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The historical rank and industry rank for Sagarmatha Lumbini Insurance Co's Return-on-Tangible-Equity or its related term are showing as below:
XNEP:SALICO'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.26 Med: 15.89 Max: 24.79
Current: 1.26
During the past 13 years, Sagarmatha Lumbini Insurance Co's highest Return-on-Tangible-Equity was 24.79%. The lowest was 1.26%. And the median was 15.89%.
XNEP:SALICO's Return-on-Tangible-Equity is ranked worse than 91.13% of 496
companies
in the Insurance industry
Industry Median: 13.585
vs XNEP:SALICO: 1.26
Sagarmatha Lumbini Insurance Co (XNEP:SALICO) 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.
Sagarmatha Lumbini Insurance Co Return-on-Tangible-Equity Related Terms
Sagarmatha Lumbini Insurance Co Return-on-Tangible-Equity Historical Data
* 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.
Sagarmatha Lumbini Insurance Co Return-on-Tangible-Equity Chart
XNEP:SALICO vs BRK.A, AIG, HIG: Return-on-Tangible-Equity Comparison
For the Insurance - Diversified subindustry, Sagarmatha Lumbini Insurance 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.
Sagarmatha Lumbini Insurance Co Return-on-Tangible-Equity vs Insurance Industry
For the Insurance industry and Financial Services sector, Sagarmatha Lumbini Insurance Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Sagarmatha Lumbini Insurance Co'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 (Apr. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 6.42% mean?
Sagarmatha Lumbini Insurance Co (XNEP:SALICO) has a Return-on-Tangible-Equity of 6.42% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Sagarmatha Lumbini Insurance Co and its competitors. This is 60% below median its historical median of 15.89. Over the past decade, Sagarmatha Lumbini Insurance Co's Return-on-Tangible-Equity has ranged from 1.26 to 24.79. According to the industry distribution chart, Sagarmatha Lumbini Insurance Co ranks #452 out of 496 companies in the Insurance industry, placing it in the top 91.1%.
Is Sagarmatha Lumbini Insurance Co's Return-on-Tangible-Equity too high?
Sagarmatha Lumbini Insurance Co's current Return-on-Tangible-Equity of 6.42% is 60% below median its 10-year median of 15.89. Over the past 10 years, this metric has ranged from a low of 1.26 to a high of 24.79. The Insurance industry median Return-on-Tangible-Equity is 13.59. Sagarmatha Lumbini Insurance Co's value of 6.42% is 52.7% below this industry median. Based on the distribution chart, Sagarmatha Lumbini Insurance Co ranks #452 out of 496 companies in the Insurance industry, which is in the bottom quartile relative to peers. Overall, Sagarmatha Lumbini Insurance Co has a GF Score™ of 82/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Sagarmatha Lumbini Insurance Co's Return-on-Tangible-Equity compare to BRK.A and AIG?
According to the Insurance industry distribution chart, Sagarmatha Lumbini Insurance Co ranks #452 out of 496 companies for Return-on-Tangible-Equity. This places Sagarmatha Lumbini Insurance Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 13.59. Sagarmatha Lumbini Insurance Co's value of 6.42% is 52.7% below this benchmark. Historically, Sagarmatha Lumbini Insurance Co's own Return-on-Tangible-Equity has ranged from 1.26 to 24.79 over the past decade. While the company's 10-year median is 15.89 vs. the industry median of 13.59, Sagarmatha Lumbini Insurance 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 Insurance company?
The median Return-on-Tangible-Equity among Insurance companies is 13.59, based on 496 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. Sagarmatha Lumbini Insurance Co's current Return-on-Tangible-Equity of 6.42% is 52.7% 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 Sagarmatha Lumbini Insurance Co and its competitors. For the Insurance industry, the median Return-on-Tangible-Equity is 13.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sagarmatha Lumbini Insurance Co's current Return-on-Tangible-Equity is 6.42%, which is 60% below median its own 10-year median of 15.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sagarmatha Lumbini Insurance Co stock overvalued right now?
Based on GuruFocus' analysis, Sagarmatha Lumbini Insurance Co (XNEP:SALICO) is currently considered Possible Value Trap. The stock's GF Value™ is NPR941.69, compared to a current price of NPR598.00 — trading 36.5% below its estimated fair value. The current Return-on-Tangible-Equity is 6.42%, which is 60% below median its 10-year median of 15.89 and 52.7% below the Insurance industry median of 13.59. Sagarmatha Lumbini Insurance Co's overall GF Score™ is 82/100 with 4 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 Sagarmatha Lumbini Insurance Co (XNEP:SALICO), the current Return-on-Tangible-Equity is 6.42% as of Apr. 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 Sagarmatha Lumbini Insurance Co (XNEP:SALICO) Overvalued in 2026?
Based on GuruFocus' analysis, Sagarmatha Lumbini Insurance Co stock appears to be undervalued.
The current stock price of NPR598.00 is trading 36.5% below its estimated GF Value™ of NPR941.69.
GuruFocus considers Sagarmatha Lumbini Insurance Co to be Possible Value Trap.
Key valuation signals for XNEP:SALICO:
Return-on-Tangible-Equity: 6.42% (60% below median its 10-year median of 15.89)
GF Value™: NPR941.69 vs. price of NPR598.00 (36.5% below fair value)
Industry Position: 52.7% below the Insurance median (#452 of 496)
No single metric tells the full story. See the XNEP:SALICO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sagarmatha Lumbini Insurance Co Ltd provides various non-life insurance products through its province offices, branches, sub-branches, and network of agents. The company's offerings include personal and corporate insurance solutions, including property, motor, marine, engineering, aviation, agriculture, and micro insurance. The majority of the company's revenue is generated from property insurance. The company operates predominantly in Nepal.
82GF Score
Get the complete analysis for XNEP:SALICO
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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