible-Equity among Business Services companies is 10.57, based on 1,009 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 Intertek Group and its competitors. For the Business Services industry, the median Return-on-Tangible-Equity is 10.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Intertek Group'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 Intertek Group stock overvalued right now?
Based on GuruFocus' analysis, Intertek Group (FRA:IT1) is currently considered Modestly Overvalued. The stock's GF Value™ is €58.14, compared to a current price of €67.80 — trading 16.6% above its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Intertek Group's overall GF Score™ is 80/100 with 5 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 Intertek Group (FRA:IT1), the current Return-on-Tangible-Equity is Negative Tangible Equity% as of Dec. 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 Intertek Group (FRA:IT1) Overvalued in 2026?
Based on GuruFocus' analysis, Intertek Group stock appears to be overvalued.
The current stock price of €67.80 is trading 16.6% above its estimated GF Value™ of €58.14.
GuruFocus considers Intertek Group to be Modestly Overvalued.
No single metric tells the full story. See the FRA:IT1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Intertek is one of the largest and oldest companies in the testing, inspection, and certification industry. Its primary activities include testing products and materials, inspecting sites/industrial equipment, and certifying products and systems to ensure compliance with global/company standards. Intertek is one of only three TIC companies operating globally across multiple industries. The firm was listed in 2002 following Charterhouse's divestment. It employs over 40,000 people worldwide.
80GF Score
Get the complete analysis for FRA:IT1
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:IT1 has been successfully added to your 
