Ningbo Joyson ElectronicFRA:VM2 -0.68%57 Return-on-Tangible-Equity is 42.35% as of Mar. 2026, which is 16% above its 10-year median of 36.44. GuruFocus rates FRA:VM2 with a GF Score™ of 57/100 and a GF Value™ of €1.21 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,285 Vehicles & Parts companies, Ningbo Joyson Electronic ranks better than 95.8% 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. Ningbo Joyson Electronic's annualized net income for the quarter that ended in Mar. 2026 was €202 Mil. Ningbo Joyson Electronic's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €477 Mil. Therefore, Ningbo Joyson Electronic's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 42.35%.
The historical rank and industry rank for Ningbo Joyson Electronic's Return-on-Tangible-Equity or its related term are showing as below:
FRA:VM2'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -132.78 Med: 36.44 Max: 263.88
Current: 82.19
During the past 13 years, Ningbo Joyson Electronic's highest Return-on-Tangible-Equity was 263.88%. The lowest was -132.78%. And the median was 36.44%.
FRA:VM2's Return-on-Tangible-Equity is ranked better than 95.8% of 1285
companies
in the Vehicles & Parts industry
Industry Median: 7.49
vs FRA:VM2: 82.19
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.
Ningbo Joyson Electronic Return-on-Tangible-Equity Related Terms
Ningbo Joyson Electronic Return-on-Tangible-Equity Historical Data
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The historical data trend for Ningbo Joyson Electronic'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:VM2 vs ORLY, AZO: Return-on-Tangible-Equity Comparison
For the Auto Parts subindustry, Ningbo Joyson Electronic'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.
Ningbo Joyson Electronic Return-on-Tangible-Equity vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Ningbo Joyson Electronic's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Ningbo Joyson Electronic'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 42.35% mean?
Ningbo Joyson Electronic (FRA:VM2) has a Return-on-Tangible-Equity of 42.35% 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 Ningbo Joyson Electronic and its competitors. This is 16% above median its historical median of 36.44. According to the industry distribution chart, Ningbo Joyson Electronic ranks #54 out of 1285 companies in the Vehicles & Parts industry, placing it in the top 4.2%.
Is Ningbo Joyson Electronic's Return-on-Tangible-Equity too high?
Ningbo Joyson Electronic's current Return-on-Tangible-Equity of 42.35% is 16% above median its 10-year median of 36.44. The Vehicles & Parts industry median Return-on-Tangible-Equity is 7.49. Ningbo Joyson Electronic's value of 42.35% is 465.4% above this industry median. Based on the distribution chart, Ningbo Joyson Electronic ranks #54 out of 1285 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Ningbo Joyson Electronic has a GF Score™ of 57/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ningbo Joyson Electronic's Return-on-Tangible-Equity compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Ningbo Joyson Electronic ranks #54 out of 1285 companies for Return-on-Tangible-Equity. This places Ningbo Joyson Electronic in the top 4% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.49. Ningbo Joyson Electronic's value of 42.35% is 465.4% above this benchmark. While the company's 10-year median is 36.44 vs. the industry median of 7.49, Ningbo Joyson Electronic 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 Vehicles & Parts company?
The median Return-on-Tangible-Equity among Vehicles & Parts companies is 7.49, based on 1,285 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. Ningbo Joyson Electronic's current Return-on-Tangible-Equity of 42.35% is 465.4% 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 Ningbo Joyson Electronic and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Equity is 7.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ningbo Joyson Electronic's current Return-on-Tangible-Equity is 42.35%, which is 16% above median its own 10-year median of 36.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ningbo Joyson Electronic stock overvalued right now?
Based on GuruFocus' analysis, Ningbo Joyson Electronic (FRA:VM2) is currently considered Modestly Overvalued. The stock's GF Value™ is €1.21, compared to a current price of €1.46 — trading 20.7% above its estimated fair value. The current Return-on-Tangible-Equity is 42.35%, which is 16% above median its 10-year median of 36.44 and 465.4% above the Vehicles & Parts industry median of 7.49. Ningbo Joyson Electronic's overall GF Score™ is 57/100 with 4 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 Ningbo Joyson Electronic (FRA:VM2), the current Return-on-Tangible-Equity is 42.35% 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 Ningbo Joyson Electronic (FRA:VM2) Overvalued in 2026?
Based on GuruFocus' analysis, Ningbo Joyson Electronic stock appears to be overvalued.
The current stock price of €1.46 is trading 20.7% above its estimated GF Value™ of €1.21.
GuruFocus considers Ningbo Joyson Electronic to be Modestly Overvalued.
Key valuation signals for FRA:VM2:
Return-on-Tangible-Equity: 42.35% (16% above median its 10-year median of 36.44)
GF Value™: €1.21 vs. price of €1.46 (20.7% above fair value)
Industry Position: 465.4% above the Vehicles & Parts median (#54 of 1285)
No single metric tells the full story. See the FRA:VM2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ningbo Joyson Electronic Corp is a key supplier of automotive electronics and automotive safety. It is mainly engaged in the research and development and manufacturing of smart cockpits, smart networking, smart driving, new energy management and automotive safety. It currently has two business divisions, automotive safety and automotive electronics. The automotive electronics segment principally includes intelligent vehicle solutions, covering areas such as cockpit domain controllers, intelligent automotive connectivity, and intelligent driving, as well as human-machine interface products and new energy control systems. The automotive safety segment principally encompasses products such as seat belts, airbags, intelligent steering wheels, and integrated safety solutions.
57GF Score
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