British Smaller VCT 2LSE:BSC 34 Return-on-Tangible-Equity is 3.00% as of Dec. 2025, which is 47% below its 10-year median of 5.67. GuruFocus rates LSE:BSC with a GF Score™ of 34/100 and a GF Value™ of £0.26 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,591 Asset Management companies, British Smaller VCT 2 ranks worse than 67.13% 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. British Smaller VCT 2's annualized net income for the quarter that ended in Dec. 2025 was £5.41 Mil. British Smaller VCT 2's average shareholder tangible equity for the quarter that ended in Dec. 2025 was £180.26 Mil. Therefore, British Smaller VCT 2's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 3.00%.
The historical rank and industry rank for British Smaller VCT 2's Return-on-Tangible-Equity or its related term are showing as below:
LSE:BSC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.76 Med: 5.67 Max: 25.76
Current: 2.55
During the past 13 years, British Smaller VCT 2's highest Return-on-Tangible-Equity was 25.76%. The lowest was 1.76%. And the median was 5.67%.
LSE:BSC's Return-on-Tangible-Equity is ranked worse than 67.13% of 1591
companies
in the Asset Management industry
Industry Median: 7.21
vs LSE:BSC: 2.55
British Smaller VCT 2 (LSE:BSC) 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.
British Smaller VCT 2 Return-on-Tangible-Equity Related Terms
British Smaller VCT 2 Return-on-Tangible-Equity Historical Data
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The historical data trend for British Smaller VCT 2'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.
British Smaller VCT 2 Return-on-Tangible-Equity Chart
LSE:BSC vs BLK, BX, KKR: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, British Smaller VCT 2'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.
British Smaller VCT 2 Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, British Smaller VCT 2's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where British Smaller VCT 2'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 (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 3.00% mean?
British Smaller VCT 2 (LSE:BSC) has a Return-on-Tangible-Equity of 3.00% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on British Smaller VCT 2 and its competitors. This is 47% below median its historical median of 5.67. Over the past decade, British Smaller VCT 2's Return-on-Tangible-Equity has ranged from 1.76 to 25.76. According to the industry distribution chart, British Smaller VCT 2 ranks #1068 out of 1591 companies in the Asset Management industry, placing it in the top 67.1%.
Is British Smaller VCT 2's Return-on-Tangible-Equity too high?
British Smaller VCT 2's current Return-on-Tangible-Equity of 3.00% is 47% below median its 10-year median of 5.67. Over the past 10 years, this metric has ranged from a low of 1.76 to a high of 25.76. The Asset Management industry median Return-on-Tangible-Equity is 7.21. British Smaller VCT 2's value of 3.00% is 58.4% below this industry median. Based on the distribution chart, British Smaller VCT 2 ranks #1068 out of 1591 companies in the Asset Management industry, which is below the industry midpoint. Overall, British Smaller VCT 2 has a GF Score™ of 34/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does British Smaller VCT 2's Return-on-Tangible-Equity compare to BLK and BX?
According to the Asset Management industry distribution chart, British Smaller VCT 2 ranks #1068 out of 1591 companies for Return-on-Tangible-Equity. This places British Smaller VCT 2 in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.21. British Smaller VCT 2's value of 3.00% is 58.4% below this benchmark. Historically, British Smaller VCT 2's own Return-on-Tangible-Equity has ranged from 1.76 to 25.76 over the past decade. While the company's 10-year median is 5.67 vs. the industry median of 7.21, British Smaller VCT 2 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 an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.21, based on 1,591 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. British Smaller VCT 2's current Return-on-Tangible-Equity of 3.00% is 58.4% 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 British Smaller VCT 2 and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. British Smaller VCT 2's current Return-on-Tangible-Equity is 3.00%, which is 47% below median its own 10-year median of 5.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is British Smaller VCT 2 stock overvalued right now?
Based on GuruFocus' analysis, British Smaller VCT 2 (LSE:BSC) is currently considered Significantly Overvalued. The stock's GF Value™ is £0.26, compared to a current price of £0.49 — trading 89.2% above its estimated fair value. The current Return-on-Tangible-Equity is 3.00%, which is 47% below median its 10-year median of 5.67 and 58.4% below the Asset Management industry median of 7.21. British Smaller VCT 2's overall GF Score™ is 34/100 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 British Smaller VCT 2 (LSE:BSC), the current Return-on-Tangible-Equity is 3.00% as of Dec. 2025. 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 British Smaller VCT 2 (LSE:BSC) Overvalued in 2026?
Based on GuruFocus' analysis, British Smaller VCT 2 stock appears to be overvalued.
The current stock price of £0.49 is trading 89.2% above its estimated GF Value™ of £0.26.
GuruFocus considers British Smaller VCT 2 to be Significantly Overvalued.
Key valuation signals for LSE:BSC:
Return-on-Tangible-Equity: 3.00% (47% below median its 10-year median of 5.67)
GF Value™: £0.26 vs. price of £0.49 (89.2% above fair value)
Industry Position: 58.4% below the Asset Management median (#1068 of 1591)
No single metric tells the full story. See the LSE:BSC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
British Smaller Companies VCT 2 PLC operates as a venture capital trust in the United Kingdom. The investment planning of the company is to invest in UK businesses across a broad range of sectors that blend a mix of businesses operating in established and emerging industries that offer opportunities for the application and development of innovation in their products and services.
34GF Score
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Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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