Energy Transfer LPET +1.47%84 Return-on-Tangible-Equity is 23.31% as of Mar. 2026, which is 23% above its 10-year median of 18.98. GuruFocus rates ET with a GF Score™ of 84/100 and a GF Value™ of $19.14 (Fairly Valued). The stock has 10 warning signs investors should review. Among 944 Oil & Gas companies, Energy Transfer LP ranks better than 77.01% on this metric.
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. Energy Transfer LP's annualized net income for the quarter that ended in Mar. 2026 was $5,016 Mil. Energy Transfer LP's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $21,520 Mil. Therefore, Energy Transfer LP's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 23.31%.
The historical rank and industry rank for Energy Transfer LP's Return-on-Tangible-Equity or its related term are showing as below:
ET'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -6.17 Med: 18.98 Max: 34.71
Current: 18.37
During the past 13 years, Energy Transfer LP's highest Return-on-Tangible-Equity was 34.71%. The lowest was -6.17%. And the median was 18.98%.
ET's Return-on-Tangible-Equity is ranked better than 77.01% of 944
companies
in the Oil & Gas industry
Industry Median: 6.73
vs ET: 18.37
Energy Transfer LP (NYSE:ET) 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.
Energy Transfer LP Return-on-Tangible-Equity Related Terms
Energy Transfer LP Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Energy Transfer LP'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.
Energy Transfer LP Return-on-Tangible-Equity Chart
ET vs TRGP, KMI, MPLX: Return-on-Tangible-Equity Comparison
For the Oil & Gas Midstream subindustry, Energy Transfer LP'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.
Energy Transfer LP Return-on-Tangible-Equity vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Energy Transfer LP's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Energy Transfer LP'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 23.31% mean?
Energy Transfer LP (ET) has a Return-on-Tangible-Equity of 23.31% 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 Energy Transfer LP and its competitors. This is 23% above median its historical median of 18.98. According to the industry distribution chart, Energy Transfer LP ranks #217 out of 944 companies in the Oil & Gas industry, placing it in the top 23%.
Is Energy Transfer LP's Return-on-Tangible-Equity too high?
Energy Transfer LP's current Return-on-Tangible-Equity of 23.31% is 23% above median its 10-year median of 18.98. The Oil & Gas industry median Return-on-Tangible-Equity is 6.73. Energy Transfer LP's value of 23.31% is 246.4% above this industry median. Based on the distribution chart, Energy Transfer LP ranks #217 out of 944 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, Energy Transfer LP has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Energy Transfer LP's Return-on-Tangible-Equity compare to TRGP and KMI?
According to the Oil & Gas industry distribution chart, Energy Transfer LP ranks #217 out of 944 companies for Return-on-Tangible-Equity. This places Energy Transfer LP in the top 23% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.73. Energy Transfer LP's value of 23.31% is 246.4% above this benchmark. While the company's 10-year median is 18.98 vs. the industry median of 6.73, Energy Transfer LP 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 Return-on-Tangible-Equity for an Oil & Gas company?
The median Return-on-Tangible-Equity among Oil & Gas companies is 6.73, based on 944 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. Energy Transfer LP's current Return-on-Tangible-Equity of 23.31% is 246.4% 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 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 Energy Transfer LP and its competitors. For the Oil & Gas industry, the median Return-on-Tangible-Equity is 6.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Energy Transfer LP's current Return-on-Tangible-Equity is 23.31%, which is 23% above median its own 10-year median of 18.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Energy Transfer LP stock overvalued right now?
Based on GuruFocus' analysis, Energy Transfer LP (ET) is currently considered Fairly Valued. The stock's GF Value™ is $19.14, compared to a current price of $19.33 — trading 1% above its estimated fair value. The current Return-on-Tangible-Equity is 23.31%, which is 23% above median its 10-year median of 18.98 and 246.4% above the Oil & Gas industry median of 6.73. Energy Transfer LP's overall GF Score™ is 84/100 with 10 warning signs 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 Energy Transfer LP (ET), the current Return-on-Tangible-Equity is 23.31% 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 Energy Transfer LP (ET) Overvalued in 2026?
Based on GuruFocus' analysis, Energy Transfer LP stock appears to be overvalued.
The current stock price of $19.33 is trading 1% above its estimated GF Value™ of $19.14.
GuruFocus considers Energy Transfer LP to be Fairly Valued.
Key valuation signals for ET:
Return-on-Tangible-Equity: 23.31% (23% above median its 10-year median of 18.98)
GF Value™: $19.14 vs. price of $19.33 (1% above fair value)
Industry Position: 246.4% above the Oil & Gas median (#217 of 944)
No single metric tells the full story. See the ET stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Energy Transfer is a diversified midstream firm operating from wellhead to consuming demand. It handles natural gas, natural gas liquids, crude oil, and refined products. Commodities are moved through its network of field-level gathering and processing to refineries and demand centers. Operations are concentrated in Texas and the midcontinent United States. It also controls Sunoco and USA Compression through its general partner relationship.
84GF Score
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