LA Holdings Co (SSE:2986) Return-on-Tangible-Equity: 41.52% (As of Dec. 2025) — 54% Above Median

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.

SSE:2986 LA Holdings Co Ltd SSE:2986
63 GF Score
Price 円2,826.00
GF Value 円2,413.12
Valuation Modestly Overvalued
! 5 Warning Signs
View Full Analysis

What is LA Holdings Co Return-on-Tangible-Equity?

LA Holdings Co SSE:2986 +0.78% 63 Return-on-Tangible-Equity is 41.52% as of Dec. 2025, which is 54% above its 10-year median of 26.95. GuruFocus rates SSE:2986 with a GF Score™ of 63/100 and a GF Value™ of 円2,413.12 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,717 Real Estate companies, LA Holdings Co ranks better than 89.92% 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. LA Holdings Co's annualized net income for the quarter that ended in Dec. 2025 was 円11,805 Mil. LA Holdings Co's average shareholder tangible equity for the quarter that ended in Dec. 2025 was 円28,429 Mil. Therefore, LA Holdings Co's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 41.52%.

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

SSE:2986' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 15.33   Med: 26.95   Max: 36.34
Current: 23.11

During the past 6 years, LA Holdings Co's highest Return-on-Tangible-Equity was 36.34%. The lowest was 15.33%. And the median was 26.95%.

SSE:2986's Return-on-Tangible-Equity is ranked better than
89.92% of 1717 companies
in the Real Estate industry
Industry Median: 4.44 vs SSE:2986: 23.11

LA Holdings Co  (SSE:2986) 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.


LA Holdings Co Return-on-Tangible-Equity Related Terms


LA Holdings Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for LA Holdings 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.

LA Holdings Co Return-on-Tangible-Equity Chart

LA Holdings Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial 34.14 36.34 24.81 28.34 25.56

LA Holdings Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 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 15.10 30.25 11.92 41.52 8.03

SSE:2986 vs : Return-on-Tangible-Equity Comparison

For the Real Estate Services subindustry, LA Holdings 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.


LA Holdings Co Return-on-Tangible-Equity vs Real Estate Industry

For the Real Estate industry and Real Estate sector, LA Holdings Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where LA Holdings Co's Return-on-Tangible-Equity falls into.


SSE:2986
63GF Score
LA Holdings Co Ltd SSE:2986
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

LA Holdings Co Return-on-Tangible-Equity Calculation

LA Holdings 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 )
=6135.147/( (18089.951+29909.013 )/ 2 )
=6135.147/23999.482
=25.56 %

LA Holdings Co's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=11804.708/( (26948.156+29909.013)/ 2 )
=11804.708/28428.5845
=41.52 %

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

What does a Return-on-Tangible-Equity of 41.52% mean?
LA Holdings Co (SSE:2986) has a Return-on-Tangible-Equity of 41.52% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on LA Holdings Co and its competitors. This is 54% above median its historical median of 26.95. Over the past decade, LA Holdings Co's Return-on-Tangible-Equity has ranged from 15.33 to 36.34. According to the industry distribution chart, LA Holdings Co ranks #173 out of 1717 companies in the Real Estate industry, placing it in the top 10.1%.
Is LA Holdings Co's Return-on-Tangible-Equity too high?
LA Holdings Co's current Return-on-Tangible-Equity of 41.52% is 54% above median its 10-year median of 26.95. Over the past 10 years, this metric has ranged from a low of 15.33 to a high of 36.34. The Real Estate industry median Return-on-Tangible-Equity is 4.44. LA Holdings Co's value of 41.52% is 835.1% above this industry median. Based on the distribution chart, LA Holdings Co ranks #173 out of 1717 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, LA Holdings Co has a GF Score™ of 63/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LA Holdings Co's Return-on-Tangible-Equity compare to ?
According to the Real Estate industry distribution chart, LA Holdings Co ranks #173 out of 1717 companies for Return-on-Tangible-Equity. This places LA Holdings Co in the top 10% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 4.44. LA Holdings Co's value of 41.52% is 835.1% above this benchmark. Historically, LA Holdings Co's own Return-on-Tangible-Equity has ranged from 15.33 to 36.34 over the past decade. While the company's 10-year median is 26.95 vs. the industry median of 4.44, LA Holdings Co 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 Real Estate company?
The median Return-on-Tangible-Equity among Real Estate companies is 4.44, based on 1,717 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. LA Holdings Co's current Return-on-Tangible-Equity of 41.52% is 835.1% 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 LA Holdings Co and its competitors. For the Real Estate industry, the median Return-on-Tangible-Equity is 4.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LA Holdings Co's current Return-on-Tangible-Equity is 41.52%, which is 54% above median its own 10-year median of 26.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LA Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, LA Holdings Co (SSE:2986) is currently considered Modestly Overvalued. The stock's GF Value™ is 円2,413.12, compared to a current price of 円2,826.00 — trading 17.1% above its estimated fair value. The current Return-on-Tangible-Equity is 41.52%, which is 54% above median its 10-year median of 26.95 and 835.1% above the Real Estate industry median of 4.44. LA Holdings Co's overall GF Score™ is 63/100 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 LA Holdings Co (SSE:2986), the current Return-on-Tangible-Equity is 41.52% as of Dec. 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.

Is LA Holdings Co (SSE:2986) Overvalued in 2026?

Based on GuruFocus' analysis, LA Holdings Co stock appears to be overvalued. The current stock price of 円2,826.00 is trading 17.1% above its estimated GF Value™ of 円2,413.12. GuruFocus considers LA Holdings Co to be Modestly Overvalued.

Key valuation signals for SSE:2986:

  • Return-on-Tangible-Equity: 41.52% (54% above median its 10-year median of 26.95)
  • GF Value™: 円2,413.12 vs. price of 円2,826.00 (17.1% above fair value)
  • GF Score™: 63/100 with 5 warning signs
  • Industry Position: 835.1% above the Real Estate median (#173 of 1717)

No single metric tells the full story. See the SSE:2986 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


LA Holdings Co Business Description

Comparable Companies
Address 1-9-18, Kaigan, Minato-ku, Tokyo, JPN, 105-0022
LA Holdings Co Ltd is engaged in business management and incidental operations of group companies engaged in new real estate business, renovation real estate business, real estate management business.
63GF Score

Get the complete analysis for SSE:2986

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

円2,826.00
Price
円2,413.12
GF Value