London SecurityLSE:LSC 88 Return-on-Tangible-Equity is 32.62% as of Dec. 2025, which is 1% below its 10-year median of 33.03. GuruFocus rates LSE:LSC with a GF Score™ of 88/100 and a GF Value™ of £39.17 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,009 Business Services companies, London Security ranks better than 75.42% 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. London Security's annualized net income for the quarter that ended in Dec. 2025 was £30.2 Mil. London Security's average shareholder tangible equity for the quarter that ended in Dec. 2025 was £92.5 Mil. Therefore, London Security's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 32.62%.
The historical rank and industry rank for London Security's Return-on-Tangible-Equity or its related term are showing as below:
LSE:LSC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 27.09 Med: 33.03 Max: 45.02
Current: 27.09
During the past 13 years, London Security's highest Return-on-Tangible-Equity was 45.02%. The lowest was 27.09%. And the median was 33.03%.
LSE:LSC's Return-on-Tangible-Equity is ranked better than 75.42% of 1009
companies
in the Business Services industry
Industry Median: 10.56
vs LSE:LSC: 27.09
London Security (LSE:LSC) 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.
London Security Return-on-Tangible-Equity Related Terms
London Security Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for London Security'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:LSC vs ALLE, MSA, ADT: Return-on-Tangible-Equity Comparison
For the Security & Protection Services subindustry, London Security'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.
London Security Return-on-Tangible-Equity vs Business Services Industry
For the Business Services industry and Industrials sector, London Security's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where London Security'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 32.62% mean?
London Security (LSE:LSC) has a Return-on-Tangible-Equity of 32.62% 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 London Security and its competitors. This is near median its historical median of 33.03. Over the past decade, London Security's Return-on-Tangible-Equity has ranged from 27.09 to 45.02. According to the industry distribution chart, London Security ranks #248 out of 1009 companies in the Business Services industry, placing it in the top 24.6%.
Is London Security's Return-on-Tangible-Equity too high?
London Security's current Return-on-Tangible-Equity of 32.62% is near median its 10-year median of 33.03. Over the past 10 years, this metric has ranged from a low of 27.09 to a high of 45.02. The Business Services industry median Return-on-Tangible-Equity is 10.56. London Security's value of 32.62% is 208.9% above this industry median. Based on the distribution chart, London Security ranks #248 out of 1009 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, London Security has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does London Security's Return-on-Tangible-Equity compare to ALLE and MSA?
According to the Business Services industry distribution chart, London Security ranks #248 out of 1009 companies for Return-on-Tangible-Equity. This places London Security in the top 25% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 10.56. London Security's value of 32.62% is 208.9% above this benchmark. Historically, London Security's own Return-on-Tangible-Equity has ranged from 27.09 to 45.02 over the past decade. While the company's 10-year median is 33.03 vs. the industry median of 10.56, London Security 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 Business Services company?
The median Return-on-Tangible-Equity among Business Services companies is 10.56, based on 1,009 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. London Security's current Return-on-Tangible-Equity of 32.62% is 208.9% 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 London Security and its competitors. For the Business Services industry, the median Return-on-Tangible-Equity is 10.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. London Security's current Return-on-Tangible-Equity is 32.62%, which is near median its own 10-year median of 33.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is London Security stock overvalued right now?
Based on GuruFocus' analysis, London Security (LSE:LSC) is currently considered Modestly Undervalued. The stock's GF Value™ is £39.17, compared to a current price of £35.00 — trading 10.6% below its estimated fair value. The current Return-on-Tangible-Equity is 32.62%, which is near median its 10-year median of 33.03 and 208.9% above the Business Services industry median of 10.56. London Security's overall GF Score™ is 88/100 with 3 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 London Security (LSE:LSC), the current Return-on-Tangible-Equity is 32.62% 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 London Security (LSE:LSC) Overvalued in 2026?
Based on GuruFocus' analysis, London Security stock appears to be undervalued.
The current stock price of £35.00 is trading 10.6% below its estimated GF Value™ of £39.17.
GuruFocus considers London Security to be Modestly Undervalued.
Key valuation signals for LSE:LSC:
Return-on-Tangible-Equity: 32.62% (near median its 10-year median of 33.03)
GF Value™: £39.17 vs. price of £35.00 (10.6% below fair value)
Industry Position: 208.9% above the Business Services median (#248 of 1009)
No single metric tells the full story. See the LSE:LSC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
London Security PLC is an investment holding company that provides fire protection services and products. The business activity of the group functions through the United Kingdom, Belgium, the Netherlands, Austria, and the Rest of Europe. It derives revenue from the Outright sale of equipment, Maintenance, service, installation, and Equipment rental activity. The company's products are marketed under the Nu-Swift, Ansul, Total, and Master brands. The group operates in a single segment, which is the provision and maintenance of fire protection and security equipment in Europe.
88GF Score
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