IES HoldingsIESC -6.74%85 Return-on-Tangible-Equity is 51.72% as of Mar. 2026, which is 71% above its 10-year median of 30.20. GuruFocus rates IESC with a GF Score™ of 85/100 and a GF Value™ of $261.85 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,711 Construction companies, IES Holdings ranks better than 89.89% 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. IES Holdings's annualized net income for the quarter that ended in Mar. 2026 was $440 Mil. IES Holdings's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $850 Mil. Therefore, IES Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 51.72%.
The historical rank and industry rank for IES Holdings's Return-on-Tangible-Equity or its related term are showing as below:
IESC'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -9.51 Med: 30.2 Max: 104.48
Current: 52.1
During the past 13 years, IES Holdings's highest Return-on-Tangible-Equity was 104.48%. The lowest was -9.51%. And the median was 30.20%.
IESC's Return-on-Tangible-Equity is ranked better than 89.89% of 1711
companies
in the Construction industry
Industry Median: 8.23
vs IESC: 52.10
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.
IES Holdings Return-on-Tangible-Equity Related Terms
IES Holdings Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for IES Holdings'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.
IESC vs J, BLD, DY: Return-on-Tangible-Equity Comparison
For the Engineering & Construction subindustry, IES Holdings'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.
IES Holdings Return-on-Tangible-Equity vs Construction Industry
For the Construction industry and Industrials sector, IES Holdings's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where IES Holdings'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 51.72% mean?
IES Holdings (IESC) has a Return-on-Tangible-Equity of 51.72% 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 IES Holdings and its competitors. This is 71% above median its historical median of 30.20. According to the industry distribution chart, IES Holdings ranks #173 out of 1711 companies in the Construction industry, placing it in the top 10.1%.
Is IES Holdings' Return-on-Tangible-Equity too high?
IES Holdings' current Return-on-Tangible-Equity of 51.72% is 71% above median its 10-year median of 30.20. The Construction industry median Return-on-Tangible-Equity is 8.23. IES Holdings' value of 51.72% is 528.4% above this industry median. Based on the distribution chart, IES Holdings ranks #173 out of 1711 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, IES Holdings has a GF Score™ of 85/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does IES Holdings' Return-on-Tangible-Equity compare to J and BLD?
According to the Construction industry distribution chart, IES Holdings ranks #173 out of 1711 companies for Return-on-Tangible-Equity. This places IES Holdings in the top 10% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.23. IES Holdings' value of 51.72% is 528.4% above this benchmark. While the company's 10-year median is 30.20 vs. the industry median of 8.23, IES Holdings 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.23, based on 1,711 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. IES Holdings's current Return-on-Tangible-Equity of 51.72% is 528.4% 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 IES Holdings and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IES Holdings's current Return-on-Tangible-Equity is 51.72%, which is 71% above median its own 10-year median of 30.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IES Holdings stock overvalued right now?
Based on GuruFocus' analysis, IES Holdings (IESC) is currently considered Significantly Overvalued. The stock's GF Value™ is $261.85, compared to a current price of $714.90 — trading 173% above its estimated fair value. The current Return-on-Tangible-Equity is 51.72%, which is 71% above median its 10-year median of 30.20 and 528.4% above the Construction industry median of 8.23. IES Holdings' overall GF Score™ is 85/100 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 IES Holdings (IESC), the current Return-on-Tangible-Equity is 51.72% 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 IES Holdings (IESC) Overvalued in 2026?
Based on GuruFocus' analysis, IES Holdings stock appears to be overvalued.
The current stock price of $714.90 is trading 173% above its estimated GF Value™ of $261.85.
GuruFocus considers IES Holdings to be Significantly Overvalued.
Key valuation signals for IESC:
Return-on-Tangible-Equity: 51.72% (71% above median its 10-year median of 30.20)
GF Value™: $261.85 vs. price of $714.90 (173% above fair value)
Industry Position: 528.4% above the Construction median (#173 of 1711)
No single metric tells the full story. See the IESC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IES Holdings Inc owns and manages subsidiaries that design and installs integrated electrical and technology systems and provide infrastructure products and services. It has four business segments; Communications, Residential, Infrastructure Solutions, and Commercial & Industrial. The majority of the revenue for the company is generated from its Residential segment in which the company provides electrical installation services for single-family housing and multi-family apartment complexes, as well as heating, ventilation, and air conditioning (HVAC) and plumbing installation services. This segment also provides services for installing residential solar power, both for new construction and existing residences.
85GF Score
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