Mechanics BancorpMCHB -0.86%12 Return-on-Tangible-Equity is 10.44% as of Mar. 2026, which is 31% below its 10-year median of 15.07. GuruFocus rates MCHB with a GF Score™ of 12/100. The stock has 2 warning signs investors should review. Among 1,523 Banks companies, Mechanics Bancorp ranks better than 65.27% 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. Mechanics Bancorp's annualized net income for the quarter that ended in Mar. 2026 was $176.4 Mil. Mechanics Bancorp's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $1,689.8 Mil. Therefore, Mechanics Bancorp's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 10.44%.
The historical rank and industry rank for Mechanics Bancorp's Return-on-Tangible-Equity or its related term are showing as below:
MCHB'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.1 Med: 15.07 Max: 16.92
Current: 13.6
During the past 4 years, Mechanics Bancorp's highest Return-on-Tangible-Equity was 16.92%. The lowest was 2.10%. And the median was 15.07%.
MCHB's Return-on-Tangible-Equity is ranked better than 65.27% of 1523
companies
in the Banks industry
Industry Median: 11.19
vs MCHB: 13.60
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.
Mechanics Bancorp Return-on-Tangible-Equity Related Terms
Mechanics Bancorp Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Mechanics Bancorp'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.
MCHB vs FFBC, CBU, BKU: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, Mechanics Bancorp'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.
Mechanics Bancorp Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Mechanics Bancorp's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Mechanics Bancorp'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 10.44% mean?
Mechanics Bancorp (MCHB) has a Return-on-Tangible-Equity of 10.44% 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 Mechanics Bancorp and its competitors. This is 31% below median its historical median of 15.07. Over the past decade, Mechanics Bancorp's Return-on-Tangible-Equity has ranged from 2.10 to 16.92. According to the industry distribution chart, Mechanics Bancorp ranks #529 out of 1523 companies in the Banks industry, placing it in the top 34.7%.
Is Mechanics Bancorp's Return-on-Tangible-Equity too high?
Mechanics Bancorp's current Return-on-Tangible-Equity of 10.44% is 31% below median its 10-year median of 15.07. Over the past 10 years, this metric has ranged from a low of 2.10 to a high of 16.92. The Banks industry median Return-on-Tangible-Equity is 11.19. Mechanics Bancorp's value of 10.44% is 6.7% below this industry median. Based on the distribution chart, Mechanics Bancorp ranks #529 out of 1523 companies in the Banks industry, which is above the industry midpoint. Overall, Mechanics Bancorp has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Mechanics Bancorp's Return-on-Tangible-Equity compare to FFBC and CBU?
According to the Banks industry distribution chart, Mechanics Bancorp ranks #529 out of 1523 companies for Return-on-Tangible-Equity. This puts Mechanics Bancorp in the upper half of its industry. The industry median Return-on-Tangible-Equity is 11.19. Mechanics Bancorp's value of 10.44% is 6.7% below this benchmark. Historically, Mechanics Bancorp's own Return-on-Tangible-Equity has ranged from 2.10 to 16.92 over the past decade. While the company's 10-year median is 15.07 vs. the industry median of 11.19, Mechanics Bancorp 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 11.19, 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. Mechanics Bancorp's current Return-on-Tangible-Equity of 10.44% is 6.7% 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 Mechanics Bancorp and its competitors. For the Banks industry, the median Return-on-Tangible-Equity is 11.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mechanics Bancorp's current Return-on-Tangible-Equity is 10.44%, which is 31% below median its own 10-year median of 15.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mechanics Bancorp stock overvalued right now?
Mechanics Bancorp (MCHB) has a current Return-on-Tangible-Equity of 10.44%. The current Return-on-Tangible-Equity is 10.44%, which is 31% below median its 10-year median of 15.07 and 6.7% below the Banks industry median of 11.19. Mechanics Bancorp's overall GF Score™ is 12/100 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 Mechanics Bancorp (MCHB), the current Return-on-Tangible-Equity is 10.44% 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.
Mechanics Bancorp is a full-service community bank providing a multiple products and services in consumer and business banking, commercial lending, cash management, private banking, and wealth management and trust services. Its activities mainly include offering loan products such as commercial business loans, residential mortgages, consumer loans, real estate and construction loans, and small business lending, supported by various lending units including commercial banking, mortgage and consumer lending, commercial real estate lending, and private banking. The bank also provides deposit products such as checking and savings accounts, money market accounts, and certificates of deposit, along with treasury management and digital banking services.
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