SoftBankWBO:SFTC 71 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates WBO:SFTC with a GF Score™ of 71/100 and a GF Value™ of €1.12. The stock has 5 warning signs investors should review. Among 326 Telecommunication Services companies, SoftBank ranks better than 99.69% 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. SoftBank's annualized net income for the quarter that ended in Mar. 2026 was €1,422 Mil. SoftBank's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €-10,193 Mil. Therefore, SoftBank's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was Negative Tangible Equity%.
The historical rank and industry rank for SoftBank's Return-on-Tangible-Equity or its related term are showing as below:
WBO:SFTC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 63.99 Med: 105.6 Max: 147.21
Current: Negative Tangible Equity
During the past 12 years, SoftBank's highest Return-on-Tangible-Equity was 147.21%. The lowest was 63.99%. And the median was 105.60%.
WBO:SFTC's Return-on-Tangible-Equity is ranked better than 99.69% of 326
companies
in the Telecommunication Services industry
Industry Median: 14.005
vs WBO:SFTC: Negative Tangible Equity
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.
SoftBank Return-on-Tangible-Equity Related Terms
SoftBank Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for SoftBank'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.
WBO:SFTC vs TMUS, VZ, T: Return-on-Tangible-Equity Comparison
For the Telecom Services subindustry, SoftBank'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.
SoftBank Return-on-Tangible-Equity vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, SoftBank's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where SoftBank'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 Negative Tangible Equity% mean?
SoftBank (WBO:SFTC) has a Return-on-Tangible-Equity of Negative Tangible Equity% 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 SoftBank and its competitors. Over the past decade, SoftBank's Return-on-Tangible-Equity has ranged from 63.99 to 147.21. According to the industry distribution chart, SoftBank ranks #1 out of 326 companies in the Telecommunication Services industry, placing it in the top 0.3%.
Is SoftBank's Return-on-Tangible-Equity too high?
SoftBank's current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 63.99 to a high of 147.21. Based on the distribution chart, SoftBank ranks #1 out of 326 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, SoftBank has a GF Score™ of 71/100, reflecting its overall financial health beyond just this single metric.
How does SoftBank's Return-on-Tangible-Equity compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, SoftBank ranks #1 out of 326 companies for Return-on-Tangible-Equity. This places SoftBank in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 14.01. Historically, SoftBank's own Return-on-Tangible-Equity has ranged from 63.99 to 147.21 over the past decade. 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 Telecommunication Services company?
The median Return-on-Tangible-Equity among Telecommunication Services companies is 14.01, based on 326 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 SoftBank and its competitors. For the Telecommunication Services industry, the median Return-on-Tangible-Equity is 14.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SoftBank's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SoftBank stock overvalued right now?
SoftBank (WBO:SFTC) has a current Return-on-Tangible-Equity of Negative Tangible Equity%. The stock's GF Value™ is €1.12, compared to a current price of €1.06 — trading 5.6% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. SoftBank's overall GF Score™ is 71/100 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 SoftBank (WBO:SFTC), the current Return-on-Tangible-Equity is Negative Tangible Equity% 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 SoftBank (WBO:SFTC) Overvalued in 2026?
Based on GuruFocus' analysis, SoftBank stock appears to be undervalued.
The current stock price of €1.06 is trading 5.6% below its estimated GF Value™ of €1.12.
No single metric tells the full story. See the WBO:SFTC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SoftBank is an established, telecommunications services provider in Japan owning a mobile network with around 50 million mobile customers and 24% market share. It also provides some fixed line services, which are mostly resold so are low margin. The company also owns 32.4% of LY Corp, and SoftBank and LY Corp each own 32% of PayPay so SoftBank consolidates PayPay. SoftBank Group sold 33.5% of SoftBank Corp in an IPO in 2018 and has since sold down further to a 40% holding.
71GF Score
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