Reef Casino TrustASX:RCT +3.33%74 ROE % is 67.51% as of Dec. 2025, which is 52% above its 10-year median of 44.56. GuruFocus rates ASX:RCT with a GF Score™ of 74/100 and a GF Value™ of A$3.01 (Modestly Overvalued). The stock has 9 warning signs investors should review. Among 823 Travel & Leisure companies, Reef Casino Trust ranks better than 93.44% on this metric.
The historical rank and industry rank for Reef Casino Trust's ROE % or its related term are showing as below:
ASX:RCT'
s ROE % Range Over the Past 10 Years
Min: -2.04 Med: 44.56 Max: 68.05
Current: 48.26
During the past 13 years, Reef Casino Trust's highest ROE % was 68.05%. The lowest was -2.04%. And the median was 44.56%.
ASX:RCT's ROE % is ranked better than 93.44% of 823
companies
in the Travel & Leisure industry
Industry Median: 5.44
vs ASX:RCT: 48.26
Reef Casino Trust (ASX:RCT) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % 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 ROE %s can be extremely high.
Reef Casino Trust ROE % Related Terms
Reef Casino Trust ROE % Historical Data
* Premium members only.
The historical data trend for Reef Casino Trust's ROE % 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.
For the Resorts & Casinos subindustry, Reef Casino Trust's ROE %, along with its competitors' market caps and ROE % 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.
Reef Casino Trust ROE % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Reef Casino Trust's ROE % distribution charts can be found below:
* The bar in red indicates where Reef Casino Trust's ROE % 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 ROE %, the net income of the last fiscal year and the average total shareholder 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.
ROE % is displayed in the 30-year financial page.
Reef Casino Trust (ASX:RCT) has a ROE % of 67.51% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Reef Casino Trust and its competitors. This is 52% above median its historical median of 44.56. According to the industry distribution chart, Reef Casino Trust ranks #54 out of 823 companies in the Travel & Leisure industry, placing it in the top 6.6%.
Is Reef Casino Trust's ROE % too high?
Reef Casino Trust's current ROE % of 67.51% is 52% above median its 10-year median of 44.56. The Travel & Leisure industry median ROE % is 5.44. Reef Casino Trust's value of 67.51% is 1141% above this industry median. Based on the distribution chart, Reef Casino Trust ranks #54 out of 823 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Reef Casino Trust has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Reef Casino Trust's ROE % compare to LVS and MGM?
According to the Travel & Leisure industry distribution chart, Reef Casino Trust ranks #54 out of 823 companies for ROE %. This places Reef Casino Trust in the top 7% of its industry — outperforming the majority of peers. The industry median ROE % is 5.44. Reef Casino Trust's value of 67.51% is 1141% above this benchmark. While the company's 10-year median is 44.56 vs. the industry median of 5.44, Reef Casino Trust 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 ROE % for a Travel & Leisure company?
The median ROE % among Travel & Leisure companies is 5.44, based on 823 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Reef Casino Trust's current ROE % of 67.51% is 1141% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Reef Casino Trust and its competitors. For the Travel & Leisure industry, the median ROE % is 5.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reef Casino Trust's current ROE % is 67.51%, which is 52% above median its own 10-year median of 44.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reef Casino Trust stock overvalued right now?
Based on GuruFocus' analysis, Reef Casino Trust (ASX:RCT) is currently considered Modestly Overvalued. The stock's GF Value™ is A$3.01, compared to a current price of A$3.72 — trading 23.6% above its estimated fair value. The current ROE % is 67.51%, which is 52% above median its 10-year median of 44.56 and 1141% above the Travel & Leisure industry median of 5.44. Reef Casino Trust's overall GF Score™ is 74/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Reef Casino Trust (ASX:RCT), the current ROE % is 67.51% 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 Reef Casino Trust (ASX:RCT) Overvalued in 2026?
Based on GuruFocus' analysis, Reef Casino Trust stock appears to be overvalued.
The current stock price of A$3.72 is trading 23.6% above its estimated GF Value™ of A$3.01.
GuruFocus considers Reef Casino Trust to be Modestly Overvalued.
Key valuation signals for ASX:RCT:
ROE %: 67.51% (52% above median its 10-year median of 44.56)
GF Value™: A$3.01 vs. price of A$3.72 (23.6% above fair value)
Industry Position: 1141% above the Travel & Leisure median (#54 of 823)
No single metric tells the full story. See the ASX:RCT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Reef Casino Trust is engaged in the operation of the Reef Hotel-Casino Complex located in Cairns, Queensland, Australia. The company derives revenue from the casino, which includes electronic gaming and table games, and the hotel, which includes room accommodation and food and beverage, and others. The majority of the revenue is generated from the rental income received from the casino operations. The company operates in two segments, which includes Casino operations and Hotel segment.
74GF Score
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