GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » SVB Financial Group (OTCPK:SIVBQ) » Definitions » Return-on-Tangible-Equity

SVB Financial Group (SVB Financial Group) Return-on-Tangible-Equity : 8.27% (As of Dec. 2022)


View and export this data going back to 1990. Start your Free Trial

What is SVB Financial Group Return-on-Tangible-Equity?

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. SVB Financial Group's annualized net income for the quarter that ended in Dec. 2022 was $1,260 Mil. SVB Financial Group's average shareholder tangible equity for the quarter that ended in Dec. 2022 was $15,243 Mil. Therefore, SVB Financial Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2022 was 8.27%.

The historical rank and industry rank for SVB Financial Group's Return-on-Tangible-Equity or its related term are showing as below:

SIVBQ's Return-on-Tangible-Equity is not ranked *
in the Banks industry.
Industry Median: 11
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

SVB Financial Group Return-on-Tangible-Equity Historical Data

The historical data trend for SVB Financial Group'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.

* Premium members only.

SVB Financial Group Return-on-Tangible-Equity Chart

SVB Financial Group Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.95 19.95 16.90 15.46 10.72

SVB Financial Group Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
Return-on-Tangible-Equity 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 10.68 13.23 9.67 12.35 8.27

Competitive Comparison of SVB Financial Group's Return-on-Tangible-Equity

For the Banks - Regional subindustry, SVB Financial Group'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.


SVB Financial Group's Return-on-Tangible-Equity Distribution in the Banks Industry

For the Banks industry and Financial Services sector, SVB Financial Group's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where SVB Financial Group's Return-on-Tangible-Equity falls into.



SVB Financial Group Return-on-Tangible-Equity Calculation

SVB Financial Group's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2022 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=1672/( (15701+15493 )/ 2 )
=1672/15597
=10.72 %

SVB Financial Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2022 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2022 )  (Q: Sep. 2022 )(Q: Dec. 2022 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2022 )  (Q: Sep. 2022 )(Q: Dec. 2022 )
=1260/( (14992+15493)/ 2 )
=1260/15242.5
=8.27 %

* 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. 2022) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


SVB Financial Group  (OTCPK:SIVBQ) Return-on-Tangible-Equity Explanation

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.


SVB Financial Group Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of SVB Financial Group's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


SVB Financial Group (SVB Financial Group) Business Description

Traded in Other Exchanges
Address
3003 Tasman Drive, Santa Clara, CA, USA, 95054-1191
SVB Financial Group provides loans and ancillary financial services to startups, private equity, and venture capital firms. The bank has four segments: Silicon Valley Bank, SVB Private, SVB Capital, and SVB Securities. In addition to providing loans to venture-capital-backed startups, the company invests in private equity and venture capital funds of funds. The bank operates throughout the United States and maintains offices in Canada, the United Kingdom, Israel, China, India, Germany, Denmark, and Ireland.
Executives
C. Allen Parker director 420 MONTGOMERY STREET, SAN FRANCISCO CA 94104
Steven G Panagos director C/O SPIRIT MTA REIT, 2727 NORTH HARWOOD STREET, SUITE 300, DALLAS TX 75201
Richard Devon Daniels director 3005 TASMAN DRIVE, SANTA CLARA CA 95054
Nicholas Grossi officer: Interim CFO 2770 SAND HILL ROAD, MENLO PARK CA 94025
William C Kosturos officer: Chief Restructuring Officer C/O WASHINGTON MUTUAL, INC., 1301 SECOND AVENUE, SEATTLE WA 98101
Gregory W Becker officer: President and CEO 3003 TASMAN DRIVE, SANTA CLARA CA 95054
Daniel J Beck officer: Chief Financial Officer 3005 TASMAN DRIVE, SANTA CLARA CA 95054
Michelle Draper officer: Chief Marketing Officer 177 WESTLAWN AVE, DALY CITY CA 94015
Beverly Kay Matthews director C/O COHERENT, INC., 5100 PATRICK HENRY DRIVE, SANTA CLARA CA 95054
Kim Petra Olson officer: Chief Risk Officer 3003 TASMAN DRIVE, SANTA CLARA CA 95054
Laura Cushing officer: Chief Human Resources Officer 3003 TASMAN DRIVE, SANTA CLARA CA 95054
Thomas C. King director C/O CLEAR CHANNEL OUTDOOR HOLDINGS, INC., 4830 NORTH LOOP 1604W, SUITE 111, SAN ANTONIO TX 78249
Garen K Staglin director C/O EXLSERVICE HOLDINGS, INC., 320 PARK AVENUE 29TH FL, NEW YORK NY 10022
Michael Descheneaux officer: Chief Financial Officer 3003 TASMAN DRIVE, SANTA CLARA CA 95054
Philip C Cox officer: Head EMEA India & President,UK ORCHARD HOUSE 40 BARRINGTON ROAD, FOXTON CAMBRIDGE, LONDON X0 CB22 6SL

SVB Financial Group (SVB Financial Group) Headlines

From GuruFocus

Francisco Garcia Parames' Cobas Funds 1st-Quarter Note

By Sydnee Gatewood 05-10-2023