Mitsubishi Heavy IndustriesMHVIY +1.10%59 Return-on-Tangible-Equity is 17.98% as of Mar. 2026, which is 101% above its 10-year median of 8.93. GuruFocus rates MHVIY with a GF Score™ of 59/100 and a GF Value™ of $7.72 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 2,968 Industrial Products companies, Mitsubishi Heavy Industries ranks better than 75.3% 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. Mitsubishi Heavy Industries's annualized net income for the quarter that ended in Mar. 2026 was $3,053 Mil. Mitsubishi Heavy Industries's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $16,979 Mil. Therefore, Mitsubishi Heavy Industries's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 17.98%.
The historical rank and industry rank for Mitsubishi Heavy Industries's Return-on-Tangible-Equity or its related term are showing as below:
MHVIY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -0.64 Med: 8.93 Max: 14
Current: 14
During the past 13 years, Mitsubishi Heavy Industries's highest Return-on-Tangible-Equity was 14.00%. The lowest was -0.64%. And the median was 8.93%.
MHVIY's Return-on-Tangible-Equity is ranked better than 75.3% of 2968
companies
in the Industrial Products industry
Industry Median: 6.725
vs MHVIY: 14.00
Mitsubishi Heavy Industries (OTCPK:MHVIY) 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.
Mitsubishi Heavy Industries Return-on-Tangible-Equity Related Terms
Mitsubishi Heavy Industries Return-on-Tangible-Equity Historical Data
* 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.
Mitsubishi Heavy Industries Return-on-Tangible-Equity Chart
MHVIY vs GEV, ETN, PH: Return-on-Tangible-Equity Comparison
For the Specialty Industrial Machinery subindustry, Mitsubishi Heavy 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.
Mitsubishi Heavy Industries Return-on-Tangible-Equity vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Mitsubishi Heavy Industries's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Mitsubishi Heavy 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 17.98% mean?
Mitsubishi Heavy Industries (MHVIY) has a Return-on-Tangible-Equity of 17.98% 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 Mitsubishi Heavy Industries and its competitors. This is 101% above median its historical median of 8.93. According to the industry distribution chart, Mitsubishi Heavy Industries ranks #733 out of 2968 companies in the Industrial Products industry, placing it in the top 24.7%.
Is Mitsubishi Heavy Industries' Return-on-Tangible-Equity too high?
Mitsubishi Heavy Industries' current Return-on-Tangible-Equity of 17.98% is 101% above median its 10-year median of 8.93. The Industrial Products industry median Return-on-Tangible-Equity is 6.73. Mitsubishi Heavy Industries' value of 17.98% is 167.4% above this industry median. Based on the distribution chart, Mitsubishi Heavy Industries ranks #733 out of 2968 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Mitsubishi Heavy Industries has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Mitsubishi Heavy Industries' Return-on-Tangible-Equity compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Mitsubishi Heavy Industries ranks #733 out of 2968 companies for Return-on-Tangible-Equity. This places Mitsubishi Heavy Industries in the top 25% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.73. Mitsubishi Heavy Industries' value of 17.98% is 167.4% above this benchmark. While the company's 10-year median is 8.93 vs. the industry median of 6.73, Mitsubishi Heavy Industries 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 an Industrial Products company?
The median Return-on-Tangible-Equity among Industrial Products companies is 6.73, based on 2,968 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. Mitsubishi Heavy Industries's current Return-on-Tangible-Equity of 17.98% is 167.4% 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 Mitsubishi Heavy Industries and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 6.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mitsubishi Heavy Industries's current Return-on-Tangible-Equity is 17.98%, which is 101% above median its own 10-year median of 8.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mitsubishi Heavy Industries stock overvalued right now?
Based on GuruFocus' analysis, Mitsubishi Heavy Industries (MHVIY) is currently considered Significantly Overvalued. The stock's GF Value™ is $7.72, compared to a current price of $11.96 — trading 54.9% above its estimated fair value. The current Return-on-Tangible-Equity is 17.98%, which is 101% above median its 10-year median of 8.93 and 167.4% above the Industrial Products industry median of 6.73. Mitsubishi Heavy Industries' overall GF Score™ is 59/100 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 Mitsubishi Heavy Industries (MHVIY), the current Return-on-Tangible-Equity is 17.98% 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 Mitsubishi Heavy Industries (MHVIY) Overvalued in 2026?
Based on GuruFocus' analysis, Mitsubishi Heavy Industries stock appears to be overvalued.
The current stock price of $11.96 is trading 54.9% above its estimated GF Value™ of $7.72.
GuruFocus considers Mitsubishi Heavy Industries to be Significantly Overvalued.
Key valuation signals for MHVIY:
Return-on-Tangible-Equity: 17.98% (101% above median its 10-year median of 8.93)
GF Value™: $7.72 vs. price of $11.96 (54.9% above fair value)
Industry Position: 167.4% above the Industrial Products median (#733 of 2968)
No single metric tells the full story. See the MHVIY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mitsubishi Heavy Industries is a diversified industrial and engineering group that was founded in 1884 and reorganized in 1950. It operates across four segments: energy systems; plants and infrastructure; logistics, thermal and drive systems; and aircraft, defense and space. MHI is a global leader in large gas turbines and energy services, and a key domestic supplier of aerospace and defense systems. Its end markets include energy infrastructure, industrial equipment, transport, and defense, with a growing focus on decarbonization technologies such as hydrogen- and ammonia-capable turbines. The company employs about 77,000 people globally.
59GF Score
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