Ponsse OyjPSSEF 79 Return-on-Tangible-Equity is 3.40% as of Mar. 2026, which is 83% below its 10-year median of 19.68. GuruFocus rates PSSEF with a GF Score™ of 79/100 and a GF Value™ of $25.89 (Fairly Valued). The stock has 5 warning signs investors should review. Among 199 Farm & Heavy Construction Machinery companies, Ponsse Oyj ranks worse than 59.3% 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. Ponsse Oyj's annualized net income for the quarter that ended in Mar. 2026 was $11.5 Mil. Ponsse Oyj's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $338.5 Mil. Therefore, Ponsse Oyj's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.40%.
The historical rank and industry rank for Ponsse Oyj's Return-on-Tangible-Equity or its related term are showing as below:
PSSEF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 4.68 Med: 19.68 Max: 41.16
Current: 6.56
During the past 13 years, Ponsse Oyj's highest Return-on-Tangible-Equity was 41.16%. The lowest was 4.68%. And the median was 19.68%.
PSSEF's Return-on-Tangible-Equity is ranked worse than 59.3% of 199
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 9.27
vs PSSEF: 6.56
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.
Ponsse Oyj Return-on-Tangible-Equity Related Terms
Ponsse Oyj Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Ponsse Oyj'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.
PSSEF vs CAT, DE, PCAR: Return-on-Tangible-Equity Comparison
For the Farm & Heavy Construction Machinery subindustry, Ponsse Oyj'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.
Ponsse Oyj Return-on-Tangible-Equity vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Ponsse Oyj's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Ponsse Oyj'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 3.40% mean?
Ponsse Oyj (PSSEF) has a Return-on-Tangible-Equity of 3.40% 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 Ponsse Oyj and its competitors. This is 83% below median its historical median of 19.68. Over the past decade, Ponsse Oyj's Return-on-Tangible-Equity has ranged from 4.68 to 41.16. According to the industry distribution chart, Ponsse Oyj ranks #118 out of 199 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 59.3%.
Is Ponsse Oyj's Return-on-Tangible-Equity too high?
Ponsse Oyj's current Return-on-Tangible-Equity of 3.40% is 83% below median its 10-year median of 19.68. Over the past 10 years, this metric has ranged from a low of 4.68 to a high of 41.16. The Farm & Heavy Construction Machinery industry median Return-on-Tangible-Equity is 9.27. Ponsse Oyj's value of 3.40% is 63.3% below this industry median. Based on the distribution chart, Ponsse Oyj ranks #118 out of 199 companies in the Farm & Heavy Construction Machinery industry, which is below the industry midpoint. Overall, Ponsse Oyj has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ponsse Oyj's Return-on-Tangible-Equity compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Ponsse Oyj ranks #118 out of 199 companies for Return-on-Tangible-Equity. This places Ponsse Oyj in the lower half of its industry. The industry median Return-on-Tangible-Equity is 9.27. Ponsse Oyj's value of 3.40% is 63.3% below this benchmark. Historically, Ponsse Oyj's own Return-on-Tangible-Equity has ranged from 4.68 to 41.16 over the past decade. While the company's 10-year median is 19.68 vs. the industry median of 9.27, Ponsse Oyj has consistently been below 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 9.27, based on 199 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. Ponsse Oyj's current Return-on-Tangible-Equity of 3.40% is 63.3% below 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 Ponsse Oyj and its competitors. For the Farm & Heavy Construction Machinery industry, the median Return-on-Tangible-Equity is 9.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ponsse Oyj's current Return-on-Tangible-Equity is 3.40%, which is 83% below median its own 10-year median of 19.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ponsse Oyj stock overvalued right now?
Based on GuruFocus' analysis, Ponsse Oyj (PSSEF) is currently considered Fairly Valued. The stock's GF Value™ is $25.89, compared to a current price of $26.55 — trading 2.5% above its estimated fair value. The current Return-on-Tangible-Equity is 3.40%, which is 83% below median its 10-year median of 19.68 and 63.3% below the Farm & Heavy Construction Machinery industry median of 9.27. Ponsse Oyj's overall GF Score™ is 79/100 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 Ponsse Oyj (PSSEF), the current Return-on-Tangible-Equity is 3.40% 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 Ponsse Oyj (PSSEF) Overvalued in 2026?
Based on GuruFocus' analysis, Ponsse Oyj stock appears to be overvalued.
The current stock price of $26.55 is trading 2.5% above its estimated GF Value™ of $25.89.
GuruFocus considers Ponsse Oyj to be Fairly Valued.
Key valuation signals for PSSEF:
Return-on-Tangible-Equity: 3.40% (83% below median its 10-year median of 19.68)
GF Value™: $25.89 vs. price of $26.55 (2.5% above fair value)
Industry Position: 63.3% below the Farm & Heavy Construction Machinery median (#118 of 199)
No single metric tells the full story. See the PSSEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ponsse Oyj is engaged in the development, manufacture, sales, design, and servicing of forest machines, other metal products, machine control systems, vehicle PC equipment, and different types of separate systems and software. The company's products include harvesters, forwarders, dual machines, harvester heads, cranes and loaders, information systems, and simulators. The company divides its business activities into four geographical operating segments: Nordic countries and the Baltics, Central and Southern Europe, South America, North America, Asia, Australia, and Africa. The Nordic countries and the Baltics are its key revenue-generating markets.
79GF Score
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