Twin DiscFRA:TWN +1.53%61 Return-on-Tangible-Equity is 7.88% as of Mar. 2026, which is 158% above its 10-year median of 3.06. GuruFocus rates FRA:TWN with a GF Score™ of 61/100 and a GF Value™ of €13.70 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 2,971 Industrial Products companies, Twin Disc ranks better than 81.99% 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. Twin Disc's annualized net income for the quarter that ended in Mar. 2026 was €11.5 Mil. Twin Disc's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €146.0 Mil. Therefore, Twin Disc's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 7.88%.
The historical rank and industry rank for Twin Disc's Return-on-Tangible-Equity or its related term are showing as below:
FRA:TWN'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -31.66 Med: 3.06 Max: 17.35
Current: 17.35
During the past 13 years, Twin Disc's highest Return-on-Tangible-Equity was 17.35%. The lowest was -31.66%. And the median was 3.06%.
FRA:TWN's Return-on-Tangible-Equity is ranked better than 81.99% of 2971
companies
in the Industrial Products industry
Industry Median: 6.72
vs FRA:TWN: 17.35
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.
Twin Disc Return-on-Tangible-Equity Related Terms
Twin Disc Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Twin Disc'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:TWN vs SHMD, OFLX, CGEH: Return-on-Tangible-Equity Comparison
For the Specialty Industrial Machinery subindustry, Twin Disc'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.
Twin Disc Return-on-Tangible-Equity vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Twin Disc's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Twin Disc'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 7.88% mean?
Twin Disc (FRA:TWN) has a Return-on-Tangible-Equity of 7.88% 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 Twin Disc and its competitors. This is 158% above median its historical median of 3.06. According to the industry distribution chart, Twin Disc ranks #535 out of 2971 companies in the Industrial Products industry, placing it in the top 18%.
Is Twin Disc's Return-on-Tangible-Equity too high?
Twin Disc's current Return-on-Tangible-Equity of 7.88% is 158% above median its 10-year median of 3.06. The Industrial Products industry median Return-on-Tangible-Equity is 6.72. Twin Disc's value of 7.88% is 17.3% above this industry median. Based on the distribution chart, Twin Disc ranks #535 out of 2971 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Twin Disc has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Twin Disc's Return-on-Tangible-Equity compare to SHMD and OFLX?
According to the Industrial Products industry distribution chart, Twin Disc ranks #535 out of 2971 companies for Return-on-Tangible-Equity. This places Twin Disc in the top 18% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.72. Twin Disc's value of 7.88% is 17.3% above this benchmark. While the company's 10-year median is 3.06 vs. the industry median of 6.72, Twin Disc 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 an Industrial Products company?
The median Return-on-Tangible-Equity among Industrial Products companies is 6.72, based on 2,971 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. Twin Disc's current Return-on-Tangible-Equity of 7.88% is 17.3% 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 Twin Disc and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Twin Disc's current Return-on-Tangible-Equity is 7.88%, which is 158% above median its own 10-year median of 3.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Twin Disc stock overvalued right now?
Based on GuruFocus' analysis, Twin Disc (FRA:TWN) is currently considered Significantly Overvalued. The stock's GF Value™ is €13.70, compared to a current price of €19.90 — trading 45.3% above its estimated fair value. The current Return-on-Tangible-Equity is 7.88%, which is 158% above median its 10-year median of 3.06 and 17.3% above the Industrial Products industry median of 6.72. Twin Disc's overall GF Score™ is 61/100 with 9 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 Twin Disc (FRA:TWN), the current Return-on-Tangible-Equity is 7.88% 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 Twin Disc (FRA:TWN) Overvalued in 2026?
Based on GuruFocus' analysis, Twin Disc stock appears to be overvalued.
The current stock price of €19.90 is trading 45.3% above its estimated GF Value™ of €13.70.
GuruFocus considers Twin Disc to be Significantly Overvalued.
Key valuation signals for FRA:TWN:
Return-on-Tangible-Equity: 7.88% (158% above median its 10-year median of 3.06)
GF Value™: €13.70 vs. price of €19.90 (45.3% above fair value)
Industry Position: 17.3% above the Industrial Products median (#535 of 2971)
No single metric tells the full story. See the FRA:TWN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Twin Disc Inc is a United States-based firm engaged in the manufacture and sale of marine and heavy-duty off-highway power transmission equipment. The company operates its business through two reportable segments: Manufacturing and Distribution. Its product portfolio includes marine transmissions, surface drives, propellers, and boat management systems as well as power-shift transmissions, hydraulic torque converters, power take-offs, industrial clutches, and control systems.
61GF Score
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