Law Debenture (The)CHIX:LWDBL +0.50%37 ROE % is 26.41% as of Dec. 2025, which is 105% above its 10-year median of 12.87. GuruFocus rates CHIX:LWDBL with a GF Score™ of 37/100 and a GF Value™ of £19.86 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,612 Asset Management companies, Law Debenture (The) ranks better than 89.89% on this metric.
The historical rank and industry rank for Law Debenture (The)'s ROE % or its related term are showing as below:
CHIX:LWDBl'
s ROE % Range Over the Past 10 Years
Min: -10.29 Med: 12.87 Max: 28.58
Current: 28.58
During the past 13 years, Law Debenture (The)'s highest ROE % was 28.58%. The lowest was -10.29%. And the median was 12.87%.
CHIX:LWDBl's ROE % is ranked better than 89.89% of 1612
companies
in the Asset Management industry
Industry Median: 6.395
vs CHIX:LWDBl: 28.58
Law Debenture (The) (CHIX:LWDBl) 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.
Law Debenture (The) ROE % Related Terms
Law Debenture (The) ROE % Historical Data
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The historical data trend for Law Debenture (The)'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 Asset Management subindustry, Law Debenture (The)'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.
Law Debenture (The) ROE % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Law Debenture (The)'s ROE % distribution charts can be found below:
* The bar in red indicates where Law Debenture (The)'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.
Law Debenture (The) (CHIX:LWDBL) has a ROE % of 26.41% 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 Law Debenture (The) and its competitors. This is 105% above median its historical median of 12.87. According to the industry distribution chart, Law Debenture (The) ranks #163 out of 1612 companies in the Asset Management industry, placing it in the top 10.1%.
Is Law Debenture (The)'s ROE % too high?
Law Debenture (The)'s current ROE % of 26.41% is 105% above median its 10-year median of 12.87. The Asset Management industry median ROE % is 6.40. Law Debenture (The)'s value of 26.41% is 313% above this industry median. Based on the distribution chart, Law Debenture (The) ranks #163 out of 1612 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Law Debenture (The) has a GF Score™ of 37/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Law Debenture (The)'s ROE % compare to BLK and BX?
According to the Asset Management industry distribution chart, Law Debenture (The) ranks #163 out of 1612 companies for ROE %. This places Law Debenture (The) in the top 10% of its industry — outperforming the majority of peers. The industry median ROE % is 6.40. Law Debenture (The)'s value of 26.41% is 313% above this benchmark. While the company's 10-year median is 12.87 vs. the industry median of 6.40, Law Debenture (The) 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 an Asset Management company?
The median ROE % among Asset Management companies is 6.40, based on 1,612 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. Law Debenture (The)'s current ROE % of 26.41% is 313% 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 Law Debenture (The) and its competitors. For the Asset Management industry, the median ROE % is 6.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Law Debenture (The)'s current ROE % is 26.41%, which is 105% above median its own 10-year median of 12.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Law Debenture (The) stock overvalued right now?
Based on GuruFocus' analysis, Law Debenture (The) (CHIX:LWDBL) is currently considered Possible Value Trap. The stock's GF Value™ is £19.86, compared to a current price of £12.04 — trading 39.4% below its estimated fair value. The current ROE % is 26.41%, which is 105% above median its 10-year median of 12.87 and 313% above the Asset Management industry median of 6.40. Law Debenture (The)'s overall GF Score™ is 37/100 with 4 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 Law Debenture (The) (CHIX:LWDBL), the current ROE % is 26.41% 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 Law Debenture (The) (CHIX:LWDBL) Overvalued in 2026?
Based on GuruFocus' analysis, Law Debenture (The) stock appears to be undervalued.
The current stock price of £12.04 is trading 39.4% below its estimated GF Value™ of £19.86.
GuruFocus considers Law Debenture (The) to be Possible Value Trap.
Key valuation signals for CHIX:LWDBL:
ROE %: 26.41% (105% above median its 10-year median of 12.87)
GF Value™: £19.86 vs. price of £12.04 (39.4% below fair value)
Industry Position: 313% above the Asset Management median (#163 of 1612)
No single metric tells the full story. See the CHIX:LWDBL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Law Debenture Corp (The) PLC is a UK-based investment trust. The company's main investment objectives are to achieve long-term capital growth in real terms and steadily increase income. It holds a diversified portfolio of investments including various sectors such as Oil and Gas, Basic Materials, Consumer goods, Financials, and Technology across the globe. The company has two reportable segments namely Investment portfolio and Independent professional services. The company generates maximum revenue from the Investment portfolio segment. he group has a presence in the United Kingdom, North America, Europe, Japan, and other countries.
37GF Score
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