Fauji Cement CoKAR:FCCL +0.74%90 Return-on-Tangible-Equity is 17.33% as of Mar. 2026, which is 12% above its 10-year median of 15.43. GuruFocus rates KAR:FCCL with a GF Score™ of 90/100 and a GF Value™ of ₨39.37 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 397 Building Materials companies, Fauji Cement Co ranks better than 86.4% 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. Fauji Cement Co's annualized net income for the quarter that ended in Mar. 2026 was ₨13,837 Mil. Fauji Cement Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₨79,851 Mil. Therefore, Fauji Cement Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 17.33%.
The historical rank and industry rank for Fauji Cement Co's Return-on-Tangible-Equity or its related term are showing as below:
KAR:FCCL'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -0.29 Med: 15.43 Max: 29.95
Current: 19.48
During the past 13 years, Fauji Cement Co's highest Return-on-Tangible-Equity was 29.95%. The lowest was -0.29%. And the median was 15.43%.
KAR:FCCL's Return-on-Tangible-Equity is ranked better than 86.4% of 397
companies
in the Building Materials industry
Industry Median: 5.08
vs KAR:FCCL: 19.48
Fauji Cement Co (KAR:FCCL) 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.
Fauji Cement Co Return-on-Tangible-Equity Related Terms
Fauji Cement Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Fauji Cement Co'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.
KAR:FCCL vs CRH, VMC, MLM: Return-on-Tangible-Equity Comparison
For the Building Materials subindustry, Fauji Cement Co'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.
Fauji Cement Co Return-on-Tangible-Equity vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Fauji Cement Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Fauji Cement Co'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 17.33% mean?
Fauji Cement Co (KAR:FCCL) has a Return-on-Tangible-Equity of 17.33% 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 Fauji Cement Co and its competitors. This is 12% above median its historical median of 15.43. According to the industry distribution chart, Fauji Cement Co ranks #54 out of 397 companies in the Building Materials industry, placing it in the top 13.6%.
Is Fauji Cement Co's Return-on-Tangible-Equity too high?
Fauji Cement Co's current Return-on-Tangible-Equity of 17.33% is 12% above median its 10-year median of 15.43. The Building Materials industry median Return-on-Tangible-Equity is 5.08. Fauji Cement Co's value of 17.33% is 241.1% above this industry median. Based on the distribution chart, Fauji Cement Co ranks #54 out of 397 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Fauji Cement Co has a GF Score™ of 90/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fauji Cement Co's Return-on-Tangible-Equity compare to CRH and VMC?
According to the Building Materials industry distribution chart, Fauji Cement Co ranks #54 out of 397 companies for Return-on-Tangible-Equity. This places Fauji Cement Co in the top 14% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.08. Fauji Cement Co's value of 17.33% is 241.1% above this benchmark. While the company's 10-year median is 15.43 vs. the industry median of 5.08, Fauji Cement Co 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 Building Materials company?
The median Return-on-Tangible-Equity among Building Materials companies is 5.08, based on 397 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. Fauji Cement Co's current Return-on-Tangible-Equity of 17.33% is 241.1% 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 Fauji Cement Co and its competitors. For the Building Materials industry, the median Return-on-Tangible-Equity is 5.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fauji Cement Co's current Return-on-Tangible-Equity is 17.33%, which is 12% above median its own 10-year median of 15.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fauji Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Fauji Cement Co (KAR:FCCL) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨39.37, compared to a current price of ₨55.88 — trading 41.9% above its estimated fair value. The current Return-on-Tangible-Equity is 17.33%, which is 12% above median its 10-year median of 15.43 and 241.1% above the Building Materials industry median of 5.08. Fauji Cement Co's overall GF Score™ is 90/100 with 5 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 Fauji Cement Co (KAR:FCCL), the current Return-on-Tangible-Equity is 17.33% 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 Fauji Cement Co (KAR:FCCL) Overvalued in 2026?
Based on GuruFocus' analysis, Fauji Cement Co stock appears to be overvalued.
The current stock price of ₨55.88 is trading 41.9% above its estimated GF Value™ of ₨39.37.
GuruFocus considers Fauji Cement Co to be Significantly Overvalued.
Key valuation signals for KAR:FCCL:
Return-on-Tangible-Equity: 17.33% (12% above median its 10-year median of 15.43)
GF Value™: ₨39.37 vs. price of ₨55.88 (41.9% above fair value)
Industry Position: 241.1% above the Building Materials median (#54 of 397)
No single metric tells the full story. See the KAR:FCCL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fauji Cement Co Ltd is engaged in the manufacturing and sale of cement. The company's product range includes ordinary Portland cement, low alkali cement, and sulphate-resistant cement. Its cement products are preferred in constructing mega-projects such as dams, bridges, highways and motorways, airports, commercial and industrial complexes, and residential housing societies.
90GF Score
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