Toa (Construction)FRA:KS5 86 Return-on-Tangible-Equity is 18.07% as of Mar. 2026, which is 116% above its 10-year median of 8.35. GuruFocus rates FRA:KS5 with a GF Score™ of 86/100 and a GF Value™ of €8.31. The stock has 1 warning sign investors should review. Among 1,704 Construction companies, Toa (Construction) ranks better than 74.3% 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. Toa (Construction)'s annualized net income for the quarter that ended in Mar. 2026 was €110 Mil. Toa (Construction)'s average shareholder tangible equity for the quarter that ended in Mar. 2026 was €610 Mil. Therefore, Toa (Construction)'s annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 18.07%.
The historical rank and industry rank for Toa (Construction)'s Return-on-Tangible-Equity or its related term are showing as below:
FRA:KS5'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -11.11 Med: 8.35 Max: 18.04
Current: 18.04
During the past 13 years, Toa (Construction)'s highest Return-on-Tangible-Equity was 18.04%. The lowest was -11.11%. And the median was 8.35%.
FRA:KS5's Return-on-Tangible-Equity is ranked better than 74.3% of 1704
companies
in the Construction industry
Industry Median: 8.245
vs FRA:KS5: 18.04
Toa (Construction) (FRA:KS5) 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.
Toa (Construction) Return-on-Tangible-Equity Related Terms
Toa (Construction) Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Toa (Construction)'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.
Toa (Construction) Return-on-Tangible-Equity Chart
FRA:KS5 vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, Toa (Construction)'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.
Toa (Construction) Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, Toa (Construction)'s Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Toa (Construction)'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 (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 18.07% mean?
Toa (Construction) (FRA:KS5) has a Return-on-Tangible-Equity of 18.07% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Toa (Construction) and its competitors. This is 116% above median its historical median of 8.35. According to the industry distribution chart, Toa (Construction) ranks #438 out of 1704 companies in the Construction industry, placing it in the top 25.7%.
Is Toa (Construction)'s Return-on-Tangible-Equity too high?
Toa (Construction)'s current Return-on-Tangible-Equity of 18.07% is 116% above median its 10-year median of 8.35. The Construction industry median Return-on-Tangible-Equity is 8.25. Toa (Construction)'s value of 18.07% is 119.2% above this industry median. Based on the distribution chart, Toa (Construction) ranks #438 out of 1704 companies in the Construction industry, which is above the industry midpoint. Overall, Toa (Construction) has a GF Score™ of 86/100, reflecting its overall financial health beyond just this single metric.
How does Toa (Construction)'s Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Toa (Construction) ranks #438 out of 1704 companies for Return-on-Tangible-Equity. This puts Toa (Construction) in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.25. Toa (Construction)'s value of 18.07% is 119.2% above this benchmark. While the company's 10-year median is 8.35 vs. the industry median of 8.25, Toa (Construction) has consistently been above 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 a Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.25, based on 1,704 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. Toa (Construction)'s current Return-on-Tangible-Equity of 18.07% is 119.2% above 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 Toa (Construction) and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Toa (Construction)'s current Return-on-Tangible-Equity is 18.07%, which is 116% above median its own 10-year median of 8.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Toa (Construction) stock overvalued right now?
Toa (Construction) (FRA:KS5) has a current Return-on-Tangible-Equity of 18.07%. The stock's GF Value™ is €8.31, compared to a current price of €11.00 — trading 32.4% above its estimated fair value. The current Return-on-Tangible-Equity is 18.07%, which is 116% above median its 10-year median of 8.35 and 119.2% above the Construction industry median of 8.25. Toa (Construction)'s overall GF Score™ is 86/100 with 1 warning sign 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 Toa (Construction) (FRA:KS5), the current Return-on-Tangible-Equity is 18.07% as of Mar. 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.
Is Toa (Construction) (FRA:KS5) Overvalued in 2026?
Based on GuruFocus' analysis, Toa (Construction) stock appears to be overvalued.
The current stock price of €11.00 is trading 32.4% above its estimated GF Value™ of €8.31.
Key valuation signals for FRA:KS5:
Return-on-Tangible-Equity: 18.07% (116% above median its 10-year median of 8.35)
GF Value™: €8.31 vs. price of €11.00 (32.4% above fair value)
Industry Position: 119.2% above the Construction median (#438 of 1704)
No single metric tells the full story. See the FRA:KS5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Toa Corporation (Construction) is a Japan-based engineering and construction company. The company's business activities encompass Contracting, planning, designing, execution and supervision of civil engineering and architectural works; including consulting services, Dredging, reclamation and land preparation, Planning, designing, supervision and contract works for regional, urban and ocean development.
86GF Score
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Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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