Koninklijke KPN NVXTER:KPN +1.02%69 Return-on-Tangible-Equity is 217.69% as of Dec. 2025, which is 73% above its 10-year median of 125.73. GuruFocus rates XTER:KPN with a GF Score™ of 69/100 and a GF Value™ of €4.00 (Fairly Valued). The stock has 4 warning signs investors should review. Among 326 Telecommunication Services companies, Koninklijke KPN NV ranks better than 79.75% 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. Koninklijke KPN NV's annualized net income for the quarter that ended in Dec. 2025 was €960 Mil. Koninklijke KPN NV's average shareholder tangible equity for the quarter that ended in Dec. 2025 was €441 Mil. Therefore, Koninklijke KPN NV's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 217.69%.
The historical rank and industry rank for Koninklijke KPN NV's Return-on-Tangible-Equity or its related term are showing as below:
XTER:KPN'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 75.52 Med: 125.73 Max: 214.98
Current: 214.98
During the past 13 years, Koninklijke KPN NV's highest Return-on-Tangible-Equity was 214.98%. The lowest was 75.52%. And the median was 125.73%.
XTER:KPN's Return-on-Tangible-Equity is ranked better than 79.75% of 326
companies
in the Telecommunication Services industry
Industry Median: 14.005
vs XTER:KPN: 214.98
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.
Koninklijke KPN NV Return-on-Tangible-Equity Related Terms
Koninklijke KPN NV Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Koninklijke KPN NV'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.
XTER:KPN vs TMUS, VZ, T: Return-on-Tangible-Equity Comparison
For the Telecom Services subindustry, Koninklijke KPN NV'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.
Koninklijke KPN NV Return-on-Tangible-Equity vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Koninklijke KPN NV's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Koninklijke KPN NV'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 (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 217.69% mean?
Koninklijke KPN NV (XTER:KPN) has a Return-on-Tangible-Equity of 217.69% 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 Koninklijke KPN NV and its competitors. This is 73% above median its historical median of 125.73. Over the past decade, Koninklijke KPN NV's Return-on-Tangible-Equity has ranged from 75.52 to 214.98. According to the industry distribution chart, Koninklijke KPN NV ranks #66 out of 326 companies in the Telecommunication Services industry, placing it in the top 20.2%.
Is Koninklijke KPN NV's Return-on-Tangible-Equity too high?
Koninklijke KPN NV's current Return-on-Tangible-Equity of 217.69% is 73% above median its 10-year median of 125.73. Over the past 10 years, this metric has ranged from a low of 75.52 to a high of 214.98. The Telecommunication Services industry median Return-on-Tangible-Equity is 14.01. Koninklijke KPN NV's value of 217.69% is 1454.4% above this industry median. Based on the distribution chart, Koninklijke KPN NV ranks #66 out of 326 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, Koninklijke KPN NV has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Koninklijke KPN NV's Return-on-Tangible-Equity compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Koninklijke KPN NV ranks #66 out of 326 companies for Return-on-Tangible-Equity. This places Koninklijke KPN NV in the top 20% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 14.01. Koninklijke KPN NV's value of 217.69% is 1454.4% above this benchmark. Historically, Koninklijke KPN NV's own Return-on-Tangible-Equity has ranged from 75.52 to 214.98 over the past decade. While the company's 10-year median is 125.73 vs. the industry median of 14.01, Koninklijke KPN NV 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 a Telecommunication Services company?
The median Return-on-Tangible-Equity among Telecommunication Services companies is 14.01, based on 326 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. Koninklijke KPN NV's current Return-on-Tangible-Equity of 217.69% is 1454.4% 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 Koninklijke KPN NV and its competitors. For the Telecommunication Services industry, the median Return-on-Tangible-Equity is 14.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Koninklijke KPN NV's current Return-on-Tangible-Equity is 217.69%, which is 73% above median its own 10-year median of 125.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Koninklijke KPN NV stock overvalued right now?
Based on GuruFocus' analysis, Koninklijke KPN NV (XTER:KPN) is currently considered Fairly Valued. The stock's GF Value™ is €4.00, compared to a current price of €4.26 — trading 6.5% above its estimated fair value. The current Return-on-Tangible-Equity is 217.69%, which is 73% above median its 10-year median of 125.73 and 1454.4% above the Telecommunication Services industry median of 14.01. Koninklijke KPN NV's overall GF Score™ is 69/100 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 Koninklijke KPN NV (XTER:KPN), the current Return-on-Tangible-Equity is 217.69% 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 Koninklijke KPN NV (XTER:KPN) Overvalued in 2026?
Based on GuruFocus' analysis, Koninklijke KPN NV stock appears to be overvalued.
The current stock price of €4.26 is trading 6.5% above its estimated GF Value™ of €4.00.
GuruFocus considers Koninklijke KPN NV to be Fairly Valued.
Key valuation signals for XTER:KPN:
Return-on-Tangible-Equity: 217.69% (73% above median its 10-year median of 125.73)
GF Value™: €4.00 vs. price of €4.26 (6.5% above fair value)
Industry Position: 1454.4% above the Telecommunication Services median (#66 of 326)
No single metric tells the full story. See the XTER:KPN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
KPN is the incumbent telecommunications operator in the Netherlands. It has 40% share of the broadband market and 20% of the postpaid mobile market, with VodafoneZiggo (mobile and fixed) and Odido (mobile) as main competitors. KPN is rolling out fiber to the home in the Netherlands and expects to have most of the country covered by 2026. KPN's management has a cost-conscious mentality, something that has allowed it to grow dividends at midsingle digits over many years.
69GF Score
Get the complete analysis for XTER:KPN
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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