GraingerCHIX:GRIL -1.37%68 Return-on-Tangible-Equity is 14.91% as of Sep. 2025, which is 43% above its 10-year median of 10.43. GuruFocus rates CHIX:GRIL with a GF Score™ of 68/100 and a GF Value™ of £1.53 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,715 Real Estate companies, Grainger ranks better than 73.24% 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. Grainger's annualized net income for the quarter that ended in Sep. 2025 was £294.4 Mil. Grainger's average shareholder tangible equity for the quarter that ended in Sep. 2025 was £1,974.0 Mil. Therefore, Grainger's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was 14.91%.
The historical rank and industry rank for Grainger's Return-on-Tangible-Equity or its related term are showing as below:
CHIX:GRIl'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.31 Med: 10.43 Max: 21.91
Current: 10.41
During the past 13 years, Grainger's highest Return-on-Tangible-Equity was 21.91%. The lowest was 1.31%. And the median was 10.43%.
CHIX:GRIl's Return-on-Tangible-Equity is ranked better than 73.24% of 1715
companies
in the Real Estate industry
Industry Median: 4.23
vs CHIX:GRIl: 10.41
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.
Grainger Return-on-Tangible-Equity Related Terms
Grainger Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Grainger'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.
CHIX:GRIL vs CBRE, BEKE, JLL: Return-on-Tangible-Equity Comparison
For the Real Estate Services subindustry, Grainger'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.
Grainger Return-on-Tangible-Equity vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Grainger's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Grainger'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 (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 14.91% mean?
Grainger (CHIX:GRIL) has a Return-on-Tangible-Equity of 14.91% 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 Grainger and its competitors. This is 43% above median its historical median of 10.43. Over the past decade, Grainger's Return-on-Tangible-Equity has ranged from 1.31 to 21.91. According to the industry distribution chart, Grainger ranks #459 out of 1715 companies in the Real Estate industry, placing it in the top 26.8%.
Is Grainger's Return-on-Tangible-Equity too high?
Grainger's current Return-on-Tangible-Equity of 14.91% is 43% above median its 10-year median of 10.43. Over the past 10 years, this metric has ranged from a low of 1.31 to a high of 21.91. The Real Estate industry median Return-on-Tangible-Equity is 4.23. Grainger's value of 14.91% is 252.5% above this industry median. Based on the distribution chart, Grainger ranks #459 out of 1715 companies in the Real Estate industry, which is above the industry midpoint. Overall, Grainger has a GF Score™ of 68/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Grainger's Return-on-Tangible-Equity compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Grainger ranks #459 out of 1715 companies for Return-on-Tangible-Equity. This puts Grainger in the upper half of its industry. The industry median Return-on-Tangible-Equity is 4.23. Grainger's value of 14.91% is 252.5% above this benchmark. Historically, Grainger's own Return-on-Tangible-Equity has ranged from 1.31 to 21.91 over the past decade. While the company's 10-year median is 10.43 vs. the industry median of 4.23, Grainger 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 Real Estate company?
The median Return-on-Tangible-Equity among Real Estate companies is 4.23, based on 1,715 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. Grainger's current Return-on-Tangible-Equity of 14.91% is 252.5% 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 Grainger and its competitors. For the Real Estate industry, the median Return-on-Tangible-Equity is 4.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Grainger's current Return-on-Tangible-Equity is 14.91%, which is 43% above median its own 10-year median of 10.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Grainger stock overvalued right now?
Based on GuruFocus' analysis, Grainger (CHIX:GRIL) is currently considered Modestly Overvalued. The stock's GF Value™ is £1.53, compared to a current price of £1.73 — trading 13.3% above its estimated fair value. The current Return-on-Tangible-Equity is 14.91%, which is 43% above median its 10-year median of 10.43 and 252.5% above the Real Estate industry median of 4.23. Grainger's overall GF Score™ is 68/100 with 6 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 Grainger (CHIX:GRIL), the current Return-on-Tangible-Equity is 14.91% 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 Grainger (CHIX:GRIL) Overvalued in 2026?
Based on GuruFocus' analysis, Grainger stock appears to be overvalued.
The current stock price of £1.73 is trading 13.3% above its estimated GF Value™ of £1.53.
GuruFocus considers Grainger to be Modestly Overvalued.
Key valuation signals for CHIX:GRIL:
Return-on-Tangible-Equity: 14.91% (43% above median its 10-year median of 10.43)
GF Value™: £1.53 vs. price of £1.73 (13.3% above fair value)
Industry Position: 252.5% above the Real Estate median (#459 of 1715)
No single metric tells the full story. See the CHIX:GRIL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Grainger PLC owns, leases, and manages residential properties. The company derives the vast majority of its revenue through property sales and rental income. The business categorizes its operations into U.K. residential, retirement solutions, fund and third-party management, the U.K. and European development, German residential, and others. U.K. Residential represents the bulk of the group's revenue, with retirement solutions and the UK and European development also contributing a substantial portion. The company also offers residential fund- and asset management services. The two segments for the company are PRS which derives maximum revenue, and Reversionary.
68GF Score
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