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The historical rank and industry rank for Al-Arabiya Real Estate Co KSC's Return-on-Tangible-Asset or its related term are showing as below:
KUW:ARABREC'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -7.44 Med: -1.13 Max: 2.11
Current: -0.54
During the past 13 years, Al-Arabiya Real Estate Co KSC's highest Return-on-Tangible-Asset was 2.11%. The lowest was -7.44%. And the median was -1.13%.
KUW:ARABREC's Return-on-Tangible-Asset is ranked worse than 71.27% of 1803
companies
in the Real Estate industry
Industry Median: 1.9
vs KUW:ARABREC: -0.54
Al-Arabiya Real Estate Co KSC (KUW:ARABREC) 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.
Al-Arabiya Real Estate Co KSC Return-on-Tangible-Asset Related Terms
Al-Arabiya Real Estate Co KSC Return-on-Tangible-Asset Historical Data
* 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.
Al-Arabiya Real Estate Co KSC Return-on-Tangible-Asset Chart
KUW:ARABREC vs CBRE, BEKE, JLL: Return-on-Tangible-Asset Comparison
For the Real Estate Services subindustry, Al-Arabiya Real Estate Co KSC'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.
Al-Arabiya Real Estate Co KSC Return-on-Tangible-Asset vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Al-Arabiya Real Estate Co KSC's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Al-Arabiya Real Estate Co KSC'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 four times the quarterly (Jun. 2026) net income data.
What does a Return-on-Tangible-Asset of -0.94% mean?
Al-Arabiya Real Estate Co KSC (KUW:ARABREC) has a Return-on-Tangible-Asset of -0.94% as of Jun. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Al-Arabiya Real Estate Co KSC and its competitors. According to the industry distribution chart, Al-Arabiya Real Estate Co KSC ranks #1285 out of 1803 companies in the Real Estate industry, placing it in the top 71.3%.
Is Al-Arabiya Real Estate Co KSC's Return-on-Tangible-Asset too high?
Al-Arabiya Real Estate Co KSC's current Return-on-Tangible-Asset is -0.94%. Based on the distribution chart, Al-Arabiya Real Estate Co KSC ranks #1285 out of 1803 companies in the Real Estate industry, which is below the industry midpoint. Overall, Al-Arabiya Real Estate Co KSC has a GF Score™ of 5/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Al-Arabiya Real Estate Co KSC's Return-on-Tangible-Asset compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Al-Arabiya Real Estate Co KSC ranks #1285 out of 1803 companies for Return-on-Tangible-Asset. This places Al-Arabiya Real Estate Co KSC in the lower half of its industry. The industry median Return-on-Tangible-Asset is 1.90. 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 a Real Estate company?
The median Return-on-Tangible-Asset among Real Estate companies is 1.90, based on 1,803 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. 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 Al-Arabiya Real Estate Co KSC and its competitors. For the Real Estate industry, the median Return-on-Tangible-Asset is 1.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al-Arabiya Real Estate Co KSC's current Return-on-Tangible-Asset is -0.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al-Arabiya Real Estate Co KSC stock overvalued right now?
Based on GuruFocus' analysis, Al-Arabiya Real Estate Co KSC (KUW:ARABREC) is currently considered Significantly Overvalued. The stock's GF Value™ is KWD0.07, compared to a current price of KWD0.17 — trading 142.9% above its estimated fair value. The current Return-on-Tangible-Asset is -0.94%. Al-Arabiya Real Estate Co KSC's overall GF Score™ is 5/100 with 6 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 Al-Arabiya Real Estate Co KSC (KUW:ARABREC), the current Return-on-Tangible-Asset is -0.94% as of Jun. 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 Al-Arabiya Real Estate Co KSC (KUW:ARABREC) Overvalued in 2026?
Based on GuruFocus' analysis, Al-Arabiya Real Estate Co KSC stock appears to be overvalued.
The current stock price of KWD0.17 is trading 142.9% above its estimated GF Value™ of KWD0.07.
GuruFocus considers Al-Arabiya Real Estate Co KSC to be Significantly Overvalued.
Key valuation signals for KUW:ARABREC:
Return-on-Tangible-Asset: -0.94%
GF Value™: KWD0.07 vs. price of KWD0.17 (142.9% above fair value)
No single metric tells the full story. See the KUW:ARABREC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Al-Arabiya Real Estate Co KSC is a Kuwait based company involved in the construction, contracting, developing and managing the activities of residential buildings, hotels, and commercial centres within the private and public sector. It operates in three segments. Real estate segment involves activities related to real estate investment properties. Hotels segment, which is the key revenue generator, involves establishment, acquiring and managing hotels. Investment segment involves investing in shares and share capital of the companies. Geographically, it generates revenue from Kuwait being the highest revenue driver, United Arab Emirates, and Egypt.
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