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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. Smart City Development Holdings's annualized net income for the quarter that ended in Mar. 2026 was HK$-25.7 Mil. Smart City Development Holdings's average shareholder tangible equity for the quarter that ended in Mar. 2026 was HK$95.5 Mil. Therefore, Smart City Development Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -26.90%.
The historical rank and industry rank for Smart City Development Holdings's Return-on-Tangible-Equity or its related term are showing as below:
HKSE:08268'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -29.39 Med: -5.4 Max: 104.72
Current: -22.19
During the past 13 years, Smart City Development Holdings's highest Return-on-Tangible-Equity was 104.72%. The lowest was -29.39%. And the median was -5.40%.
HKSE:08268's Return-on-Tangible-Equity is ranked worse than 90.76% of 1710
companies
in the Construction industry
Industry Median: 8.23
vs HKSE:08268: -22.19
Smart City Development Holdings (HKSE:08268) 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.
Smart City Development Holdings Return-on-Tangible-Equity Related Terms
Smart City Development Holdings Return-on-Tangible-Equity Historical Data
* 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.
Smart City Development Holdings Return-on-Tangible-Equity Chart
HKSE:08268 vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, Smart City Development 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.
Smart City Development Holdings Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, Smart City Development Holdings's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Smart City Development 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 -26.90% mean?
Smart City Development Holdings (HKSE:08268) has a Return-on-Tangible-Equity of -26.90% 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 Smart City Development Holdings and its competitors. According to the industry distribution chart, Smart City Development Holdings ranks #1552 out of 1710 companies in the Construction industry, placing it in the top 90.8%.
Is Smart City Development Holdings' Return-on-Tangible-Equity too high?
Smart City Development Holdings' current Return-on-Tangible-Equity is -26.90%. Based on the distribution chart, Smart City Development Holdings ranks #1552 out of 1710 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Smart City Development Holdings has a GF Score™ of 39/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Smart City Development Holdings' Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Smart City Development Holdings ranks #1552 out of 1710 companies for Return-on-Tangible-Equity. This places Smart City Development Holdings in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.23. 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 8.23, based on 1,710 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 Smart City Development Holdings and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Smart City Development Holdings's current Return-on-Tangible-Equity is -26.90%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Smart City Development Holdings stock overvalued right now?
Based on GuruFocus' analysis, Smart City Development Holdings (HKSE:08268) is currently considered Possible Value Trap. The stock's GF Value™ is HK$0.37, compared to a current price of HK$0.19 — trading 48.6% below its estimated fair value. The current Return-on-Tangible-Equity is -26.90%. Smart City Development Holdings' overall GF Score™ is 39/100 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 Smart City Development Holdings (HKSE:08268), the current Return-on-Tangible-Equity is -26.90% 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 Smart City Development Holdings (HKSE:08268) Overvalued in 2026?
Based on GuruFocus' analysis, Smart City Development Holdings stock appears to be undervalued.
The current stock price of HK$0.19 is trading 48.6% below its estimated GF Value™ of HK$0.37.
GuruFocus considers Smart City Development Holdings to be Possible Value Trap.
Key valuation signals for HKSE:08268:
Return-on-Tangible-Equity: -26.90%
GF Value™: HK$0.37 vs. price of HK$0.19 (48.6% below fair value)
No single metric tells the full story. See the HKSE:08268 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Smart City Development Holdings Ltd is involved in securities investment, money lending, property investment and construction business sectors. The company has four segments: the construction segment, which is the key revenue-generating business, involves various processes including, building construction works, electrical and mechanical engineering works and fitting-out works; the securities investment segment is engaged in investment in securities; the property investment business segment is engaged in the holding of investment properties; and the money lending business segment. It has a business presence in Hong Kong and Mainland China.
39GF Score
Get the complete analysis for HKSE:08268
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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