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. The Toro Co's annualized net income for the quarter that ended in Jan. 2024 was $260 Mil. The Toro Co's average shareholder tangible equity for the quarter that ended in Jan. 2024 was $543 Mil. Therefore, The Toro Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jan. 2024 was 47.84%.
The historical rank and industry rank for The Toro Co's Return-on-Tangible-Equity or its related term are showing as below:
TTC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 63.9 Med: 104.93 Max: 180.2
Current: 63.9
During the past 13 years, The Toro Co's highest Return-on-Tangible-Equity was 180.20%. The lowest was 63.90%. And the median was 104.93%.
TTC's Return-on-Tangible-Equity is ranked better than 95.08% of 2924
companies
in the Industrial Products industry
Industry Median: 7.89
vs TTC: 63.90
The Toro Co Return-on-Tangible-Equity Historical Data
The historical data trend for The Toro Co'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.
Competitive Comparison of The Toro Co's Return-on-Tangible-Equity
For the Tools & Accessories subindustry, The Toro Co'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.
The Toro Co's Return-on-Tangible-Equity Distribution in the Industrial Products Industry
For the Industrial Products industry and Industrials sector, The Toro Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where The Toro Co's Return-on-Tangible-Equity falls into.
The Toro Co Return-on-Tangible-Equity Calculation
The Toro Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Oct. 2023 is calculated as
* 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 (Jan. 2024) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
The Toro Co (NYSE:TTC) 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.
The Toro Co Return-on-Tangible-Equity Related Terms
Thank you for viewing the detailed overview of The Toro Co's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.
The Toro Co manufactures turf maintenance and landscaping equipment. The company produces reel and rotary riding products, trim cutting and walking mowers, greens rollers, turf sprayer equipment, underground irrigation systems, heavy-duty walk-behind mowers, and sprinkler systems used for professional turf and landscape maintenance and construction. Its products are marketed through a network of distributors and dealers to predominantly professional users maintaining turfs and sports fields such as golf courses. Its operating segments are Professional which generates a substantial part of its revenue, and Residential segment. The company also produces snow plowers and ice management products. Its key revenue generating market is the United States.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
TTC has been successfully added to your 