Net digital AGHAM:VRL -1.35% Return-on-Tangible-Equity is 90.70% as of Jun. 2025. The stock has 4 warning signs investors should review. Among 2,470 Software companies, Net digital AG ranks worse than 89.84% 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. Net digital AG's annualized net income for the quarter that ended in Jun. 2025 was €0.98 Mil. Net digital AG's average shareholder tangible equity for the quarter that ended in Jun. 2025 was €1.08 Mil. Therefore, Net digital AG's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2025 was 90.70%.
The historical rank and industry rank for Net digital AG's Return-on-Tangible-Equity or its related term are showing as below:
HAM:VRL'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -283.83 Med: -21.36 Max: -11.86
Current: -75.13
During the past 9 years, Net digital AG's highest Return-on-Tangible-Equity was -11.86%. The lowest was -283.83%. And the median was -21.36%.
HAM:VRL's Return-on-Tangible-Equity is ranked worse than 89.84% of 2470
companies
in the Software industry
Industry Median: 8.77
vs HAM:VRL: -75.13
Net digital AG (HAM:VRL) 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.
Net digital AG Return-on-Tangible-Equity Related Terms
Net digital AG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Net digital 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.
HAM:VRL vs UBER, SHOP, CRM: Return-on-Tangible-Equity Comparison
For the Software - Application subindustry, Net digital 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.
Net digital AG Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Net digital AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Net digital 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 (Jun. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 90.70% mean?
Net digital AG (HAM:VRL) has a Return-on-Tangible-Equity of 90.70% as of Jun. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Net digital AG and its competitors. According to the industry distribution chart, Net digital AG ranks #2219 out of 2470 companies in the Software industry, placing it in the top 89.8%.
Is Net digital AG's Return-on-Tangible-Equity too high?
Net digital AG's current Return-on-Tangible-Equity is 90.70%. The Software industry median Return-on-Tangible-Equity is 8.77. Net digital AG's value of 90.70% is 934.2% above this industry median. Based on the distribution chart, Net digital AG ranks #2219 out of 2470 companies in the Software industry, which is in the bottom quartile relative to peers.
How does Net digital AG's Return-on-Tangible-Equity compare to UBER and SHOP?
According to the Software industry distribution chart, Net digital AG ranks #2219 out of 2470 companies for Return-on-Tangible-Equity. This places Net digital AG in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.77. Net digital AG's value of 90.70% is 934.2% above 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 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. Net digital AG's current Return-on-Tangible-Equity of 90.70% is 934.2% 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 Net digital 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. Net digital AG's current Return-on-Tangible-Equity is 90.70%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Net digital AG stock overvalued right now?
Based on GuruFocus' analysis, Net digital AG (HAM:VRL) is currently considered Significantly Overvalued. The stock's GF Value™ is €4.97, compared to a current price of €14.65 — trading 194.8% above its estimated fair value. The current Return-on-Tangible-Equity is 90.70% and 934.2% above the Software industry median of 8.77. 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 Net digital AG (HAM:VRL), the current Return-on-Tangible-Equity is 90.70% as of Jun. 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.
Net digital AG is a group of companies that partners with numerous medium-sized and large companies in the telecommunications, media, and entertainment sectors, as well as public transport companies. The group develops technology platforms for Global and customized digital payment solutions with a focus on digital content distribution. Its services include Global Payment Services, Mobile Payment Services, Content Distribution Services, Artificial Intelligence Solutions, Communication Services, and TV Enabling Services.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HAM:VRL has been successfully added to your 