L.B. Foster CoFSTR +0.16%66 Return-on-Tangible-Equity is 4.60% as of Mar. 2026, which is 6% above its 10-year median of 4.32. GuruFocus rates FSTR with a GF Score™ of 66/100 and a GF Value™ of $25.01 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 975 Transportation companies, L.B. Foster Co ranks worse than 51.69% 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. L.B. Foster Co's annualized net income for the quarter that ended in Mar. 2026 was $6.0 Mil. L.B. Foster Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $130.3 Mil. Therefore, L.B. Foster Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.60%.
The historical rank and industry rank for L.B. Foster Co's Return-on-Tangible-Equity or its related term are showing as below:
FSTR'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -242.25 Med: 4.32 Max: 52.81
Current: 8.67
During the past 13 years, L.B. Foster Co's highest Return-on-Tangible-Equity was 52.81%. The lowest was -242.25%. And the median was 4.32%.
FSTR's Return-on-Tangible-Equity is ranked worse than 51.69% of 975
companies
in the Transportation industry
Industry Median: 9
vs FSTR: 8.67
L.B. Foster Co (NAS:FSTR) 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.
L.B. Foster Co Return-on-Tangible-Equity Related Terms
L.B. Foster Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for L.B. Foster Co'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.
FSTR vs RAIL, SWVL, RVSN: Return-on-Tangible-Equity Comparison
For the Railroads subindustry, L.B. Foster Co'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.
L.B. Foster Co Return-on-Tangible-Equity vs Transportation Industry
For the Transportation industry and Industrials sector, L.B. Foster Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where L.B. Foster Co'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 4.60% mean?
L.B. Foster Co (FSTR) has a Return-on-Tangible-Equity of 4.60% 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 L.B. Foster Co and its competitors. This is near median its historical median of 4.32. According to the industry distribution chart, L.B. Foster Co ranks #504 out of 975 companies in the Transportation industry, placing it in the top 51.7%.
Is L.B. Foster Co's Return-on-Tangible-Equity too high?
L.B. Foster Co's current Return-on-Tangible-Equity of 4.60% is near median its 10-year median of 4.32. The Transportation industry median Return-on-Tangible-Equity is 9.00. L.B. Foster Co's value of 4.60% is 48.9% below this industry median. Based on the distribution chart, L.B. Foster Co ranks #504 out of 975 companies in the Transportation industry, which is below the industry midpoint. Overall, L.B. Foster Co has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does L.B. Foster Co's Return-on-Tangible-Equity compare to RAIL and SWVL?
According to the Transportation industry distribution chart, L.B. Foster Co ranks #504 out of 975 companies for Return-on-Tangible-Equity. This places L.B. Foster Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 9.00. L.B. Foster Co's value of 4.60% is 48.9% below this benchmark. While the company's 10-year median is 4.32 vs. the industry median of 9.00, L.B. Foster Co has consistently been below 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 Transportation company?
The median Return-on-Tangible-Equity among Transportation companies is 9.00, based on 975 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. L.B. Foster Co's current Return-on-Tangible-Equity of 4.60% is 48.9% below 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 L.B. Foster Co and its competitors. For the Transportation industry, the median Return-on-Tangible-Equity is 9.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. L.B. Foster Co's current Return-on-Tangible-Equity is 4.60%, which is near median its own 10-year median of 4.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is L.B. Foster Co stock overvalued right now?
Based on GuruFocus' analysis, L.B. Foster Co (FSTR) is currently considered Significantly Overvalued. The stock's GF Value™ is $25.01, compared to a current price of $44.76 — trading 79% above its estimated fair value. The current Return-on-Tangible-Equity is 4.60%, which is near median its 10-year median of 4.32 and 48.9% below the Transportation industry median of 9.00. L.B. Foster Co's overall GF Score™ is 66/100 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 L.B. Foster Co (FSTR), the current Return-on-Tangible-Equity is 4.60% 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 L.B. Foster Co (FSTR) Overvalued in 2026?
Based on GuruFocus' analysis, L.B. Foster Co stock appears to be overvalued.
The current stock price of $44.76 is trading 79% above its estimated GF Value™ of $25.01.
GuruFocus considers L.B. Foster Co to be Significantly Overvalued.
Key valuation signals for FSTR:
Return-on-Tangible-Equity: 4.60% (near median its 10-year median of 4.32)
GF Value™: $25.01 vs. price of $44.76 (79% above fair value)
Industry Position: 48.9% below the Transportation median (#504 of 975)
No single metric tells the full story. See the FSTR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
L.B. Foster Co is a technology solutions provider of products and services for the rail and infrastructure markets. The company has two reporting segments: Rail, Technologies, and Services (Rail); and Infrastructure Solutions (Infrastructure). Maximum revenue is generated from the Rail segment, which is comprised of several manufacturing and distribution businesses that provide products and services for freight and passenger railroads and industrial companies throughout the world. The Infrastructure segment offers engineered precast concrete solutions, as well as fabricated bridge, protective pipe coating, and pipe threading offerings across North America. Geographically, the company generates maximum revenue from the United States, followed by Canada, the UK, and other markets.
66GF Score
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