Pakistan Tobacco CoKAR:PAKT 92 ROE % is 78.63% as of Mar. 2026, which is 8% above its 10-year median of 72.90. GuruFocus rates KAR:PAKT with a GF Score™ of 92/100 and a GF Value™ of ₨1,497.71 (Fairly Valued). The stock has 4 warning signs investors should review. Among 45 Tobacco Products companies, Pakistan Tobacco Co ranks better than 80% on this metric.
The historical rank and industry rank for Pakistan Tobacco Co's ROE % or its related term are showing as below:
KAR:PAKT'
s ROE % Range Over the Past 10 Years
Min: 53.63 Med: 72.9 Max: 100.63
Current: 67.26
During the past 13 years, Pakistan Tobacco Co's highest ROE % was 100.63%. The lowest was 53.63%. And the median was 72.90%.
KAR:PAKT's ROE % is ranked better than 80% of 45
companies
in the Tobacco Products industry
Industry Median: 16.13
vs KAR:PAKT: 67.26
Pakistan Tobacco Co (KAR:PAKT) 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 four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
Pakistan Tobacco Co ROE % Related Terms
Pakistan Tobacco Co ROE % Historical Data
* Premium members only.
The historical data trend for Pakistan Tobacco Co'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 Tobacco subindustry, Pakistan Tobacco Co'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.
Pakistan Tobacco Co ROE % vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, Pakistan Tobacco Co's ROE % distribution charts can be found below:
* The bar in red indicates where Pakistan Tobacco Co'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 four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Pakistan Tobacco Co (KAR:PAKT) has a ROE % of 78.63% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Pakistan Tobacco Co and its competitors. This is near median its historical median of 72.90. Over the past decade, Pakistan Tobacco Co's ROE % has ranged from 53.63 to 100.63. According to the industry distribution chart, Pakistan Tobacco Co ranks #9 out of 45 companies in the Tobacco Products industry, placing it in the top 20%.
Is Pakistan Tobacco Co's ROE % too high?
Pakistan Tobacco Co's current ROE % of 78.63% is near median its 10-year median of 72.90. Over the past 10 years, this metric has ranged from a low of 53.63 to a high of 100.63. The Tobacco Products industry median ROE % is 16.13. Pakistan Tobacco Co's value of 78.63% is 387.5% above this industry median. Based on the distribution chart, Pakistan Tobacco Co ranks #9 out of 45 companies in the Tobacco Products industry, which is in the top quartile — a strong position relative to peers. Overall, Pakistan Tobacco Co has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Pakistan Tobacco Co's ROE % compare to PM and MO?
According to the Tobacco Products industry distribution chart, Pakistan Tobacco Co ranks #9 out of 45 companies for ROE %. This places Pakistan Tobacco Co in the top 20% of its industry — outperforming the majority of peers. The industry median ROE % is 16.13. Pakistan Tobacco Co's value of 78.63% is 387.5% above this benchmark. Historically, Pakistan Tobacco Co's own ROE % has ranged from 53.63 to 100.63 over the past decade. While the company's 10-year median is 72.90 vs. the industry median of 16.13, Pakistan Tobacco Co 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 Tobacco Products company?
The median ROE % among Tobacco Products companies is 16.13, based on 45 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. Pakistan Tobacco Co's current ROE % of 78.63% is 387.5% 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 Pakistan Tobacco Co and its competitors. For the Tobacco Products industry, the median ROE % is 16.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pakistan Tobacco Co's current ROE % is 78.63%, which is near median its own 10-year median of 72.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pakistan Tobacco Co stock overvalued right now?
Based on GuruFocus' analysis, Pakistan Tobacco Co (KAR:PAKT) is currently considered Fairly Valued. The stock's GF Value™ is ₨1,497.71, compared to a current price of ₨1,420.25 — trading 5.2% below its estimated fair value. The current ROE % is 78.63%, which is near median its 10-year median of 72.90 and 387.5% above the Tobacco Products industry median of 16.13. Pakistan Tobacco Co's overall GF Score™ is 92/100 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 Pakistan Tobacco Co (KAR:PAKT), the current ROE % is 78.63% as of Mar. 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 Pakistan Tobacco Co (KAR:PAKT) Overvalued in 2026?
Based on GuruFocus' analysis, Pakistan Tobacco Co stock appears to be undervalued.
The current stock price of ₨1,420.25 is trading 5.2% below its estimated GF Value™ of ₨1,497.71.
GuruFocus considers Pakistan Tobacco Co to be Fairly Valued.
Key valuation signals for KAR:PAKT:
ROE %: 78.63% (near median its 10-year median of 72.90)
GF Value™: ₨1,497.71 vs. price of ₨1,420.25 (5.2% below fair value)
Industry Position: 387.5% above the Tobacco Products median (#9 of 45)
No single metric tells the full story. See the KAR:PAKT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pakistan Tobacco Co Ltd is engaged in the manufacturing and distribution of cigarettes, tobacco, VELO, and VUSE. Its products are marketed through brands like Dunhill, Gold Flake, John Player, Embassy, Capstan, and others. Geographically, the company generates a majority of its revenue from its domestic market and also exports its products to other countries.
92GF Score
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