Truecaller AB (LTS:0AA7) Return-on-Tangible-Equity: 19.81% (As of Jun. 2026) — 35% Below Median

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Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Founder & CEO of GuruFocus
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LTS:0AA7 Truecaller AB LTS:0AA7
65 GF Score
Price kr17.13
GF Value kr36.72
Valuation Significantly Undervalued
! 2 Warning Signs
View Full Analysis

What is Truecaller AB Return-on-Tangible-Equity?

Truecaller AB LTS:0AA7 +9.63% 65 Return-on-Tangible-Equity is 19.81% as of Jun. 2026, which is 35% below its 10-year median of 30.66. GuruFocus rates LTS:0AA7 with a GF Score™ of 65/100 and a GF Value™ of kr36.72 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 2,480 Software companies, Truecaller AB ranks better than 73.27% 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. Truecaller AB's annualized net income for the quarter that ended in Jun. 2026 was kr207 Mil. Truecaller AB's average shareholder tangible equity for the quarter that ended in Jun. 2026 was kr1,043 Mil. Therefore, Truecaller AB's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 19.81%.

The historical rank and industry rank for Truecaller AB's Return-on-Tangible-Equity or its related term are showing as below:

LTS:0AA7' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -157.68   Med: 30.66   Max: 33.83
Current: 26.47

During the past 9 years, Truecaller AB's highest Return-on-Tangible-Equity was 33.83%. The lowest was -157.68%. And the median was 30.66%.

LTS:0AA7's Return-on-Tangible-Equity is ranked better than
73.27% of 2480 companies
in the Software industry
Industry Median: 8.845 vs LTS:0AA7: 26.47

Truecaller AB  (LTS:0AA7) 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.


Truecaller AB Return-on-Tangible-Equity Related Terms


Truecaller AB Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Truecaller AB'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.

Truecaller AB Return-on-Tangible-Equity Chart

Truecaller AB Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only 33.20 33.83 31.29 33.79 30.03

Truecaller AB Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 35.98 38.78 20.93 11.50 19.81

LTS:0AA7 vs UBER, SHOP, CRM: Return-on-Tangible-Equity Comparison

For the Software - Application subindustry, Truecaller AB'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.


Truecaller AB Return-on-Tangible-Equity vs Software Industry

For the Software industry and Technology sector, Truecaller AB's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Truecaller AB's Return-on-Tangible-Equity falls into.


LTS:0AA7
65GF Score
Truecaller AB LTS:0AA7
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Truecaller AB Return-on-Tangible-Equity Calculation

Truecaller AB's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=388.625/( (1429.769+1158.335 )/ 2 )
=388.625/1294.052
=30.03 %

Truecaller AB's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2026 )  (Q: Mar. 2026 )(Q: Jun. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2026 )  (Q: Mar. 2026 )(Q: Jun. 2026 )
=206.616/( (1100.211+985.948)/ 2 )
=206.616/1043.0795
=19.81 %

* 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 four times the quarterly (Jun. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 19.81% mean?
Truecaller AB (LTS:0AA7) has a Return-on-Tangible-Equity of 19.81% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Truecaller AB and its competitors. This is 35% below median its historical median of 30.66. According to the industry distribution chart, Truecaller AB ranks #663 out of 2480 companies in the Software industry, placing it in the top 26.7%.
Is Truecaller AB's Return-on-Tangible-Equity too high?
Truecaller AB's current Return-on-Tangible-Equity of 19.81% is 35% below median its 10-year median of 30.66. The Software industry median Return-on-Tangible-Equity is 8.85. Truecaller AB's value of 19.81% is 124% above this industry median. Based on the distribution chart, Truecaller AB ranks #663 out of 2480 companies in the Software industry, which is above the industry midpoint. Overall, Truecaller AB has a GF Score™ of 65/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Truecaller AB's Return-on-Tangible-Equity compare to UBER and SHOP?
According to the Software industry distribution chart, Truecaller AB ranks #663 out of 2480 companies for Return-on-Tangible-Equity. This puts Truecaller AB in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.85. Truecaller AB's value of 19.81% is 124% above this benchmark. While the company's 10-year median is 30.66 vs. the industry median of 8.85, Truecaller AB 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.85, based on 2,480 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. Truecaller AB's current Return-on-Tangible-Equity of 19.81% is 124% 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 Truecaller AB and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Truecaller AB's current Return-on-Tangible-Equity is 19.81%, which is 35% below median its own 10-year median of 30.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Truecaller AB stock overvalued right now?
Based on GuruFocus' analysis, Truecaller AB (LTS:0AA7) is currently considered Significantly Undervalued. The stock's GF Value™ is kr36.72, compared to a current price of kr17.13 — trading 53.4% below its estimated fair value. The current Return-on-Tangible-Equity is 19.81%, which is 35% below median its 10-year median of 30.66 and 124% above the Software industry median of 8.85. Truecaller AB's overall GF Score™ is 65/100 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 Truecaller AB (LTS:0AA7), the current Return-on-Tangible-Equity is 19.81% as of Jun. 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 Truecaller AB (LTS:0AA7) Overvalued in 2026?

Based on GuruFocus' analysis, Truecaller AB stock appears to be undervalued. The current stock price of kr17.13 is trading 53.4% below its estimated GF Value™ of kr36.72. GuruFocus considers Truecaller AB to be Significantly Undervalued.

Key valuation signals for LTS:0AA7:

  • Return-on-Tangible-Equity: 19.81% (35% below median its 10-year median of 30.66)
  • GF Value™: kr36.72 vs. price of kr17.13 (53.4% below fair value)
  • GF Score™: 65/100 with 2 warning signs
  • Industry Position: 124% above the Software median (#663 of 2480)

No single metric tells the full story. See the LTS:0AA7 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Truecaller AB Business Description

Address Master Samuelsgatan 56, Stockholm, SWE, 111 21
Truecaller AB is engaged in developing and publishing software, mainly mobile Caller ID applications, under the Truecaller brand, providing a platform for contact verification and blocking unwanted communication, enabling safe and relevant conversations, and helping businesses efficiently reach consumers. Its offerings include Verified Caller ID, Verified Message ID, Verified Campaigns, Business Chat, Intelligence & Insights, Dialing Intelligence, Number Intelligence, Identity Management, and User Authentication. Its revenue for Business is generated from businesses' purchase of Verified Business Caller ID services within the app, enhancing user trust, improving call experience, and helping prevent identity theft and scams; the service is sold directly and via resellers.
65GF Score

Get the complete analysis for LTS:0AA7

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

kr17.13
Price
kr36.72
GF Value