London City EquitiesASX:LCE 70 Return-on-Tangible-Asset is 1.21% as of Dec. 2025, which is 256% above its 10-year median of 0.34. GuruFocus rates ASX:LCE with a GF Score™ of 70/100 and a GF Value™ of A$1.09 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,635 Asset Management companies, London City Equities ranks worse than 65.87% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. London City Equities's annualizedNet Income for the quarter that ended in Dec. 2025 was A$0.35 Mil. London City Equities's average total tangible assets for the quarter that ended in Dec. 2025 was A$28.99 Mil. Therefore, London City Equities's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 1.21%.
The historical rank and industry rank for London City Equities's Return-on-Tangible-Asset or its related term are showing as below:
ASX:LCE'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -0.18 Med: 0.34 Max: 8.51
Current: 1.35
During the past 13 years, London City Equities's highest Return-on-Tangible-Asset was 8.51%. The lowest was -0.18%. And the median was 0.34%.
ASX:LCE's Return-on-Tangible-Asset is ranked worse than 65.87% of 1635
companies
in the Asset Management industry
Industry Median: 4.14
vs ASX:LCE: 1.35
London City Equities (ASX:LCE) 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 companys 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 companys 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.
London City Equities Return-on-Tangible-Asset Related Terms
London City Equities Return-on-Tangible-Asset Historical Data
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The historical data trend for London City Equities's Return-on-Tangible-Asset 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.
London City Equities Return-on-Tangible-Asset Chart
ASX:LCE vs BLK, BX, KKR: Return-on-Tangible-Asset Comparison
For the Asset Management subindustry, London City Equities'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.
London City Equities Return-on-Tangible-Asset vs Asset Management Industry
For the Asset Management industry and Financial Services sector, London City Equities's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where London City Equities's Return-on-Tangible-Asset 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-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 two times the semi-annual (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of 1.21% mean?
London City Equities (ASX:LCE) has a Return-on-Tangible-Asset of 1.21% as of Dec. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on London City Equities and its competitors. This is 256% above median its historical median of 0.34. According to the industry distribution chart, London City Equities ranks #1077 out of 1635 companies in the Asset Management industry, placing it in the top 65.9%.
Is London City Equities' Return-on-Tangible-Asset too high?
London City Equities' current Return-on-Tangible-Asset of 1.21% is 256% above median its 10-year median of 0.34. The Asset Management industry median Return-on-Tangible-Asset is 4.14. London City Equities' value of 1.21% is 70.8% below this industry median. Based on the distribution chart, London City Equities ranks #1077 out of 1635 companies in the Asset Management industry, which is below the industry midpoint. Overall, London City Equities has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does London City Equities' Return-on-Tangible-Asset compare to BLK and BX?
According to the Asset Management industry distribution chart, London City Equities ranks #1077 out of 1635 companies for Return-on-Tangible-Asset. This places London City Equities in the lower half of its industry. The industry median Return-on-Tangible-Asset is 4.14. London City Equities' value of 1.21% is 70.8% below this benchmark. While the company's 10-year median is 0.34 vs. the industry median of 4.14, London City Equities has consistently been below 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 Return-on-Tangible-Asset for an Asset Management company?
The median Return-on-Tangible-Asset among Asset Management companies is 4.14, based on 1,635 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. London City Equities's current Return-on-Tangible-Asset of 1.21% is 70.8% below 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on London City Equities and its competitors. For the Asset Management industry, the median Return-on-Tangible-Asset is 4.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. London City Equities's current Return-on-Tangible-Asset is 1.21%, which is 256% above median its own 10-year median of 0.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is London City Equities stock overvalued right now?
Based on GuruFocus' analysis, London City Equities (ASX:LCE) is currently considered Modestly Undervalued. The stock's GF Value™ is A$1.09, compared to a current price of A$0.85 — trading 22% below its estimated fair value. The current Return-on-Tangible-Asset is 1.21%, which is 256% above median its 10-year median of 0.34 and 70.8% below the Asset Management industry median of 4.14. London City Equities' overall GF Score™ is 70/100 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-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For London City Equities (ASX:LCE), the current Return-on-Tangible-Asset is 1.21% as of Dec. 2025. 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 London City Equities (ASX:LCE) Overvalued in 2026?
Based on GuruFocus' analysis, London City Equities stock appears to be undervalued.
The current stock price of A$0.85 is trading 22% below its estimated GF Value™ of A$1.09.
GuruFocus considers London City Equities to be Modestly Undervalued.
Key valuation signals for ASX:LCE:
Return-on-Tangible-Asset: 1.21% (256% above median its 10-year median of 0.34)
GF Value™: A$1.09 vs. price of A$0.85 (22% below fair value)
Industry Position: 70.8% below the Asset Management median (#1077 of 1635)
No single metric tells the full story. See the ASX:LCE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
London City Equities Ltd is a holding company engaged in investing in Australian equities with market shares and offering growth. The company focuses on providing shareholders with attractive investment returns over the medium to longer terms by enhancing capital growth and paying dividends that, over time, grow faster than the rate of inflation. Its operating segments are Equity Investment, which is the company's key revenue-generating segment, and Other.
70GF Score
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