L E Lundbergforetagen ABFRA:LU3B -0.70%72 Return-on-Tangible-Equity is 14.67% as of Mar. 2026, which is 72% above its 10-year median of 8.55. GuruFocus rates FRA:LU3B with a GF Score™ of 72/100 and a GF Value™ of €44.52 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 550 Conglomerates companies, L E Lundbergforetagen AB ranks better than 63.64% 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. L E Lundbergforetagen AB's annualized net income for the quarter that ended in Mar. 2026 was €1,764 Mil. L E Lundbergforetagen AB's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €12,028 Mil. Therefore, L E Lundbergforetagen AB's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 14.67%.
The historical rank and industry rank for L E Lundbergforetagen AB's Return-on-Tangible-Equity or its related term are showing as below:
FRA:LU3B'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.53 Med: 8.55 Max: 23.37
Current: 11.12
During the past 13 years, L E Lundbergforetagen AB's highest Return-on-Tangible-Equity was 23.37%. The lowest was 1.53%. And the median was 8.55%.
FRA:LU3B's Return-on-Tangible-Equity is ranked better than 63.64% of 550
companies
in the Conglomerates industry
Industry Median: 7.44
vs FRA:LU3B: 11.12
L E Lundbergforetagen AB (FRA:LU3B) 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.
L E Lundbergforetagen AB Return-on-Tangible-Equity Related Terms
L E Lundbergforetagen AB Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for L E Lundbergforetagen AB'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.
L E Lundbergforetagen AB Return-on-Tangible-Equity Chart
FRA:LU3B vs HON, MMM: Return-on-Tangible-Equity Comparison
For the Conglomerates subindustry, L E Lundbergforetagen AB'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.
L E Lundbergforetagen AB Return-on-Tangible-Equity vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, L E Lundbergforetagen AB's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where L E Lundbergforetagen AB'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 14.67% mean?
L E Lundbergforetagen AB (FRA:LU3B) has a Return-on-Tangible-Equity of 14.67% 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 L E Lundbergforetagen AB and its competitors. This is 72% above median its historical median of 8.55. Over the past decade, L E Lundbergforetagen AB's Return-on-Tangible-Equity has ranged from 1.53 to 23.37. According to the industry distribution chart, L E Lundbergforetagen AB ranks #200 out of 550 companies in the Conglomerates industry, placing it in the top 36.4%.
Is L E Lundbergforetagen AB's Return-on-Tangible-Equity too high?
L E Lundbergforetagen AB's current Return-on-Tangible-Equity of 14.67% is 72% above median its 10-year median of 8.55. Over the past 10 years, this metric has ranged from a low of 1.53 to a high of 23.37. The Conglomerates industry median Return-on-Tangible-Equity is 7.44. L E Lundbergforetagen AB's value of 14.67% is 97.2% above this industry median. Based on the distribution chart, L E Lundbergforetagen AB ranks #200 out of 550 companies in the Conglomerates industry, which is above the industry midpoint. Overall, L E Lundbergforetagen AB has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does L E Lundbergforetagen AB's Return-on-Tangible-Equity compare to HON and MMM?
According to the Conglomerates industry distribution chart, L E Lundbergforetagen AB ranks #200 out of 550 companies for Return-on-Tangible-Equity. This puts L E Lundbergforetagen AB in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.44. L E Lundbergforetagen AB's value of 14.67% is 97.2% above this benchmark. Historically, L E Lundbergforetagen AB's own Return-on-Tangible-Equity has ranged from 1.53 to 23.37 over the past decade. While the company's 10-year median is 8.55 vs. the industry median of 7.44, L E Lundbergforetagen AB 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 Conglomerates company?
The median Return-on-Tangible-Equity among Conglomerates companies is 7.44, based on 550 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. L E Lundbergforetagen AB's current Return-on-Tangible-Equity of 14.67% is 97.2% 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 L E Lundbergforetagen AB and its competitors. For the Conglomerates industry, the median Return-on-Tangible-Equity is 7.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. L E Lundbergforetagen AB's current Return-on-Tangible-Equity is 14.67%, which is 72% above median its own 10-year median of 8.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is L E Lundbergforetagen AB stock overvalued right now?
Based on GuruFocus' analysis, L E Lundbergforetagen AB (FRA:LU3B) is currently considered Modestly Overvalued. The stock's GF Value™ is €44.52, compared to a current price of €49.90 — trading 12.1% above its estimated fair value. The current Return-on-Tangible-Equity is 14.67%, which is 72% above median its 10-year median of 8.55 and 97.2% above the Conglomerates industry median of 7.44. L E Lundbergforetagen AB's overall GF Score™ is 72/100 with 7 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 L E Lundbergforetagen AB (FRA:LU3B), the current Return-on-Tangible-Equity is 14.67% 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 L E Lundbergforetagen AB (FRA:LU3B) Overvalued in 2026?
Based on GuruFocus' analysis, L E Lundbergforetagen AB stock appears to be overvalued.
The current stock price of €49.90 is trading 12.1% above its estimated GF Value™ of €44.52.
GuruFocus considers L E Lundbergforetagen AB to be Modestly Overvalued.
Key valuation signals for FRA:LU3B:
Return-on-Tangible-Equity: 14.67% (72% above median its 10-year median of 8.55)
GF Value™: €44.52 vs. price of €49.90 (12.1% above fair value)
Industry Position: 97.2% above the Conglomerates median (#200 of 550)
No single metric tells the full story. See the FRA:LU3B stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
L E Lundbergforetagen AB is an investment holding company with a long-term, activist orientation. Its portfolio includes a wholly owned unlisted real estate entity, publicly-traded subsidiaries, and other shareholdings. Lundberg's investment objective is to generate returns on capital that over time substantially exceed the yield on a risk-free, interest-bearing instrument. Real estate operations, which the company has conducted through subsidiaries for decades, account for nearly half of the company's net asset value. Lundberg exercises activism through board representation on all of its portfolio companies. It supports its capital allocation program by maintaining low levels of indebtedness on its balance sheet.
72GF Score
Get the complete analysis for FRA:LU3B
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
FRA:LU3B has been successfully added to your 
