LightLGSXY 40 Return-on-Tangible-Equity is 191.22% as of Mar. 2026, which is 606% above its 10-year median of 27.10. GuruFocus rates LGSXY with a GF Score™ of 40/100 and a GF Value™ of $0.73 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 426 Utilities - Independent Power Producers companies, Light ranks better than 93.19% 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. Light's annualized net income for the quarter that ended in Mar. 2026 was $2,158 Mil. Light's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $1,129 Mil. Therefore, Light's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 191.22%.
The historical rank and industry rank for Light's Return-on-Tangible-Equity or its related term are showing as below:
LGSXY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -180.75 Med: 27.1 Max: 218.23
Current: 52.01
During the past 13 years, Light's highest Return-on-Tangible-Equity was 218.23%. The lowest was -180.75%. And the median was 27.10%.
LGSXY's Return-on-Tangible-Equity is ranked better than 93.19% of 426
companies
in the Utilities - Independent Power Producers industry
Industry Median: 4.69
vs LGSXY: 52.01
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.
Light Return-on-Tangible-Equity Related Terms
Light Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Light'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.
For the Utilities - Renewable subindustry, Light'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.
Light Return-on-Tangible-Equity vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Light's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Light'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 191.22% mean?
Light (LGSXY) has a Return-on-Tangible-Equity of 191.22% 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 Light and its competitors. This is 606% above median its historical median of 27.10. According to the industry distribution chart, Light ranks #29 out of 426 companies in the Utilities - Independent Power Producers industry, placing it in the top 6.8%.
Is Light's Return-on-Tangible-Equity too high?
Light's current Return-on-Tangible-Equity of 191.22% is 606% above median its 10-year median of 27.10. The Utilities - Independent Power Producers industry median Return-on-Tangible-Equity is 4.69. Light's value of 191.22% is 3977.2% above this industry median. Based on the distribution chart, Light ranks #29 out of 426 companies in the Utilities - Independent Power Producers industry, which is in the top quartile — a strong position relative to peers. Overall, Light has a GF Score™ of 40/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Light's Return-on-Tangible-Equity compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Light ranks #29 out of 426 companies for Return-on-Tangible-Equity. This places Light in the top 7% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 4.69. Light's value of 191.22% is 3977.2% above this benchmark. While the company's 10-year median is 27.10 vs. the industry median of 4.69, Light 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 Utilities - Independent Power Producers company?
The median Return-on-Tangible-Equity among Utilities - Independent Power Producers companies is 4.69, based on 426 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. Light's current Return-on-Tangible-Equity of 191.22% is 3977.2% 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 Light and its competitors. For the Utilities - Independent Power Producers industry, the median Return-on-Tangible-Equity is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Light's current Return-on-Tangible-Equity is 191.22%, which is 606% above median its own 10-year median of 27.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Light stock overvalued right now?
Based on GuruFocus' analysis, Light (LGSXY) is currently considered Modestly Undervalued. The stock's GF Value™ is $0.73, compared to a current price of $0.53 — trading 27.5% below its estimated fair value. The current Return-on-Tangible-Equity is 191.22%, which is 606% above median its 10-year median of 27.10 and 3977.2% above the Utilities - Independent Power Producers industry median of 4.69. Light's overall GF Score™ is 40/100 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 Light (LGSXY), the current Return-on-Tangible-Equity is 191.22% 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 Light (LGSXY) Overvalued in 2026?
Based on GuruFocus' analysis, Light stock appears to be undervalued.
The current stock price of $0.53 is trading 27.5% below its estimated GF Value™ of $0.73.
GuruFocus considers Light to be Modestly Undervalued.
Key valuation signals for LGSXY:
Return-on-Tangible-Equity: 191.22% (606% above median its 10-year median of 27.10)
GF Value™: $0.73 vs. price of $0.53 (27.5% below fair value)
Industry Position: 3977.2% above the Utilities - Independent Power Producers median (#29 of 426)
No single metric tells the full story. See the LGSXY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Light SA is a Brazilian private-public utility of which the state-owned power company, CEMIG, wields a controlling stake. The company generates, distributes, and trades energy. To do this, the company owns and operates a portfolio of hydroelectric power plants that serve the Brazilian state of Rio de Janeiro. Light derives maximum of its revenue from the supplying of energy, with network usage and the construction of assets also bringing in substantial amounts of revenue. The vast majority of the company's customers are residential consumers. The company operates in three segments namely: Distribution, Generation and Trading, out of which maximum revenue is generated from Distribution segment.
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