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. Good Times Restaurants's annualized net income for the quarter that ended in Mar. 2026 was $0.6 Mil. Good Times Restaurants's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $23.7 Mil. Therefore, Good Times Restaurants's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 2.51%.
The historical rank and industry rank for Good Times Restaurants's Return-on-Tangible-Equity or its related term are showing as below:
GTIM'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -215.5 Med: -7.23 Max: 132.65
Current: 7.8
During the past 13 years, Good Times Restaurants's highest Return-on-Tangible-Equity was 132.65%. The lowest was -215.50%. And the median was -7.23%.
GTIM's Return-on-Tangible-Equity is ranked worse than 53.78% of 331
companies
in the Restaurants industry
Industry Median: 8.76
vs GTIM: 7.80
Good Times Restaurants (NAS:GTIM) 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.
Good Times Restaurants Return-on-Tangible-Equity Related Terms
Good Times Restaurants Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Good Times Restaurants'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.
Good Times Restaurants Return-on-Tangible-Equity Chart
GTIM vs NROM, PETZ, CCHH: Return-on-Tangible-Equity Comparison
For the Restaurants subindustry, Good Times Restaurants'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.
Good Times Restaurants Return-on-Tangible-Equity vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Good Times Restaurants's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Good Times Restaurants'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 2.51% mean?
Good Times Restaurants (GTIM) has a Return-on-Tangible-Equity of 2.51% 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 Good Times Restaurants and its competitors. According to the industry distribution chart, Good Times Restaurants ranks #178 out of 331 companies in the Restaurants industry, placing it in the top 53.8%.
Is Good Times Restaurants' Return-on-Tangible-Equity too high?
Good Times Restaurants' current Return-on-Tangible-Equity is 2.51%. The Restaurants industry median Return-on-Tangible-Equity is 8.76. Good Times Restaurants' value of 2.51% is 71.3% below this industry median. Based on the distribution chart, Good Times Restaurants ranks #178 out of 331 companies in the Restaurants industry, which is below the industry midpoint. Overall, Good Times Restaurants has a GF Score™ of 53/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Good Times Restaurants' Return-on-Tangible-Equity compare to NROM and PETZ?
According to the Restaurants industry distribution chart, Good Times Restaurants ranks #178 out of 331 companies for Return-on-Tangible-Equity. This places Good Times Restaurants in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.76. Good Times Restaurants' value of 2.51% is 71.3% below this benchmark. 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 Restaurants company?
The median Return-on-Tangible-Equity among Restaurants companies is 8.76, based on 331 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. Good Times Restaurants's current Return-on-Tangible-Equity of 2.51% is 71.3% 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 Good Times Restaurants and its competitors. For the Restaurants industry, the median Return-on-Tangible-Equity is 8.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Good Times Restaurants's current Return-on-Tangible-Equity is 2.51%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Good Times Restaurants stock overvalued right now?
Based on GuruFocus' analysis, Good Times Restaurants (GTIM) is currently considered Possible Value Trap. The stock's GF Value™ is $2.66, compared to a current price of $1.44 — trading 45.9% below its estimated fair value. The current Return-on-Tangible-Equity is 2.51% and 71.3% below the Restaurants industry median of 8.76. Good Times Restaurants' overall GF Score™ is 53/100 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 Good Times Restaurants (GTIM), the current Return-on-Tangible-Equity is 2.51% 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 Good Times Restaurants (GTIM) Overvalued in 2026?
Based on GuruFocus' analysis, Good Times Restaurants stock appears to be undervalued.
The current stock price of $1.44 is trading 45.9% below its estimated GF Value™ of $2.66.
GuruFocus considers Good Times Restaurants to be Possible Value Trap.
Key valuation signals for GTIM:
Return-on-Tangible-Equity: 2.51%
GF Value™: $2.66 vs. price of $1.44 (45.9% below fair value)
Industry Position: 71.3% below the Restaurants median (#178 of 331)
No single metric tells the full story. See the GTIM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Good Times Restaurants Inc is engaged in developing, owning, operating, and franchising hamburger-oriented drive-through restaurants. It operates through two segments: Good Times Burgers and Frozen Custard restaurants, which operate in the quick-service drive-through dining industry; and Bad Daddy's Burger Bar restaurants, which operate in the full-service upscale casual dining industry. The company generates maximum revenue from the Bad Daddy's Burger Bar restaurants segment. Its menu categories include burgers, chicken, frozen custard; slides and drinks.
53GF Score
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