Engro Fertilizers (KAR:EFERT) Return-on-Tangible-Equity: 34.05% (As of Mar. 2026) — 24% Below Median

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KAR:EFERT Engro Fertilizers Ltd KAR:EFERT
83 GF Score
Price ₨192.92
GF Value ₨198.02
Valuation Fairly Valued
! 7 Warning Signs
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What is Engro Fertilizers Return-on-Tangible-Equity?

Engro Fertilizers KAR:EFERT +1.57% 83 Return-on-Tangible-Equity is 34.05% as of Mar. 2026, which is 24% below its 10-year median of 44.77. GuruFocus rates KAR:EFERT with a GF Score™ of 83/100 and a GF Value™ of ₨198.02 (Fairly Valued). The stock has 7 warning signs investors should review. Among 249 Agriculture companies, Engro Fertilizers ranks better than 96.39% 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. Engro Fertilizers's annualized net income for the quarter that ended in Mar. 2026 was ₨13,274 Mil. Engro Fertilizers's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₨38,986 Mil. Therefore, Engro Fertilizers's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 34.05%.

The historical rank and industry rank for Engro Fertilizers's Return-on-Tangible-Equity or its related term are showing as below:

KAR:EFERT' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 24.73   Med: 44.77   Max: 66.36
Current: 61.44

During the past 13 years, Engro Fertilizers's highest Return-on-Tangible-Equity was 66.36%. The lowest was 24.73%. And the median was 44.77%.

KAR:EFERT's Return-on-Tangible-Equity is ranked better than
96.39% of 249 companies
in the Agriculture industry
Industry Median: 7.18 vs KAR:EFERT: 61.44

Engro Fertilizers  (KAR:EFERT) 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.


Engro Fertilizers Return-on-Tangible-Equity Related Terms


Engro Fertilizers Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Engro Fertilizers'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.

Engro Fertilizers Return-on-Tangible-Equity Chart

Engro Fertilizers Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 50.61 39.25 63.51 66.36 54.91

Engro Fertilizers Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 30.04 61.79 62.09 86.23 34.05

KAR:EFERT vs CTVA, CF, MOS: Return-on-Tangible-Equity Comparison

For the Agricultural Inputs subindustry, Engro Fertilizers'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.


Engro Fertilizers Return-on-Tangible-Equity vs Agriculture Industry

For the Agriculture industry and Basic Materials sector, Engro Fertilizers's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Engro Fertilizers's Return-on-Tangible-Equity falls into.


KAR:EFERT
83GF Score
Engro Fertilizers Ltd KAR:EFERT
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Engro Fertilizers Return-on-Tangible-Equity Calculation

Engro Fertilizers's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=22628.044/( (42450.993+39967.269 )/ 2 )
=22628.044/41209.131
=54.91 %

Engro Fertilizers's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=13274.152/( (39967.269+38005.572)/ 2 )
=13274.152/38986.4205
=34.05 %

* 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 34.05% mean?
Engro Fertilizers (KAR:EFERT) has a Return-on-Tangible-Equity of 34.05% 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 Engro Fertilizers and its competitors. This is 24% below median its historical median of 44.77. Over the past decade, Engro Fertilizers' Return-on-Tangible-Equity has ranged from 24.73 to 66.36. According to the industry distribution chart, Engro Fertilizers ranks #9 out of 249 companies in the Agriculture industry, placing it in the top 3.6%.
Is Engro Fertilizers' Return-on-Tangible-Equity too high?
Engro Fertilizers' current Return-on-Tangible-Equity of 34.05% is 24% below median its 10-year median of 44.77. Over the past 10 years, this metric has ranged from a low of 24.73 to a high of 66.36. The Agriculture industry median Return-on-Tangible-Equity is 7.18. Engro Fertilizers' value of 34.05% is 374.2% above this industry median. Based on the distribution chart, Engro Fertilizers ranks #9 out of 249 companies in the Agriculture industry, which is in the top quartile — a strong position relative to peers. Overall, Engro Fertilizers has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Engro Fertilizers' Return-on-Tangible-Equity compare to CTVA and CF?
According to the Agriculture industry distribution chart, Engro Fertilizers ranks #9 out of 249 companies for Return-on-Tangible-Equity. This places Engro Fertilizers in the top 4% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.18. Engro Fertilizers' value of 34.05% is 374.2% above this benchmark. Historically, Engro Fertilizers' own Return-on-Tangible-Equity has ranged from 24.73 to 66.36 over the past decade. While the company's 10-year median is 44.77 vs. the industry median of 7.18, Engro Fertilizers 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 an Agriculture company?
The median Return-on-Tangible-Equity among Agriculture companies is 7.18, based on 249 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. Engro Fertilizers's current Return-on-Tangible-Equity of 34.05% is 374.2% 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 Engro Fertilizers and its competitors. For the Agriculture industry, the median Return-on-Tangible-Equity is 7.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Engro Fertilizers's current Return-on-Tangible-Equity is 34.05%, which is 24% below median its own 10-year median of 44.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Engro Fertilizers stock overvalued right now?
Based on GuruFocus' analysis, Engro Fertilizers (KAR:EFERT) is currently considered Fairly Valued. The stock's GF Value™ is ₨198.02, compared to a current price of ₨192.92 — trading 2.6% below its estimated fair value. The current Return-on-Tangible-Equity is 34.05%, which is 24% below median its 10-year median of 44.77 and 374.2% above the Agriculture industry median of 7.18. Engro Fertilizers' overall GF Score™ is 83/100 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 Engro Fertilizers (KAR:EFERT), the current Return-on-Tangible-Equity is 34.05% 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 Engro Fertilizers (KAR:EFERT) Overvalued in 2026?

Based on GuruFocus' analysis, Engro Fertilizers stock appears to be undervalued. The current stock price of ₨192.92 is trading 2.6% below its estimated GF Value™ of ₨198.02. GuruFocus considers Engro Fertilizers to be Fairly Valued.

Key valuation signals for KAR:EFERT:

  • Return-on-Tangible-Equity: 34.05% (24% below median its 10-year median of 44.77)
  • GF Value™: ₨198.02 vs. price of ₨192.92 (2.6% below fair value)
  • GF Score™: 83/100 with 7 warning signs
  • Industry Position: 374.2% above the Agriculture median (#9 of 249)

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


Engro Fertilizers Business Description

Address HC No-3, Marine Drive, Block 4, 6th Floor, The Harbor Front Building, Scheme Number 5, Clifton, Karachi, SD, PAK, 75600
Engro Fertilizers Ltd is a Pakistan-based company mainly involved in the manufacturing, purchasing, and marketing of fertilizers, seeds, and pesticides and providing logistics services. It segments include: Straight Fertilizers (Engro Urea, Phosphatic Fertilizers); Specialty Fertilizer (Engro Zabardast Urea, Zarkhez grades), and Agri services including site specific recommendations. The company offers different ranges of products under brand names such as Engro Urea, Engro DAP, Engro TSP, Engro Zorawar, Engro Zarkhez, Engro Zarkhez Plus, and Engro Zarkhez Khaas.
83GF Score

Get the complete analysis for KAR:EFERT

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

₨192.92
Price
₨198.02
GF Value