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ArchionNGO:7205 59 Return-on-Tangible-Equity is 153.65% as of Jun. 2026, which is 2699% above its 10-year median of 5.49. GuruFocus rates NGO:7205 with a GF Score™ of 59/100 and a GF Value™ of 円530.54. The stock has 5 warning signs investors should review. Among 200 Farm & Heavy Construction Machinery companies, Archion ranks better than 96% 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. Archion's annualized net income for the quarter that ended in Jun. 2026 was 円1,005,820 Mil. Archion's average shareholder tangible equity for the quarter that ended in Jun. 2026 was 円654,633 Mil. Therefore, Archion's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 153.65%.
The historical rank and industry rank for Archion's Return-on-Tangible-Equity or its related term are showing as below:
NGO:7205'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -86.27 Med: 5.49 Max: 88.37
Current: 88.37
During the past 13 years, Archion's highest Return-on-Tangible-Equity was 88.37%. The lowest was -86.27%. And the median was 5.49%.
NGO:7205's Return-on-Tangible-Equity is ranked better than 96% of 200
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 9.355
vs NGO:7205: 88.37
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.
Archion Return-on-Tangible-Equity Related Terms
Archion Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Archion'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.
NGO:7205 vs CAT, DE, PCAR: Return-on-Tangible-Equity Comparison
For the Farm & Heavy Construction Machinery subindustry, Archion'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.
Archion Return-on-Tangible-Equity vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Archion's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Archion'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 (Jun. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 153.65% mean?
Archion (NGO:7205) has a Return-on-Tangible-Equity of 153.65% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Archion and its competitors. This is 2699% above median its historical median of 5.49. According to the industry distribution chart, Archion ranks #8 out of 200 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 4%.
Is Archion's Return-on-Tangible-Equity too high?
Archion's current Return-on-Tangible-Equity of 153.65% is 2699% above median its 10-year median of 5.49. The Farm & Heavy Construction Machinery industry median Return-on-Tangible-Equity is 9.36. Archion's value of 153.65% is 1542.4% above this industry median. Based on the distribution chart, Archion ranks #8 out of 200 companies in the Farm & Heavy Construction Machinery industry, which is in the top quartile — a strong position relative to peers. Overall, Archion has a GF Score™ of 59/100, reflecting its overall financial health beyond just this single metric.
How does Archion's Return-on-Tangible-Equity compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Archion ranks #8 out of 200 companies for Return-on-Tangible-Equity. This places Archion in the top 4% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 9.36. Archion's value of 153.65% is 1542.4% above this benchmark. While the company's 10-year median is 5.49 vs. the industry median of 9.36, Archion 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 a Farm & Heavy Construction Machinery company?
The median Return-on-Tangible-Equity among Farm & Heavy Construction Machinery companies is 9.36, based on 200 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. Archion's current Return-on-Tangible-Equity of 153.65% is 1542.4% 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 Archion and its competitors. For the Farm & Heavy Construction Machinery industry, the median Return-on-Tangible-Equity is 9.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Archion's current Return-on-Tangible-Equity is 153.65%, which is 2699% above median its own 10-year median of 5.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Archion stock overvalued right now?
Archion (NGO:7205) has a current Return-on-Tangible-Equity of 153.65%. The stock's GF Value™ is 円530.54, compared to a current price of 円452.00 — trading 14.8% below its estimated fair value. The current Return-on-Tangible-Equity is 153.65%, which is 2699% above median its 10-year median of 5.49 and 1542.4% above the Farm & Heavy Construction Machinery industry median of 9.36. Archion's overall GF Score™ is 59/100 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 Archion (NGO:7205), the current Return-on-Tangible-Equity is 153.65% as of Jun. 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 Archion (NGO:7205) Overvalued in 2026?
Based on GuruFocus' analysis, Archion stock appears to be undervalued.
The current stock price of 円452.00 is trading 14.8% below its estimated GF Value™ of 円530.54.
Key valuation signals for NGO:7205:
Return-on-Tangible-Equity: 153.65% (2699% above median its 10-year median of 5.49)
GF Value™: 円530.54 vs. price of 円452.00 (14.8% below fair value)
Industry Position: 1542.4% above the Farm & Heavy Construction Machinery median (#8 of 200)
No single metric tells the full story. See the NGO:7205 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Archion Corp operates as a holding company in Japan. The company also offers a comprehensive portfolio of light to heavy-duty vehicles and mobility solutions.
59GF Score
Get the complete analysis for NGO:7205
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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