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. Barrett Business Services's annualized net income for the quarter that ended in Mar. 2026 was $-59 Mil. Barrett Business Services's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $176 Mil. Therefore, Barrett Business Services's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was -33.74%.
The historical rank and industry rank for Barrett Business Services's Return-on-Tangible-Equity or its related term are showing as below:
BBSI'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 22.93 Med: 34.3 Max: 131.44
Current: 22.93
During the past 13 years, Barrett Business Services's highest Return-on-Tangible-Equity was 131.44%. The lowest was 22.93%. And the median was 34.30%.
BBSI's Return-on-Tangible-Equity is ranked better than 72.05% of 1009
companies
in the Business Services industry
Industry Median: 10.57
vs BBSI: 22.93
Barrett Business Services (NAS:BBSI) 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.
Barrett Business Services Return-on-Tangible-Equity Related Terms
Barrett Business Services Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Barrett Business Services'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.
Barrett Business Services Return-on-Tangible-Equity Chart
BBSI vs KFRC, KELYA, TBI: Return-on-Tangible-Equity Comparison
For the Staffing & Employment Services subindustry, Barrett Business Services'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.
Barrett Business Services Return-on-Tangible-Equity vs Business Services Industry
For the Business Services industry and Industrials sector, Barrett Business Services's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Barrett Business Services's Return-on-Tangible-Equity 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 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 (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -33.74% mean?
Barrett Business Services (BBSI) has a Return-on-Tangible-Equity of -33.74% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Barrett Business Services and its competitors. Over the past decade, Barrett Business Services' Return-on-Tangible-Equity has ranged from 22.93 to 131.44. According to the industry distribution chart, Barrett Business Services ranks #282 out of 1009 companies in the Business Services industry, placing it in the top 27.9%.
Is Barrett Business Services' Return-on-Tangible-Equity too high?
Barrett Business Services' current Return-on-Tangible-Equity is -33.74%. Over the past 10 years, this metric has ranged from a low of 22.93 to a high of 131.44. Based on the distribution chart, Barrett Business Services ranks #282 out of 1009 companies in the Business Services industry, which is above the industry midpoint. Overall, Barrett Business Services has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Barrett Business Services' Return-on-Tangible-Equity compare to KFRC and KELYA?
According to the Business Services industry distribution chart, Barrett Business Services ranks #282 out of 1009 companies for Return-on-Tangible-Equity. This puts Barrett Business Services in the upper half of its industry. The industry median Return-on-Tangible-Equity is 10.57. Historically, Barrett Business Services' own Return-on-Tangible-Equity has ranged from 22.93 to 131.44 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Business Services company?
The median Return-on-Tangible-Equity among Business Services companies is 10.57, based on 1,009 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Barrett Business Services and its competitors. For the Business Services industry, the median Return-on-Tangible-Equity is 10.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Barrett Business Services's current Return-on-Tangible-Equity is -33.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Barrett Business Services stock overvalued right now?
Based on GuruFocus' analysis, Barrett Business Services (BBSI) is currently considered Fairly Valued. The stock's GF Value™ is $40.54, compared to a current price of $37.43 — trading 7.7% below its estimated fair value. The current Return-on-Tangible-Equity is -33.74%. Barrett Business Services' overall GF Score™ is 77/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Barrett Business Services (BBSI), the current Return-on-Tangible-Equity is -33.74% 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 Barrett Business Services (BBSI) Overvalued in 2026?
Based on GuruFocus' analysis, Barrett Business Services stock appears to be undervalued.
The current stock price of $37.43 is trading 7.7% below its estimated GF Value™ of $40.54.
GuruFocus considers Barrett Business Services to be Fairly Valued.
Key valuation signals for BBSI:
Return-on-Tangible-Equity: -33.74%
GF Value™: $40.54 vs. price of $37.43 (7.7% below fair value)
No single metric tells the full story. See the BBSI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Barrett Business Services Inc is a provider of business management solutions for small and mid-sized companies through a platform that combines management consulting expertise with human resource tools to help business owners manage and operate their businesses more effectively. The company has two categories of services: Professional Employer Services (PEO) and Staffing. The majority of revenue is derived from the Professional Employer Services segment, which provides clients with human resource advisory services, HRIS access, retirement plans, a learning management system, and a web-based technology platform, myBBSI.
77GF Score
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