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IndusInd BankLUX:IDUSB 77 Return-on-Tangible-Equity is 3.62% as of Mar. 2026, which is 74% below its 10-year median of 13.76. GuruFocus rates LUX:IDUSB with a GF Score™ of 77/100 and a GF Value™ of $17.65. The stock has 8 warning signs investors should review. Among 1,526 Banks companies, IndusInd Bank ranks worse than 93.51% 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. IndusInd Bank's annualized net income for the quarter that ended in Mar. 2026 was $256 Mil. IndusInd Bank's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $7,083 Mil. Therefore, IndusInd Bank's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.62%.
The historical rank and industry rank for IndusInd Bank's Return-on-Tangible-Equity or its related term are showing as below:
LUX:IDUSB'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.36 Med: 13.76 Max: 16.21
Current: 1.36
During the past 13 years, IndusInd Bank's highest Return-on-Tangible-Equity was 16.21%. The lowest was 1.36%. And the median was 13.76%.
LUX:IDUSB's Return-on-Tangible-Equity is ranked worse than 93.51% of 1526
companies
in the Banks industry
Industry Median: 11.195
vs LUX:IDUSB: 1.36
IndusInd Bank (LUX:IDUSB) 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.
IndusInd Bank Return-on-Tangible-Equity Related Terms
IndusInd Bank Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for IndusInd 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.
IndusInd Bank Return-on-Tangible-Equity Competitor Comparison
For the Banks - Regional subindustry, IndusInd 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.
IndusInd Bank Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, IndusInd Bank's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where IndusInd 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 3.62% mean?
IndusInd Bank (LUX:IDUSB) has a Return-on-Tangible-Equity of 3.62% 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 IndusInd Bank and its competitors. This is 74% below median its historical median of 13.76. Over the past decade, IndusInd Bank's Return-on-Tangible-Equity has ranged from 1.36 to 16.21. According to the industry distribution chart, IndusInd Bank ranks #1427 out of 1526 companies in the Banks industry, placing it in the top 93.5%.
Is IndusInd Bank's Return-on-Tangible-Equity too high?
IndusInd Bank's current Return-on-Tangible-Equity of 3.62% is 74% below median its 10-year median of 13.76. Over the past 10 years, this metric has ranged from a low of 1.36 to a high of 16.21. The Banks industry median Return-on-Tangible-Equity is 11.20. IndusInd Bank's value of 3.62% is 67.7% below this industry median. Based on the distribution chart, IndusInd Bank ranks #1427 out of 1526 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, IndusInd Bank has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does IndusInd Bank's Return-on-Tangible-Equity compare to competitors?
According to the Banks industry distribution chart, IndusInd Bank ranks #1427 out of 1526 companies for Return-on-Tangible-Equity. This places IndusInd Bank in the lower half of its industry. The industry median Return-on-Tangible-Equity is 11.20. IndusInd Bank's value of 3.62% is 67.7% below this benchmark. Historically, IndusInd Bank's own Return-on-Tangible-Equity has ranged from 1.36 to 16.21 over the past decade. While the company's 10-year median is 13.76 vs. the industry median of 11.20, IndusInd 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. IndusInd Bank's current Return-on-Tangible-Equity of 3.62% is 67.7% 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 IndusInd 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. IndusInd Bank's current Return-on-Tangible-Equity is 3.62%, which is 74% below median its own 10-year median of 13.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IndusInd Bank stock overvalued right now?
IndusInd Bank (LUX:IDUSB) has a current Return-on-Tangible-Equity of 3.62%. The stock's GF Value™ is $17.65, compared to a current price of $17.20 — trading 2.5% below its estimated fair value. The current Return-on-Tangible-Equity is 3.62%, which is 74% below median its 10-year median of 13.76 and 67.7% below the Banks industry median of 11.20. IndusInd Bank's overall GF Score™ is 77/100 with 8 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 IndusInd Bank (LUX:IDUSB), the current Return-on-Tangible-Equity is 3.62% 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 IndusInd Bank (LUX:IDUSB) Overvalued in 2026?
Based on GuruFocus' analysis, IndusInd Bank stock appears to be undervalued.
The current stock price of $17.20 is trading 2.5% below its estimated GF Value™ of $17.65.
Key valuation signals for LUX:IDUSB:
Return-on-Tangible-Equity: 3.62% (74% below median its 10-year median of 13.76)
GF Value™: $17.65 vs. price of $17.20 (2.5% below fair value)
Industry Position: 67.7% below the Banks median (#1427 of 1526)
No single metric tells the full story. See the LUX:IDUSB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IndusInd Bank Ltd is a full-service banking group operating in India. Its services include consumer banking, credit cards, consumer finance, corporate banking, commercial banking, transaction banking, priority sector lending, risk management, and financial restructuring and reconstruction. The Bank operates in four business segments, viz. Treasury, Corporate/ Wholesale Banking, Retail Banking and Other Banking Operations. The Bank generates the majority of the revenue from Retail Banking segment. The bank's strategic focus has been to maintain its high-street brand, and it has adopted various initiatives to increase the brand's visibility through digital marketing and increased financial technology.
77GF Score
Get the complete analysis for LUX:IDUSB
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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