Kps AGFRA:KSC -3.19%34 Return-on-Tangible-Equity is 0.00% as of Sep. 2025. GuruFocus rates FRA:KSC with a GF Score™ of 34/100 and a GF Value™ of €0.87 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 2,470 Software companies, Kps AG ranks worse than 40485.79% 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. Kps AG's annualized net income for the quarter that ended in Sep. 2025 was €-43.7 Mil. Kps AG's average shareholder tangible equity for the quarter that ended in Sep. 2025 was €-16.1 Mil. Therefore, Kps AG's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was N/A%.
The historical rank and industry rank for Kps AG's Return-on-Tangible-Equity or its related term are showing as below:
During the past 13 years, Kps AG's highest Return-on-Tangible-Equity was 191.96%. The lowest was 0.00%. And the median was 87.61%.
FRA:KSC's Return-on-Tangible-Equity is not ranked *
in the Software industry.
Industry Median: 8.77 * Ranked among companies with meaningful Return-on-Tangible-Equity only.
Kps AG (FRA:KSC) 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.
Kps AG Return-on-Tangible-Equity Related Terms
Kps AG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Kps AG'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:KSC vs IBM, ACN, FISV: Return-on-Tangible-Equity Comparison
For the Information Technology Services subindustry, Kps AG'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.
Kps AG Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Kps AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Kps AG'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 0.00% mean?
Kps AG (FRA:KSC) has a Return-on-Tangible-Equity of 0.00% 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 Kps AG and its competitors. According to the industry distribution chart, Kps AG ranks #999999 out of 2470 companies in the Software industry.
Is Kps AG's Return-on-Tangible-Equity too high?
Kps AG's current Return-on-Tangible-Equity is 0.00%. Based on the distribution chart, Kps AG ranks #999999 out of 2470 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Kps AG has a GF Score™ of 34/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Kps AG's Return-on-Tangible-Equity compare to IBM and ACN?
According to the Software industry distribution chart, Kps AG ranks #999999 out of 2470 companies for Return-on-Tangible-Equity. This places Kps AG in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.77. 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.77, based on 2,470 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 Kps AG and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kps AG's current Return-on-Tangible-Equity is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kps AG stock overvalued right now?
Based on GuruFocus' analysis, Kps AG (FRA:KSC) is currently considered Possible Value Trap. The stock's GF Value™ is €0.87, compared to a current price of €0.24 — trading 72.1% below its estimated fair value. The current Return-on-Tangible-Equity is 0.00%. Kps AG's overall GF Score™ is 34/100 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 Kps AG (FRA:KSC), the current Return-on-Tangible-Equity is 0.00% 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 Kps AG (FRA:KSC) Overvalued in 2026?
Based on GuruFocus' analysis, Kps AG stock appears to be undervalued.
The current stock price of €0.24 is trading 72.1% below its estimated GF Value™ of €0.87.
GuruFocus considers Kps AG to be Possible Value Trap.
Key valuation signals for FRA:KSC:
Return-on-Tangible-Equity: 0.00%
GF Value™: €0.87 vs. price of €0.24 (72.1% below fair value)
No single metric tells the full story. See the FRA:KSC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kps AG is a German-based company that holds and consults information technology companies that provide business transformation and process optimization services. Its operating segments include Management Consulting / Transformation Consulting, System Integration, and Products /Licenses. The majority of its revenue comes from the Management consulting segment, which includes providing support for customers and developing concepts and solutions taking into account process, logistic, financial, and systems integration. The company's revenue includes the provision of services, revenue from maintenance contracts, and the sale of software. The company carries its operations in Germany, Switzerland, Scandinavia, the United Kingdom, Benelux, Spain, and others.
34GF Score
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