WAM MicrocapASX:WMI -0.67%60 Return-on-Tangible-Equity is 15.35% as of Dec. 2025, which is 59% above its 10-year median of 9.68. GuruFocus rates ASX:WMI with a GF Score™ of 60/100 and a GF Value™ of A$1.59 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,589 Asset Management companies, WAM Microcap ranks better than 61.11% 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. WAM Microcap's annualized net income for the quarter that ended in Dec. 2025 was A$61.97 Mil. WAM Microcap's average shareholder tangible equity for the quarter that ended in Dec. 2025 was A$403.80 Mil. Therefore, WAM Microcap's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 15.35%.
The historical rank and industry rank for WAM Microcap's Return-on-Tangible-Equity or its related term are showing as below:
ASX:WMI'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -12.12 Med: 9.68 Max: 29.9
Current: 10.48
During the past 7 years, WAM Microcap's highest Return-on-Tangible-Equity was 29.90%. The lowest was -12.12%. And the median was 9.68%.
ASX:WMI's Return-on-Tangible-Equity is ranked better than 61.11% of 1589
companies
in the Asset Management industry
Industry Median: 7.21
vs ASX:WMI: 10.48
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.
WAM Microcap Return-on-Tangible-Equity Related Terms
WAM Microcap Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for WAM Microcap's Return-on-Tangible-Equity 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.
ASX:WMI vs BLK, BX, KKR: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, WAM Microcap'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.
WAM Microcap Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, WAM Microcap's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where WAM Microcap'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 15.35% mean?
WAM Microcap (ASX:WMI) has a Return-on-Tangible-Equity of 15.35% 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 WAM Microcap and its competitors. This is 59% above median its historical median of 9.68. According to the industry distribution chart, WAM Microcap ranks #618 out of 1589 companies in the Asset Management industry, placing it in the top 38.9%.
Is WAM Microcap's Return-on-Tangible-Equity too high?
WAM Microcap's current Return-on-Tangible-Equity of 15.35% is 59% above median its 10-year median of 9.68. The Asset Management industry median Return-on-Tangible-Equity is 7.21. WAM Microcap's value of 15.35% is 112.9% above this industry median. Based on the distribution chart, WAM Microcap ranks #618 out of 1589 companies in the Asset Management industry, which is above the industry midpoint. Overall, WAM Microcap has a GF Score™ of 60/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does WAM Microcap's Return-on-Tangible-Equity compare to BLK and BX?
According to the Asset Management industry distribution chart, WAM Microcap ranks #618 out of 1589 companies for Return-on-Tangible-Equity. This puts WAM Microcap in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.21. WAM Microcap's value of 15.35% is 112.9% above this benchmark. While the company's 10-year median is 9.68 vs. the industry median of 7.21, WAM Microcap has consistently been above 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 an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.21, based on 1,589 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. WAM Microcap's current Return-on-Tangible-Equity of 15.35% is 112.9% 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-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 WAM Microcap and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. WAM Microcap's current Return-on-Tangible-Equity is 15.35%, which is 59% above median its own 10-year median of 9.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is WAM Microcap stock overvalued right now?
Based on GuruFocus' analysis, WAM Microcap (ASX:WMI) is currently considered Fairly Valued. The stock's GF Value™ is A$1.59, compared to a current price of A$1.48 — trading 6.9% below its estimated fair value. The current Return-on-Tangible-Equity is 15.35%, which is 59% above median its 10-year median of 9.68 and 112.9% above the Asset Management industry median of 7.21. WAM Microcap's overall GF Score™ is 60/100 with 1 warning sign 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 WAM Microcap (ASX:WMI), the current Return-on-Tangible-Equity is 15.35% 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 WAM Microcap (ASX:WMI) Overvalued in 2026?
Based on GuruFocus' analysis, WAM Microcap stock appears to be undervalued.
The current stock price of A$1.48 is trading 6.9% below its estimated GF Value™ of A$1.59.
GuruFocus considers WAM Microcap to be Fairly Valued.
Key valuation signals for ASX:WMI:
Return-on-Tangible-Equity: 15.35% (59% above median its 10-year median of 9.68)
GF Value™: A$1.59 vs. price of A$1.48 (6.9% below fair value)
Industry Position: 112.9% above the Asset Management median (#618 of 1589)
No single metric tells the full story. See the ASX:WMI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
WAM Microcap Ltd is an investment company based in Australia. Its investment objectives are to deliver a stream of fully franked dividends, provide capital growth in the medium-to-long term, and preserve capital. The company is engaged in making investments in listed companies, and provides investors access to a portfolio of undervalued micro-cap growth companies with a market capitalisation of less than 300 million dollars at the time of acquisition. WAM Microcap also provides exposure to relative value arbitrage and market mispricing opportunities.
60GF Score
Get the complete analysis for ASX:WMI
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:WMI has been successfully added to your 
