SomnoMedSOMNF 51 Return-on-Tangible-Equity is 6.00% as of Dec. 2025. GuruFocus rates SOMNF with a GF Score™ of 51/100 and a GF Value™ of $0.40 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 759 Medical Devices & Instruments companies, SomnoMed ranks worse than 66.8% 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. SomnoMed's annualized net income for the quarter that ended in Dec. 2025 was $1.05 Mil. SomnoMed's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $17.53 Mil. Therefore, SomnoMed's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 6.00%.
The historical rank and industry rank for SomnoMed's Return-on-Tangible-Equity or its related term are showing as below:
SOMNF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -89.51 Med: -19.2 Max: 0.83
Current: -9.54
During the past 13 years, SomnoMed's highest Return-on-Tangible-Equity was 0.83%. The lowest was -89.51%. And the median was -19.20%.
SOMNF's Return-on-Tangible-Equity is ranked worse than 66.8% of 759
companies
in the Medical Devices & Instruments industry
Industry Median: 4.07
vs SOMNF: -9.54
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.
SomnoMed Return-on-Tangible-Equity Related Terms
SomnoMed Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for SomnoMed'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.
SOMNF vs ABT, SYK, MDT: Return-on-Tangible-Equity Comparison
For the Medical Devices subindustry, SomnoMed'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.
SomnoMed Return-on-Tangible-Equity vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, SomnoMed's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where SomnoMed'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 two times the semi-annual (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 6.00% mean?
SomnoMed (SOMNF) has a Return-on-Tangible-Equity of 6.00% 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 SomnoMed and its competitors. According to the industry distribution chart, SomnoMed ranks #507 out of 759 companies in the Medical Devices & Instruments industry, placing it in the top 66.8%.
Is SomnoMed's Return-on-Tangible-Equity too high?
SomnoMed's current Return-on-Tangible-Equity is 6.00%. The Medical Devices & Instruments industry median Return-on-Tangible-Equity is 4.07. SomnoMed's value of 6.00% is 47.4% above this industry median. Based on the distribution chart, SomnoMed ranks #507 out of 759 companies in the Medical Devices & Instruments industry, which is below the industry midpoint. Overall, SomnoMed has a GF Score™ of 51/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SomnoMed's Return-on-Tangible-Equity compare to ABT and SYK?
According to the Medical Devices & Instruments industry distribution chart, SomnoMed ranks #507 out of 759 companies for Return-on-Tangible-Equity. This places SomnoMed in the lower half of its industry. The industry median Return-on-Tangible-Equity is 4.07. SomnoMed's value of 6.00% is 47.4% 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 Medical Devices & Instruments company?
The median Return-on-Tangible-Equity among Medical Devices & Instruments companies is 4.07, based on 759 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. SomnoMed's current Return-on-Tangible-Equity of 6.00% is 47.4% 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 SomnoMed and its competitors. For the Medical Devices & Instruments industry, the median Return-on-Tangible-Equity is 4.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SomnoMed's current Return-on-Tangible-Equity is 6.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SomnoMed stock overvalued right now?
Based on GuruFocus' analysis, SomnoMed (SOMNF) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.40, compared to a current price of $0.45 — trading 12% above its estimated fair value. The current Return-on-Tangible-Equity is 6.00% and 47.4% above the Medical Devices & Instruments industry median of 4.07. SomnoMed's overall GF Score™ is 51/100 with 3 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 SomnoMed (SOMNF), the current Return-on-Tangible-Equity is 6.00% 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 SomnoMed (SOMNF) Overvalued in 2026?
Based on GuruFocus' analysis, SomnoMed stock appears to be overvalued.
The current stock price of $0.45 is trading 12% above its estimated GF Value™ of $0.40.
GuruFocus considers SomnoMed to be Significantly Overvalued.
Key valuation signals for SOMNF:
Return-on-Tangible-Equity: 6.00%
GF Value™: $0.40 vs. price of $0.45 (12% above fair value)
Industry Position: 47.4% above the Medical Devices & Instruments median (#507 of 759)
No single metric tells the full story. See the SOMNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SomnoMed Ltd provides treatment solutions for sleep-related breathing disorders, including obstructive sleep apnea, snoring, and bruxism. It is engaged in commercializing SomnoDent Mandibular Advancement Splint (MAS) and other oral devices for sleep-related disorders in Australia and overseas. The other products in the company's portfolio include SomMorning Repositioner; SomnoBrux splint, a custom-fit, acrylic splint (dental guard) for upper teeth designed to protect teeth from grinding and scraping during Bruxism; and SomTabs cleaning tablets that have been developed to clean oral appliances. Geographically, the company generates maximum revenue from Europe, followed by North America and the Asia Pacific region.
51GF Score
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