Optical CableOCC -10.61%46 Return-on-Tangible-Equity is 19.92% as of Apr. 2026. GuruFocus rates OCC with a GF Score™ of 46/100 and a GF Value™ of $3.21 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 2,379 Hardware companies, Optical Cable ranks worse than 51.62% 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. Optical Cable's annualized net income for the quarter that ended in Apr. 2026 was $4.22 Mil. Optical Cable's average shareholder tangible equity for the quarter that ended in Apr. 2026 was $21.19 Mil. Therefore, Optical Cable's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 was 19.92%.
The historical rank and industry rank for Optical Cable's Return-on-Tangible-Equity or its related term are showing as below:
OCC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -34.8 Med: -7.05 Max: 36.57
Current: 4.89
During the past 13 years, Optical Cable's highest Return-on-Tangible-Equity was 36.57%. The lowest was -34.80%. And the median was -7.05%.
OCC's Return-on-Tangible-Equity is ranked worse than 51.62% of 2379
companies
in the Hardware industry
Industry Median: 5.26
vs OCC: 4.89
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.
Optical Cable Return-on-Tangible-Equity Related Terms
Optical Cable Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Optical Cable'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.
OCC vs INSG, AMPG, WATT: Return-on-Tangible-Equity Comparison
For the Communication Equipment subindustry, Optical Cable'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.
Optical Cable Return-on-Tangible-Equity vs Hardware Industry
For the Hardware industry and Technology sector, Optical Cable's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Optical Cable'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 (Apr. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 19.92% mean?
Optical Cable (OCC) has a Return-on-Tangible-Equity of 19.92% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Optical Cable and its competitors. According to the industry distribution chart, Optical Cable ranks #1228 out of 2379 companies in the Hardware industry, placing it in the top 51.6%.
Is Optical Cable's Return-on-Tangible-Equity too high?
Optical Cable's current Return-on-Tangible-Equity is 19.92%. The Hardware industry median Return-on-Tangible-Equity is 5.26. Optical Cable's value of 19.92% is 278.7% above this industry median. Based on the distribution chart, Optical Cable ranks #1228 out of 2379 companies in the Hardware industry, which is below the industry midpoint. Overall, Optical Cable has a GF Score™ of 46/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Optical Cable's Return-on-Tangible-Equity compare to INSG and AMPG?
According to the Hardware industry distribution chart, Optical Cable ranks #1228 out of 2379 companies for Return-on-Tangible-Equity. This places Optical Cable in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.26. Optical Cable's value of 19.92% is 278.7% 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 5.26, based on 2,379 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. Optical Cable's current Return-on-Tangible-Equity of 19.92% is 278.7% 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 Optical Cable and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 5.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Optical Cable's current Return-on-Tangible-Equity is 19.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Optical Cable stock overvalued right now?
Based on GuruFocus' analysis, Optical Cable (OCC) is currently considered Significantly Overvalued. The stock's GF Value™ is $3.21, compared to a current price of $16.00 — trading 398.4% above its estimated fair value. The current Return-on-Tangible-Equity is 19.92% and 278.7% above the Hardware industry median of 5.26. Optical Cable's overall GF Score™ is 46/100 with 1 warning sign 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 Optical Cable (OCC), the current Return-on-Tangible-Equity is 19.92% as of Apr. 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 Optical Cable (OCC) Overvalued in 2026?
Based on GuruFocus' analysis, Optical Cable stock appears to be overvalued.
The current stock price of $16.00 is trading 398.4% above its estimated GF Value™ of $3.21.
GuruFocus considers Optical Cable to be Significantly Overvalued.
Key valuation signals for OCC:
Return-on-Tangible-Equity: 19.92%
GF Value™: $3.21 vs. price of $16.00 (398.4% above fair value)
Industry Position: 278.7% above the Hardware median (#1228 of 2379)
No single metric tells the full story. See the OCC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Optical Cable Corp manufactures a broad range of fiber optic and copper data communication cabling and connectivity solutions for the enterprise, wireless carrier, and specialty markets. The Company offers high quality products that operate as a system solution or integrate with other components, including fiber, copper, hybrid cabling, cabinets, racks, enclosures, and deployable solutions for enterprise networks, data centers, residential, campus, Passive Optical LAN installations, and customized applications in military, industrial, mining, petrochemical, renewable energy, and broadcast industries. It operates a single reportable segment covering the design, development, manufacture, and marketing of its cabling and connectivity solutions.
46GF Score
Get the complete analysis for OCC
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
OCC has been successfully added to your 
