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. Arrow Exploration's annualizedNet Income for the quarter that ended in Mar. 2026 was £15.66 Mil. Arrow Exploration's average total tangible assets for the quarter that ended in Mar. 2026 was £81.20 Mil. Therefore, Arrow Exploration's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 19.29%.
The historical rank and industry rank for Arrow Exploration's Return-on-Tangible-Asset or its related term are showing as below:
LSE:AXL'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -89.9 Med: -1.73 Max: 18.83
Current: 4.02
During the past 13 years, Arrow Exploration's highest Return-on-Tangible-Asset was 18.83%. The lowest was -89.90%. And the median was -1.73%.
LSE:AXL's Return-on-Tangible-Asset is ranked better than 62.61% of 1027
companies
in the Oil & Gas industry
Industry Median: 2.04
vs LSE:AXL: 4.02
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.
Arrow Exploration Return-on-Tangible-Asset Related Terms
Arrow Exploration Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Arrow Exploration'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.
LSE:AXL vs COP, EOG, FANG: Return-on-Tangible-Asset Comparison
For the Oil & Gas E&P subindustry, Arrow Exploration'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.
Arrow Exploration Return-on-Tangible-Asset vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Arrow Exploration's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Arrow Exploration'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 (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 19.29% mean?
Arrow Exploration (LSE:AXL) has a Return-on-Tangible-Asset of 19.29% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Arrow Exploration and its competitors. According to the industry distribution chart, Arrow Exploration ranks #384 out of 1027 companies in the Oil & Gas industry, placing it in the top 37.4%.
Is Arrow Exploration's Return-on-Tangible-Asset too high?
Arrow Exploration's current Return-on-Tangible-Asset is 19.29%. The Oil & Gas industry median Return-on-Tangible-Asset is 2.04. Arrow Exploration's value of 19.29% is 845.6% above this industry median. Based on the distribution chart, Arrow Exploration ranks #384 out of 1027 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Arrow Exploration has a GF Score™ of 43/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arrow Exploration's Return-on-Tangible-Asset compare to COP and EOG?
According to the Oil & Gas industry distribution chart, Arrow Exploration ranks #384 out of 1027 companies for Return-on-Tangible-Asset. This puts Arrow Exploration in the upper half of its industry. The industry median Return-on-Tangible-Asset is 2.04. Arrow Exploration's value of 19.29% is 845.6% above this benchmark. 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 Oil & Gas company?
The median Return-on-Tangible-Asset among Oil & Gas companies is 2.04, based on 1,027 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. Arrow Exploration's current Return-on-Tangible-Asset of 19.29% is 845.6% 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 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 Arrow Exploration and its competitors. For the Oil & Gas industry, the median Return-on-Tangible-Asset is 2.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arrow Exploration's current Return-on-Tangible-Asset is 19.29%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arrow Exploration stock overvalued right now?
Based on GuruFocus' analysis, Arrow Exploration (LSE:AXL) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.32, compared to a current price of £0.24 — trading 25.8% below its estimated fair value. The current Return-on-Tangible-Asset is 19.29% and 845.6% above the Oil & Gas industry median of 2.04. Arrow Exploration's overall GF Score™ is 43/100 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 Arrow Exploration (LSE:AXL), the current Return-on-Tangible-Asset is 19.29% 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 Arrow Exploration (LSE:AXL) Overvalued in 2026?
Based on GuruFocus' analysis, Arrow Exploration stock appears to be undervalued.
The current stock price of £0.24 is trading 25.8% below its estimated GF Value™ of £0.32.
GuruFocus considers Arrow Exploration to be Modestly Undervalued.
Key valuation signals for LSE:AXL:
Return-on-Tangible-Asset: 19.29%
GF Value™: £0.32 vs. price of £0.24 (25.8% below fair value)
Industry Position: 845.6% above the Oil & Gas median (#384 of 1027)
No single metric tells the full story. See the LSE:AXL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arrow Exploration Corp is engaged in oil exploration, development and production, and the acquisition of oil and gas properties. The company operates in two reportable segment: Colombia and Canada. The company generates the majority of its revenue from Colombia. Some of the company's assets are Tapir Block, Capella Field, Oso Pardo, and Santa Isabel. The Canada segment of the company is referred to as the Corporate Segment. The company generates all of its revenue from oil and natural gas sales.
43GF Score
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