Arab Developers Holding (CAI:ARAB) Return-on-Tangible-Equity: 14.57% (As of Sep. 2025) — 63% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

CAI:ARAB Arab Developers Holding CAI:ARAB
34 GF Score
Price E£0.26
GF Value E£0.10
Valuation Significantly Overvalued
! 11 Warning Signs
View Full Analysis

What is Arab Developers Holding Return-on-Tangible-Equity?

Arab Developers Holding CAI:ARAB +2.39% 34 Return-on-Tangible-Equity is 14.57% as of Sep. 2025, which is 63% above its 10-year median of 8.95. GuruFocus rates CAI:ARAB with a GF Score™ of 34/100 and a GF Value™ of E£0.10 (Significantly Overvalued). The stock has 11 warning signs investors should review. Among 793 Travel & Leisure companies, Arab Developers Holding ranks worse than 68.35% 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. Arab Developers Holding's annualized net income for the quarter that ended in Sep. 2025 was E£353 Mil. Arab Developers Holding's average shareholder tangible equity for the quarter that ended in Sep. 2025 was E£2,423 Mil. Therefore, Arab Developers Holding's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was 14.57%.

The historical rank and industry rank for Arab Developers Holding's Return-on-Tangible-Equity or its related term are showing as below:

CAI:ARAB' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -1.83   Med: 8.95   Max: 38.47
Current: 1.39

During the past 10 years, Arab Developers Holding's highest Return-on-Tangible-Equity was 38.47%. The lowest was -1.83%. And the median was 8.95%.

CAI:ARAB's Return-on-Tangible-Equity is ranked worse than
68.35% of 793 companies
in the Travel & Leisure industry
Industry Median: 7.69 vs CAI:ARAB: 1.39

Arab Developers Holding  (CAI:ARAB) 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.


Arab Developers Holding Return-on-Tangible-Equity Related Terms


Arab Developers Holding Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Arab Developers Holding'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.

Arab Developers Holding Return-on-Tangible-Equity Chart

Arab Developers Holding Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.91 10.10 -1.83 7.79 6.03

Arab Developers Holding Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 57.05 -29.60 -6.65 20.03 14.57

CAI:ARAB vs LVS, MGM, WYNN: Return-on-Tangible-Equity Comparison

For the Resorts & Casinos subindustry, Arab Developers Holding'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.


Arab Developers Holding Return-on-Tangible-Equity vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Arab Developers Holding's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Arab Developers Holding's Return-on-Tangible-Equity falls into.


CAI:ARAB
34GF Score
Arab Developers Holding CAI:ARAB
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arab Developers Holding Return-on-Tangible-Equity Calculation

Arab Developers Holding's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=92.474/( (1263.863+1804.254 )/ 2 )
=92.474/1534.0585
=6.03 %

Arab Developers Holding's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Sep. 2025 )  (Q: Jun. 2025 )(Q: Sep. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Sep. 2025 )  (Q: Jun. 2025 )(Q: Sep. 2025 )
=353.088/( (2381.228+2464.186)/ 2 )
=353.088/2422.707
=14.57 %

* 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 (Sep. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 14.57% mean?
Arab Developers Holding (CAI:ARAB) has a Return-on-Tangible-Equity of 14.57% as of Sep. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Arab Developers Holding and its competitors. This is 63% above median its historical median of 8.95. According to the industry distribution chart, Arab Developers Holding ranks #542 out of 793 companies in the Travel & Leisure industry, placing it in the top 68.3%.
Is Arab Developers Holding's Return-on-Tangible-Equity too high?
Arab Developers Holding's current Return-on-Tangible-Equity of 14.57% is 63% above median its 10-year median of 8.95. The Travel & Leisure industry median Return-on-Tangible-Equity is 7.69. Arab Developers Holding's value of 14.57% is 89.5% above this industry median. Based on the distribution chart, Arab Developers Holding ranks #542 out of 793 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, Arab Developers Holding has a GF Score™ of 34/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arab Developers Holding's Return-on-Tangible-Equity compare to LVS and MGM?
According to the Travel & Leisure industry distribution chart, Arab Developers Holding ranks #542 out of 793 companies for Return-on-Tangible-Equity. This places Arab Developers Holding in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.69. Arab Developers Holding's value of 14.57% is 89.5% above this benchmark. While the company's 10-year median is 8.95 vs. the industry median of 7.69, Arab Developers Holding 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 a Travel & Leisure company?
The median Return-on-Tangible-Equity among Travel & Leisure companies is 7.69, based on 793 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. Arab Developers Holding's current Return-on-Tangible-Equity of 14.57% is 89.5% 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 Arab Developers Holding and its competitors. For the Travel & Leisure industry, the median Return-on-Tangible-Equity is 7.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arab Developers Holding's current Return-on-Tangible-Equity is 14.57%, which is 63% above median its own 10-year median of 8.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arab Developers Holding stock overvalued right now?
Based on GuruFocus' analysis, Arab Developers Holding (CAI:ARAB) is currently considered Significantly Overvalued. The stock's GF Value™ is E£0.10, compared to a current price of E£0.26 — trading 157% above its estimated fair value. The current Return-on-Tangible-Equity is 14.57%, which is 63% above median its 10-year median of 8.95 and 89.5% above the Travel & Leisure industry median of 7.69. Arab Developers Holding's overall GF Score™ is 34/100 with 11 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 Arab Developers Holding (CAI:ARAB), the current Return-on-Tangible-Equity is 14.57% as of Sep. 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 Arab Developers Holding (CAI:ARAB) Overvalued in 2026?

Based on GuruFocus' analysis, Arab Developers Holding stock appears to be overvalued. The current stock price of E£0.26 is trading 157% above its estimated GF Value™ of E£0.10. GuruFocus considers Arab Developers Holding to be Significantly Overvalued.

Key valuation signals for CAI:ARAB:

  • Return-on-Tangible-Equity: 14.57% (63% above median its 10-year median of 8.95)
  • GF Value™: E£0.10 vs. price of E£0.26 (157% above fair value)
  • GF Score™: 34/100 with 11 warning signs
  • Industry Position: 89.5% above the Travel & Leisure median (#542 of 793)

No single metric tells the full story. See the CAI:ARAB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Arab Developers Holding Business Description

Address 84 D ElMoltaqa El-Arabyst, Sheraton, Cairo, EGY
Arab Developers Holding, formerly Porto Group operates resorts throughout Egypt and Middle East North Africa.
34GF Score

Get the complete analysis for CAI:ARAB

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

E£0.26
Price
E£0.10
GF Value