Hochtief AGXSWX:HOT 73 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates XSWX:HOT with a GF Score™ of 73/100 and a GF Value™ of CHF144.65 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 1,704 Construction companies, Hochtief AG ranks better than 99.94% 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. Hochtief AG's annualized net income for the quarter that ended in Mar. 2026 was CHF765 Mil. Hochtief AG's average shareholder tangible equity for the quarter that ended in Mar. 2026 was CHF-1,997 Mil. Therefore, Hochtief AG'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 Hochtief AG's Return-on-Tangible-Equity or its related term are showing as below:
XSWX:HOT'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 36.58 Med: 366.9 Max: 697.21
Current: Negative Tangible Equity
During the past 13 years, Hochtief AG's highest Return-on-Tangible-Equity was 697.21%. The lowest was 36.58%. And the median was 366.90%.
XSWX:HOT's Return-on-Tangible-Equity is ranked better than 99.94% of 1704
companies
in the Construction industry
Industry Median: 8.245
vs XSWX:HOT: Negative Tangible Equity
Hochtief AG (XSWX:HOT) 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.
Hochtief AG Return-on-Tangible-Equity Related Terms
Hochtief AG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Hochtief 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:HOT vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, Hochtief 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.
Hochtief AG Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, Hochtief AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Hochtief 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 Negative Tangible Equity% mean?
Hochtief AG (XSWX:HOT) 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 Hochtief AG and its competitors. Over the past decade, Hochtief AG's Return-on-Tangible-Equity has ranged from 36.58 to 697.21. According to the industry distribution chart, Hochtief AG ranks #1 out of 1704 companies in the Construction industry, placing it in the top 0.099999999999994%.
Is Hochtief AG's Return-on-Tangible-Equity too high?
Hochtief AG's current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 36.58 to a high of 697.21. Based on the distribution chart, Hochtief AG ranks #1 out of 1704 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Hochtief AG has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hochtief AG's Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Hochtief AG ranks #1 out of 1704 companies for Return-on-Tangible-Equity. This places Hochtief AG in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.25. Historically, Hochtief AG's own Return-on-Tangible-Equity has ranged from 36.58 to 697.21 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.25, based on 1,704 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 Hochtief AG and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hochtief AG'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 Hochtief AG stock overvalued right now?
Based on GuruFocus' analysis, Hochtief AG (XSWX:HOT) is currently considered Significantly Overvalued. The stock's GF Value™ is CHF144.65, compared to a current price of CHF460.00 — trading 218% above its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Hochtief AG's overall GF Score™ is 73/100 with 8 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 Hochtief AG (XSWX:HOT), 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 Hochtief AG (XSWX:HOT) Overvalued in 2026?
Based on GuruFocus' analysis, Hochtief AG stock appears to be overvalued.
The current stock price of CHF460.00 is trading 218% above its estimated GF Value™ of CHF144.65.
GuruFocus considers Hochtief AG to be Significantly Overvalued.
No single metric tells the full story. See the XSWX:HOT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hochtief AG develops and constructs building and infrastructure projects. It works on complex projects in transportation, energy, urban infrastructure, and mining markets. It expands transportation networks with roads, bridges, and tunnels, or designs and constructs office buildings, hospitals, and power plants. The company leans on expertise and technical know-how in developing, financing, building, and operating in designated business areas. Also, it will partner with external groups to work on specific components of a project. Its regional divisions are Americas, Asia Pacific, and Europe. The Americas and the Asia Pacific account for the majority of sales and are where the company's assets are located.
73GF Score
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