Bechtle AGXSWX:BC8 77 Return-on-Tangible-Equity is 20.21% as of Mar. 2026, which is 31% below its 10-year median of 29.36. GuruFocus rates XSWX:BC8 with a GF Score™ of 77/100 and a GF Value™ of CHF38.17. The stock has 2 warning signs investors should review. Among 2,474 Software companies, Bechtle AG ranks better than 73.16% 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. Bechtle AG's annualized net income for the quarter that ended in Mar. 2026 was CHF164 Mil. Bechtle AG's average shareholder tangible equity for the quarter that ended in Mar. 2026 was CHF811 Mil. Therefore, Bechtle AG's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 20.21%.
The historical rank and industry rank for Bechtle AG's Return-on-Tangible-Equity or its related term are showing as below:
XSWX:BC8'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 22.91 Med: 29.36 Max: 37.3
Current: 26.19
During the past 13 years, Bechtle AG's highest Return-on-Tangible-Equity was 37.30%. The lowest was 22.91%. And the median was 29.36%.
XSWX:BC8's Return-on-Tangible-Equity is ranked better than 73.16% of 2474
companies
in the Software industry
Industry Median: 8.785
vs XSWX:BC8: 26.19
Bechtle AG (XSWX:BC8) 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.
Bechtle AG Return-on-Tangible-Equity Related Terms
Bechtle AG Return-on-Tangible-Equity Historical Data
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The historical data trend for Bechtle 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.
XSWX:BC8 vs IBM, ACN, FISV: Return-on-Tangible-Equity Comparison
For the Information Technology Services subindustry, Bechtle 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.
Bechtle AG Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Bechtle AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Bechtle 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 (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 20.21% mean?
Bechtle AG (XSWX:BC8) has a Return-on-Tangible-Equity of 20.21% 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 Bechtle AG and its competitors. This is 31% below median its historical median of 29.36. Over the past decade, Bechtle AG's Return-on-Tangible-Equity has ranged from 22.91 to 37.30. According to the industry distribution chart, Bechtle AG ranks #664 out of 2474 companies in the Software industry, placing it in the top 26.8%.
Is Bechtle AG's Return-on-Tangible-Equity too high?
Bechtle AG's current Return-on-Tangible-Equity of 20.21% is 31% below median its 10-year median of 29.36. Over the past 10 years, this metric has ranged from a low of 22.91 to a high of 37.30. The Software industry median Return-on-Tangible-Equity is 8.79. Bechtle AG's value of 20.21% is 130.1% above this industry median. Based on the distribution chart, Bechtle AG ranks #664 out of 2474 companies in the Software industry, which is above the industry midpoint. Overall, Bechtle AG has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does Bechtle AG's Return-on-Tangible-Equity compare to IBM and ACN?
According to the Software industry distribution chart, Bechtle AG ranks #664 out of 2474 companies for Return-on-Tangible-Equity. This puts Bechtle AG in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.79. Bechtle AG's value of 20.21% is 130.1% above this benchmark. Historically, Bechtle AG's own Return-on-Tangible-Equity has ranged from 22.91 to 37.30 over the past decade. While the company's 10-year median is 29.36 vs. the industry median of 8.79, Bechtle AG 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 8.79, based on 2,474 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. Bechtle AG's current Return-on-Tangible-Equity of 20.21% is 130.1% 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 Bechtle AG and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bechtle AG's current Return-on-Tangible-Equity is 20.21%, which is 31% below median its own 10-year median of 29.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bechtle AG stock overvalued right now?
Bechtle AG (XSWX:BC8) has a current Return-on-Tangible-Equity of 20.21%. The stock's GF Value™ is CHF38.17, compared to a current price of CHF28.46 — trading 25.4% below its estimated fair value. The current Return-on-Tangible-Equity is 20.21%, which is 31% below median its 10-year median of 29.36 and 130.1% above the Software industry median of 8.79. Bechtle AG's overall GF Score™ is 77/100 with 2 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 Bechtle AG (XSWX:BC8), the current Return-on-Tangible-Equity is 20.21% 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 Bechtle AG (XSWX:BC8) Overvalued in 2026?
Based on GuruFocus' analysis, Bechtle AG stock appears to be undervalued.
The current stock price of CHF28.46 is trading 25.4% below its estimated GF Value™ of CHF38.17.
Key valuation signals for XSWX:BC8:
Return-on-Tangible-Equity: 20.21% (31% below median its 10-year median of 29.36)
GF Value™: CHF38.17 vs. price of CHF28.46 (25.4% below fair value)
Industry Position: 130.1% above the Software median (#664 of 2474)
No single metric tells the full story. See the XSWX:BC8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bechtle AG is an information technology provider with operations in Germany, Austria, Switzerland, and other European countries. The company's customers are mainly in the industrial, trade, financial, and public sectors. The company operates through four reportable segments; Germany, France, Benelux, and Other Europe. It generates maximum of its revenue from the Germany segment. The company offers its customers IT hardware, software, solutions and services in 14 European countries, with Germany being the main market.
77GF Score
Get the complete analysis for XSWX:BC8
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