Independent BankIBCP -1.80%64 Return-on-Tangible-Equity is 15.15% as of Mar. 2026, which is 12% below its 10-year median of 17.17. GuruFocus rates IBCP with a GF Score™ of 64/100 and a GF Value™ of $32.33 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 1,523 Banks companies, Independent Bank ranks better than 79.58% 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. Independent Bank's annualized net income for the quarter that ended in Mar. 2026 was $67.5 Mil. Independent Bank's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $445.6 Mil. Therefore, Independent Bank's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 15.15%.
The historical rank and industry rank for Independent Bank's Return-on-Tangible-Equity or its related term are showing as below:
IBCP'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 8.51 Med: 17.17 Max: 20.61
Current: 16.36
During the past 13 years, Independent Bank's highest Return-on-Tangible-Equity was 20.61%. The lowest was 8.51%. And the median was 17.17%.
IBCP's Return-on-Tangible-Equity is ranked better than 79.58% of 1523
companies
in the Banks industry
Industry Median: 11.2
vs IBCP: 16.36
Independent Bank (NAS:IBCP) 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.
Independent Bank Return-on-Tangible-Equity Related Terms
Independent Bank Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Independent Bank'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.
IBCP vs CARE, CWBC, FISI: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, Independent Bank'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.
Independent Bank Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Independent Bank's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Independent Bank'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 15.15% mean?
Independent Bank (IBCP) has a Return-on-Tangible-Equity of 15.15% 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 Independent Bank and its competitors. This is 12% below median its historical median of 17.17. Over the past decade, Independent Bank's Return-on-Tangible-Equity has ranged from 8.51 to 20.61. According to the industry distribution chart, Independent Bank ranks #311 out of 1523 companies in the Banks industry, placing it in the top 20.4%.
Is Independent Bank's Return-on-Tangible-Equity too high?
Independent Bank's current Return-on-Tangible-Equity of 15.15% is 12% below median its 10-year median of 17.17. Over the past 10 years, this metric has ranged from a low of 8.51 to a high of 20.61. The Banks industry median Return-on-Tangible-Equity is 11.20. Independent Bank's value of 15.15% is 35.3% above this industry median. Based on the distribution chart, Independent Bank ranks #311 out of 1523 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Independent Bank has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Independent Bank's Return-on-Tangible-Equity compare to CARE and CWBC?
According to the Banks industry distribution chart, Independent Bank ranks #311 out of 1523 companies for Return-on-Tangible-Equity. This places Independent Bank in the top 20% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 11.20. Independent Bank's value of 15.15% is 35.3% above this benchmark. Historically, Independent Bank's own Return-on-Tangible-Equity has ranged from 8.51 to 20.61 over the past decade. While the company's 10-year median is 17.17 vs. the industry median of 11.20, Independent Bank 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 11.20, based on 1,523 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. Independent Bank's current Return-on-Tangible-Equity of 15.15% is 35.3% 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 Independent Bank and its competitors. For the Banks industry, the median Return-on-Tangible-Equity is 11.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Independent Bank's current Return-on-Tangible-Equity is 15.15%, which is 12% below median its own 10-year median of 17.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Independent Bank stock overvalued right now?
Based on GuruFocus' analysis, Independent Bank (IBCP) is currently considered Modestly Overvalued. The stock's GF Value™ is $32.33, compared to a current price of $36.05 — trading 11.5% above its estimated fair value. The current Return-on-Tangible-Equity is 15.15%, which is 12% below median its 10-year median of 17.17 and 35.3% above the Banks industry median of 11.20. Independent Bank's overall GF Score™ is 64/100 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 Independent Bank (IBCP), the current Return-on-Tangible-Equity is 15.15% 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 Independent Bank (IBCP) Overvalued in 2026?
Based on GuruFocus' analysis, Independent Bank stock appears to be overvalued.
The current stock price of $36.05 is trading 11.5% above its estimated GF Value™ of $32.33.
GuruFocus considers Independent Bank to be Modestly Overvalued.
Key valuation signals for IBCP:
Return-on-Tangible-Equity: 15.15% (12% below median its 10-year median of 17.17)
GF Value™: $32.33 vs. price of $36.05 (11.5% above fair value)
Industry Position: 35.3% above the Banks median (#311 of 1523)
No single metric tells the full story. See the IBCP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Independent Bank Corp. operates as a commercial bank. It offers a broad range of banking services to individuals and businesses, including checking and savings accounts, commercial lending, direct and indirect consumer financing, mortgage lending, and safe deposit box services. It also provides internet and mobile banking capabilities to its customers. The firm's principal markets are the rural and suburban communities across Lower Michigan. The firm generates the majority of its revenue from Interest and fees on loans.
64GF Score
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