Leon Fuat BhdXKLS:5232 45 Return-on-Tangible-Equity is 2.70% as of Mar. 2026, which is 61% below its 10-year median of 6.98. GuruFocus rates XKLS:5232 with a GF Score™ of 45/100 and a GF Value™ of RM0.46 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 614 Steel companies, Leon Fuat Bhd ranks worse than 57.49% 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. Leon Fuat Bhd's annualized net income for the quarter that ended in Mar. 2026 was RM16.2 Mil. Leon Fuat Bhd's average shareholder tangible equity for the quarter that ended in Mar. 2026 was RM600.5 Mil. Therefore, Leon Fuat Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 2.70%.
The historical rank and industry rank for Leon Fuat Bhd's Return-on-Tangible-Equity or its related term are showing as below:
XKLS:5232'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.28 Med: 6.98 Max: 29.76
Current: 2.36
During the past 13 years, Leon Fuat Bhd's highest Return-on-Tangible-Equity was 29.76%. The lowest was 1.28%. And the median was 6.98%.
XKLS:5232's Return-on-Tangible-Equity is ranked worse than 57.49% of 614
companies
in the Steel industry
Industry Median: 3.95
vs XKLS:5232: 2.36
Leon Fuat Bhd (XKLS:5232) 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.
Leon Fuat Bhd Return-on-Tangible-Equity Related Terms
Leon Fuat Bhd Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Leon Fuat Bhd'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.
XKLS:5232 vs NUE, STLD, RS: Return-on-Tangible-Equity Comparison
For the Steel subindustry, Leon Fuat Bhd'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.
Leon Fuat Bhd Return-on-Tangible-Equity vs Steel Industry
For the Steel industry and Basic Materials sector, Leon Fuat Bhd's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Leon Fuat Bhd'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 2.70% mean?
Leon Fuat Bhd (XKLS:5232) has a Return-on-Tangible-Equity of 2.70% 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 Leon Fuat Bhd and its competitors. This is 61% below median its historical median of 6.98. Over the past decade, Leon Fuat Bhd's Return-on-Tangible-Equity has ranged from 1.28 to 29.76. According to the industry distribution chart, Leon Fuat Bhd ranks #353 out of 614 companies in the Steel industry, placing it in the top 57.5%.
Is Leon Fuat Bhd's Return-on-Tangible-Equity too high?
Leon Fuat Bhd's current Return-on-Tangible-Equity of 2.70% is 61% below median its 10-year median of 6.98. Over the past 10 years, this metric has ranged from a low of 1.28 to a high of 29.76. The Steel industry median Return-on-Tangible-Equity is 3.95. Leon Fuat Bhd's value of 2.70% is 31.6% below this industry median. Based on the distribution chart, Leon Fuat Bhd ranks #353 out of 614 companies in the Steel industry, which is below the industry midpoint. Overall, Leon Fuat Bhd has a GF Score™ of 45/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Leon Fuat Bhd's Return-on-Tangible-Equity compare to NUE and STLD?
According to the Steel industry distribution chart, Leon Fuat Bhd ranks #353 out of 614 companies for Return-on-Tangible-Equity. This places Leon Fuat Bhd in the lower half of its industry. The industry median Return-on-Tangible-Equity is 3.95. Leon Fuat Bhd's value of 2.70% is 31.6% below this benchmark. Historically, Leon Fuat Bhd's own Return-on-Tangible-Equity has ranged from 1.28 to 29.76 over the past decade. While the company's 10-year median is 6.98 vs. the industry median of 3.95, Leon Fuat Bhd 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 Steel company?
The median Return-on-Tangible-Equity among Steel companies is 3.95, based on 614 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. Leon Fuat Bhd's current Return-on-Tangible-Equity of 2.70% is 31.6% 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 Leon Fuat Bhd and its competitors. For the Steel industry, the median Return-on-Tangible-Equity is 3.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Leon Fuat Bhd's current Return-on-Tangible-Equity is 2.70%, which is 61% below median its own 10-year median of 6.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Leon Fuat Bhd stock overvalued right now?
Based on GuruFocus' analysis, Leon Fuat Bhd (XKLS:5232) is currently considered Modestly Undervalued. The stock's GF Value™ is RM0.46, compared to a current price of RM0.35 — trading 23.9% below its estimated fair value. The current Return-on-Tangible-Equity is 2.70%, which is 61% below median its 10-year median of 6.98 and 31.6% below the Steel industry median of 3.95. Leon Fuat Bhd's overall GF Score™ is 45/100 with 9 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 Leon Fuat Bhd (XKLS:5232), the current Return-on-Tangible-Equity is 2.70% 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 Leon Fuat Bhd (XKLS:5232) Overvalued in 2026?
Based on GuruFocus' analysis, Leon Fuat Bhd stock appears to be undervalued.
The current stock price of RM0.35 is trading 23.9% below its estimated GF Value™ of RM0.46.
GuruFocus considers Leon Fuat Bhd to be Modestly Undervalued.
Key valuation signals for XKLS:5232:
Return-on-Tangible-Equity: 2.70% (61% below median its 10-year median of 6.98)
GF Value™: RM0.46 vs. price of RM0.35 (23.9% below fair value)
Industry Position: 31.6% below the Steel median (#353 of 614)
No single metric tells the full story. See the XKLS:5232 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Leon Fuat Bhd is engaged in cutting, levelling, shearing, profiling, bending, and finishing, along with the production of expanded metal, perforated metal, and welded steel pipes. The company operates in three reportable segments: Trading of steel products, which includes trading of flat carbon steel products, other flat steel products, long carbon steel products, and other long steel products; Processing and/or manufacturing of steel products, which includes processing of flat carbon steel products, other flat steel products, long carbon steel products, and other long steel products; and Others. The majority of its revenue is generated from the processing and/or manufacturing of steel products. Revenue is derived from Malaysia.
45GF Score
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