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Sun Hung Kai PropertiesSTU:SHG -1.47%75 Return-on-Tangible-Equity is 3.32% as of Dec. 2025, which is 26% below its 10-year median of 4.46. GuruFocus rates STU:SHG with a GF Score™ of 75/100 and a GF Value™ of €10.33 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,715 Real Estate companies, Sun Hung Kai Properties ranks worse than 53.12% 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. Sun Hung Kai Properties's annualized net income for the quarter that ended in Dec. 2025 was €2,249 Mil. Sun Hung Kai Properties's average shareholder tangible equity for the quarter that ended in Dec. 2025 was €67,834 Mil. Therefore, Sun Hung Kai Properties's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 3.32%.
The historical rank and industry rank for Sun Hung Kai Properties's Return-on-Tangible-Equity or its related term are showing as below:
STU:SHG'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 3.17 Med: 4.46 Max: 9.69
Current: 3.6
During the past 13 years, Sun Hung Kai Properties's highest Return-on-Tangible-Equity was 9.69%. The lowest was 3.17%. And the median was 4.46%.
STU:SHG's Return-on-Tangible-Equity is ranked worse than 53.12% of 1715
companies
in the Real Estate industry
Industry Median: 4.26
vs STU:SHG: 3.60
Sun Hung Kai Properties (STU:SHG) 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.
Sun Hung Kai Properties Return-on-Tangible-Equity Related Terms
Sun Hung Kai Properties Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Sun Hung Kai Properties'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.
Sun Hung Kai Properties Return-on-Tangible-Equity Chart
Sun Hung Kai Properties Return-on-Tangible-Equity Competitor Comparison
For the Real Estate - Development subindustry, Sun Hung Kai Properties'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.
Sun Hung Kai Properties Return-on-Tangible-Equity vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Sun Hung Kai Properties's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Sun Hung Kai Properties'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 (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 3.32% mean?
Sun Hung Kai Properties (STU:SHG) has a Return-on-Tangible-Equity of 3.32% 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 Sun Hung Kai Properties and its competitors. This is 26% below median its historical median of 4.46. Over the past decade, Sun Hung Kai Properties' Return-on-Tangible-Equity has ranged from 3.17 to 9.69. According to the industry distribution chart, Sun Hung Kai Properties ranks #911 out of 1715 companies in the Real Estate industry, placing it in the top 53.1%.
Is Sun Hung Kai Properties' Return-on-Tangible-Equity too high?
Sun Hung Kai Properties' current Return-on-Tangible-Equity of 3.32% is 26% below median its 10-year median of 4.46. Over the past 10 years, this metric has ranged from a low of 3.17 to a high of 9.69. The Real Estate industry median Return-on-Tangible-Equity is 4.26. Sun Hung Kai Properties' value of 3.32% is 22.1% below this industry median. Based on the distribution chart, Sun Hung Kai Properties ranks #911 out of 1715 companies in the Real Estate industry, which is below the industry midpoint. Overall, Sun Hung Kai Properties has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sun Hung Kai Properties' Return-on-Tangible-Equity compare to competitors?
According to the Real Estate industry distribution chart, Sun Hung Kai Properties ranks #911 out of 1715 companies for Return-on-Tangible-Equity. This places Sun Hung Kai Properties in the lower half of its industry. The industry median Return-on-Tangible-Equity is 4.26. Sun Hung Kai Properties' value of 3.32% is 22.1% below this benchmark. Historically, Sun Hung Kai Properties' own Return-on-Tangible-Equity has ranged from 3.17 to 9.69 over the past decade. While the company's 10-year median is 4.46 vs. the industry median of 4.26, Sun Hung Kai Properties 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 Real Estate company?
The median Return-on-Tangible-Equity among Real Estate companies is 4.26, based on 1,715 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. Sun Hung Kai Properties's current Return-on-Tangible-Equity of 3.32% is 22.1% 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 Sun Hung Kai Properties and its competitors. For the Real Estate industry, the median Return-on-Tangible-Equity is 4.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sun Hung Kai Properties's current Return-on-Tangible-Equity is 3.32%, which is 26% below median its own 10-year median of 4.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sun Hung Kai Properties stock overvalued right now?
Based on GuruFocus' analysis, Sun Hung Kai Properties (STU:SHG) is currently considered Modestly Overvalued. The stock's GF Value™ is €10.33, compared to a current price of €13.40 — trading 29.7% above its estimated fair value. The current Return-on-Tangible-Equity is 3.32%, which is 26% below median its 10-year median of 4.46 and 22.1% below the Real Estate industry median of 4.26. Sun Hung Kai Properties' overall GF Score™ is 75/100 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 Sun Hung Kai Properties (STU:SHG), the current Return-on-Tangible-Equity is 3.32% 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 Sun Hung Kai Properties (STU:SHG) Overvalued in 2026?
Based on GuruFocus' analysis, Sun Hung Kai Properties stock appears to be overvalued.
The current stock price of €13.40 is trading 29.7% above its estimated GF Value™ of €10.33.
GuruFocus considers Sun Hung Kai Properties to be Modestly Overvalued.
Key valuation signals for STU:SHG:
Return-on-Tangible-Equity: 3.32% (26% below median its 10-year median of 4.46)
GF Value™: €10.33 vs. price of €13.40 (29.7% above fair value)
Industry Position: 22.1% below the Real Estate median (#911 of 1715)
No single metric tells the full story. See the STU:SHG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sun Hung Kai Properties is a diversified real estate developer in Hong Kong with a core focus on the residential, office, and retail real estate segments. Most of its business is based in Hong Kong, where it is a leading private housing developer and holds a portfolio of high-quality retail and office properties for rental income. The company also invests in other listed entities, including a telecommunication company, SmarTone, and a data center provider, SUNeVision. The Kwok family is the controlling shareholder, with a stake of more than 40%.
75GF Score
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