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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. Herfy Food Services Co's annualized net income for the quarter that ended in Mar. 2026 was ﷼-16 Mil. Herfy Food Services Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ﷼840 Mil. Therefore, Herfy Food Services Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -1.86%.
The historical rank and industry rank for Herfy Food Services Co's Return-on-Tangible-Equity or its related term are showing as below:
SAU:6002'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -12.04 Med: 10.37 Max: 28.55
Current: -7.25
During the past 13 years, Herfy Food Services Co's highest Return-on-Tangible-Equity was 28.55%. The lowest was -12.04%. And the median was 10.37%.
SAU:6002's Return-on-Tangible-Equity is ranked worse than 79.09% of 330
companies
in the Restaurants industry
Industry Median: 8.715
vs SAU:6002: -7.25
Herfy Food Services Co (SAU:6002) 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.
Herfy Food Services Co Return-on-Tangible-Equity Related Terms
Herfy Food Services Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Herfy Food Services 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.
Herfy Food Services Co Return-on-Tangible-Equity Chart
SAU:6002 vs MCD, SBUX, YUM: Return-on-Tangible-Equity Comparison
For the Restaurants subindustry, Herfy Food Services 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.
Herfy Food Services Co Return-on-Tangible-Equity vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Herfy Food Services Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Herfy Food Services Co'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 -1.86% mean?
Herfy Food Services Co (SAU:6002) has a Return-on-Tangible-Equity of -1.86% 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 Herfy Food Services Co and its competitors. According to the industry distribution chart, Herfy Food Services Co ranks #261 out of 330 companies in the Restaurants industry, placing it in the top 79.1%.
Is Herfy Food Services Co's Return-on-Tangible-Equity too high?
Herfy Food Services Co's current Return-on-Tangible-Equity is -1.86%. Based on the distribution chart, Herfy Food Services Co ranks #261 out of 330 companies in the Restaurants industry, which is in the bottom quartile relative to peers. Overall, Herfy Food Services Co has a GF Score™ of 74/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Herfy Food Services Co's Return-on-Tangible-Equity compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Herfy Food Services Co ranks #261 out of 330 companies for Return-on-Tangible-Equity. This places Herfy Food Services Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.72. 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 Restaurants company?
The median Return-on-Tangible-Equity among Restaurants companies is 8.72, based on 330 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 Herfy Food Services Co and its competitors. For the Restaurants industry, the median Return-on-Tangible-Equity is 8.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Herfy Food Services Co's current Return-on-Tangible-Equity is -1.86%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Herfy Food Services Co stock overvalued right now?
Based on GuruFocus' analysis, Herfy Food Services Co (SAU:6002) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼23.95, compared to a current price of ﷼13.50 — trading 43.6% below its estimated fair value. The current Return-on-Tangible-Equity is -1.86%. Herfy Food Services Co's overall GF Score™ is 74/100 with 6 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 Herfy Food Services Co (SAU:6002), the current Return-on-Tangible-Equity is -1.86% 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 Herfy Food Services Co (SAU:6002) Overvalued in 2026?
Based on GuruFocus' analysis, Herfy Food Services Co stock appears to be undervalued.
The current stock price of ﷼13.50 is trading 43.6% below its estimated GF Value™ of ﷼23.95.
GuruFocus considers Herfy Food Services Co to be Possible Value Trap.
Key valuation signals for SAU:6002:
Return-on-Tangible-Equity: -1.86%
GF Value™: ﷼23.95 vs. price of ﷼13.50 (43.6% below fair value)
No single metric tells the full story. See the SAU:6002 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Herfy Food Services Co establishes, operates, and franchises restaurants in the Kingdom of Saudi Arabia. The Company is engaged in establishing and operating restaurants, providing companies and others with cooked meals, production and sale of bakery and pastry products, the sale and purchase of lands for the purpose of constructing buildings and own use, maintaining, and leasing stores and food store fridges. The Company operates in three business segments: Restaurants and catering, Meat Factory, Bakeries, and others. Restaurants, which derive the maximum revenue, are involved in providing catering services, operating restaurants, and renting out investment properties.
74GF Score
Get the complete analysis for SAU:6002
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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