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SkyCity Entertainment GroupASX:SKC -6.31%40 Return-on-Tangible-Equity is 2.62% as of Dec. 2025, which is 86% below its 10-year median of 18.88. GuruFocus rates ASX:SKC with a GF Score™ of 40/100 and a GF Value™ of A$0.86 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 792 Travel & Leisure companies, SkyCity Entertainment Group ranks worse than 59.72% on this metric.
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. SkyCity Entertainment Group's annualized net income for the quarter that ended in Dec. 2025 was A$21.0 Mil. SkyCity Entertainment Group's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$802.1 Mil. Therefore, SkyCity Entertainment Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 2.62%.
The historical rank and industry rank for SkyCity Entertainment Group's Return-on-Tangible-Equity or its related term are showing as below:
ASX:SKC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -16.64 Med: 18.88 Max: 64.65
Current: 4.14
During the past 13 years, SkyCity Entertainment Group's highest Return-on-Tangible-Equity was 64.65%. The lowest was -16.64%. And the median was 18.88%.
ASX:SKC's Return-on-Tangible-Equity is ranked worse than 59.72% of 792
companies
in the Travel & Leisure industry
Industry Median: 7.76
vs ASX:SKC: 4.14
SkyCity Entertainment Group (ASX:SKC) 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.
SkyCity Entertainment Group Return-on-Tangible-Equity Related Terms
SkyCity Entertainment Group Return-on-Tangible-Equity 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.
SkyCity Entertainment Group Return-on-Tangible-Equity Chart
ASX:SKC vs LVS, MGM, WYNN: Return-on-Tangible-Equity Comparison
For the Resorts & Casinos subindustry, SkyCity Entertainment Group'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.
SkyCity Entertainment Group Return-on-Tangible-Equity vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, SkyCity Entertainment Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where SkyCity Entertainment Group's Return-on-Tangible-Equity 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-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 two times the semi-annual (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 2.62% mean?
SkyCity Entertainment Group (ASX:SKC) has a Return-on-Tangible-Equity of 2.62% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on SkyCity Entertainment Group and its competitors. This is 86% below median its historical median of 18.88. According to the industry distribution chart, SkyCity Entertainment Group ranks #473 out of 792 companies in the Travel & Leisure industry, placing it in the top 59.7%.
Is SkyCity Entertainment Group's Return-on-Tangible-Equity too high?
SkyCity Entertainment Group's current Return-on-Tangible-Equity of 2.62% is 86% below median its 10-year median of 18.88. The Travel & Leisure industry median Return-on-Tangible-Equity is 7.76. SkyCity Entertainment Group's value of 2.62% is 66.2% below this industry median. Based on the distribution chart, SkyCity Entertainment Group ranks #473 out of 792 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, SkyCity Entertainment Group has a GF Score™ of 40/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does SkyCity Entertainment Group's Return-on-Tangible-Equity compare to LVS and MGM?
According to the Travel & Leisure industry distribution chart, SkyCity Entertainment Group ranks #473 out of 792 companies for Return-on-Tangible-Equity. This places SkyCity Entertainment Group in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.76. SkyCity Entertainment Group's value of 2.62% is 66.2% below this benchmark. While the company's 10-year median is 18.88 vs. the industry median of 7.76, SkyCity Entertainment Group 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-Equity for a Travel & Leisure company?
The median Return-on-Tangible-Equity among Travel & Leisure companies is 7.76, based on 792 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. SkyCity Entertainment Group's current Return-on-Tangible-Equity of 2.62% is 66.2% 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-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on SkyCity Entertainment Group and its competitors. For the Travel & Leisure industry, the median Return-on-Tangible-Equity is 7.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SkyCity Entertainment Group's current Return-on-Tangible-Equity is 2.62%, which is 86% below median its own 10-year median of 18.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SkyCity Entertainment Group stock overvalued right now?
Based on GuruFocus' analysis, SkyCity Entertainment Group (ASX:SKC) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.86, compared to a current price of A$0.52 — trading 39.5% below its estimated fair value. The current Return-on-Tangible-Equity is 2.62%, which is 86% below median its 10-year median of 18.88 and 66.2% below the Travel & Leisure industry median of 7.76. SkyCity Entertainment Group's overall GF Score™ is 40/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For SkyCity Entertainment Group (ASX:SKC), the current Return-on-Tangible-Equity is 2.62% 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 SkyCity Entertainment Group (ASX:SKC) Overvalued in 2026?
Based on GuruFocus' analysis, SkyCity Entertainment Group stock appears to be undervalued.
The current stock price of A$0.52 is trading 39.5% below its estimated GF Value™ of A$0.86.
GuruFocus considers SkyCity Entertainment Group to be Possible Value Trap.
Key valuation signals for ASX:SKC:
Return-on-Tangible-Equity: 2.62% (86% below median its 10-year median of 18.88)
GF Value™: A$0.86 vs. price of A$0.52 (39.5% below fair value)
Industry Position: 66.2% below the Travel & Leisure median (#473 of 792)
No single metric tells the full story. See the ASX:SKC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SkyCity Entertainment operates a number of casino-hotel complexes across Australia and New Zealand. The flagship property is SkyCity Auckland, the holder and operator of an exclusive casino licence (expiring in 2048) in New Zealand's most populous city. The company also owns smaller casinos in Hamilton and Queenstown. In Australia, the company operates SkyCity Adelaide (exclusive licence expiring in 2035).
40GF Score
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