Norsk Hydro ASAOSL:NHY +0.26%88 Return-on-Tangible-Equity is 18.08% as of Mar. 2026, which is 168% above its 10-year median of 6.75. GuruFocus rates OSL:NHY with a GF Score™ of 88/100 and a GF Value™ of kr68.28 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 2,376 Metals & Mining companies, Norsk Hydro ASA ranks better than 78.54% 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. Norsk Hydro ASA's annualized net income for the quarter that ended in Mar. 2026 was kr16,944 Mil. Norsk Hydro ASA's average shareholder tangible equity for the quarter that ended in Mar. 2026 was kr93,701 Mil. Therefore, Norsk Hydro ASA's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 18.08%.
The historical rank and industry rank for Norsk Hydro ASA's Return-on-Tangible-Equity or its related term are showing as below:
OSL:NHY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -2.54 Med: 6.75 Max: 28.67
Current: 6.55
During the past 13 years, Norsk Hydro ASA's highest Return-on-Tangible-Equity was 28.67%. The lowest was -2.54%. And the median was 6.75%.
OSL:NHY's Return-on-Tangible-Equity is ranked better than 78.54% of 2376
companies
in the Metals & Mining industry
Industry Median: -16.445
vs OSL:NHY: 6.55
Norsk Hydro ASA (OSL:NHY) 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.
Norsk Hydro ASA Return-on-Tangible-Equity Related Terms
Norsk Hydro ASA Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Norsk Hydro ASA'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.
OSL:NHY vs AA, CENX, CSTM: Return-on-Tangible-Equity Comparison
For the Aluminum subindustry, Norsk Hydro ASA'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.
Norsk Hydro ASA Return-on-Tangible-Equity vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Norsk Hydro ASA's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Norsk Hydro ASA'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 18.08% mean?
Norsk Hydro ASA (OSL:NHY) has a Return-on-Tangible-Equity of 18.08% 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 Norsk Hydro ASA and its competitors. This is 168% above median its historical median of 6.75. According to the industry distribution chart, Norsk Hydro ASA ranks #510 out of 2376 companies in the Metals & Mining industry, placing it in the top 21.5%.
Is Norsk Hydro ASA's Return-on-Tangible-Equity too high?
Norsk Hydro ASA's current Return-on-Tangible-Equity of 18.08% is 168% above median its 10-year median of 6.75. Based on the distribution chart, Norsk Hydro ASA ranks #510 out of 2376 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Norsk Hydro ASA has a GF Score™ of 88/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Norsk Hydro ASA's Return-on-Tangible-Equity compare to AA and CENX?
According to the Metals & Mining industry distribution chart, Norsk Hydro ASA ranks #510 out of 2376 companies for Return-on-Tangible-Equity. This places Norsk Hydro ASA in the top 22% of its industry — outperforming the majority of peers. 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 Metals & Mining company?
A good Return-on-Tangible-Equity depends on the Metals & Mining industry context. 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 Norsk Hydro ASA and its competitors. Norsk Hydro ASA's current Return-on-Tangible-Equity is 18.08%, which is 168% above median its own 10-year median of 6.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Norsk Hydro ASA stock overvalued right now?
Based on GuruFocus' analysis, Norsk Hydro ASA (OSL:NHY) is currently considered Modestly Overvalued. The stock's GF Value™ is kr68.28, compared to a current price of kr85.06 — trading 24.6% above its estimated fair value. The current Return-on-Tangible-Equity is 18.08%, which is 168% above median its 10-year median of 6.75. Norsk Hydro ASA's overall GF Score™ is 88/100 with 2 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 Norsk Hydro ASA (OSL:NHY), the current Return-on-Tangible-Equity is 18.08% 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 Norsk Hydro ASA (OSL:NHY) Overvalued in 2026?
Based on GuruFocus' analysis, Norsk Hydro ASA stock appears to be overvalued.
The current stock price of kr85.06 is trading 24.6% above its estimated GF Value™ of kr68.28.
GuruFocus considers Norsk Hydro ASA to be Modestly Overvalued.
Key valuation signals for OSL:NHY:
Return-on-Tangible-Equity: 18.08% (168% above median its 10-year median of 6.75)
GF Value™: kr68.28 vs. price of kr85.06 (24.6% above fair value)
No single metric tells the full story. See the OSL:NHY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Norsk Hydro ASA is an aluminium and renewable energy company. The company owns and operates businesses and holds investments in sustainable industries. Its operations span multiple market segments, including aluminum, energy, metal recycling, renewable energy, and batteries, providing expertise across these areas. The company's reportable segments are Hydro Bauxite & Alumina, Hydro Energy, Hydro Aluminium Metal and Hydro Extrusions and Hydro Metal Markets activities. The majority of the company's revenue is derived from the Hydro Extrusions segment, which delivers products within extruded profiles, building systems and precision tubing, and operates several recycling facilities, both integrated with its extrusion plants and separate plants.
88GF Score
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