Lam Soon (Hong Kong) (FRA:LS9) Return-on-Tangible-Equity: 10.98% (As of Dec. 2025) — 13% Below Median


FRA:LS9 Lam Soon (Hong Kong) Ltd FRA:LS9
69 GF Score
Price €1.24
GF Value €0.88
! 2 Warning Signs
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What is Lam Soon (Hong Kong) Return-on-Tangible-Equity?

Lam Soon (Hong Kong) FRA:LS9 +4.20% 69 Return-on-Tangible-Equity is 10.98% as of Dec. 2025, which is 13% below its 10-year median of 12.61. GuruFocus rates FRA:LS9 with a GF Score™ of 69/100 and a GF Value™ of €0.88. The stock has 2 warning signs investors should review. Among 1,874 Consumer Packaged Goods companies, Lam Soon (Hong Kong) ranks better than 54.86% 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. Lam Soon (Hong Kong)'s annualized net income for the quarter that ended in Dec. 2025 was €38.6 Mil. Lam Soon (Hong Kong)'s average shareholder tangible equity for the quarter that ended in Dec. 2025 was €351.7 Mil. Therefore, Lam Soon (Hong Kong)'s annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 10.98%.

The historical rank and industry rank for Lam Soon (Hong Kong)'s Return-on-Tangible-Equity or its related term are showing as below:

FRA:LS9' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.98   Med: 12.61   Max: 16.23
Current: 9.29

During the past 13 years, Lam Soon (Hong Kong)'s highest Return-on-Tangible-Equity was 16.23%. The lowest was 2.98%. And the median was 12.61%.

FRA:LS9's Return-on-Tangible-Equity is ranked better than
54.86% of 1874 companies
in the Consumer Packaged Goods industry
Industry Median: 7.715 vs FRA:LS9: 9.29

Lam Soon (Hong Kong)  (FRA:LS9) 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.


Lam Soon (Hong Kong) Return-on-Tangible-Equity Related Terms


Lam Soon (Hong Kong) Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Lam Soon (Hong Kong)'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.

Lam Soon (Hong Kong) Return-on-Tangible-Equity Chart

Lam Soon (Hong Kong) Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.96 9.35 2.94 7.10 9.70

Lam Soon (Hong Kong) Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 9.06 4.99 12.97 7.10 10.98

FRA:LS9 vs KHC, GIS: Return-on-Tangible-Equity Comparison

For the Packaged Foods subindustry, Lam Soon (Hong Kong)'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.


Lam Soon (Hong Kong) Return-on-Tangible-Equity vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Lam Soon (Hong Kong)'s Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Lam Soon (Hong Kong)'s Return-on-Tangible-Equity falls into.


FRA:LS9
69GF Score
Lam Soon (Hong Kong) Ltd FRA:LS9
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
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Lam Soon (Hong Kong) Return-on-Tangible-Equity Calculation

Lam Soon (Hong Kong)'s annualized Return-on-Tangible-Equity for the fiscal year that ended in Jun. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=33.466/( (344.443+345.797 )/ 2 )
=33.466/345.12
=9.70 %

Lam Soon (Hong Kong)'s annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=38.634/( (345.797+357.65)/ 2 )
=38.634/351.7235
=10.98 %

* 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 10.98% mean?
Lam Soon (Hong Kong) (FRA:LS9) has a Return-on-Tangible-Equity of 10.98% 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 Lam Soon (Hong Kong) and its competitors. This is 13% below median its historical median of 12.61. Over the past decade, Lam Soon (Hong Kong)'s Return-on-Tangible-Equity has ranged from 2.98 to 16.23. According to the industry distribution chart, Lam Soon (Hong Kong) ranks #846 out of 1874 companies in the Consumer Packaged Goods industry, placing it in the top 45.1%.
Is Lam Soon (Hong Kong)'s Return-on-Tangible-Equity too high?
Lam Soon (Hong Kong)'s current Return-on-Tangible-Equity of 10.98% is 13% below median its 10-year median of 12.61. Over the past 10 years, this metric has ranged from a low of 2.98 to a high of 16.23. The Consumer Packaged Goods industry median Return-on-Tangible-Equity is 7.72. Lam Soon (Hong Kong)'s value of 10.98% is 42.3% above this industry median. Based on the distribution chart, Lam Soon (Hong Kong) ranks #846 out of 1874 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Lam Soon (Hong Kong) has a GF Score™ of 69/100, reflecting its overall financial health beyond just this single metric.
How does Lam Soon (Hong Kong)'s Return-on-Tangible-Equity compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Lam Soon (Hong Kong) ranks #846 out of 1874 companies for Return-on-Tangible-Equity. This puts Lam Soon (Hong Kong) in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.72. Lam Soon (Hong Kong)'s value of 10.98% is 42.3% above this benchmark. Historically, Lam Soon (Hong Kong)'s own Return-on-Tangible-Equity has ranged from 2.98 to 16.23 over the past decade. While the company's 10-year median is 12.61 vs. the industry median of 7.72, Lam Soon (Hong Kong) 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 Consumer Packaged Goods company?
The median Return-on-Tangible-Equity among Consumer Packaged Goods companies is 7.72, based on 1,874 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. Lam Soon (Hong Kong)'s current Return-on-Tangible-Equity of 10.98% is 42.3% 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 Lam Soon (Hong Kong) and its competitors. For the Consumer Packaged Goods industry, the median Return-on-Tangible-Equity is 7.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lam Soon (Hong Kong)'s current Return-on-Tangible-Equity is 10.98%, which is 13% below median its own 10-year median of 12.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lam Soon (Hong Kong) stock overvalued right now?
Lam Soon (Hong Kong) (FRA:LS9) has a current Return-on-Tangible-Equity of 10.98%. The stock's GF Value™ is €0.88, compared to a current price of €1.24 — trading 40.9% above its estimated fair value. The current Return-on-Tangible-Equity is 10.98%, which is 13% below median its 10-year median of 12.61 and 42.3% above the Consumer Packaged Goods industry median of 7.72. Lam Soon (Hong Kong)'s overall GF Score™ is 69/100 with 2 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 Lam Soon (Hong Kong) (FRA:LS9), the current Return-on-Tangible-Equity is 10.98% 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 Lam Soon (Hong Kong) (FRA:LS9) Overvalued in 2026?

Based on GuruFocus' analysis, Lam Soon (Hong Kong) stock appears to be overvalued. The current stock price of €1.24 is trading 40.9% above its estimated GF Value™ of €0.88.

Key valuation signals for FRA:LS9:

  • Return-on-Tangible-Equity: 10.98% (13% below median its 10-year median of 12.61)
  • GF Value™: €0.88 vs. price of €1.24 (40.9% above fair value)
  • GF Score™: 69/100 with 2 warning signs
  • Industry Position: 42.3% above the Consumer Packaged Goods median (#846 of 1874)

No single metric tells the full story. See the FRA:LS9 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lam Soon (Hong Kong) Business Description

Other Exchanges 00411:Hong Kong
Address 21 Dai Fu Street, Lam Soon Building, Tai Po Industrial Estate, Tai Po, New Territories, Hong Kong, HKG
Lam Soon (Hong Kong) Ltd is an investment holding company engaged in the manufacturing of food and detergent products. The company's business segments are based on its activities and include Food and Home Care. The Food segment involves the manufacturing and distribution of food products such as flour, edible oils, and vegetable fats. The Home Care segment covers the manufacturing and distribution of household cleaning products, including liquid dishwashing detergent, laundry powder, liquid laundry detergent, fabric softener, floor cleaner, and industrial marble cleanser. The majority of its revenue is generated from the Food segment activities. It operates in Hong Kong and international markets, with the majority of its revenue derived from Mainland China.
69GF Score

Get the complete analysis for FRA:LS9

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

€1.24
Price
€0.88
GF Value