Renew Holdings (LSE:RNWH) ROE %: 14.73% (As of Mar. 2026) — 43% Below Median


LSE:RNWH Renew Holdings PLC LSE:RNWH
89 GF Score
Price £8.86
GF Value £9.80
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Renew Holdings ROE %?

Renew Holdings LSE:RNWH +1.03% 89 ROE % is 14.73% as of Mar. 2026, which is 43% below its 10-year median of 25.65. GuruFocus rates LSE:RNWH with a GF Score™ of 89/100 and a GF Value™ of £9.80 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,743 Construction companies, Renew Holdings ranks better than 81.76% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Renew Holdings's annualized net income for the quarter that ended in Mar. 2026 was £36 Mil. Renew Holdings's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was £245 Mil. Therefore, Renew Holdings's annualized ROE % for the quarter that ended in Mar. 2026 was 14.73%.

The historical rank and industry rank for Renew Holdings's ROE % or its related term are showing as below:

LSE:RNWH' s ROE % Range Over the Past 10 Years
Min: 13.08   Med: 25.65   Max: 50.77
Current: 17.82

During the past 13 years, Renew Holdings's highest ROE % was 50.77%. The lowest was 13.08%. And the median was 25.65%.

LSE:RNWH's ROE % is ranked better than
81.76% of 1743 companies
in the Construction industry
Industry Median: 6.69 vs LSE:RNWH: 17.82

Renew Holdings  (LSE:RNWH) 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:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=36.1/245.1515
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(36.1 / 1148.584)*(1148.584 / 553.911)*(553.911 / 245.1515)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.14 %*2.0736*2.2595
=ROA %*Equity Multiplier
=6.51 %*2.2595
=14.73 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=36.1/245.1515
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (36.1 / 50.936) * (50.936 / 66.842) * (66.842 / 1148.584) * (1148.584 / 553.911) * (553.911 / 245.1515)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7087 * 0.762 * 5.82 % * 2.0736 * 2.2595
=14.73 %

Note: The net income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (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.


Renew Holdings ROE % Related Terms


Renew Holdings ROE % Historical Data

* Premium members only.

The historical data trend for Renew Holdings'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.

Renew Holdings ROE % Chart

Renew Holdings Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.84 27.54 26.45 21.55 21.81

Renew Holdings Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 22.62 20.84 23.00 20.95 14.73

LSE:RNWH vs PWR, FIX, EME: ROE % Comparison

For the Engineering & Construction subindustry, Renew Holdings'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.


Renew Holdings ROE % vs Construction Industry

For the Construction industry and Industrials sector, Renew Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where Renew Holdings's ROE % falls into.


LSE:RNWH
89GF Score
Renew Holdings PLC LSE:RNWH
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Renew Holdings ROE % Calculation

Renew Holdings's annualized ROE % for the fiscal year that ended in Sep. 2025 is calculated as

ROE %=Net Income (A: Sep. 2025 )/( (Total Stockholders Equity (A: Sep. 2024 )+Total Stockholders Equity (A: Sep. 2025 ))/ count )
=48.814/( (206.39+241.137)/ 2 )
=48.814/223.7635
=21.81 %

Renew Holdings's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=36.1/( (241.137+249.166)/ 2 )
=36.1/245.1515
=14.73 %

* 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 (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 14.73% mean?
Renew Holdings (LSE:RNWH) has a ROE % of 14.73% 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 Renew Holdings and its competitors. This is 43% below median its historical median of 25.65. Over the past decade, Renew Holdings' ROE % has ranged from 13.08 to 50.77. According to the industry distribution chart, Renew Holdings ranks #318 out of 1743 companies in the Construction industry, placing it in the top 18.2%.
Is Renew Holdings' ROE % too high?
Renew Holdings' current ROE % of 14.73% is 43% below median its 10-year median of 25.65. Over the past 10 years, this metric has ranged from a low of 13.08 to a high of 50.77. The Construction industry median ROE % is 6.69. Renew Holdings' value of 14.73% is 120.2% above this industry median. Based on the distribution chart, Renew Holdings ranks #318 out of 1743 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Renew Holdings has a GF Score™ of 89/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Renew Holdings' ROE % compare to PWR and FIX?
According to the Construction industry distribution chart, Renew Holdings ranks #318 out of 1743 companies for ROE %. This places Renew Holdings in the top 18% of its industry — outperforming the majority of peers. The industry median ROE % is 6.69. Renew Holdings' value of 14.73% is 120.2% above this benchmark. Historically, Renew Holdings' own ROE % has ranged from 13.08 to 50.77 over the past decade. While the company's 10-year median is 25.65 vs. the industry median of 6.69, Renew Holdings 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 Construction company?
The median ROE % among Construction companies is 6.69, based on 1,743 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. Renew Holdings's current ROE % of 14.73% is 120.2% 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 Renew Holdings and its competitors. For the Construction industry, the median ROE % is 6.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Renew Holdings's current ROE % is 14.73%, which is 43% below median its own 10-year median of 25.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Renew Holdings stock overvalued right now?
Based on GuruFocus' analysis, Renew Holdings (LSE:RNWH) is currently considered Modestly Undervalued. The stock's GF Value™ is £9.80, compared to a current price of £8.86 — trading 9.6% below its estimated fair value. The current ROE % is 14.73%, which is 43% below median its 10-year median of 25.65 and 120.2% above the Construction industry median of 6.69. Renew Holdings' overall GF Score™ is 89/100 with 1 warning sign 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 Renew Holdings (LSE:RNWH), the current ROE % is 14.73% 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 Renew Holdings (LSE:RNWH) Overvalued in 2026?

Based on GuruFocus' analysis, Renew Holdings stock appears to be undervalued. The current stock price of £8.86 is trading 9.6% below its estimated GF Value™ of £9.80. GuruFocus considers Renew Holdings to be Modestly Undervalued.

Key valuation signals for LSE:RNWH:

  • ROE %: 14.73% (43% below median its 10-year median of 25.65)
  • GF Value™: £9.80 vs. price of £8.86 (9.6% below fair value)
  • GF Score™: 89/100 with 1 warning sign
  • Industry Position: 120.2% above the Construction median (#318 of 1743)

No single metric tells the full story. See the LSE:RNWH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Renew Holdings Business Description

Other Exchanges RNWHl:UK
Address 3125 Century Way, Thorpe Park, Leeds, West Yorkshire, GBR, LS15 8ZB
Renew Holdings PLC provides multidisciplinary engineering services to the energy, environmental, infrastructure, and specialist building sectors in the United Kingdom. Its activities are operated through a business segment that includes Engineering Services, providing infrastructure maintenance across a range of civil, mechanical, and electrical engineering applications. The service process is predominantly based on long-term framework agreements, serving blue-chip customers in regulated markets. Services are delivered directly by the Group's skilled engineering workforce, supplemented by specialist subcontractors where appropriate. The company operates in the UK and Europe, with the majority of operating revenue generated from the UK.
89GF Score

Get the complete analysis for LSE:RNWH

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£8.86
Price
£9.80
GF Value