Uchumi Supermarket (NAI:UCHM) Return-on-Tangible-Equity: Negative Tangible Equity% (As of Jun. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is Uchumi Supermarket Return-on-Tangible-Equity?

Uchumi Supermarket NAI:UCHM +8.55% Return-on-Tangible-Equity is Negative Tangible Equity% as of Jun. 2025. The stock has 2 warning signs investors should review. Among 1,065 Retail - Cyclical companies, Uchumi Supermarket ranks better than 99.91% 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. Uchumi Supermarket's annualized net income for the quarter that ended in Jun. 2025 was KES8.7 Mil. Uchumi Supermarket's average shareholder tangible equity for the quarter that ended in Jun. 2025 was KES-7,058.3 Mil. Therefore, Uchumi Supermarket's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2025 was Negative Tangible Equity%.

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

NAI:UCHM' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0   Med: 0   Max: 0
Current: Negative Tangible Equity

NAI:UCHM's Return-on-Tangible-Equity is ranked better than
99.91% of 1065 companies
in the Retail - Cyclical industry
Industry Median: 8.28 vs NAI:UCHM: Negative Tangible Equity

Uchumi Supermarket  (NAI:UCHM) 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.


Uchumi Supermarket Return-on-Tangible-Equity Related Terms


Uchumi Supermarket Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Uchumi Supermarket'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.

Uchumi Supermarket Return-on-Tangible-Equity Chart

Uchumi Supermarket Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 Negative Tangible Equity

Uchumi Supermarket Semi-Annual Data
Jun11 Jun12 Jun13 Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
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 0.00 0.00 0.00 0.00 Negative Tangible Equity

NAI:UCHM vs DDS, M: Return-on-Tangible-Equity Comparison

For the Department Stores subindustry, Uchumi Supermarket'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.


Uchumi Supermarket Return-on-Tangible-Equity vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Uchumi Supermarket's Return-on-Tangible-Equity distribution charts can be found below:

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



Uchumi Supermarket Return-on-Tangible-Equity Calculation

Uchumi Supermarket's annualized Return-on-Tangible-Equity for the fiscal year that ended in Jun. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=8.688/( (-7064.325+-7052.356 )/ 2 )
=8.688/-7058.3405
=Negative Tangible Equity %

Uchumi Supermarket's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2025 )  (Q: Jun. 2024 )(Q: Jun. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2025 )  (Q: Jun. 2024 )(Q: Jun. 2025 )
=8.688/( (-7064.325+-7052.356)/ 2 )
=8.688/-7058.3405
=Negative Tangible Equity %

* 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 one times the annual (Jun. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of Negative Tangible Equity% mean?
Uchumi Supermarket (NAI:UCHM) has a Return-on-Tangible-Equity of Negative Tangible Equity% as of Jun. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Uchumi Supermarket and its competitors. According to the industry distribution chart, Uchumi Supermarket ranks #1 out of 1065 companies in the Retail - Cyclical industry, placing it in the top 0.099999999999994%.
Is Uchumi Supermarket's Return-on-Tangible-Equity too high?
Uchumi Supermarket's current Return-on-Tangible-Equity is Negative Tangible Equity%. Based on the distribution chart, Uchumi Supermarket ranks #1 out of 1065 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers.
How does Uchumi Supermarket's Return-on-Tangible-Equity compare to DDS and M?
According to the Retail - Cyclical industry distribution chart, Uchumi Supermarket ranks #1 out of 1065 companies for Return-on-Tangible-Equity. This places Uchumi Supermarket in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.28. 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 Retail - Cyclical company?
The median Return-on-Tangible-Equity among Retail - Cyclical companies is 8.28, based on 1,065 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 Uchumi Supermarket and its competitors. For the Retail - Cyclical industry, the median Return-on-Tangible-Equity is 8.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Uchumi Supermarket's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Uchumi Supermarket stock overvalued right now?
Based on GuruFocus' analysis, Uchumi Supermarket (NAI:UCHM) is currently considered Significantly Overvalued. The stock's GF Value™ is KES0.48, compared to a current price of KES1.65 — trading 243.8% above its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. 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 Uchumi Supermarket (NAI:UCHM), the current Return-on-Tangible-Equity is Negative Tangible Equity% as of Jun. 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.

Uchumi Supermarket Business Description

Address Carnivore Road, Langata Hyper Mall, PO Box 73167, Off Langata Road, Nairobi, KEN, 00200
Uchumi Supermarket Ltd operates retail supermarkets in Kenya. Its group provides a wide array of goods, including fresh fruits, vegetables, decorations, kitchen appliances, electronics, bakery products, and Others.