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Burberry GroupLSE:BRBY +2.94%76 Return-on-Tangible-Equity is 13.45% as of Mar. 2026, which is 42% below its 10-year median of 23.10. GuruFocus rates LSE:BRBY with a GF Score™ of 76/100 and a GF Value™ of £11.00 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,065 Retail - Cyclical companies, Burberry Group ranks worse than 66.57% 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. Burberry Group's annualized net income for the quarter that ended in Mar. 2026 was £94 Mil. Burberry Group's average shareholder tangible equity for the quarter that ended in Mar. 2026 was £699 Mil. Therefore, Burberry Group's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 13.45%.
The historical rank and industry rank for Burberry Group's Return-on-Tangible-Equity or its related term are showing as below:
LSE:BRBY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -9.58 Med: 23.1 Max: 36.87
Current: 3.02
During the past 13 years, Burberry Group's highest Return-on-Tangible-Equity was 36.87%. The lowest was -9.58%. And the median was 23.10%.
LSE:BRBY's Return-on-Tangible-Equity is ranked worse than 66.57% of 1065
companies
in the Retail - Cyclical industry
Industry Median: 8.45
vs LSE:BRBY: 3.02
Burberry Group (LSE:BRBY) 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.
Burberry Group Return-on-Tangible-Equity Related Terms
Burberry Group Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Burberry Group'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.
LSE:BRBY vs TPR, SIG, CPRI: Return-on-Tangible-Equity Comparison
For the Luxury Goods subindustry, Burberry Group'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.
Burberry Group Return-on-Tangible-Equity vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Burberry Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Burberry Group'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 13.45% mean?
Burberry Group (LSE:BRBY) has a Return-on-Tangible-Equity of 13.45% 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 Burberry Group and its competitors. This is 42% below median its historical median of 23.10. According to the industry distribution chart, Burberry Group ranks #709 out of 1065 companies in the Retail - Cyclical industry, placing it in the top 66.6%.
Is Burberry Group's Return-on-Tangible-Equity too high?
Burberry Group's current Return-on-Tangible-Equity of 13.45% is 42% below median its 10-year median of 23.10. The Retail - Cyclical industry median Return-on-Tangible-Equity is 8.45. Burberry Group's value of 13.45% is 59.2% above this industry median. Based on the distribution chart, Burberry Group ranks #709 out of 1065 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Burberry Group has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Burberry Group's Return-on-Tangible-Equity compare to TPR and SIG?
According to the Retail - Cyclical industry distribution chart, Burberry Group ranks #709 out of 1065 companies for Return-on-Tangible-Equity. This places Burberry Group in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.45. Burberry Group's value of 13.45% is 59.2% above this benchmark. While the company's 10-year median is 23.10 vs. the industry median of 8.45, Burberry Group 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 Retail - Cyclical company?
The median Return-on-Tangible-Equity among Retail - Cyclical companies is 8.45, based on 1,065 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. Burberry Group's current Return-on-Tangible-Equity of 13.45% is 59.2% 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 Burberry Group and its competitors. For the Retail - Cyclical industry, the median Return-on-Tangible-Equity is 8.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Burberry Group's current Return-on-Tangible-Equity is 13.45%, which is 42% below median its own 10-year median of 23.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Burberry Group stock overvalued right now?
Based on GuruFocus' analysis, Burberry Group (LSE:BRBY) is currently considered Fairly Valued. The stock's GF Value™ is £11.00, compared to a current price of £10.68 — trading 2.9% below its estimated fair value. The current Return-on-Tangible-Equity is 13.45%, which is 42% below median its 10-year median of 23.10 and 59.2% above the Retail - Cyclical industry median of 8.45. Burberry Group's overall GF Score™ is 76/100 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 Burberry Group (LSE:BRBY), the current Return-on-Tangible-Equity is 13.45% 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 Burberry Group (LSE:BRBY) Overvalued in 2026?
Based on GuruFocus' analysis, Burberry Group stock appears to be undervalued.
The current stock price of £10.68 is trading 2.9% below its estimated GF Value™ of £11.00.
GuruFocus considers Burberry Group to be Fairly Valued.
Key valuation signals for LSE:BRBY:
Return-on-Tangible-Equity: 13.45% (42% below median its 10-year median of 23.10)
GF Value™: £11.00 vs. price of £10.68 (2.9% below fair value)
Industry Position: 59.2% above the Retail - Cyclical median (#709 of 1065)
No single metric tells the full story. See the LSE:BRBY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Burberry, a British luxury monobrand that is more than 160 years old, is best known for its outerwear and signature plaid scarves. It has a global presence, with 35% of revenue generated in Europe, 43% in Asia, and 22% in North America. Apparel contributes over 60% of sales.
76GF Score
Get the complete analysis for LSE:BRBY
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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