Kuwait Cement Co (KUW:KCEM) Return-on-Tangible-Equity: 3.70% (As of Mar. 2026) — 93% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

KUW:KCEM Kuwait Cement Co KUW:KCEM
36 GF Score
Price KWD0.39
GF Value KWD0.24
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is Kuwait Cement Co Return-on-Tangible-Equity?

Kuwait Cement Co KUW:KCEM -1.02% 36 Return-on-Tangible-Equity is 3.70% as of Mar. 2026, which is 93% above its 10-year median of 1.92. GuruFocus rates KUW:KCEM with a GF Score™ of 36/100 and a GF Value™ of KWD0.24 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 397 Building Materials companies, Kuwait Cement Co ranks worse than 55.16% 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. Kuwait Cement Co's annualized net income for the quarter that ended in Mar. 2026 was KWD8.61 Mil. Kuwait Cement Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was KWD233.02 Mil. Therefore, Kuwait Cement Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.70%.

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

KUW:KCEM' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -9.44   Med: 1.92   Max: 10.34
Current: 4.06

During the past 13 years, Kuwait Cement Co's highest Return-on-Tangible-Equity was 10.34%. The lowest was -9.44%. And the median was 1.92%.

KUW:KCEM's Return-on-Tangible-Equity is ranked worse than
55.16% of 397 companies
in the Building Materials industry
Industry Median: 5.06 vs KUW:KCEM: 4.06

Kuwait Cement Co  (KUW:KCEM) 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.


Kuwait Cement Co Return-on-Tangible-Equity Related Terms


Kuwait Cement Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Kuwait 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.

Kuwait Cement Co Return-on-Tangible-Equity Chart

Kuwait Cement Co 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 -1.42 1.84 0.91 1.59 3.15

Kuwait Cement Co 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 0.11 5.46 2.52 4.48 3.70

KUW:KCEM vs CRH, VMC, MLM: Return-on-Tangible-Equity Comparison

For the Building Materials subindustry, Kuwait 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.


Kuwait Cement Co Return-on-Tangible-Equity vs Building Materials Industry

For the Building Materials industry and Basic Materials sector, Kuwait Cement Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Kuwait Cement Co's Return-on-Tangible-Equity falls into.


KUW:KCEM
36GF Score
Kuwait Cement Co KUW:KCEM
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kuwait Cement Co Return-on-Tangible-Equity Calculation

Kuwait Cement Co'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 )
=7.148/( (211.496+242.013 )/ 2 )
=7.148/226.7545
=3.15 %

Kuwait Cement Co'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 )
=8.612/( (242.013+224.035)/ 2 )
=8.612/233.024
=3.70 %

* 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 3.70% mean?
Kuwait Cement Co (KUW:KCEM) has a Return-on-Tangible-Equity of 3.70% 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 Kuwait Cement Co and its competitors. This is 93% above median its historical median of 1.92. According to the industry distribution chart, Kuwait Cement Co ranks #219 out of 397 companies in the Building Materials industry, placing it in the top 55.2%.
Is Kuwait Cement Co's Return-on-Tangible-Equity too high?
Kuwait Cement Co's current Return-on-Tangible-Equity of 3.70% is 93% above median its 10-year median of 1.92. The Building Materials industry median Return-on-Tangible-Equity is 5.06. Kuwait Cement Co's value of 3.70% is 26.9% below this industry median. Based on the distribution chart, Kuwait Cement Co ranks #219 out of 397 companies in the Building Materials industry, which is below the industry midpoint. Overall, Kuwait Cement Co has a GF Score™ of 36/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kuwait Cement Co's Return-on-Tangible-Equity compare to CRH and VMC?
According to the Building Materials industry distribution chart, Kuwait Cement Co ranks #219 out of 397 companies for Return-on-Tangible-Equity. This places Kuwait Cement Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.06. Kuwait Cement Co's value of 3.70% is 26.9% below this benchmark. While the company's 10-year median is 1.92 vs. the industry median of 5.06, Kuwait Cement Co has consistently been below 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 5.06, 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. Kuwait Cement Co's current Return-on-Tangible-Equity of 3.70% is 26.9% below 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 Kuwait Cement Co and its competitors. For the Building Materials industry, the median Return-on-Tangible-Equity is 5.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kuwait Cement Co's current Return-on-Tangible-Equity is 3.70%, which is 93% above median its own 10-year median of 1.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kuwait Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Kuwait Cement Co (KUW:KCEM) is currently considered Significantly Overvalued. The stock's GF Value™ is KWD0.24, compared to a current price of KWD0.39 — trading 62.1% above its estimated fair value. The current Return-on-Tangible-Equity is 3.70%, which is 93% above median its 10-year median of 1.92 and 26.9% below the Building Materials industry median of 5.06. Kuwait Cement Co's overall GF Score™ is 36/100 with 2 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 Kuwait Cement Co (KUW:KCEM), the current Return-on-Tangible-Equity is 3.70% 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 Kuwait Cement Co (KUW:KCEM) Overvalued in 2026?

Based on GuruFocus' analysis, Kuwait Cement Co stock appears to be overvalued. The current stock price of KWD0.39 is trading 62.1% above its estimated GF Value™ of KWD0.24. GuruFocus considers Kuwait Cement Co to be Significantly Overvalued.

Key valuation signals for KUW:KCEM:

  • Return-on-Tangible-Equity: 3.70% (93% above median its 10-year median of 1.92)
  • GF Value™: KWD0.24 vs. price of KWD0.39 (62.1% above fair value)
  • GF Score™: 36/100 with 2 warning signs
  • Industry Position: 26.9% below the Building Materials median (#219 of 397)

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


Kuwait Cement Co Business Description

Address Al-Shuhada Street, P.O. Box 20581, Cement House Building, Al-Sawaber Area, Sharq, Safat, Kuwait, KWT, 13066
Kuwait Cement Co is an integrated cement manufacturing company in Kuwait. Its operating business segments are the Manufacturing sector and Investment sector. The company generates maximum revenue from the Manufacturing sector segment. The Manufacturing sector of the company includes the production and sale of cement and ready-mix cement, and its products include Ordinary Portland Cement, Salt Resistant Cement, and many more.
36GF Score

Get the complete analysis for KUW:KCEM

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

KWD0.39
Price
KWD0.24
GF Value