Polar PowerPOLA +0.56%45 Return-on-Tangible-Equity is -56.20% as of Mar. 2026. GuruFocus rates POLA with a GF Score™ of 45/100 and a GF Value™ of $1.14 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,971 Industrial Products companies, Polar Power ranks worse than 98.79% 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. Polar Power's annualized net income for the quarter that ended in Mar. 2026 was $-0.71 Mil. Polar Power's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $1.27 Mil. Therefore, Polar Power's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -56.20%.
The historical rank and industry rank for Polar Power's Return-on-Tangible-Equity or its related term are showing as below:
POLA'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -211.02 Med: -23.41 Max: 33.99
Current: -204.5
During the past 12 years, Polar Power's highest Return-on-Tangible-Equity was 33.99%. The lowest was -211.02%. And the median was -23.41%.
POLA's Return-on-Tangible-Equity is ranked worse than 98.79% of 2971
companies
in the Industrial Products industry
Industry Median: 6.72
vs POLA: -204.50
Polar Power (NAS:POLA) 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.
Polar Power Return-on-Tangible-Equity Related Terms
Polar Power Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Polar Power'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.
POLA vs XPON, TOGI, PWDY: Return-on-Tangible-Equity Comparison
For the Electrical Equipment & Parts subindustry, Polar Power'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.
Polar Power Return-on-Tangible-Equity vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Polar Power's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Polar Power'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 -56.20% mean?
Polar Power (POLA) has a Return-on-Tangible-Equity of -56.20% 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 Polar Power and its competitors. According to the industry distribution chart, Polar Power ranks #2935 out of 2971 companies in the Industrial Products industry, placing it in the top 98.8%.
Is Polar Power's Return-on-Tangible-Equity too high?
Polar Power's current Return-on-Tangible-Equity is -56.20%. Based on the distribution chart, Polar Power ranks #2935 out of 2971 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Polar Power has a GF Score™ of 45/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Polar Power's Return-on-Tangible-Equity compare to XPON and TOGI?
According to the Industrial Products industry distribution chart, Polar Power ranks #2935 out of 2971 companies for Return-on-Tangible-Equity. This places Polar Power in the lower half of its industry. The industry median Return-on-Tangible-Equity is 6.72. 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 6.72, based on 2,971 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. 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 Polar Power and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Polar Power's current Return-on-Tangible-Equity is -56.20%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Polar Power stock overvalued right now?
Based on GuruFocus' analysis, Polar Power (POLA) is currently considered Significantly Overvalued. The stock's GF Value™ is $1.14, compared to a current price of $1.84 — trading 61.4% above its estimated fair value. The current Return-on-Tangible-Equity is -56.20%. Polar Power's overall GF Score™ is 45/100 with 7 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 Polar Power (POLA), the current Return-on-Tangible-Equity is -56.20% 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 Polar Power (POLA) Overvalued in 2026?
Based on GuruFocus' analysis, Polar Power stock appears to be overvalued.
The current stock price of $1.84 is trading 61.4% above its estimated GF Value™ of $1.14.
GuruFocus considers Polar Power to be Significantly Overvalued.
Key valuation signals for POLA:
Return-on-Tangible-Equity: -56.20%
GF Value™: $1.14 vs. price of $1.84 (61.4% above fair value)
No single metric tells the full story. See the POLA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Polar Power Inc is engaged in designing, manufacturing, and selling DC power generators, renewable energy, and cooling systems for applications in the telecommunications market and, to a lesser extent, in other markets, including military, electric vehicle, marine, and industrial. The company's products include DC generators, backup DC generators, hybrid power systems, Li-Ion battery systems, Marine DC generators, and others. The company's geographical presence is in the United States, Canada, Australia and South Pacific Islands, Other Asia Pacific, Europe and Middle East, United Kingdom, and South Africa.
45GF Score
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