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Equity to Asset ratio can vary greatly across different industries, as they have different capital structure. A company with smaller Equity to Asset ratio (more leveraged) may have higher ROE % because of the leverage.
For banks, the required minimum Equity to Asset ratio by regulation is 5%. Some stronger banks may have Equity to Asset Ratio of more than 10%.
Fairfax Financial Holdings Equity-to-Asset Related Terms
Fairfax Financial Holdings Equity-to-Asset Historical Data
* 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 Insurance - Property & Casualty subindustry, Fairfax Financial Holdings's Equity-to-Asset, along with its competitors' market caps and Equity-to-Asset 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.
Fairfax Financial Holdings Equity-to-Asset vs Insurance Industry
For the Insurance industry and Financial Services sector, Fairfax Financial Holdings's Equity-to-Asset distribution charts can be found below:
* The bar in red indicates where Fairfax Financial Holdings's Equity-to-Asset falls into.
Equity to Asset ratio measures the ratios of the portion of the asset owned by shareholders out of the total asset. It indicates the leverage of the company, and the amount of debt the company uses in its operation.
Equity to Asset ratio is calculated by dividing total stockholders equity by total asset.
Fairfax Financial Holdings's Equity to Asset Ratio for the fiscal year that ended in Dec. 2025 is calculated as
* 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.
Fairfax Financial Holdings (FRFHF) has a Equity-to-Asset of 0.24 as of Jun. 2026. Equity-to-asset ratio equals total company equity divided by total assets. It measures financial leverage. View historical data on Fairfax Financial Holdings and its competitors. This is near median its historical median of 0.22. Over the past decade, Fairfax Financial Holdings' Equity-to-Asset has ranged from 0.17 to 0.26. According to the industry distribution chart, Fairfax Financial Holdings ranks #274 out of 502 companies in the Insurance industry, placing it in the top 54.6%.
Is Fairfax Financial Holdings' Equity-to-Asset too high?
Fairfax Financial Holdings' current Equity-to-Asset of 0.24 is near median its 10-year median of 0.22. Over the past 10 years, this metric has ranged from a low of 0.17 to a high of 0.26. The Insurance industry median Equity-to-Asset is 0.26. Fairfax Financial Holdings' value of 0.24 is 7.7% below this industry median. Based on the distribution chart, Fairfax Financial Holdings ranks #274 out of 502 companies in the Insurance industry, which is below the industry midpoint. Overall, Fairfax Financial Holdings has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Fairfax Financial Holdings' Equity-to-Asset compare to CB and PGR?
According to the Insurance industry distribution chart, Fairfax Financial Holdings ranks #274 out of 502 companies for Equity-to-Asset. This places Fairfax Financial Holdings in the lower half of its industry. The industry median Equity-to-Asset is 0.26. Fairfax Financial Holdings' value of 0.24 is 7.7% below this benchmark. Historically, Fairfax Financial Holdings' own Equity-to-Asset has ranged from 0.17 to 0.26 over the past decade. While the company's 10-year median is 0.22 vs. the industry median of 0.26, Fairfax Financial Holdings has consistently been below 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 Equity-to-Asset for an Insurance company?
The median Equity-to-Asset among Insurance companies is 0.26, based on 502 companies in the industry. Companies in the top quartile (top 25%) have a Equity-to-Asset significantly above this median, while those in the bottom quartile fall well below. However, Equity-to-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Fairfax Financial Holdings's current Equity-to-Asset of 0.24 is 7.7% below 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 Equity-to-Asset mean?
A high Equity-to-Asset can signal that a stock is expensive relative to its fundamentals. Equity-to-asset ratio equals total company equity divided by total assets. It measures financial leverage. View historical data on Fairfax Financial Holdings and its competitors. For the Insurance industry, the median Equity-to-Asset is 0.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fairfax Financial Holdings's current Equity-to-Asset is 0.24, which is near median its own 10-year median of 0.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fairfax Financial Holdings stock overvalued right now?
Based on GuruFocus' analysis, Fairfax Financial Holdings (FRFHF) is currently considered Fairly Valued. The stock's GF Value™ is $1,625.57, compared to a current price of $1,625.92 — trading 0% above its estimated fair value. The current Equity-to-Asset is 0.24, which is near median its 10-year median of 0.22 and 7.7% below the Insurance industry median of 0.26. Fairfax Financial Holdings' overall GF Score™ is 79/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Equity-to-Asset calculated?
Equity-to-Asset is calculated from a company's financial statements. For Fairfax Financial Holdings (FRFHF), the current Equity-to-Asset is 0.24 as of Jun. 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 Fairfax Financial Holdings (FRFHF) Overvalued in 2026?
Based on GuruFocus' analysis, Fairfax Financial Holdings stock appears to be overvalued.
The current stock price of $1,625.92 is trading 0% above its estimated GF Value™ of $1,625.57.
GuruFocus considers Fairfax Financial Holdings to be Fairly Valued.
Key valuation signals for FRFHF:
Equity-to-Asset: 0.24 (near median its 10-year median of 0.22)
GF Value™: $1,625.57 vs. price of $1,625.92 (0% above fair value)
Industry Position: 7.7% below the Insurance median (#274 of 502)
No single metric tells the full story. See the FRFHF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fairfax Financial Holdings provides reinsurance and property and casualty insurance in Canada, the United States, and other international markets. The company also has some noninsurance operations such as restaurants. Fairfax has been led by Prem Watsa, its chair and CEO, since its formation in 1985.
79GF Score
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