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Leo SystemsROCO:5410 -0.14%63 Return-on-Tangible-Equity is 14.46% as of Dec. 2025, which is 1% below its 10-year median of 14.68. GuruFocus rates ROCO:5410 with a GF Score™ of 63/100 and a GF Value™ of NT$27.11 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 2,384 Hardware companies, Leo Systems ranks better than 79.32% 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. Leo Systems's annualized net income for the quarter that ended in Dec. 2025 was NT$205 Mil. Leo Systems's average shareholder tangible equity for the quarter that ended in Dec. 2025 was NT$1,418 Mil. Therefore, Leo Systems's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 14.46%.
The historical rank and industry rank for Leo Systems's Return-on-Tangible-Equity or its related term are showing as below:
ROCO:5410'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 10.8 Med: 14.68 Max: 22.31
Current: 15.52
During the past 13 years, Leo Systems's highest Return-on-Tangible-Equity was 22.31%. The lowest was 10.80%. And the median was 14.68%.
ROCO:5410's Return-on-Tangible-Equity is ranked better than 79.32% of 2384
companies
in the Hardware industry
Industry Median: 5.32
vs ROCO:5410: 15.52
Leo Systems (ROCO:5410) 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.
Leo Systems Return-on-Tangible-Equity Related Terms
Leo Systems Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Leo Systems'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.
ROCO:5410 vs SNDK, DELL, STX: Return-on-Tangible-Equity Comparison
For the Computer Hardware subindustry, Leo Systems'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.
Leo Systems Return-on-Tangible-Equity vs Hardware Industry
For the Hardware industry and Technology sector, Leo Systems's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Leo Systems'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 (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 14.46% mean?
Leo Systems (ROCO:5410) has a Return-on-Tangible-Equity of 14.46% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Leo Systems and its competitors. This is near median its historical median of 14.68. Over the past decade, Leo Systems' Return-on-Tangible-Equity has ranged from 10.80 to 22.31. According to the industry distribution chart, Leo Systems ranks #493 out of 2384 companies in the Hardware industry, placing it in the top 20.7%.
Is Leo Systems' Return-on-Tangible-Equity too high?
Leo Systems' current Return-on-Tangible-Equity of 14.46% is near median its 10-year median of 14.68. Over the past 10 years, this metric has ranged from a low of 10.80 to a high of 22.31. The Hardware industry median Return-on-Tangible-Equity is 5.32. Leo Systems' value of 14.46% is 171.8% above this industry median. Based on the distribution chart, Leo Systems ranks #493 out of 2384 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Leo Systems has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Leo Systems' Return-on-Tangible-Equity compare to SNDK and DELL?
According to the Hardware industry distribution chart, Leo Systems ranks #493 out of 2384 companies for Return-on-Tangible-Equity. This places Leo Systems in the top 21% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.32. Leo Systems' value of 14.46% is 171.8% above this benchmark. Historically, Leo Systems' own Return-on-Tangible-Equity has ranged from 10.80 to 22.31 over the past decade. While the company's 10-year median is 14.68 vs. the industry median of 5.32, Leo Systems has consistently been above 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 5.32, based on 2,384 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. Leo Systems's current Return-on-Tangible-Equity of 14.46% is 171.8% 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 Leo Systems and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 5.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Leo Systems's current Return-on-Tangible-Equity is 14.46%, which is near median its own 10-year median of 14.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Leo Systems stock overvalued right now?
Based on GuruFocus' analysis, Leo Systems (ROCO:5410) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$27.11, compared to a current price of NT$36.80 — trading 35.7% above its estimated fair value. The current Return-on-Tangible-Equity is 14.46%, which is near median its 10-year median of 14.68 and 171.8% above the Hardware industry median of 5.32. Leo Systems' overall GF Score™ is 63/100 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 Leo Systems (ROCO:5410), the current Return-on-Tangible-Equity is 14.46% as of Dec. 2025. 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 Leo Systems (ROCO:5410) Overvalued in 2026?
Based on GuruFocus' analysis, Leo Systems stock appears to be overvalued.
The current stock price of NT$36.80 is trading 35.7% above its estimated GF Value™ of NT$27.11.
GuruFocus considers Leo Systems to be Significantly Overvalued.
Key valuation signals for ROCO:5410:
Return-on-Tangible-Equity: 14.46% (near median its 10-year median of 14.68)
GF Value™: NT$27.11 vs. price of NT$36.80 (35.7% above fair value)
Industry Position: 171.8% above the Hardware median (#493 of 2384)
No single metric tells the full story. See the ROCO:5410 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Leo Systems Inc is mainly engaged in the sales of information software and hardware products, software planning and design, computer hardware maintenance services, and system integration. The company's ,main business and products includes Sales of personal computer, Innovation of technology application and creation of operation service, Information integration service, Design and planning of construction, Investment business. The company has single reportable segment. The company's operation were mainly located in Taiwan.
63GF Score
Get the complete analysis for ROCO:5410
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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