African Rainbow MineralsHAM:EB9 +0.55%74 Return-on-Tangible-Equity is 8.19% as of Dec. 2025, which is 38% below its 10-year median of 13.20. GuruFocus rates HAM:EB9 with a GF Score™ of 74/100 and a GF Value™ of €12.11 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 2,378 Metals & Mining companies, African Rainbow Minerals ranks better than 74.56% 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. African Rainbow Minerals's annualized net income for the quarter that ended in Dec. 2025 was €238.8 Mil. African Rainbow Minerals's average shareholder tangible equity for the quarter that ended in Dec. 2025 was €2,914.0 Mil. Therefore, African Rainbow Minerals's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 8.19%.
The historical rank and industry rank for African Rainbow Minerals's Return-on-Tangible-Equity or its related term are showing as below:
HAM:EB9'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -2.3 Med: 13.2 Max: 35.02
Current: 2.28
During the past 13 years, African Rainbow Minerals's highest Return-on-Tangible-Equity was 35.02%. The lowest was -2.30%. And the median was 13.20%.
HAM:EB9's Return-on-Tangible-Equity is ranked better than 74.56% of 2378
companies
in the Metals & Mining industry
Industry Median: -16.21
vs HAM:EB9: 2.28
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.
African Rainbow Minerals Return-on-Tangible-Equity Related Terms
African Rainbow Minerals Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for African Rainbow Minerals'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.
For the Other Industrial Metals & Mining subindustry, African Rainbow Minerals'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.
African Rainbow Minerals Return-on-Tangible-Equity vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, African Rainbow Minerals's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where African Rainbow Minerals'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 (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 8.19% mean?
African Rainbow Minerals (HAM:EB9) has a Return-on-Tangible-Equity of 8.19% 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 African Rainbow Minerals and its competitors. This is 38% below median its historical median of 13.20. According to the industry distribution chart, African Rainbow Minerals ranks #605 out of 2378 companies in the Metals & Mining industry, placing it in the top 25.4%.
Is African Rainbow Minerals' Return-on-Tangible-Equity too high?
African Rainbow Minerals' current Return-on-Tangible-Equity of 8.19% is 38% below median its 10-year median of 13.20. Based on the distribution chart, African Rainbow Minerals ranks #605 out of 2378 companies in the Metals & Mining industry, which is above the industry midpoint. Overall, African Rainbow Minerals has a GF Score™ of 74/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does African Rainbow Minerals' Return-on-Tangible-Equity compare to competitors?
According to the Metals & Mining industry distribution chart, African Rainbow Minerals ranks #605 out of 2378 companies for Return-on-Tangible-Equity. This puts African Rainbow Minerals in the upper half of its industry. 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 Metals & Mining company?
A good Return-on-Tangible-Equity depends on the Metals & Mining industry context. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 African Rainbow Minerals and its competitors. African Rainbow Minerals's current Return-on-Tangible-Equity is 8.19%, which is 38% below median its own 10-year median of 13.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is African Rainbow Minerals stock overvalued right now?
Based on GuruFocus' analysis, African Rainbow Minerals (HAM:EB9) is currently considered Significantly Undervalued. The stock's GF Value™ is €12.11, compared to a current price of €9.10 — trading 24.9% below its estimated fair value. The current Return-on-Tangible-Equity is 8.19%, which is 38% below median its 10-year median of 13.20. African Rainbow Minerals' overall GF Score™ is 74/100 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 African Rainbow Minerals (HAM:EB9), the current Return-on-Tangible-Equity is 8.19% 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 African Rainbow Minerals (HAM:EB9) Overvalued in 2026?
Based on GuruFocus' analysis, African Rainbow Minerals stock appears to be undervalued.
The current stock price of €9.10 is trading 24.9% below its estimated GF Value™ of €12.11.
GuruFocus considers African Rainbow Minerals to be Significantly Undervalued.
Key valuation signals for HAM:EB9:
Return-on-Tangible-Equity: 8.19% (38% below median its 10-year median of 13.20)
GF Value™: €12.11 vs. price of €9.10 (24.9% below fair value)
No single metric tells the full story. See the HAM:EB9 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
African Rainbow Minerals Ltd is a South African diversified mining and minerals company with operations in South Africa and Malaysia. The group operates through four main segments: ARM Platinum, which includes platinum group metals and nickel; ARM Ferrous, focused on iron ore, manganese ore, and chrome ore; ARM Coal, operating mainly in the Goedgevonden Mine; and ARM Corporate, which includes Machadodorp Works, gold investments, and other activities. The company produces manganese alloys and holds a strategic investment in gold. The company generates the majority of its revenue from South Africa and maintains a presence in Europe, the Americas, and the Far and Middle East.
74GF Score
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