James Hardie IndustriesJHX +1.14%46 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates JHX with a GF Score™ of 46/100. The stock has 8 warning signs investors should review. Among 397 Building Materials companies, James Hardie Industries ranks better than 99.75% 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. James Hardie Industries's annualized net income for the quarter that ended in Mar. 2026 was $114 Mil. James Hardie Industries's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $-1,824 Mil. Therefore, James Hardie Industries's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was Negative Tangible Equity%.
The historical rank and industry rank for James Hardie Industries's Return-on-Tangible-Equity or its related term are showing as below:
JHX'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 25.39 Med: 42.42 Max: 163.52
Current: Negative Tangible Equity
During the past 13 years, James Hardie Industries's highest Return-on-Tangible-Equity was 163.52%. The lowest was 25.39%. And the median was 42.42%.
JHX's Return-on-Tangible-Equity is ranked better than 99.75% of 397
companies
in the Building Materials industry
Industry Median: 5.08
vs JHX: Negative Tangible Equity
James Hardie Industries (NYSE:JHX) 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.
James Hardie Industries Return-on-Tangible-Equity Related Terms
James Hardie Industries Return-on-Tangible-Equity Historical Data
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The historical data trend for James Hardie Industries'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.
James Hardie Industries Return-on-Tangible-Equity Chart
JHX vs EXP, KNF, TTAM: Return-on-Tangible-Equity Comparison
For the Building Materials subindustry, James Hardie Industries'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.
James Hardie Industries Return-on-Tangible-Equity vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, James Hardie Industries's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where James Hardie Industries'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 Negative Tangible Equity% mean?
James Hardie Industries (JHX) has a Return-on-Tangible-Equity of Negative Tangible Equity% 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 James Hardie Industries and its competitors. Over the past decade, James Hardie Industries' Return-on-Tangible-Equity has ranged from 25.39 to 163.52. According to the industry distribution chart, James Hardie Industries ranks #1 out of 397 companies in the Building Materials industry, placing it in the top 0.3%.
Is James Hardie Industries' Return-on-Tangible-Equity too high?
James Hardie Industries' current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 25.39 to a high of 163.52. Based on the distribution chart, James Hardie Industries ranks #1 out of 397 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, James Hardie Industries has a GF Score™ of 46/100, reflecting its overall financial health beyond just this single metric.
How does James Hardie Industries' Return-on-Tangible-Equity compare to EXP and KNF?
According to the Building Materials industry distribution chart, James Hardie Industries ranks #1 out of 397 companies for Return-on-Tangible-Equity. This places James Hardie Industries in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.08. Historically, James Hardie Industries' own Return-on-Tangible-Equity has ranged from 25.39 to 163.52 over the past decade. 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 Building Materials company?
The median Return-on-Tangible-Equity among Building Materials companies is 5.08, based on 397 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. 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 James Hardie Industries and its competitors. For the Building Materials industry, the median Return-on-Tangible-Equity is 5.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. James Hardie Industries's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is James Hardie Industries stock overvalued right now?
James Hardie Industries (JHX) has a current Return-on-Tangible-Equity of Negative Tangible Equity%. The current Return-on-Tangible-Equity is Negative Tangible Equity%. James Hardie Industries' overall GF Score™ is 46/100 with 8 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 James Hardie Industries (JHX), the current Return-on-Tangible-Equity is Negative Tangible Equity% 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.
James Hardie is a manufacturer of fiber cement-based building products, selling primarily to the residential construction industry. North America is the primary geography, generating about 80% of group earnings. Here, it is the largest manufacturer of fiber cement, which is mainly used for exterior siding on houses. Following the Azek acquisition in 2025, it also produces wooden composite decking materials, siding trims, and accessories for outdoor areas including stair and deck railing. Businesses in Australia, New Zealand, and Europe, make up the rest of earnings.
46GF Score
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