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Kwan On HoldingsHKSE:01559 -1.79% Return-on-Tangible-Equity is -135.19% as of Mar. 2026. The stock has 3 warning signs investors should review. Among 1,713 Construction companies, Kwan On Holdings ranks worse than 96.61% 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. Kwan On Holdings's annualized net income for the quarter that ended in Mar. 2026 was HK$-105.2 Mil. Kwan On Holdings's average shareholder tangible equity for the quarter that ended in Mar. 2026 was HK$77.8 Mil. Therefore, Kwan On Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -135.19%.
The historical rank and industry rank for Kwan On Holdings's Return-on-Tangible-Equity or its related term are showing as below:
HKSE:01559'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -76.6 Med: -9.51 Max: 28.91
Current: -76.6
During the past 13 years, Kwan On Holdings's highest Return-on-Tangible-Equity was 28.91%. The lowest was -76.60%. And the median was -9.51%.
HKSE:01559's Return-on-Tangible-Equity is ranked worse than 96.61% of 1713
companies
in the Construction industry
Industry Median: 8.3
vs HKSE:01559: -76.60
Kwan On Holdings (HKSE:01559) 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.
Kwan On Holdings Return-on-Tangible-Equity Related Terms
Kwan On Holdings Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Kwan On Holdings'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.
HKSE:01559 vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, Kwan On Holdings'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.
Kwan On Holdings Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, Kwan On Holdings's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Kwan On Holdings'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 (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 -135.19% mean?
Kwan On Holdings (HKSE:01559) has a Return-on-Tangible-Equity of -135.19% 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 Kwan On Holdings and its competitors. According to the industry distribution chart, Kwan On Holdings ranks #1655 out of 1713 companies in the Construction industry, placing it in the top 96.6%.
Is Kwan On Holdings' Return-on-Tangible-Equity too high?
Kwan On Holdings' current Return-on-Tangible-Equity is -135.19%. Based on the distribution chart, Kwan On Holdings ranks #1655 out of 1713 companies in the Construction industry, which is in the bottom quartile relative to peers.
How does Kwan On Holdings' Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Kwan On Holdings ranks #1655 out of 1713 companies for Return-on-Tangible-Equity. This places Kwan On Holdings in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.30. 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.30, based on 1,713 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. 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 Kwan On Holdings and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kwan On Holdings's current Return-on-Tangible-Equity is -135.19%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kwan On Holdings stock overvalued right now?
Based on GuruFocus' analysis, Kwan On Holdings (HKSE:01559) is currently considered Fairly Valued. The stock's GF Value™ is HK$0.06, compared to a current price of HK$0.06 — trading 8.3% below its estimated fair value. The current Return-on-Tangible-Equity is -135.19%. 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 Kwan On Holdings (HKSE:01559), the current Return-on-Tangible-Equity is -135.19% 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.
Kwan On Holdings Ltd is an investment holding company. Along with its subsidiaries, it operates in the following reportable segments: Construction, Property development, and Trading. The majority of its revenue is generated from the Construction segment, which is involved in the provision of construction and maintenance works on civil engineering contracts and building works contracts. The Trading segment is engaged in the trading of construction and chemical materials, and the Property development segment develops properties for the sale of residential units, commercial units, and car parking spaces. Geographically, the group generates maximum revenue from Malaysia, and the rest from Hong Kong, the PRC, and Cambodia.
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