BW LPGBWLP -4.07%77 Return-on-Tangible-Equity is 35.23% as of Mar. 2026, which is 127% above its 10-year median of 15.52. GuruFocus rates BWLP with a GF Score™ of 77/100 and a GF Value™ of $10.64 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 948 Oil & Gas companies, BW LPG ranks better than 78.06% 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. BW LPG's annualized net income for the quarter that ended in Mar. 2026 was $657 Mil. BW LPG's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $1,865 Mil. Therefore, BW LPG's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 35.23%.
The historical rank and industry rank for BW LPG's Return-on-Tangible-Equity or its related term are showing as below:
BWLP'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -7.1 Med: 15.52 Max: 32.98
Current: 19.48
During the past 13 years, BW LPG's highest Return-on-Tangible-Equity was 32.98%. The lowest was -7.10%. And the median was 15.52%.
BWLP's Return-on-Tangible-Equity is ranked better than 78.06% of 948
companies
in the Oil & Gas industry
Industry Median: 6.715
vs BWLP: 19.48
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.
BW LPG Return-on-Tangible-Equity Related Terms
BW LPG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for BW LPG'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.
BWLP vs WMB, EPD, KMI: Return-on-Tangible-Equity Comparison
For the Oil & Gas Midstream subindustry, BW LPG'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.
BW LPG Return-on-Tangible-Equity vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, BW LPG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where BW LPG'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 four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 35.23% mean?
BW LPG (BWLP) has a Return-on-Tangible-Equity of 35.23% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on BW LPG and its competitors. This is 127% above median its historical median of 15.52. According to the industry distribution chart, BW LPG ranks #208 out of 948 companies in the Oil & Gas industry, placing it in the top 21.9%.
Is BW LPG's Return-on-Tangible-Equity too high?
BW LPG's current Return-on-Tangible-Equity of 35.23% is 127% above median its 10-year median of 15.52. The Oil & Gas industry median Return-on-Tangible-Equity is 6.72. BW LPG's value of 35.23% is 424.6% above this industry median. Based on the distribution chart, BW LPG ranks #208 out of 948 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, BW LPG has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does BW LPG's Return-on-Tangible-Equity compare to WMB and EPD?
According to the Oil & Gas industry distribution chart, BW LPG ranks #208 out of 948 companies for Return-on-Tangible-Equity. This places BW LPG in the top 22% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.72. BW LPG's value of 35.23% is 424.6% above this benchmark. While the company's 10-year median is 15.52 vs. the industry median of 6.72, BW LPG 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 Oil & Gas company?
The median Return-on-Tangible-Equity among Oil & Gas companies is 6.72, based on 948 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. BW LPG's current Return-on-Tangible-Equity of 35.23% is 424.6% 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-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 BW LPG and its competitors. For the Oil & Gas industry, the median Return-on-Tangible-Equity is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BW LPG's current Return-on-Tangible-Equity is 35.23%, which is 127% above median its own 10-year median of 15.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BW LPG stock overvalued right now?
Based on GuruFocus' analysis, BW LPG (BWLP) is currently considered Significantly Overvalued. The stock's GF Value™ is $10.64, compared to a current price of $17.44 — trading 63.9% above its estimated fair value. The current Return-on-Tangible-Equity is 35.23%, which is 127% above median its 10-year median of 15.52 and 424.6% above the Oil & Gas industry median of 6.72. BW LPG's overall GF Score™ is 77/100 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-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For BW LPG (BWLP), the current Return-on-Tangible-Equity is 35.23% 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 BW LPG (BWLP) Overvalued in 2026?
Based on GuruFocus' analysis, BW LPG stock appears to be overvalued.
The current stock price of $17.44 is trading 63.9% above its estimated GF Value™ of $10.64.
GuruFocus considers BW LPG to be Significantly Overvalued.
Key valuation signals for BWLP:
Return-on-Tangible-Equity: 35.23% (127% above median its 10-year median of 15.52)
GF Value™: $10.64 vs. price of $17.44 (63.9% above fair value)
Industry Position: 424.6% above the Oil & Gas median (#208 of 948)
No single metric tells the full story. See the BWLP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BW LPG Ltd is an owner and operator of very large gas carriers. It operates in two segments: the Shipping segment, which includes LPG shipping and the Product Services segment, which includes the core shipping business. The Product Services segment derives the majority of the revenue.
77GF Score
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