Applied Digital (Applied Digital) Return-on-Tangible-Asset : -44.73% (As of Feb. 2024)

Applied Digital Return-on-Tangible-Asset Chart

Applied Digital Annual Data
	Trend	May03	May04	May05	May06	May07	May08	May20	May21	May22	May23
Return-on-Tangible-Asset		Get a 7-Day Free Trial					-127.84	-21.97	-3.77	-34.84	-23.26

Applied Digital Quarterly Data
	May08	Aug08	Nov08	Feb09	May20	Aug20	Nov20	Feb21	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23	May23	Aug23	Nov23	Feb24
Return-on-Tangible-Asset	Get a 7-Day Free Trial															-14.98	-10.98	-14.95	-10.15	-44.73

Competitive Comparison of Applied Digital's Return-on-Tangible-Asset

For the Capital Markets subindustry, Applied Digital's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.

Applied Digital's Return-on-Tangible-Asset Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Applied Digital's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Applied Digital's Return-on-Tangible-Asset falls into.

Applied Digital Return-on-Tangible-Asset Calculation

Applied Digital's annualized Return-on-Tangible-Asset for the fiscal year that ended in May. 2023 is calculated as:

Applied Digital's annualized Return-on-Tangible-Asset for the quarter that ended in Feb. 2024 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-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Feb. 2024) net income data.

Applied Digital  (NAS:APLD) Return-on-Tangible-Asset Explanation

Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.

Be Aware

Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the company’s earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a company’s tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.

Applied Digital Return-on-Tangible-Asset Related Terms

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Applied Digital (Applied Digital) Business Description