Thinkific LabsTHNCF 71 Return-on-Tangible-Equity is -10.50% as of Mar. 2026. GuruFocus rates THNCF with a GF Score™ of 71/100 and a GF Value™ of $2.52 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 2,468 Software companies, Thinkific Labs ranks worse than 67.91% 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. Thinkific Labs's annualized net income for the quarter that ended in Mar. 2026 was $-4.45 Mil. Thinkific Labs's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $42.37 Mil. Therefore, Thinkific Labs's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -10.50%.
The historical rank and industry rank for Thinkific Labs's Return-on-Tangible-Equity or its related term are showing as below:
THNCF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -41.59 Med: -11.46 Max: 17.84
Current: -0.52
During the past 8 years, Thinkific Labs's highest Return-on-Tangible-Equity was 17.84%. The lowest was -41.59%. And the median was -11.46%.
THNCF's Return-on-Tangible-Equity is ranked worse than 67.91% of 2468
companies
in the Software industry
Industry Median: 8.605
vs THNCF: -0.52
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.
Thinkific Labs Return-on-Tangible-Equity Related Terms
Thinkific Labs Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Thinkific Labs'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.
THNCF vs UBER, SHOP, CRM: Return-on-Tangible-Equity Comparison
For the Software - Application subindustry, Thinkific Labs'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.
Thinkific Labs Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Thinkific Labs's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Thinkific Labs'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 -10.50% mean?
Thinkific Labs (THNCF) has a Return-on-Tangible-Equity of -10.50% 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 Thinkific Labs and its competitors. According to the industry distribution chart, Thinkific Labs ranks #1676 out of 2468 companies in the Software industry, placing it in the top 67.9%.
Is Thinkific Labs' Return-on-Tangible-Equity too high?
Thinkific Labs' current Return-on-Tangible-Equity is -10.50%. Based on the distribution chart, Thinkific Labs ranks #1676 out of 2468 companies in the Software industry, which is below the industry midpoint. Overall, Thinkific Labs has a GF Score™ of 71/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Thinkific Labs' Return-on-Tangible-Equity compare to UBER and SHOP?
According to the Software industry distribution chart, Thinkific Labs ranks #1676 out of 2468 companies for Return-on-Tangible-Equity. This places Thinkific Labs in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.61. 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.61, based on 2,468 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 Thinkific Labs and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Thinkific Labs's current Return-on-Tangible-Equity is -10.50%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Thinkific Labs stock overvalued right now?
Based on GuruFocus' analysis, Thinkific Labs (THNCF) is currently considered Significantly Undervalued. The stock's GF Value™ is $2.52, compared to a current price of $0.93 — trading 62.9% below its estimated fair value. The current Return-on-Tangible-Equity is -10.50%. Thinkific Labs' overall GF Score™ is 71/100 with 4 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 Thinkific Labs (THNCF), the current Return-on-Tangible-Equity is -10.50% 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 Thinkific Labs (THNCF) Overvalued in 2026?
Based on GuruFocus' analysis, Thinkific Labs stock appears to be undervalued.
The current stock price of $0.93 is trading 62.9% below its estimated GF Value™ of $2.52.
GuruFocus considers Thinkific Labs to be Significantly Undervalued.
Key valuation signals for THNCF:
Return-on-Tangible-Equity: -10.50%
GF Value™: $2.52 vs. price of $0.93 (62.9% below fair value)
No single metric tells the full story. See the THNCF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Thinkific Labs Inc is a cloud-based software platform. Its business activity is to provide a learning commerce platform that helps businesses scale and generate revenue through courses, communities, AI and commerce. The company's platform provides its customers with a learning commerce solution that enables them to create new revenue streams, retain customers, and build community through customized courses, membership sites, communities, digital products and other experiences. Its sources of revenue consist of software subscriptions to its cloud-based platform and revenue from payment processing. Geographically, it operates in Canada; United States, generating maximum revenue; and Rest of the World.
71GF Score
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