Lumbee Guaranty BankLUMB 67 Return-on-Tangible-Equity is 8.97% as of Mar. 2026, which is 3% above its 10-year median of 8.67. GuruFocus rates LUMB with a GF Score™ of 67/100 and a GF Value™ of $12.80 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,526 Banks companies, Lumbee Guaranty Bank ranks worse than 65.6% 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. Lumbee Guaranty Bank's annualized net income for the quarter that ended in Mar. 2026 was $4.62 Mil. Lumbee Guaranty Bank's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $51.55 Mil. Therefore, Lumbee Guaranty Bank's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 8.97%.
The historical rank and industry rank for Lumbee Guaranty Bank's Return-on-Tangible-Equity or its related term are showing as below:
LUMB'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.22 Med: 8.67 Max: 15.58
Current: 8.59
During the past 9 years, Lumbee Guaranty Bank's highest Return-on-Tangible-Equity was 15.58%. The lowest was 5.22%. And the median was 8.67%.
LUMB's Return-on-Tangible-Equity is ranked worse than 65.6% of 1526
companies
in the Banks industry
Industry Median: 11.195
vs LUMB: 8.59
Lumbee Guaranty Bank (OTCPK:LUMB) 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.
Lumbee Guaranty Bank Return-on-Tangible-Equity Related Terms
Lumbee Guaranty Bank Return-on-Tangible-Equity Historical Data
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The historical data trend for Lumbee Guaranty 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.
Lumbee Guaranty Bank Return-on-Tangible-Equity Chart
LUMB vs WDFN, UNBK, MBBC: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, Lumbee Guaranty 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.
Lumbee Guaranty Bank Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Lumbee Guaranty Bank's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Lumbee Guaranty 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 8.97% mean?
Lumbee Guaranty Bank (LUMB) has a Return-on-Tangible-Equity of 8.97% 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 Lumbee Guaranty Bank and its competitors. This is near median its historical median of 8.67. Over the past decade, Lumbee Guaranty Bank's Return-on-Tangible-Equity has ranged from 5.22 to 15.58. According to the industry distribution chart, Lumbee Guaranty Bank ranks #1001 out of 1526 companies in the Banks industry, placing it in the top 65.6%.
Is Lumbee Guaranty Bank's Return-on-Tangible-Equity too high?
Lumbee Guaranty Bank's current Return-on-Tangible-Equity of 8.97% is near median its 10-year median of 8.67. Over the past 10 years, this metric has ranged from a low of 5.22 to a high of 15.58. The Banks industry median Return-on-Tangible-Equity is 11.20. Lumbee Guaranty Bank's value of 8.97% is 19.9% below this industry median. Based on the distribution chart, Lumbee Guaranty Bank ranks #1001 out of 1526 companies in the Banks industry, which is below the industry midpoint. Overall, Lumbee Guaranty Bank has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Lumbee Guaranty Bank's Return-on-Tangible-Equity compare to WDFN and UNBK?
According to the Banks industry distribution chart, Lumbee Guaranty Bank ranks #1001 out of 1526 companies for Return-on-Tangible-Equity. This places Lumbee Guaranty Bank in the lower half of its industry. The industry median Return-on-Tangible-Equity is 11.20. Lumbee Guaranty Bank's value of 8.97% is 19.9% below this benchmark. Historically, Lumbee Guaranty Bank's own Return-on-Tangible-Equity has ranged from 5.22 to 15.58 over the past decade. While the company's 10-year median is 8.67 vs. the industry median of 11.20, Lumbee Guaranty Bank 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 1,526 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. Lumbee Guaranty Bank's current Return-on-Tangible-Equity of 8.97% is 19.9% 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 Lumbee Guaranty 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. Lumbee Guaranty Bank's current Return-on-Tangible-Equity is 8.97%, which is near median its own 10-year median of 8.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lumbee Guaranty Bank stock overvalued right now?
Based on GuruFocus' analysis, Lumbee Guaranty Bank (LUMB) is currently considered Fairly Valued. The stock's GF Value™ is $12.80, compared to a current price of $13.50 — trading 5.5% above its estimated fair value. The current Return-on-Tangible-Equity is 8.97%, which is near median its 10-year median of 8.67 and 19.9% below the Banks industry median of 11.20. Lumbee Guaranty Bank's overall GF Score™ is 67/100 with 2 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 Lumbee Guaranty Bank (LUMB), the current Return-on-Tangible-Equity is 8.97% 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 Lumbee Guaranty Bank (LUMB) Overvalued in 2026?
Based on GuruFocus' analysis, Lumbee Guaranty Bank stock appears to be overvalued.
The current stock price of $13.50 is trading 5.5% above its estimated GF Value™ of $12.80.
GuruFocus considers Lumbee Guaranty Bank to be Fairly Valued.
Key valuation signals for LUMB:
Return-on-Tangible-Equity: 8.97% (near median its 10-year median of 8.67)
GF Value™: $12.80 vs. price of $13.50 (5.5% above fair value)
Industry Position: 19.9% below the Banks median (#1001 of 1526)
No single metric tells the full story. See the LUMB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lumbee Guaranty Bank is a state-chartered bank. The community bank is engaged in providing full service banking through Thirteen branch offices in Robeson, Cumberland, and Hoke counties in North Carolina. The Bank extends both commercial and consumer loans throughout its market area and offers a full range of deposit accounts for its customer base.
67GF Score
Get the complete analysis for LUMB
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