Middle East Healthcare Co (SAU:4009) Return-on-Tangible-Equity: 5.62% (As of Mar. 2026) — 42% Below Median

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SAU:4009 Middle East Healthcare Co SAU:4009
78 GF Score
Price ﷼30.20
GF Value ﷼80.32
Valuation Possible Value Trap
! 5 Warning Signs
View Full Analysis

What is Middle East Healthcare Co Return-on-Tangible-Equity?

Middle East Healthcare Co SAU:4009 +0.53% 78 Return-on-Tangible-Equity is 5.62% as of Mar. 2026, which is 42% below its 10-year median of 9.70. GuruFocus rates SAU:4009 with a GF Score™ of 78/100 and a GF Value™ of ﷼80.32 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 576 Healthcare Providers & Services companies, Middle East Healthcare Co ranks worse than 52.43% 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. Middle East Healthcare Co's annualized net income for the quarter that ended in Mar. 2026 was ﷼103 Mil. Middle East Healthcare Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ﷼1,829 Mil. Therefore, Middle East Healthcare Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 5.62%.

The historical rank and industry rank for Middle East Healthcare Co's Return-on-Tangible-Equity or its related term are showing as below:

SAU:4009' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.31   Med: 9.7   Max: 26.69
Current: 9.35

During the past 11 years, Middle East Healthcare Co's highest Return-on-Tangible-Equity was 26.69%. The lowest was 1.31%. And the median was 9.70%.

SAU:4009's Return-on-Tangible-Equity is ranked worse than
52.43% of 576 companies
in the Healthcare Providers & Services industry
Industry Median: 10.25 vs SAU:4009: 9.35

Middle East Healthcare Co  (SAU:4009) 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.


Middle East Healthcare Co Return-on-Tangible-Equity Related Terms


Middle East Healthcare Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Middle East Healthcare Co'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.

Middle East Healthcare Co Return-on-Tangible-Equity Chart

Middle East Healthcare Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.39 5.85 1.31 19.65 17.77

Middle East Healthcare Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 38.52 14.56 9.08 8.37 5.62

SAU:4009 vs HCA, THC, DVA: Return-on-Tangible-Equity Comparison

For the Medical Care Facilities subindustry, Middle East Healthcare Co'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.


Middle East Healthcare Co Return-on-Tangible-Equity vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Middle East Healthcare Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Middle East Healthcare Co's Return-on-Tangible-Equity falls into.


SAU:4009
78GF Score
Middle East Healthcare Co SAU:4009
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Middle East Healthcare Co Return-on-Tangible-Equity Calculation

Middle East Healthcare Co'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 )
=301.884/( (1581.803+1815.304 )/ 2 )
=301.884/1698.5535
=17.77 %

Middle East Healthcare Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=102.784/( (1815.304+1843.621)/ 2 )
=102.784/1829.4625
=5.62 %

* 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 5.62% mean?
Middle East Healthcare Co (SAU:4009) has a Return-on-Tangible-Equity of 5.62% 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 Middle East Healthcare Co and its competitors. This is 42% below median its historical median of 9.70. Over the past decade, Middle East Healthcare Co's Return-on-Tangible-Equity has ranged from 1.31 to 26.69. According to the industry distribution chart, Middle East Healthcare Co ranks #302 out of 576 companies in the Healthcare Providers & Services industry, placing it in the top 52.4%.
Is Middle East Healthcare Co's Return-on-Tangible-Equity too high?
Middle East Healthcare Co's current Return-on-Tangible-Equity of 5.62% is 42% below median its 10-year median of 9.70. Over the past 10 years, this metric has ranged from a low of 1.31 to a high of 26.69. The Healthcare Providers & Services industry median Return-on-Tangible-Equity is 10.25. Middle East Healthcare Co's value of 5.62% is 45.2% below this industry median. Based on the distribution chart, Middle East Healthcare Co ranks #302 out of 576 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Middle East Healthcare Co has a GF Score™ of 78/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Middle East Healthcare Co's Return-on-Tangible-Equity compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Middle East Healthcare Co ranks #302 out of 576 companies for Return-on-Tangible-Equity. This places Middle East Healthcare Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 10.25. Middle East Healthcare Co's value of 5.62% is 45.2% below this benchmark. Historically, Middle East Healthcare Co's own Return-on-Tangible-Equity has ranged from 1.31 to 26.69 over the past decade. While the company's 10-year median is 9.70 vs. the industry median of 10.25, Middle East Healthcare Co has consistently been below 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 Healthcare Providers & Services company?
The median Return-on-Tangible-Equity among Healthcare Providers & Services companies is 10.25, based on 576 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. Middle East Healthcare Co's current Return-on-Tangible-Equity of 5.62% is 45.2% below 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 Middle East Healthcare Co and its competitors. For the Healthcare Providers & Services industry, the median Return-on-Tangible-Equity is 10.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Middle East Healthcare Co's current Return-on-Tangible-Equity is 5.62%, which is 42% below median its own 10-year median of 9.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Middle East Healthcare Co stock overvalued right now?
Based on GuruFocus' analysis, Middle East Healthcare Co (SAU:4009) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼80.32, compared to a current price of ﷼30.20 — trading 62.4% below its estimated fair value. The current Return-on-Tangible-Equity is 5.62%, which is 42% below median its 10-year median of 9.70 and 45.2% below the Healthcare Providers & Services industry median of 10.25. Middle East Healthcare Co's overall GF Score™ is 78/100 with 5 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 Middle East Healthcare Co (SAU:4009), the current Return-on-Tangible-Equity is 5.62% 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 Middle East Healthcare Co (SAU:4009) Overvalued in 2026?

Based on GuruFocus' analysis, Middle East Healthcare Co stock appears to be undervalued. The current stock price of ﷼30.20 is trading 62.4% below its estimated GF Value™ of ﷼80.32. GuruFocus considers Middle East Healthcare Co to be Possible Value Trap.

Key valuation signals for SAU:4009:

  • Return-on-Tangible-Equity: 5.62% (42% below median its 10-year median of 9.70)
  • GF Value™: ﷼80.32 vs. price of ﷼30.20 (62.4% below fair value)
  • GF Score™: 78/100 with 5 warning signs
  • Industry Position: 45.2% below the Healthcare Providers & Services median (#302 of 576)

No single metric tells the full story. See the SAU:4009 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Middle East Healthcare Co Business Description

Address 4, Batterjee Road, P.O.Box 2550, Al-Zahra District, Jeddah, SAU, 21461
Middle East Healthcare Co is a Saudi Arabia-based company engaged in the business of managing, operating and maintaining hospitals, medical centers, educational centers, rehabilitation centers, physiotherapy, laboratories and radiology centers, pharmacies, construction, and to buy land for the purpose of constructing medical projects and to establish, manage and organize exhibitions for the company. The company's reportable segments are Inpatient Services, Outpatient Services, Pharmacy Sales and Others. The majority of revenue is derived from the Inpatient Services segment.
78GF Score

Get the complete analysis for SAU:4009

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

﷼30.20
Price
﷼80.32
GF Value