Adyen NVXSWX:ADYEN 89 Return-on-Tangible-Equity is 23.34% as of Dec. 2025, which is 10% below its 10-year median of 26.02. GuruFocus rates XSWX:ADYEN with a GF Score™ of 89/100 and a GF Value™ of CHF1,606.80. The stock has 1 warning sign investors should review. Among 2,470 Software companies, Adyen NV ranks better than 69.51% 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. Adyen NV's annualized net income for the quarter that ended in Dec. 2025 was CHF1,085 Mil. Adyen NV's average shareholder tangible equity for the quarter that ended in Dec. 2025 was CHF4,651 Mil. Therefore, Adyen NV's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 23.34%.
The historical rank and industry rank for Adyen NV's Return-on-Tangible-Equity or its related term are showing as below:
XSWX:ADYEN'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 20.47 Med: 26.02 Max: 35.11
Current: 22.5
During the past 12 years, Adyen NV's highest Return-on-Tangible-Equity was 35.11%. The lowest was 20.47%. And the median was 26.02%.
XSWX:ADYEN's Return-on-Tangible-Equity is ranked better than 69.51% of 2470
companies
in the Software industry
Industry Median: 8.775
vs XSWX:ADYEN: 22.50
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.
Adyen NV Return-on-Tangible-Equity Related Terms
Adyen NV Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Adyen NV'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.
XSWX:ADYEN vs MSFT, ORCL, PLTR: Return-on-Tangible-Equity Comparison
For the Software - Infrastructure subindustry, Adyen NV'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.
Adyen NV Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Adyen NV's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Adyen NV'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 23.34% mean?
Adyen NV (XSWX:ADYEN) has a Return-on-Tangible-Equity of 23.34% 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 Adyen NV and its competitors. This is 10% below median its historical median of 26.02. Over the past decade, Adyen NV's Return-on-Tangible-Equity has ranged from 20.47 to 35.11. According to the industry distribution chart, Adyen NV ranks #753 out of 2470 companies in the Software industry, placing it in the top 30.5%.
Is Adyen NV's Return-on-Tangible-Equity too high?
Adyen NV's current Return-on-Tangible-Equity of 23.34% is 10% below median its 10-year median of 26.02. Over the past 10 years, this metric has ranged from a low of 20.47 to a high of 35.11. The Software industry median Return-on-Tangible-Equity is 8.78. Adyen NV's value of 23.34% is 166% above this industry median. Based on the distribution chart, Adyen NV ranks #753 out of 2470 companies in the Software industry, which is above the industry midpoint. Overall, Adyen NV has a GF Score™ of 89/100, reflecting its overall financial health beyond just this single metric.
How does Adyen NV's Return-on-Tangible-Equity compare to MSFT and ORCL?
According to the Software industry distribution chart, Adyen NV ranks #753 out of 2470 companies for Return-on-Tangible-Equity. This puts Adyen NV in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.78. Adyen NV's value of 23.34% is 166% above this benchmark. Historically, Adyen NV's own Return-on-Tangible-Equity has ranged from 20.47 to 35.11 over the past decade. While the company's 10-year median is 26.02 vs. the industry median of 8.78, Adyen NV 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.78, based on 2,470 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. Adyen NV's current Return-on-Tangible-Equity of 23.34% is 166% 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 Adyen NV and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adyen NV's current Return-on-Tangible-Equity is 23.34%, which is 10% below median its own 10-year median of 26.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adyen NV stock overvalued right now?
Adyen NV (XSWX:ADYEN) has a current Return-on-Tangible-Equity of 23.34%. The stock's GF Value™ is CHF1,606.80, compared to a current price of CHF815.90 — trading 49.2% below its estimated fair value. The current Return-on-Tangible-Equity is 23.34%, which is 10% below median its 10-year median of 26.02 and 166% above the Software industry median of 8.78. Adyen NV's overall GF Score™ is 89/100 with 1 warning sign 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 Adyen NV (XSWX:ADYEN), the current Return-on-Tangible-Equity is 23.34% 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 Adyen NV (XSWX:ADYEN) Overvalued in 2026?
Based on GuruFocus' analysis, Adyen NV stock appears to be undervalued.
The current stock price of CHF815.90 is trading 49.2% below its estimated GF Value™ of CHF1,606.80.
Key valuation signals for XSWX:ADYEN:
Return-on-Tangible-Equity: 23.34% (10% below median its 10-year median of 26.02)
GF Value™: CHF1,606.80 vs. price of CHF815.90 (49.2% below fair value)
Industry Position: 166% above the Software median (#753 of 2470)
No single metric tells the full story. See the XSWX:ADYEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Adyen is a payment company that provides merchants with a single platform to accept e-commerce, mobile, and point-of-sale payments in multiple countries using various payment schemes and methodologies. Adyen started out providing only gateway and payment processing services to merchants but soon expanded into merchant acquiring services as well. Adyen obtained a banking license to improve settlement of merchant accounts.
89GF Score
Get the complete analysis for XSWX:ADYEN
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