Sonova Holding AGXSWX:SOON +1.98%88 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates XSWX:SOON with a GF Score™ of 88/100 and a GF Value™ of CHF250.00 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 757 Medical Devices & Instruments companies, Sonova Holding AG ranks better than 99.87% 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. Sonova Holding AG's annualized net income for the quarter that ended in Mar. 2026 was CHF484 Mil. Sonova Holding AG's average shareholder tangible equity for the quarter that ended in Mar. 2026 was CHF-203 Mil. Therefore, Sonova Holding 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 Sonova Holding AG's Return-on-Tangible-Equity or its related term are showing as below:
XSWX:SOON'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 219.59 Med: 219.59 Max: 219.59
Current: Negative Tangible Equity
During the past 13 years, Sonova Holding AG's highest Return-on-Tangible-Equity was 219.59%. The lowest was 219.59%. And the median was 219.59%.
XSWX:SOON's Return-on-Tangible-Equity is ranked better than 99.87% of 757
companies
in the Medical Devices & Instruments industry
Industry Median: 4.09
vs XSWX:SOON: Negative Tangible Equity
Sonova Holding AG (XSWX:SOON) 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.
Sonova Holding AG Return-on-Tangible-Equity Related Terms
Sonova Holding AG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Sonova Holding 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:SOON vs ABT, SYK, MDT: Return-on-Tangible-Equity Comparison
For the Medical Devices subindustry, Sonova Holding 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.
Sonova Holding AG Return-on-Tangible-Equity vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Sonova Holding AG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Sonova Holding 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 two times the semi-annual (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?
Sonova Holding AG (XSWX:SOON) 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 Sonova Holding AG and its competitors. Over the past decade, Sonova Holding AG's Return-on-Tangible-Equity has ranged from 219.59 to 219.59. According to the industry distribution chart, Sonova Holding AG ranks #1 out of 757 companies in the Medical Devices & Instruments industry, placing it in the top 0.099999999999994%.
Is Sonova Holding AG's Return-on-Tangible-Equity too high?
Sonova Holding AG's current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 219.59 to a high of 219.59. Based on the distribution chart, Sonova Holding AG ranks #1 out of 757 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Sonova Holding AG has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sonova Holding AG's Return-on-Tangible-Equity compare to ABT and SYK?
According to the Medical Devices & Instruments industry distribution chart, Sonova Holding AG ranks #1 out of 757 companies for Return-on-Tangible-Equity. This places Sonova Holding AG in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 4.09. Historically, Sonova Holding AG's own Return-on-Tangible-Equity has ranged from 219.59 to 219.59 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 4.09, based on 757 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 Sonova Holding AG and its competitors. For the Medical Devices & Instruments industry, the median Return-on-Tangible-Equity is 4.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sonova Holding 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 Sonova Holding AG stock overvalued right now?
Based on GuruFocus' analysis, Sonova Holding AG (XSWX:SOON) is currently considered Modestly Undervalued. The stock's GF Value™ is CHF250.00, compared to a current price of CHF195.90 — trading 21.6% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Sonova Holding AG's overall GF Score™ is 88/100 with 3 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 Sonova Holding AG (XSWX:SOON), 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 Sonova Holding AG (XSWX:SOON) Overvalued in 2026?
Based on GuruFocus' analysis, Sonova Holding AG stock appears to be undervalued.
The current stock price of CHF195.90 is trading 21.6% below its estimated GF Value™ of CHF250.00.
GuruFocus considers Sonova Holding AG to be Modestly Undervalued.
No single metric tells the full story. See the XSWX:SOON stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sonova is one of the world's largest manufacturers and distributors of hearing aids. The company is based in Switzerland and distributes its products in more than 100 countries through its internal sales team and independent retailers. It also sells cochlear implants and audio technologies.
88GF Score
Get the complete analysis for XSWX:SOON
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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