Butwal Power Co (XNEP:BPCL) Return-on-Tangible-Equity: 2.62% (As of Jul. 2026) — 95% Below Median

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XNEP:BPCL Butwal Power Co Ltd XNEP:BPCL
65 GF Score
Price NPR633.60
GF Value NPR119.43
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is Butwal Power Co Return-on-Tangible-Equity?

Butwal Power Co XNEP:BPCL 65 Return-on-Tangible-Equity is 2.62% as of Jul. 2026, which is 95% below its 10-year median of 48.03. GuruFocus rates XNEP:BPCL with a GF Score™ of 65/100 and a GF Value™ of NPR119.43 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 432 Utilities - Independent Power Producers companies, Butwal Power Co ranks better than 65.74% 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. Butwal Power Co's annualized net income for the quarter that ended in Jul. 2026 was NPR144.5 Mil. Butwal Power Co's average shareholder tangible equity for the quarter that ended in Jul. 2026 was NPR5,510.1 Mil. Therefore, Butwal Power Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jul. 2026 was 2.62%.

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

XNEP:BPCL' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 9.63   Med: 48.03   Max: 88.19
Current: 9.63

During the past 13 years, Butwal Power Co's highest Return-on-Tangible-Equity was 88.19%. The lowest was 9.63%. And the median was 48.03%.

XNEP:BPCL's Return-on-Tangible-Equity is ranked better than
65.74% of 432 companies
in the Utilities - Independent Power Producers industry
Industry Median: 4.95 vs XNEP:BPCL: 9.63

Butwal Power Co  (XNEP:BPCL) 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.


Butwal Power Co Return-on-Tangible-Equity Related Terms


Butwal Power Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Butwal Power 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.

Butwal Power Co Return-on-Tangible-Equity Chart

Butwal Power Co Annual Data
Trend Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25 Jul26
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity 0.00 Negative Tangible Equity Negative Tangible Equity 62.59

Butwal Power Co Quarterly Data
Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26 Jul26
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 6.40 68.43 10.36 5.43 2.62

Butwal Power Co Return-on-Tangible-Equity Competitor Comparison

For the Utilities - Renewable subindustry, Butwal Power 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.


Butwal Power Co Return-on-Tangible-Equity vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Butwal Power Co's Return-on-Tangible-Equity distribution charts can be found below:

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


XNEP:BPCL
65GF Score
Butwal Power Co Ltd XNEP:BPCL
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Butwal Power Co Return-on-Tangible-Equity Calculation

Butwal Power Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Jul. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Jul. 2026 )  (A: Jul. 2025 )(A: Jul. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Jul. 2026 )  (A: Jul. 2025 )(A: Jul. 2026 )
=335.442/( (-4458.637+5530.514 )/ 2 )
=335.442/535.9385
=62.59 %

Butwal Power Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jul. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jul. 2026 )  (Q: Apr. 2026 )(Q: Jul. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jul. 2026 )  (Q: Apr. 2026 )(Q: Jul. 2026 )
=144.5/( (5489.738+5530.514)/ 2 )
=144.5/5510.126
=2.62 %

* 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 (Jul. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 2.62% mean?
Butwal Power Co (XNEP:BPCL) has a Return-on-Tangible-Equity of 2.62% as of Jul. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Butwal Power Co and its competitors. This is 95% below median its historical median of 48.03. Over the past decade, Butwal Power Co's Return-on-Tangible-Equity has ranged from 9.63 to 88.19. According to the industry distribution chart, Butwal Power Co ranks #148 out of 432 companies in the Utilities - Independent Power Producers industry, placing it in the top 34.3%.
Is Butwal Power Co's Return-on-Tangible-Equity too high?
Butwal Power Co's current Return-on-Tangible-Equity of 2.62% is 95% below median its 10-year median of 48.03. Over the past 10 years, this metric has ranged from a low of 9.63 to a high of 88.19. The Utilities - Independent Power Producers industry median Return-on-Tangible-Equity is 4.95. Butwal Power Co's value of 2.62% is 47.1% below this industry median. Based on the distribution chart, Butwal Power Co ranks #148 out of 432 companies in the Utilities - Independent Power Producers industry, which is above the industry midpoint. Overall, Butwal Power Co has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Butwal Power Co's Return-on-Tangible-Equity compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Butwal Power Co ranks #148 out of 432 companies for Return-on-Tangible-Equity. This puts Butwal Power Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 4.95. Butwal Power Co's value of 2.62% is 47.1% below this benchmark. Historically, Butwal Power Co's own Return-on-Tangible-Equity has ranged from 9.63 to 88.19 over the past decade. While the company's 10-year median is 48.03 vs. the industry median of 4.95, Butwal Power 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 an Utilities - Independent Power Producers company?
The median Return-on-Tangible-Equity among Utilities - Independent Power Producers companies is 4.95, based on 432 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. Butwal Power Co's current Return-on-Tangible-Equity of 2.62% is 47.1% 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 Butwal Power Co and its competitors. For the Utilities - Independent Power Producers industry, the median Return-on-Tangible-Equity is 4.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Butwal Power Co's current Return-on-Tangible-Equity is 2.62%, which is 95% below median its own 10-year median of 48.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Butwal Power Co stock overvalued right now?
Based on GuruFocus' analysis, Butwal Power Co (XNEP:BPCL) is currently considered Significantly Overvalued. The stock's GF Value™ is NPR119.43, compared to a current price of NPR633.60 — trading 430.5% above its estimated fair value. The current Return-on-Tangible-Equity is 2.62%, which is 95% below median its 10-year median of 48.03 and 47.1% below the Utilities - Independent Power Producers industry median of 4.95. Butwal Power Co's overall GF Score™ is 65/100 with 2 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 Butwal Power Co (XNEP:BPCL), the current Return-on-Tangible-Equity is 2.62% as of Jul. 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 Butwal Power Co (XNEP:BPCL) Overvalued in 2026?

Based on GuruFocus' analysis, Butwal Power Co stock appears to be overvalued. The current stock price of NPR633.60 is trading 430.5% above its estimated GF Value™ of NPR119.43. GuruFocus considers Butwal Power Co to be Significantly Overvalued.

Key valuation signals for XNEP:BPCL:

  • Return-on-Tangible-Equity: 2.62% (95% below median its 10-year median of 48.03)
  • GF Value™: NPR119.43 vs. price of NPR633.60 (430.5% above fair value)
  • GF Score™: 65/100 with 2 warning signs
  • Industry Position: 47.1% below the Utilities - Independent Power Producers median (#148 of 432)

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


Butwal Power Co Business Description

Address Gangadevi Marga - 313, P.O. Box: 11728, Buddha Nagar, Kathmandu, NPL
Butwal Power Co Ltd is engaged in generation and distribution of electricity. The company is engaged in the development, operation, and maintenance of hydropower plants, engineering and design consultancy of hydropower and infrastructure projects, and manufacturing and repair of hydro-mechanical and electro-mechanical equipment for power plants through its subsidiary companies.
65GF Score

Get the complete analysis for XNEP:BPCL

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

NPR633.60
Price
NPR119.43
GF Value