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Hills BancorpHBIA +0.47%69 Return-on-Tangible-Equity is 14.61% as of Mar. 2026, which is 47% above its 10-year median of 9.93. GuruFocus rates HBIA with a GF Score™ of 69/100 and a GF Value™ of $46.34 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,522 Banks companies, Hills Bancorp ranks better than 52.23% 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. Hills Bancorp's annualized net income for the quarter that ended in Mar. 2026 was $87.8 Mil. Hills Bancorp's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $600.9 Mil. Therefore, Hills Bancorp's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 14.61%.
The historical rank and industry rank for Hills Bancorp's Return-on-Tangible-Equity or its related term are showing as below:
HBIA'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 7.72 Med: 9.93 Max: 11.79
Current: 11.79
During the past 13 years, Hills Bancorp's highest Return-on-Tangible-Equity was 11.79%. The lowest was 7.72%. And the median was 9.93%.
HBIA's Return-on-Tangible-Equity is ranked better than 52.23% of 1522
companies
in the Banks industry
Industry Median: 11.41
vs HBIA: 11.79
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.
Hills Bancorp Return-on-Tangible-Equity Related Terms
Hills Bancorp Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Hills Bancorp'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.
HBIA vs IBCP, SHBI, FISI: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, Hills Bancorp'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.
Hills Bancorp Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Hills Bancorp's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Hills Bancorp'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 14.61% mean?
Hills Bancorp (HBIA) has a Return-on-Tangible-Equity of 14.61% 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 Hills Bancorp and its competitors. This is 47% above median its historical median of 9.93. Over the past decade, Hills Bancorp's Return-on-Tangible-Equity has ranged from 7.72 to 11.79. According to the industry distribution chart, Hills Bancorp ranks #727 out of 1522 companies in the Banks industry, placing it in the top 47.8%.
Is Hills Bancorp's Return-on-Tangible-Equity too high?
Hills Bancorp's current Return-on-Tangible-Equity of 14.61% is 47% above median its 10-year median of 9.93. Over the past 10 years, this metric has ranged from a low of 7.72 to a high of 11.79. The Banks industry median Return-on-Tangible-Equity is 11.41. Hills Bancorp's value of 14.61% is 28% above this industry median. Based on the distribution chart, Hills Bancorp ranks #727 out of 1522 companies in the Banks industry, which is above the industry midpoint. Overall, Hills Bancorp has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hills Bancorp's Return-on-Tangible-Equity compare to IBCP and SHBI?
According to the Banks industry distribution chart, Hills Bancorp ranks #727 out of 1522 companies for Return-on-Tangible-Equity. This puts Hills Bancorp in the upper half of its industry. The industry median Return-on-Tangible-Equity is 11.41. Hills Bancorp's value of 14.61% is 28% above this benchmark. Historically, Hills Bancorp's own Return-on-Tangible-Equity has ranged from 7.72 to 11.79 over the past decade. While the company's 10-year median is 9.93 vs. the industry median of 11.41, Hills Bancorp 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 Banks company?
The median Return-on-Tangible-Equity among Banks companies is 11.41, based on 1,522 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. Hills Bancorp's current Return-on-Tangible-Equity of 14.61% is 28% 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 Hills Bancorp and its competitors. For the Banks industry, the median Return-on-Tangible-Equity is 11.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hills Bancorp's current Return-on-Tangible-Equity is 14.61%, which is 47% above median its own 10-year median of 9.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hills Bancorp stock overvalued right now?
Based on GuruFocus' analysis, Hills Bancorp (HBIA) is currently considered Fairly Valued. The stock's GF Value™ is $46.34, compared to a current price of $44.76 — trading 3.4% below its estimated fair value. The current Return-on-Tangible-Equity is 14.61%, which is 47% above median its 10-year median of 9.93 and 28% above the Banks industry median of 11.41. Hills Bancorp's overall GF Score™ is 69/100 with 5 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 Hills Bancorp (HBIA), the current Return-on-Tangible-Equity is 14.61% 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 Hills Bancorp (HBIA) Overvalued in 2026?
Based on GuruFocus' analysis, Hills Bancorp stock appears to be undervalued.
The current stock price of $44.76 is trading 3.4% below its estimated GF Value™ of $46.34.
GuruFocus considers Hills Bancorp to be Fairly Valued.
Key valuation signals for HBIA:
Return-on-Tangible-Equity: 14.61% (47% above median its 10-year median of 9.93)
GF Value™: $46.34 vs. price of $44.76 (3.4% below fair value)
Industry Position: 28% above the Banks median (#727 of 1522)
No single metric tells the full story. See the HBIA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hills Bancorp is a holding company engaged in the business of commercial banking serving individuals, businesses, governmental units, and institutional customers in the United States. It offers services including acceptance of demand, savings, and time deposits, providing commercial, real estate, agricultural, and consumer loans, maintaining night and safe deposit facilities, and performing collection, exchange, and other banking services. Also, it administers estates, personal trusts, and pension plans and provides farm management, investment advisory, and custodial services for individuals, corporations, and nonprofit organizations. The company also provides mortgage loans and commercial and financial loans. The company generates key revenue from interest income.
69GF Score
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