Carl Zeiss Meditec AGXSWX:AFX 80 Return-on-Tangible-Equity is -4.04% as of Dec. 2025. GuruFocus rates XSWX:AFX with a GF Score™ of 80/100 and a GF Value™ of CHF69.46 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 758 Medical Devices & Instruments companies, Carl Zeiss Meditec AG ranks better than 88.79% 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. Carl Zeiss Meditec AG's annualized net income for the quarter that ended in Dec. 2025 was CHF-18 Mil. Carl Zeiss Meditec AG's average shareholder tangible equity for the quarter that ended in Dec. 2025 was CHF452 Mil. Therefore, Carl Zeiss Meditec AG's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was -4.04%.
The historical rank and industry rank for Carl Zeiss Meditec AG's Return-on-Tangible-Equity or its related term are showing as below:
XSWX:AFX'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 12.61 Med: 18.48 Max: 33.77
Current: 29.56
During the past 13 years, Carl Zeiss Meditec AG's highest Return-on-Tangible-Equity was 33.77%. The lowest was 12.61%. And the median was 18.48%.
XSWX:AFX's Return-on-Tangible-Equity is ranked better than 88.79% of 758
companies
in the Medical Devices & Instruments industry
Industry Median: 4.08
vs XSWX:AFX: 29.56
Carl Zeiss Meditec AG (XSWX:AFX) 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.
Carl Zeiss Meditec AG Return-on-Tangible-Equity Related Terms
Carl Zeiss Meditec AG Return-on-Tangible-Equity Historical Data
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The historical data trend for Carl Zeiss Meditec AG'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.
Carl Zeiss Meditec AG Return-on-Tangible-Equity Chart
XSWX:AFX vs ISRG, BDX, MDLN: Return-on-Tangible-Equity Comparison
For the Medical Instruments & Supplies subindustry, Carl Zeiss Meditec AG'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.
Carl Zeiss Meditec AG Return-on-Tangible-Equity vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Carl Zeiss Meditec AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Carl Zeiss Meditec AG'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 (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 -4.04% mean?
Carl Zeiss Meditec AG (XSWX:AFX) has a Return-on-Tangible-Equity of -4.04% 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 Carl Zeiss Meditec AG and its competitors. Over the past decade, Carl Zeiss Meditec AG's Return-on-Tangible-Equity has ranged from 12.61 to 33.77. According to the industry distribution chart, Carl Zeiss Meditec AG ranks #85 out of 758 companies in the Medical Devices & Instruments industry, placing it in the top 11.2%.
Is Carl Zeiss Meditec AG's Return-on-Tangible-Equity too high?
Carl Zeiss Meditec AG's current Return-on-Tangible-Equity is -4.04%. Over the past 10 years, this metric has ranged from a low of 12.61 to a high of 33.77. Based on the distribution chart, Carl Zeiss Meditec AG ranks #85 out of 758 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Carl Zeiss Meditec AG has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Carl Zeiss Meditec AG's Return-on-Tangible-Equity compare to ISRG and BDX?
According to the Medical Devices & Instruments industry distribution chart, Carl Zeiss Meditec AG ranks #85 out of 758 companies for Return-on-Tangible-Equity. This places Carl Zeiss Meditec AG in the top 11% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 4.08. Historically, Carl Zeiss Meditec AG's own Return-on-Tangible-Equity has ranged from 12.61 to 33.77 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 Medical Devices & Instruments company?
The median Return-on-Tangible-Equity among Medical Devices & Instruments companies is 4.08, based on 758 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 Carl Zeiss Meditec AG and its competitors. For the Medical Devices & Instruments industry, the median Return-on-Tangible-Equity is 4.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Carl Zeiss Meditec AG's current Return-on-Tangible-Equity is -4.04%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Carl Zeiss Meditec AG stock overvalued right now?
Based on GuruFocus' analysis, Carl Zeiss Meditec AG (XSWX:AFX) is currently considered Significantly Undervalued. The stock's GF Value™ is CHF69.46, compared to a current price of CHF25.10 — trading 63.9% below its estimated fair value. The current Return-on-Tangible-Equity is -4.04%. Carl Zeiss Meditec AG's overall GF Score™ is 80/100 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 Carl Zeiss Meditec AG (XSWX:AFX), the current Return-on-Tangible-Equity is -4.04% 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 Carl Zeiss Meditec AG (XSWX:AFX) Overvalued in 2026?
Based on GuruFocus' analysis, Carl Zeiss Meditec AG stock appears to be undervalued.
The current stock price of CHF25.10 is trading 63.9% below its estimated GF Value™ of CHF69.46.
GuruFocus considers Carl Zeiss Meditec AG to be Significantly Undervalued.
Key valuation signals for XSWX:AFX:
Return-on-Tangible-Equity: -4.04%
GF Value™: CHF69.46 vs. price of CHF25.10 (63.9% below fair value)
No single metric tells the full story. See the XSWX:AFX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Carl Zeiss Meditec is one of the largest visioncare technology companies in the world, and it operates in two segments: ophthalmic devices and microsurgery. OPT, which made up about 75% of sales in 2025, includes refractive lasers, surgical ophthalmic devices, equipment for ophthalmic diagnostics, as well as a portfolio of intraocular lenses and disposable medical instruments. With a low-teens share of the market, Zeiss is the second-largest player in the space. MCS is composed of implants, surgical instruments, and visualization devices used during neurosurgery, spine surgery, and otolaryngology surgery. With over 60% market share, Zeiss is the clear leader in the microsurgery space.
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