VSMR (Verify Smart) Return-on-Tangible-Equity: -360.47% (As of Jun. 2024)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is Verify Smart Return-on-Tangible-Equity?

Verify Smart VSMR Return-on-Tangible-Equity is -360.47% as of Jun. 2024.

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. Verify Smart's annualized net income for the quarter that ended in Jun. 2024 was $-0.78 Mil. Verify Smart's average shareholder tangible equity for the quarter that ended in Jun. 2024 was $0.22 Mil. Therefore, Verify Smart's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2024 was -360.47%.

The historical rank and industry rank for Verify Smart's Return-on-Tangible-Equity or its related term are showing as below:

VSMR's Return-on-Tangible-Equity is not ranked *
in the Software industry.
Industry Median: 9.89
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

Verify Smart  (OTCPK:VSMR) 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.


Verify Smart Return-on-Tangible-Equity Related Terms


Verify Smart Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Verify Smart'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.

Verify Smart Return-on-Tangible-Equity Chart

Verify Smart Annual Data
Trend Jun08 Jun09 Jun10 Jun11 Jun12 Jun17 Jun18 Jun22 Jun23 Jun24
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 -2,293.62 -2,350.00 -403.98 -360.47

Verify Smart Semi-Annual Data
Jun06 Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun17 Jun18 Jun22 Jun23 Jun24
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 -2,293.62 -2,350.00 -403.98 -360.47

VSMR vs MNDO, BMR, CRMZ: Return-on-Tangible-Equity Comparison

For the Software - Application subindustry, Verify Smart'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.


Verify Smart Return-on-Tangible-Equity vs Software Industry

For the Software industry and Technology sector, Verify Smart's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Verify Smart's Return-on-Tangible-Equity falls into.



Verify Smart Return-on-Tangible-Equity Calculation

Verify Smart's annualized Return-on-Tangible-Equity for the fiscal year that ended in Jun. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Jun. 2024 )  (A: Jun. 2023 )(A: Jun. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Jun. 2024 )  (A: Jun. 2023 )(A: Jun. 2024 )
=-0.775/( (0.602+-0.172 )/ 2 )
=-0.775/0.215
=-360.47 %

Verify Smart's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2024 )  (Q: Jun. 2023 )(Q: Jun. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2024 )  (Q: Jun. 2023 )(Q: Jun. 2024 )
=-0.775/( (0.602+-0.172)/ 2 )
=-0.775/0.215
=-360.47 %

* 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 one times the annual (Jun. 2024) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of -360.47% mean?
Verify Smart (VSMR) has a Return-on-Tangible-Equity of -360.47% as of Jun. 2024. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Verify Smart and its competitors.
Is Verify Smart's Return-on-Tangible-Equity too high?
Verify Smart's current Return-on-Tangible-Equity is -360.47%.
How does Verify Smart's Return-on-Tangible-Equity compare to MNDO and BMR?
Verify Smart's Return-on-Tangible-Equity of -360.47% can be compared against companies in the Software industry. The industry median Return-on-Tangible-Equity is 9.89. 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 9.89, based on 2,485 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 Verify Smart and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 9.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Verify Smart's current Return-on-Tangible-Equity is -360.47%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Verify Smart stock overvalued right now?
Verify Smart (VSMR) has a current Return-on-Tangible-Equity of -360.47%. The current Return-on-Tangible-Equity is -360.47%. 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 Verify Smart (VSMR), the current Return-on-Tangible-Equity is -360.47% as of Jun. 2024. 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.

Verify Smart Business Description

Address 40 Hillside Avenue, Mahwah, NJ, USA, 07430
Verify Smart Corp is engaged in the business of developing and selling internet security software for credit card fraud prevention. The Company was originally formed to engage in the acquisition, exploration and development of natural resource properties.