PPCPPCLY 40 Return-on-Tangible-Equity is 16.09% as of Mar. 2026, which is 585% above its 10-year median of 2.35. GuruFocus rates PPCLY with a GF Score™ of 40/100 and a GF Value™ of $0.53 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 397 Building Materials companies, PPC ranks better than 78.34% 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. PPC's annualized net income for the quarter that ended in Mar. 2026 was $55.2 Mil. PPC's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $342.9 Mil. Therefore, PPC's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 16.09%.
The historical rank and industry rank for PPC's Return-on-Tangible-Equity or its related term are showing as below:
PPCLY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -23.71 Med: 2.35 Max: 14.3
Current: 14.3
During the past 13 years, PPC's highest Return-on-Tangible-Equity was 14.30%. The lowest was -23.71%. And the median was 2.35%.
PPCLY's Return-on-Tangible-Equity is ranked better than 78.34% of 397
companies
in the Building Materials industry
Industry Median: 5.08
vs PPCLY: 14.30
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.
PPC Return-on-Tangible-Equity Related Terms
PPC Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for PPC'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.
PPCLY vs CRH, VMC, MLM: Return-on-Tangible-Equity Comparison
For the Building Materials subindustry, PPC'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.
PPC Return-on-Tangible-Equity vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, PPC's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where PPC'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 (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 16.09% mean?
PPC (PPCLY) has a Return-on-Tangible-Equity of 16.09% 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 PPC and its competitors. This is 585% above median its historical median of 2.35. According to the industry distribution chart, PPC ranks #86 out of 397 companies in the Building Materials industry, placing it in the top 21.7%.
Is PPC's Return-on-Tangible-Equity too high?
PPC's current Return-on-Tangible-Equity of 16.09% is 585% above median its 10-year median of 2.35. The Building Materials industry median Return-on-Tangible-Equity is 5.08. PPC's value of 16.09% is 216.7% above this industry median. Based on the distribution chart, PPC ranks #86 out of 397 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, PPC has a GF Score™ of 40/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does PPC's Return-on-Tangible-Equity compare to CRH and VMC?
According to the Building Materials industry distribution chart, PPC ranks #86 out of 397 companies for Return-on-Tangible-Equity. This places PPC in the top 22% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.08. PPC's value of 16.09% is 216.7% above this benchmark. While the company's 10-year median is 2.35 vs. the industry median of 5.08, PPC 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. PPC's current Return-on-Tangible-Equity of 16.09% is 216.7% 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 PPC 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. PPC's current Return-on-Tangible-Equity is 16.09%, which is 585% above median its own 10-year median of 2.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PPC stock overvalued right now?
Based on GuruFocus' analysis, PPC (PPCLY) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.53, compared to a current price of $0.82 — trading 54.2% above its estimated fair value. The current Return-on-Tangible-Equity is 16.09%, which is 585% above median its 10-year median of 2.35 and 216.7% above the Building Materials industry median of 5.08. PPC's overall GF Score™ is 40/100 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 PPC (PPCLY), the current Return-on-Tangible-Equity is 16.09% 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 PPC (PPCLY) Overvalued in 2026?
Based on GuruFocus' analysis, PPC stock appears to be overvalued.
The current stock price of $0.82 is trading 54.2% above its estimated GF Value™ of $0.53.
GuruFocus considers PPC to be Significantly Overvalued.
Key valuation signals for PPCLY:
Return-on-Tangible-Equity: 16.09% (585% above median its 10-year median of 2.35)
GF Value™: $0.53 vs. price of $0.82 (54.2% above fair value)
Industry Position: 216.7% above the Building Materials median (#86 of 397)
No single metric tells the full story. See the PPCLY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PPC Ltd is a South Africa-based company that supplies cement and other related products in South Africa and several other African countries. Its production facilities span South Africa, Botswana, Zimbabwe, and Rwanda. The operating segments are South Africa and Botswana Cement, Zimbabwe, Rwanda, Aggregates, ash and readymix, and Group services and others. The company generates the majority of its revenue from the South Africa and Botswana domestic markets, where it marketed its cement products under the brand names OPC, SureRoad, IDM Best Build, Castle, and Spar Build-It. It also distributes cement products in Botswana, Zimbabwe, Mozambique, the Democratic Republic of the Congo, Rwanda, and Ethiopia under the brands OPC, Unicem, Botcem, and Surebuild PMC.
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