Mexco EnergyMXC +6.97%73 Return-on-Tangible-Equity is 14.07% as of Mar. 2026, which is 228% above its 10-year median of 4.29. GuruFocus rates MXC with a GF Score™ of 73/100 and a GF Value™ of $9.32 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 944 Oil & Gas companies, Mexco Energy ranks better than 50.53% 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. Mexco Energy's annualized net income for the quarter that ended in Mar. 2026 was $2.76 Mil. Mexco Energy's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $19.62 Mil. Therefore, Mexco Energy's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 14.07%.
The historical rank and industry rank for Mexco Energy's Return-on-Tangible-Equity or its related term are showing as below:
MXC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -7.7 Med: 4.29 Max: 32.1
Current: 6.81
During the past 13 years, Mexco Energy's highest Return-on-Tangible-Equity was 32.10%. The lowest was -7.70%. And the median was 4.29%.
MXC's Return-on-Tangible-Equity is ranked better than 50.53% of 944
companies
in the Oil & Gas industry
Industry Median: 6.73
vs MXC: 6.81
Mexco Energy (AMEX:MXC) 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.
Mexco Energy Return-on-Tangible-Equity Related Terms
Mexco Energy Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Mexco Energy'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.
MXC vs BRN, NRIS, MVO: Return-on-Tangible-Equity Comparison
For the Oil & Gas E&P subindustry, Mexco Energy'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.
Mexco Energy Return-on-Tangible-Equity vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Mexco Energy's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Mexco Energy'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 four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 14.07% mean?
Mexco Energy (MXC) has a Return-on-Tangible-Equity of 14.07% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Mexco Energy and its competitors. This is 228% above median its historical median of 4.29. According to the industry distribution chart, Mexco Energy ranks #467 out of 944 companies in the Oil & Gas industry, placing it in the top 49.5%.
Is Mexco Energy's Return-on-Tangible-Equity too high?
Mexco Energy's current Return-on-Tangible-Equity of 14.07% is 228% above median its 10-year median of 4.29. The Oil & Gas industry median Return-on-Tangible-Equity is 6.73. Mexco Energy's value of 14.07% is 109.1% above this industry median. Based on the distribution chart, Mexco Energy ranks #467 out of 944 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Mexco Energy has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Mexco Energy's Return-on-Tangible-Equity compare to BRN and NRIS?
According to the Oil & Gas industry distribution chart, Mexco Energy ranks #467 out of 944 companies for Return-on-Tangible-Equity. This puts Mexco Energy in the upper half of its industry. The industry median Return-on-Tangible-Equity is 6.73. Mexco Energy's value of 14.07% is 109.1% above this benchmark. While the company's 10-year median is 4.29 vs. the industry median of 6.73, Mexco Energy 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 an Oil & Gas company?
The median Return-on-Tangible-Equity among Oil & Gas companies is 6.73, based on 944 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. Mexco Energy's current Return-on-Tangible-Equity of 14.07% is 109.1% 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 Mexco Energy and its competitors. For the Oil & Gas industry, the median Return-on-Tangible-Equity is 6.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mexco Energy's current Return-on-Tangible-Equity is 14.07%, which is 228% above median its own 10-year median of 4.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mexco Energy stock overvalued right now?
Based on GuruFocus' analysis, Mexco Energy (MXC) is currently considered Modestly Undervalued. The stock's GF Value™ is $9.32, compared to a current price of $8.00 — trading 14.2% below its estimated fair value. The current Return-on-Tangible-Equity is 14.07%, which is 228% above median its 10-year median of 4.29 and 109.1% above the Oil & Gas industry median of 6.73. Mexco Energy's overall GF Score™ is 73/100 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 Mexco Energy (MXC), the current Return-on-Tangible-Equity is 14.07% as of Mar. 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 Mexco Energy (MXC) Overvalued in 2026?
Based on GuruFocus' analysis, Mexco Energy stock appears to be undervalued.
The current stock price of $8.00 is trading 14.2% below its estimated GF Value™ of $9.32.
GuruFocus considers Mexco Energy to be Modestly Undervalued.
Key valuation signals for MXC:
Return-on-Tangible-Equity: 14.07% (228% above median its 10-year median of 4.29)
GF Value™: $9.32 vs. price of $8.00 (14.2% below fair value)
Industry Position: 109.1% above the Oil & Gas median (#467 of 944)
No single metric tells the full story. See the MXC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mexco Energy Corporation is an independent oil and gas company. It is engaged in the acquisition, exploration, development, and production of natural gas and crude oil properties located in the United States. The company carried out its operation in the Permian Basin of West Texas. It is focusing on two primary areas, the Delaware Basin located in the Western portion of the Permian Basin including Lea and Eddy Counties, New Mexico and Loving County, Texas, and the Midland Basin located in the Eastern portion of the Permian Basin including Reagan, Upton, Midland, Martin, Howard, and Glasscock Counties, Texas. The company generates revenue from Oil sales, Natural gas sales, oil and gas royalty interests.
73GF Score
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