WDI (Western Asset Diversifiedome Fund) Return-on-Tangible-Equity: 10.03% (As of Dec. 2025) — 13% Above Median


WDI Western Asset Diversified Income Fund WDI
53 GF Score
Price $13.56
GF Value $14.78
Valuation Fairly Valued
! 3 Warning Signs
View Full Analysis

What is Western Asset Diversifiedome Fund Return-on-Tangible-Equity?

Western Asset Diversifiedome Fund WDI 53 Return-on-Tangible-Equity is 10.03% as of Dec. 2025, which is 13% above its 10-year median of 8.85. GuruFocus rates WDI with a GF Score™ of 53/100 and a GF Value™ of $14.78 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,587 Asset Management companies, Western Asset Diversifiedome Fund ranks better than 57.84% 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. Western Asset Diversifiedome Fund's annualized net income for the quarter that ended in Dec. 2025 was $76.67 Mil. Western Asset Diversifiedome Fund's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $764.60 Mil. Therefore, Western Asset Diversifiedome Fund's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 10.03%.

The historical rank and industry rank for Western Asset Diversifiedome Fund's Return-on-Tangible-Equity or its related term are showing as below:

WDI' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -20.13   Med: 8.85   Max: 15.92
Current: 9.28

During the past 5 years, Western Asset Diversifiedome Fund's highest Return-on-Tangible-Equity was 15.92%. The lowest was -20.13%. And the median was 8.85%.

WDI's Return-on-Tangible-Equity is ranked better than
57.84% of 1587 companies
in the Asset Management industry
Industry Median: 7.18 vs WDI: 9.28

Western Asset Diversifiedome Fund  (NYSE:WDI) 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.


Western Asset Diversifiedome Fund Return-on-Tangible-Equity Related Terms


Western Asset Diversifiedome Fund Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Western Asset Diversifiedome Fund'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.

Western Asset Diversifiedome Fund Return-on-Tangible-Equity Chart

Western Asset Diversifiedome Fund Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
1.21 -20.13 15.92 8.85 9.29

Western Asset Diversifiedome Fund Semi-Annual Data
Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.67 10.11 7.51 8.55 10.03

WDI vs RA, OIO, BUI: Return-on-Tangible-Equity Comparison

For the Asset Management subindustry, Western Asset Diversifiedome Fund'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.


Western Asset Diversifiedome Fund Return-on-Tangible-Equity vs Asset Management Industry

For the Asset Management industry and Financial Services sector, Western Asset Diversifiedome Fund's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Western Asset Diversifiedome Fund's Return-on-Tangible-Equity falls into.


WDI
53GF Score
Western Asset Diversified Income Fund WDI
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Western Asset Diversifiedome Fund Return-on-Tangible-Equity Calculation

Western Asset Diversifiedome Fund'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 )
=71.581/( (784.081+757.4 )/ 2 )
=71.581/770.7405
=9.29 %

Western Asset Diversifiedome Fund'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: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=76.67/( (771.799+757.4)/ 2 )
=76.67/764.5995
=10.03 %

* 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 10.03% mean?
Western Asset Diversifiedome Fund (WDI) has a Return-on-Tangible-Equity of 10.03% 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 Western Asset Diversifiedome Fund and its competitors. This is 13% above median its historical median of 8.85. According to the industry distribution chart, Western Asset Diversifiedome Fund ranks #669 out of 1587 companies in the Asset Management industry, placing it in the top 42.2%.
Is Western Asset Diversifiedome Fund's Return-on-Tangible-Equity too high?
Western Asset Diversifiedome Fund's current Return-on-Tangible-Equity of 10.03% is 13% above median its 10-year median of 8.85. The Asset Management industry median Return-on-Tangible-Equity is 7.18. Western Asset Diversifiedome Fund's value of 10.03% is 39.7% above this industry median. Based on the distribution chart, Western Asset Diversifiedome Fund ranks #669 out of 1587 companies in the Asset Management industry, which is above the industry midpoint. Overall, Western Asset Diversifiedome Fund has a GF Score™ of 53/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Western Asset Diversifiedome Fund's Return-on-Tangible-Equity compare to RA and OIO?
According to the Asset Management industry distribution chart, Western Asset Diversifiedome Fund ranks #669 out of 1587 companies for Return-on-Tangible-Equity. This puts Western Asset Diversifiedome Fund in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.18. Western Asset Diversifiedome Fund's value of 10.03% is 39.7% above this benchmark. While the company's 10-year median is 8.85 vs. the industry median of 7.18, Western Asset Diversifiedome Fund 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 an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.18, based on 1,587 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. Western Asset Diversifiedome Fund's current Return-on-Tangible-Equity of 10.03% is 39.7% 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 Western Asset Diversifiedome Fund and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Western Asset Diversifiedome Fund's current Return-on-Tangible-Equity is 10.03%, which is 13% above median its own 10-year median of 8.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Western Asset Diversifiedome Fund stock overvalued right now?
Based on GuruFocus' analysis, Western Asset Diversifiedome Fund (WDI) is currently considered Fairly Valued. The stock's GF Value™ is $14.78, compared to a current price of $13.56 — trading 8.3% below its estimated fair value. The current Return-on-Tangible-Equity is 10.03%, which is 13% above median its 10-year median of 8.85 and 39.7% above the Asset Management industry median of 7.18. Western Asset Diversifiedome Fund's overall GF Score™ is 53/100 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 Western Asset Diversifiedome Fund (WDI), the current Return-on-Tangible-Equity is 10.03% 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 Western Asset Diversifiedome Fund (WDI) Overvalued in 2026?

Based on GuruFocus' analysis, Western Asset Diversifiedome Fund stock appears to be undervalued. The current stock price of $13.56 is trading 8.3% below its estimated GF Value™ of $14.78. GuruFocus considers Western Asset Diversifiedome Fund to be Fairly Valued.

Key valuation signals for WDI:

  • Return-on-Tangible-Equity: 10.03% (13% above median its 10-year median of 8.85)
  • GF Value™: $14.78 vs. price of $13.56 (8.3% below fair value)
  • GF Score™: 53/100 with 3 warning signs
  • Industry Position: 39.7% above the Asset Management median (#669 of 1587)

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


Western Asset Diversifiedome Fund Business Description

Address One Madison Avenue, 17th Floor, New York, NY, USA, 10010
Western Asset Diversified Income Fund is a diversified, closed-end management investment company. The fund's primary investment objective is to seek high current income. As a secondary investment objective, the Fund will seek capital appreciation. The fund seeks to achieve its investment objectives by investing, under normal market conditions, across fixed income sectors and securities in seeking to deliver a well-diversified portfolio.
53GF Score

Get the complete analysis for WDI

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

$13.56
Price
$14.78
GF Value