Japan Post Bank CoJPPTY +1.61%50 Return-on-Tangible-Equity is 5.80% as of Dec. 2025, which is 83% above its 10-year median of 3.17. GuruFocus rates JPPTY with a GF Score™ of 50/100 and a GF Value™ of $10.27 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,523 Banks companies, Japan Post Bank Co ranks worse than 79.45% 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. Japan Post Bank Co's annualized net income for the quarter that ended in Dec. 2025 was $3,522 Mil. Japan Post Bank Co's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $60,678 Mil. Therefore, Japan Post Bank Co's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 5.80%.
The historical rank and industry rank for Japan Post Bank Co's Return-on-Tangible-Equity or its related term are showing as below:
JPPTY'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.34 Med: 3.17 Max: 5.82
Current: 5.79
During the past 12 years, Japan Post Bank Co's highest Return-on-Tangible-Equity was 5.82%. The lowest was 2.34%. And the median was 3.17%.
JPPTY's Return-on-Tangible-Equity is ranked worse than 79.45% of 1523
companies
in the Banks industry
Industry Median: 11.2
vs JPPTY: 5.79
Japan Post Bank Co (OTCPK:JPPTY) 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.
Japan Post Bank Co Return-on-Tangible-Equity Related Terms
Japan Post Bank Co Return-on-Tangible-Equity Historical Data
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The historical data trend for Japan Post Bank Co'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.
Japan Post Bank Co Return-on-Tangible-Equity Chart
Japan Post Bank Co Return-on-Tangible-Equity Competitor Comparison
For the Banks - Regional subindustry, Japan Post Bank Co'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.
Japan Post Bank Co Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Japan Post Bank Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Japan Post Bank Co'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 (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 5.80% mean?
Japan Post Bank Co (JPPTY) has a Return-on-Tangible-Equity of 5.80% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Japan Post Bank Co and its competitors. This is 83% above median its historical median of 3.17. Over the past decade, Japan Post Bank Co's Return-on-Tangible-Equity has ranged from 2.34 to 5.82. According to the industry distribution chart, Japan Post Bank Co ranks #1210 out of 1523 companies in the Banks industry, placing it in the top 79.4%.
Is Japan Post Bank Co's Return-on-Tangible-Equity too high?
Japan Post Bank Co's current Return-on-Tangible-Equity of 5.80% is 83% above median its 10-year median of 3.17. Over the past 10 years, this metric has ranged from a low of 2.34 to a high of 5.82. The Banks industry median Return-on-Tangible-Equity is 11.20. Japan Post Bank Co's value of 5.80% is 48.2% below this industry median. Based on the distribution chart, Japan Post Bank Co ranks #1210 out of 1523 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Japan Post Bank Co has a GF Score™ of 50/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Japan Post Bank Co's Return-on-Tangible-Equity compare to competitors?
According to the Banks industry distribution chart, Japan Post Bank Co ranks #1210 out of 1523 companies for Return-on-Tangible-Equity. This places Japan Post Bank Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 11.20. Japan Post Bank Co's value of 5.80% is 48.2% below this benchmark. Historically, Japan Post Bank Co's own Return-on-Tangible-Equity has ranged from 2.34 to 5.82 over the past decade. While the company's 10-year median is 3.17 vs. the industry median of 11.20, Japan Post Bank Co has consistently been below 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. Japan Post Bank Co's current Return-on-Tangible-Equity of 5.80% is 48.2% below 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 Japan Post Bank Co 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. Japan Post Bank Co's current Return-on-Tangible-Equity is 5.80%, which is 83% above median its own 10-year median of 3.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Post Bank Co stock overvalued right now?
Based on GuruFocus' analysis, Japan Post Bank Co (JPPTY) is currently considered Significantly Overvalued. The stock's GF Value™ is $10.27, compared to a current price of $19.62 — trading 91% above its estimated fair value. The current Return-on-Tangible-Equity is 5.80%, which is 83% above median its 10-year median of 3.17 and 48.2% below the Banks industry median of 11.20. Japan Post Bank Co's overall GF Score™ is 50/100 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 Japan Post Bank Co (JPPTY), the current Return-on-Tangible-Equity is 5.80% as of Dec. 2025. 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 Japan Post Bank Co (JPPTY) Overvalued in 2026?
Based on GuruFocus' analysis, Japan Post Bank Co stock appears to be overvalued.
The current stock price of $19.62 is trading 91% above its estimated GF Value™ of $10.27.
GuruFocus considers Japan Post Bank Co to be Significantly Overvalued.
Key valuation signals for JPPTY:
Return-on-Tangible-Equity: 5.80% (83% above median its 10-year median of 3.17)
GF Value™: $10.27 vs. price of $19.62 (91% above fair value)
Industry Position: 48.2% below the Banks median (#1210 of 1523)
No single metric tells the full story. See the JPPTY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Japan Post Bank Co Ltd is the successor of the postal-savings system dating to the Meiji era. It was partially privatized in 2015, when the government sold to the public an 11% stake in parent company Japan Post Holdings, which in turn sold 11% stakes in Japan Post Bank and Japan Post Insurance to the public. Japan Post Bank is now 64% owned by Japan Post Holdings, which is majority owned by the government. The law requires Japan Post Holdings to divest itself of Japan Post Bank eventually. Japan Post Bank has 235 direct branches and also accepts deposits and sells investment products at more than 24,000 post offices across the country through a sales-agency agreement with Japan Post (an unlisted subsidiary of Japan Post Holdings).
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