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NTGR (Netgear) Return-on-Tangible-Equity : -4.81% (As of Mar. 2025)


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What is Netgear Return-on-Tangible-Equity?

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. Netgear's annualized net income for the quarter that ended in Mar. 2025 was $-24.1 Mil. Netgear's average shareholder tangible equity for the quarter that ended in Mar. 2025 was $501.4 Mil. Therefore, Netgear's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was -4.81%.

The historical rank and industry rank for Netgear's Return-on-Tangible-Equity or its related term are showing as below:

NTGR' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -19.36   Med: 3.94   Max: 12.12
Current: 5.17

During the past 13 years, Netgear's highest Return-on-Tangible-Equity was 12.12%. The lowest was -19.36%. And the median was 3.94%.

NTGR's Return-on-Tangible-Equity is ranked worse than
51.35% of 2339 companies
in the Hardware industry
Industry Median: 5.54 vs NTGR: 5.17

Netgear Return-on-Tangible-Equity Historical Data

The historical data trend for Netgear'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.

* Premium members only.

Netgear Return-on-Tangible-Equity Chart

Netgear Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.39 8.10 -11.52 -19.36 2.46

Netgear Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -15.31 -40.24 72.62 -6.98 -4.81

Competitive Comparison of Netgear's Return-on-Tangible-Equity

For the Communication Equipment subindustry, Netgear'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.


Netgear's Return-on-Tangible-Equity Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Netgear's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Netgear's Return-on-Tangible-Equity falls into.


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Netgear Return-on-Tangible-Equity Calculation

Netgear's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=12.363/( (499.216+504.787 )/ 2 )
=12.363/502.0015
=2.46 %

Netgear's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=-24.136/( (504.787+497.964)/ 2 )
=-24.136/501.3755
=-4.81 %

* 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. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Netgear  (NAS:NTGR) 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.


Netgear Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Netgear's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Netgear Business Description

Industry
Traded in Other Exchanges
Address
350 East Plumeria Drive, San Jose, CA, USA, 95134
Netgear Inc provider of networking technologies for businesses, homes, and service providers. It delivers a wide range of intelligent solutions designed to unleash the full potential of connectivity. The group has two segments: NETGEAR for Business and Connected Home which offers reliable, easy-to-use, high-performance networking solutions, including switches, routers, access points, software, and AV over IP technologies, tailored to meet the diverse needs of organizations of all sizes. The Connected Home segment offers connectivity, powerful performance, and enhanced security features right out of the box, designed to help keep families safe online, and Others. It conduct business across three geographic territories: Americas; Europe, Middle East and Africa; and Asia Pacific.
Executives
Murray Bryan officer: CFO 350 E. PLUMERIA DR., SAN JOSE CA 95134
Thomas H Waechter director
Shravan Goli director 1040 AVENUE OF THE AMERICAS, NEW YORK NY 10016
Sarah Butterfass director 350 E. PLUMERIA DR., SAN JOSE CA 95134
Heidi Cormack officer: SVP, Marketing 350 E. PLUMERIA DR., SAN JOSE CA 95134
Michael A Werdann officer: SVP of Worldwide Sales 4500 GREAT AMERICAN PARKWAY, C/O NETGEAR INC, SANTA CLARA CA 95054
Martin Westhead officer: CTO 350 E. PLUMERIA DR., SAN JOSE CA 95134
Andrew Wonki Kim officer: SVP, Legal and Corp. Dev. 892 RUSSET DR., SUNNYVALE CA 94087
Vikram Mehta officer: SVP, CBU 350 E. PLUMERIA DR., SAN JOSE CA 95134
Laura Durr director C/O XPERI HOLDING CORPORATION, 3025 ORCHARD PARKWAY, SAN JOSE CA 95134
Mark G Merrill officer: Chief Technology Officer
Patrick Cs Lo director, officer: Chairman and CEO
David John Henry officer: SVP, Home Networking 350 E. PLUMERIA DR., SAN JOSE CA 95134
Michael F Falcon officer: SVP, Operations
Tamesa Rogers officer: SVP, Human Resources 350 EAST PLUMERIA DR, SAN JOSE CA 95134