MarshallsLSE:MSLH +1.83%62 Return-on-Tangible-Equity is 8.49% as of Dec. 2025, which is 64% below its 10-year median of 23.87. GuruFocus rates LSE:MSLH with a GF Score™ of 62/100 and a GF Value™ of £2.51 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 397 Building Materials companies, Marshalls ranks better than 72.04% 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. Marshalls's annualized net income for the quarter that ended in Dec. 2025 was £11.0 Mil. Marshalls's average shareholder tangible equity for the quarter that ended in Dec. 2025 was £129.6 Mil. Therefore, Marshalls's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 8.49%.
The historical rank and industry rank for Marshalls's Return-on-Tangible-Equity or its related term are showing as below:
LSE:MSLH'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.21 Med: 23.87 Max: 31.56
Current: 11.42
During the past 13 years, Marshalls's highest Return-on-Tangible-Equity was 31.56%. The lowest was 1.21%. And the median was 23.87%.
LSE:MSLH's Return-on-Tangible-Equity is ranked better than 72.04% of 397
companies
in the Building Materials industry
Industry Median: 5.08
vs LSE:MSLH: 11.42
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.
Marshalls Return-on-Tangible-Equity Related Terms
Marshalls Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Marshalls'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:MSLH vs CRH, VMC, MLM: Return-on-Tangible-Equity Comparison
For the Building Materials subindustry, Marshalls'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.
Marshalls Return-on-Tangible-Equity vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Marshalls's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Marshalls'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 8.49% mean?
Marshalls (LSE:MSLH) has a Return-on-Tangible-Equity of 8.49% 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 Marshalls and its competitors. This is 64% below median its historical median of 23.87. Over the past decade, Marshalls' Return-on-Tangible-Equity has ranged from 1.21 to 31.56. According to the industry distribution chart, Marshalls ranks #111 out of 397 companies in the Building Materials industry, placing it in the top 28%.
Is Marshalls' Return-on-Tangible-Equity too high?
Marshalls' current Return-on-Tangible-Equity of 8.49% is 64% below median its 10-year median of 23.87. Over the past 10 years, this metric has ranged from a low of 1.21 to a high of 31.56. The Building Materials industry median Return-on-Tangible-Equity is 5.08. Marshalls' value of 8.49% is 67.1% above this industry median. Based on the distribution chart, Marshalls ranks #111 out of 397 companies in the Building Materials industry, which is above the industry midpoint. Overall, Marshalls has a GF Score™ of 62/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Marshalls' Return-on-Tangible-Equity compare to CRH and VMC?
According to the Building Materials industry distribution chart, Marshalls ranks #111 out of 397 companies for Return-on-Tangible-Equity. This puts Marshalls in the upper half of its industry. The industry median Return-on-Tangible-Equity is 5.08. Marshalls' value of 8.49% is 67.1% above this benchmark. Historically, Marshalls' own Return-on-Tangible-Equity has ranged from 1.21 to 31.56 over the past decade. While the company's 10-year median is 23.87 vs. the industry median of 5.08, Marshalls 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 Building Materials company?
The median Return-on-Tangible-Equity among Building Materials companies is 5.08, based on 397 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. Marshalls's current Return-on-Tangible-Equity of 8.49% is 67.1% 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 Marshalls and its competitors. For the Building Materials industry, the median Return-on-Tangible-Equity is 5.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Marshalls's current Return-on-Tangible-Equity is 8.49%, which is 64% below median its own 10-year median of 23.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Marshalls stock overvalued right now?
Based on GuruFocus' analysis, Marshalls (LSE:MSLH) is currently considered Significantly Undervalued. The stock's GF Value™ is £2.51, compared to a current price of £1.45 — trading 42.3% below its estimated fair value. The current Return-on-Tangible-Equity is 8.49%, which is 64% below median its 10-year median of 23.87 and 67.1% above the Building Materials industry median of 5.08. Marshalls' overall GF Score™ is 62/100 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 Marshalls (LSE:MSLH), the current Return-on-Tangible-Equity is 8.49% 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 Marshalls (LSE:MSLH) Overvalued in 2026?
Based on GuruFocus' analysis, Marshalls stock appears to be undervalued.
The current stock price of £1.45 is trading 42.3% below its estimated GF Value™ of £2.51.
GuruFocus considers Marshalls to be Significantly Undervalued.
Key valuation signals for LSE:MSLH:
Return-on-Tangible-Equity: 8.49% (64% below median its 10-year median of 23.87)
GF Value™: £2.51 vs. price of £1.45 (42.3% below fair value)
Industry Position: 67.1% above the Building Materials median (#111 of 397)
No single metric tells the full story. See the LSE:MSLH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Marshalls PLC manufactures landscape building and roofing products, which it sells to customers in both public sector/commercial and domestic end markets. The focus in the public sector and commercial business is on products for architects, local authorities, and contractors, for use in projects such as creating street furniture, paving, and water management. Domestic market customers range from do-it-yourselfers to professional landscapers, driveway installers, and garden designers. It supplies products like Concrete tiles, Clay tiles, Walling, and Concrete bricks, among others. The company has three reporting segments: Landscape Products, which generates key revenue; Building Products; and Roofing Products. It operates manufacturing sites and quarries throughout the United Kingdom.
62GF Score
Get the complete analysis for LSE:MSLH
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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