Great-West LifecoFRA:GWS +0.57%58 Return-on-Tangible-Equity is 36.70% as of Mar. 2026, which is 30% above its 10-year median of 28.25. GuruFocus rates FRA:GWS with a GF Score™ of 58/100 and a GF Value™ of €32.19 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 499 Insurance companies, Great-West Lifeco ranks better than 84.77% 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. Great-West Lifeco's annualized net income for the quarter that ended in Mar. 2026 was €3,132 Mil. Great-West Lifeco's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €8,534 Mil. Therefore, Great-West Lifeco's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 36.70%.
The historical rank and industry rank for Great-West Lifeco's Return-on-Tangible-Equity or its related term are showing as below:
FRA:GWS'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 18.41 Med: 28.25 Max: 40.48
Current: 32.85
During the past 13 years, Great-West Lifeco's highest Return-on-Tangible-Equity was 40.48%. The lowest was 18.41%. And the median was 28.25%.
FRA:GWS's Return-on-Tangible-Equity is ranked better than 84.77% of 499
companies
in the Insurance industry
Industry Median: 13.52
vs FRA:GWS: 32.85
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.
Great-West Lifeco Return-on-Tangible-Equity Related Terms
Great-West Lifeco Return-on-Tangible-Equity Historical Data
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The historical data trend for Great-West Lifeco'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.
FRA:GWS vs AFL, MET, PRU: Return-on-Tangible-Equity Comparison
For the Insurance - Life subindustry, Great-West Lifeco'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.
Great-West Lifeco Return-on-Tangible-Equity vs Insurance Industry
For the Insurance industry and Financial Services sector, Great-West Lifeco's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Great-West Lifeco'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 36.70% mean?
Great-West Lifeco (FRA:GWS) has a Return-on-Tangible-Equity of 36.70% 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 Great-West Lifeco and its competitors. This is 30% above median its historical median of 28.25. Over the past decade, Great-West Lifeco's Return-on-Tangible-Equity has ranged from 18.41 to 40.48. According to the industry distribution chart, Great-West Lifeco ranks #76 out of 499 companies in the Insurance industry, placing it in the top 15.2%.
Is Great-West Lifeco's Return-on-Tangible-Equity too high?
Great-West Lifeco's current Return-on-Tangible-Equity of 36.70% is 30% above median its 10-year median of 28.25. Over the past 10 years, this metric has ranged from a low of 18.41 to a high of 40.48. The Insurance industry median Return-on-Tangible-Equity is 13.52. Great-West Lifeco's value of 36.70% is 171.4% above this industry median. Based on the distribution chart, Great-West Lifeco ranks #76 out of 499 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Great-West Lifeco has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Great-West Lifeco's Return-on-Tangible-Equity compare to AFL and MET?
According to the Insurance industry distribution chart, Great-West Lifeco ranks #76 out of 499 companies for Return-on-Tangible-Equity. This places Great-West Lifeco in the top 15% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 13.52. Great-West Lifeco's value of 36.70% is 171.4% above this benchmark. Historically, Great-West Lifeco's own Return-on-Tangible-Equity has ranged from 18.41 to 40.48 over the past decade. While the company's 10-year median is 28.25 vs. the industry median of 13.52, Great-West Lifeco 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 Insurance company?
The median Return-on-Tangible-Equity among Insurance companies is 13.52, based on 499 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. Great-West Lifeco's current Return-on-Tangible-Equity of 36.70% is 171.4% 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 Great-West Lifeco and its competitors. For the Insurance industry, the median Return-on-Tangible-Equity is 13.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Great-West Lifeco's current Return-on-Tangible-Equity is 36.70%, which is 30% above median its own 10-year median of 28.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Great-West Lifeco stock overvalued right now?
Based on GuruFocus' analysis, Great-West Lifeco (FRA:GWS) is currently considered Significantly Overvalued. The stock's GF Value™ is €32.19, compared to a current price of €56.12 — trading 74.3% above its estimated fair value. The current Return-on-Tangible-Equity is 36.70%, which is 30% above median its 10-year median of 28.25 and 171.4% above the Insurance industry median of 13.52. Great-West Lifeco's overall GF Score™ is 58/100 with 8 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 Great-West Lifeco (FRA:GWS), the current Return-on-Tangible-Equity is 36.70% 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 Great-West Lifeco (FRA:GWS) Overvalued in 2026?
Based on GuruFocus' analysis, Great-West Lifeco stock appears to be overvalued.
The current stock price of €56.12 is trading 74.3% above its estimated GF Value™ of €32.19.
GuruFocus considers Great-West Lifeco to be Significantly Overvalued.
Key valuation signals for FRA:GWS:
Return-on-Tangible-Equity: 36.70% (30% above median its 10-year median of 28.25)
GF Value™: €32.19 vs. price of €56.12 (74.3% above fair value)
Industry Position: 171.4% above the Insurance median (#76 of 499)
No single metric tells the full story. See the FRA:GWS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Great-West Lifeco is one of the Big Three Canadian life insurers. The firm's Canadian business contributed around 31% of its 2025 adjusted earnings. The firm generates a further 29% of adjusted earnings from the United States, attributable to its recordkeeping business, Empower, and its US life insurance business. Great-West Lifeco also offers various products across European markets with a strong presence in the UK and Ireland, which collectively accounted for 20% of adjusted earnings, while the firm's reinsurance business accounts for the remainder. Great-West Lifeco had around CAD 3.5 trillion of assets under administration across its business segments at the end of December 2025.
58GF Score
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