FirstGroupFGROF 71 Return-on-Tangible-Equity is 25.36% as of Mar. 2026, which is 9% above its 10-year median of 23.34. GuruFocus rates FGROF with a GF Score™ of 71/100 and a GF Value™ of $2.46. The stock has 3 warning signs investors should review. Among 975 Transportation companies, FirstGroup ranks better than 82.05% 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. FirstGroup's annualized net income for the quarter that ended in Mar. 2026 was $167 Mil. FirstGroup's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $660 Mil. Therefore, FirstGroup's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 25.36%.
The historical rank and industry rank for FirstGroup's Return-on-Tangible-Equity or its related term are showing as below:
FGROF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -2.79 Med: 23.34 Max: 68.85
Current: 23.4
During the past 13 years, FirstGroup's highest Return-on-Tangible-Equity was 68.85%. The lowest was -2.79%. And the median was 23.34%.
FGROF's Return-on-Tangible-Equity is ranked better than 82.05% of 975
companies
in the Transportation industry
Industry Median: 9
vs FGROF: 23.40
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.
FirstGroup Return-on-Tangible-Equity Related Terms
FirstGroup Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for FirstGroup'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.
FGROF vs UNP, CSX, NSC: Return-on-Tangible-Equity Comparison
For the Railroads subindustry, FirstGroup'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.
FirstGroup Return-on-Tangible-Equity vs Transportation Industry
For the Transportation industry and Industrials sector, FirstGroup's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where FirstGroup'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 two times the semi-annual (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 25.36% mean?
FirstGroup (FGROF) has a Return-on-Tangible-Equity of 25.36% 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 FirstGroup and its competitors. This is near median its historical median of 23.34. According to the industry distribution chart, FirstGroup ranks #175 out of 975 companies in the Transportation industry, placing it in the top 17.9%.
Is FirstGroup's Return-on-Tangible-Equity too high?
FirstGroup's current Return-on-Tangible-Equity of 25.36% is near median its 10-year median of 23.34. The Transportation industry median Return-on-Tangible-Equity is 9.00. FirstGroup's value of 25.36% is 181.8% above this industry median. Based on the distribution chart, FirstGroup ranks #175 out of 975 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, FirstGroup has a GF Score™ of 71/100, reflecting its overall financial health beyond just this single metric.
How does FirstGroup's Return-on-Tangible-Equity compare to UNP and CSX?
According to the Transportation industry distribution chart, FirstGroup ranks #175 out of 975 companies for Return-on-Tangible-Equity. This places FirstGroup in the top 18% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 9.00. FirstGroup's value of 25.36% is 181.8% above this benchmark. While the company's 10-year median is 23.34 vs. the industry median of 9.00, FirstGroup 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 a Transportation company?
The median Return-on-Tangible-Equity among Transportation companies is 9.00, based on 975 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. FirstGroup's current Return-on-Tangible-Equity of 25.36% is 181.8% 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 FirstGroup and its competitors. For the Transportation industry, the median Return-on-Tangible-Equity is 9.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. FirstGroup's current Return-on-Tangible-Equity is 25.36%, which is near median its own 10-year median of 23.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is FirstGroup stock overvalued right now?
FirstGroup (FGROF) has a current Return-on-Tangible-Equity of 25.36%. The stock's GF Value™ is $2.46, compared to a current price of $2.38 — trading 3.3% below its estimated fair value. The current Return-on-Tangible-Equity is 25.36%, which is near median its 10-year median of 23.34 and 181.8% above the Transportation industry median of 9.00. FirstGroup's overall GF Score™ is 71/100 with 3 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 FirstGroup (FGROF), the current Return-on-Tangible-Equity is 25.36% 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 FirstGroup (FGROF) Overvalued in 2026?
Based on GuruFocus' analysis, FirstGroup stock appears to be undervalued.
The current stock price of $2.38 is trading 3.3% below its estimated GF Value™ of $2.46.
Key valuation signals for FGROF:
Return-on-Tangible-Equity: 25.36% (near median its 10-year median of 23.34)
GF Value™: $2.46 vs. price of $2.38 (3.3% below fair value)
Industry Position: 181.8% above the Transportation median (#175 of 975)
No single metric tells the full story. See the FGROF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
FirstGroup PLC is a passenger transportation company domiciled in the United Kingdom. The company organizes itself into segments: Greyhound, First Bus, and First Rail. The Greyhound segment operates intercity coaches in the United States and Canada. First Bus operates buses in the United Kingdom. First Rail operates passenger trains in the United Kingdom. The company derives the majority of its revenue from the United Kingdom.
71GF Score
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