Neodecortech SpAFRA:FM2 +0.23%77 ROE % is 24.69% as of Mar. 2026, which is 162% above its 10-year median of 9.43. GuruFocus rates FRA:FM2 with a GF Score™ of 77/100 and a GF Value™ of €3.18 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 280 Forest Products companies, Neodecortech SpA ranks better than 92.14% on this metric.
The historical rank and industry rank for Neodecortech SpA's ROE % or its related term are showing as below:
FRA:FM2'
s ROE % Range Over the Past 10 Years
Min: 3.68 Med: 9.43 Max: 14.2
Current: 14.2
During the past 11 years, Neodecortech SpA's highest ROE % was 14.20%. The lowest was 3.68%. And the median was 9.43%.
FRA:FM2's ROE % is ranked better than 92.14% of 280
companies
in the Forest Products industry
Industry Median: 2.015
vs FRA:FM2: 14.20
Neodecortech SpA (FRA:FM2) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % 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 ROE %s can be extremely high.
Neodecortech SpA ROE % Related Terms
Neodecortech SpA ROE % Historical Data
* Premium members only.
The historical data trend for Neodecortech SpA's ROE % 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.
For the Paper & Paper Products subindustry, Neodecortech SpA's ROE %, along with its competitors' market caps and ROE % 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.
Neodecortech SpA ROE % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Neodecortech SpA's ROE % distribution charts can be found below:
* The bar in red indicates where Neodecortech SpA's ROE % 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 ROE %, the net income of the last fiscal year and the average total shareholder 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.
ROE % is displayed in the 30-year financial page.
Neodecortech SpA (FRA:FM2) has a ROE % of 24.69% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Neodecortech SpA and its competitors. This is 162% above median its historical median of 9.43. Over the past decade, Neodecortech SpA's ROE % has ranged from 3.68 to 14.20. According to the industry distribution chart, Neodecortech SpA ranks #22 out of 280 companies in the Forest Products industry, placing it in the top 7.9%.
Is Neodecortech SpA's ROE % too high?
Neodecortech SpA's current ROE % of 24.69% is 162% above median its 10-year median of 9.43. Over the past 10 years, this metric has ranged from a low of 3.68 to a high of 14.20. The Forest Products industry median ROE % is 2.02. Neodecortech SpA's value of 24.69% is 1125.3% above this industry median. Based on the distribution chart, Neodecortech SpA ranks #22 out of 280 companies in the Forest Products industry, which is in the top quartile — a strong position relative to peers. Overall, Neodecortech SpA has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Neodecortech SpA's ROE % compare to SLVM?
According to the Forest Products industry distribution chart, Neodecortech SpA ranks #22 out of 280 companies for ROE %. This places Neodecortech SpA in the top 8% of its industry — outperforming the majority of peers. The industry median ROE % is 2.02. Neodecortech SpA's value of 24.69% is 1125.3% above this benchmark. Historically, Neodecortech SpA's own ROE % has ranged from 3.68 to 14.20 over the past decade. While the company's 10-year median is 9.43 vs. the industry median of 2.02, Neodecortech SpA 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 ROE % for a Forest Products company?
The median ROE % among Forest Products companies is 2.02, based on 280 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Neodecortech SpA's current ROE % of 24.69% is 1125.3% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Neodecortech SpA and its competitors. For the Forest Products industry, the median ROE % is 2.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Neodecortech SpA's current ROE % is 24.69%, which is 162% above median its own 10-year median of 9.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Neodecortech SpA stock overvalued right now?
Based on GuruFocus' analysis, Neodecortech SpA (FRA:FM2) is currently considered Significantly Overvalued. The stock's GF Value™ is €3.18, compared to a current price of €4.28 — trading 34.6% above its estimated fair value. The current ROE % is 24.69%, which is 162% above median its 10-year median of 9.43 and 1125.3% above the Forest Products industry median of 2.02. Neodecortech SpA's overall GF Score™ is 77/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Neodecortech SpA (FRA:FM2), the current ROE % is 24.69% 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 Neodecortech SpA (FRA:FM2) Overvalued in 2026?
Based on GuruFocus' analysis, Neodecortech SpA stock appears to be overvalued.
The current stock price of €4.28 is trading 34.6% above its estimated GF Value™ of €3.18.
GuruFocus considers Neodecortech SpA to be Significantly Overvalued.
Key valuation signals for FRA:FM2:
ROE %: 24.69% (162% above median its 10-year median of 9.43)
GF Value™: €3.18 vs. price of €4.28 (34.6% above fair value)
Industry Position: 1125.3% above the Forest Products median (#22 of 280)
No single metric tells the full story. See the FRA:FM2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Neodecortech SpA produces and markets decorative paper, decorative papers for furniture, and laminate flooring in the national and international markets. It manufactures decorative papers, printed decorative papers, finish foil, melamine-impregnated papers, printed thermoplastic film, and laminates. Its divisions include the Printed Decorative Paper Division, Decorative Paper Division, and Guarcino Energy Division and NDT China Division. The majority of its revenue is generated from the Decorative Paper Division segment.
77GF Score
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