CheckitLSE:CKT 31 Return-on-Tangible-Equity is -71.79% as of Jan. 2026. GuruFocus rates LSE:CKT with a GF Score™ of 31/100 and a GF Value™ of £0.24 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 2,467 Software companies, Checkit ranks worse than 91.53% 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. Checkit's annualized net income for the quarter that ended in Jan. 2026 was £-1.40 Mil. Checkit's average shareholder tangible equity for the quarter that ended in Jan. 2026 was £1.95 Mil. Therefore, Checkit's annualized Return-on-Tangible-Equity for the quarter that ended in Jan. 2026 was -71.79%.
The historical rank and industry rank for Checkit's Return-on-Tangible-Equity or its related term are showing as below:
LSE:CKT'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -96.55 Med: -35.49 Max: 587.64
Current: -96.55
During the past 13 years, Checkit's highest Return-on-Tangible-Equity was 587.64%. The lowest was -96.55%. And the median was -35.49%.
LSE:CKT's Return-on-Tangible-Equity is ranked worse than 91.53% of 2467
companies
in the Software industry
Industry Median: 8.82
vs LSE:CKT: -96.55
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.
Checkit Return-on-Tangible-Equity Related Terms
Checkit Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Checkit'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:CKT vs UBER, SHOP, CRM: Return-on-Tangible-Equity Comparison
For the Software - Application subindustry, Checkit'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.
Checkit Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Checkit's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Checkit'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 (Jan. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -71.79% mean?
Checkit (LSE:CKT) has a Return-on-Tangible-Equity of -71.79% as of Jan. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Checkit and its competitors. According to the industry distribution chart, Checkit ranks #2258 out of 2467 companies in the Software industry, placing it in the top 91.5%.
Is Checkit's Return-on-Tangible-Equity too high?
Checkit's current Return-on-Tangible-Equity is -71.79%. Based on the distribution chart, Checkit ranks #2258 out of 2467 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Checkit has a GF Score™ of 31/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Checkit's Return-on-Tangible-Equity compare to UBER and SHOP?
According to the Software industry distribution chart, Checkit ranks #2258 out of 2467 companies for Return-on-Tangible-Equity. This places Checkit in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.82. 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.82, based on 2,467 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. 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 Checkit and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Checkit's current Return-on-Tangible-Equity is -71.79%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Checkit stock overvalued right now?
Based on GuruFocus' analysis, Checkit (LSE:CKT) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.24, compared to a current price of £0.22 — trading 10.4% below its estimated fair value. The current Return-on-Tangible-Equity is -71.79%. Checkit's overall GF Score™ is 31/100 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 Checkit (LSE:CKT), the current Return-on-Tangible-Equity is -71.79% as of Jan. 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 Checkit (LSE:CKT) Overvalued in 2026?
Based on GuruFocus' analysis, Checkit stock appears to be undervalued.
The current stock price of £0.22 is trading 10.4% below its estimated GF Value™ of £0.24.
GuruFocus considers Checkit to be Modestly Undervalued.
Key valuation signals for LSE:CKT:
Return-on-Tangible-Equity: -71.79%
GF Value™: £0.24 vs. price of £0.22 (10.4% below fair value)
No single metric tells the full story. See the LSE:CKT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Checkit PLC is a real-time operation management software company engaged in providing intelligent operations management platforms for desk less workforces, enabling operational agility and intelligent decision-making in large multinational and complex national organizations. The company's subscription business model offers optional plugins for smart sensor networks and workflow task management. Its solutions apply digital tools and monitoring to transform workforce management and incorporate physical assets into a digital ecosystem using Internet of Things (IoT) sensors and monitoring devices. The company has two operating segments; the United Kingdom, and The Americas. It derives a majority of its revenue from the United Kingdom.
31GF Score
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