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Southwest Securities CoSHSE:600369 -1.45%52 Return-on-Tangible-Equity is 4.73% as of Mar. 2026, which is 23% above its 10-year median of 3.84. GuruFocus rates SHSE:600369 with a GF Score™ of 52/100 and a GF Value™ of ¥6.43 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 782 Capital Markets companies, Southwest Securities Co ranks worse than 58.06% 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. Southwest Securities Co's annualized net income for the quarter that ended in Mar. 2026 was ¥1,241 Mil. Southwest Securities Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ¥26,256 Mil. Therefore, Southwest Securities Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.73%.
The historical rank and industry rank for Southwest Securities Co's Return-on-Tangible-Equity or its related term are showing as below:
SHSE:600369'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.22 Med: 3.84 Max: 5.57
Current: 4.35
During the past 13 years, Southwest Securities Co's highest Return-on-Tangible-Equity was 5.57%. The lowest was 1.22%. And the median was 3.84%.
SHSE:600369's Return-on-Tangible-Equity is ranked worse than 58.06% of 782
companies
in the Capital Markets industry
Industry Median: 6.52
vs SHSE:600369: 4.35
Southwest Securities Co (SHSE:600369) 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.
Southwest Securities Co Return-on-Tangible-Equity Related Terms
Southwest Securities Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Southwest Securities 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.
Southwest Securities Co Return-on-Tangible-Equity Chart
SHSE:600369 vs MS, GS, SCHW: Return-on-Tangible-Equity Comparison
For the Capital Markets subindustry, Southwest Securities 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.
Southwest Securities Co Return-on-Tangible-Equity vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Southwest Securities Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Southwest Securities 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 4.73% mean?
Southwest Securities Co (SHSE:600369) has a Return-on-Tangible-Equity of 4.73% 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 Southwest Securities Co and its competitors. This is 23% above median its historical median of 3.84. Over the past decade, Southwest Securities Co's Return-on-Tangible-Equity has ranged from 1.22 to 5.57. According to the industry distribution chart, Southwest Securities Co ranks #454 out of 782 companies in the Capital Markets industry, placing it in the top 58.1%.
Is Southwest Securities Co's Return-on-Tangible-Equity too high?
Southwest Securities Co's current Return-on-Tangible-Equity of 4.73% is 23% above median its 10-year median of 3.84. Over the past 10 years, this metric has ranged from a low of 1.22 to a high of 5.57. The Capital Markets industry median Return-on-Tangible-Equity is 6.52. Southwest Securities Co's value of 4.73% is 27.5% below this industry median. Based on the distribution chart, Southwest Securities Co ranks #454 out of 782 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Southwest Securities Co has a GF Score™ of 52/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Southwest Securities Co's Return-on-Tangible-Equity compare to MS and GS?
According to the Capital Markets industry distribution chart, Southwest Securities Co ranks #454 out of 782 companies for Return-on-Tangible-Equity. This places Southwest Securities Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 6.52. Southwest Securities Co's value of 4.73% is 27.5% below this benchmark. Historically, Southwest Securities Co's own Return-on-Tangible-Equity has ranged from 1.22 to 5.57 over the past decade. While the company's 10-year median is 3.84 vs. the industry median of 6.52, Southwest Securities 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 Capital Markets company?
The median Return-on-Tangible-Equity among Capital Markets companies is 6.52, based on 782 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. Southwest Securities Co's current Return-on-Tangible-Equity of 4.73% is 27.5% 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 Southwest Securities Co and its competitors. For the Capital Markets industry, the median Return-on-Tangible-Equity is 6.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southwest Securities Co's current Return-on-Tangible-Equity is 4.73%, which is 23% above median its own 10-year median of 3.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southwest Securities Co stock overvalued right now?
Based on GuruFocus' analysis, Southwest Securities Co (SHSE:600369) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥6.43, compared to a current price of ¥4.08 — trading 36.5% below its estimated fair value. The current Return-on-Tangible-Equity is 4.73%, which is 23% above median its 10-year median of 3.84 and 27.5% below the Capital Markets industry median of 6.52. Southwest Securities Co's overall GF Score™ is 52/100 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 Southwest Securities Co (SHSE:600369), the current Return-on-Tangible-Equity is 4.73% 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 Southwest Securities Co (SHSE:600369) Overvalued in 2026?
Based on GuruFocus' analysis, Southwest Securities Co stock appears to be undervalued.
The current stock price of ¥4.08 is trading 36.5% below its estimated GF Value™ of ¥6.43.
GuruFocus considers Southwest Securities Co to be Significantly Undervalued.
Key valuation signals for SHSE:600369:
Return-on-Tangible-Equity: 4.73% (23% above median its 10-year median of 3.84)
GF Value™: ¥6.43 vs. price of ¥4.08 (36.5% below fair value)
Industry Position: 27.5% below the Capital Markets median (#454 of 782)
No single metric tells the full story. See the SHSE:600369 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Southwest Securities Co Ltd is a national securities company. Its business includes securities brokerage, securities underwriting and sponsorship, financial consulting, asset management, and margin financing. Through asset management, the company provides customers with its special and professional asset management services. It generates the majority of its revenue from the Brokerage business.
52GF Score
Get the complete analysis for SHSE:600369
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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