State StreetMEX:STT 62 Return-on-Tangible-Equity is 16.31% as of Mar. 2026, which is 4% above its 10-year median of 15.63. GuruFocus rates MEX:STT with a GF Score™ of 62/100 and a GF Value™ of MXN2,050.97 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 1,588 Asset Management companies, State Street ranks better than 72.98% 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. State Street's annualized net income for the quarter that ended in Mar. 2026 was MXN55,108 Mil. State Street's average shareholder tangible equity for the quarter that ended in Mar. 2026 was MXN337,824 Mil. Therefore, State Street's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 16.31%.
The historical rank and industry rank for State Street's Return-on-Tangible-Equity or its related term are showing as below:
MEX:STT'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 12.53 Med: 15.63 Max: 17.52
Current: 16.56
During the past 13 years, State Street's highest Return-on-Tangible-Equity was 17.52%. The lowest was 12.53%. And the median was 15.63%.
MEX:STT's Return-on-Tangible-Equity is ranked better than 72.98% of 1588
companies
in the Asset Management industry
Industry Median: 7.19
vs MEX:STT: 16.56
State Street (MEX:STT) 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.
State Street Return-on-Tangible-Equity Related Terms
State Street Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for State Street'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.
MEX:STT vs AMP, NTRS, RJF: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, State Street'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.
State Street Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, State Street's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where State Street'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 16.31% mean?
State Street (MEX:STT) has a Return-on-Tangible-Equity of 16.31% 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 State Street and its competitors. This is near median its historical median of 15.63. Over the past decade, State Street's Return-on-Tangible-Equity has ranged from 12.53 to 17.52. According to the industry distribution chart, State Street ranks #429 out of 1588 companies in the Asset Management industry, placing it in the top 27%.
Is State Street's Return-on-Tangible-Equity too high?
State Street's current Return-on-Tangible-Equity of 16.31% is near median its 10-year median of 15.63. Over the past 10 years, this metric has ranged from a low of 12.53 to a high of 17.52. The Asset Management industry median Return-on-Tangible-Equity is 7.19. State Street's value of 16.31% is 126.8% above this industry median. Based on the distribution chart, State Street ranks #429 out of 1588 companies in the Asset Management industry, which is above the industry midpoint. Overall, State Street has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does State Street's Return-on-Tangible-Equity compare to AMP and NTRS?
According to the Asset Management industry distribution chart, State Street ranks #429 out of 1588 companies for Return-on-Tangible-Equity. This puts State Street in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.19. State Street's value of 16.31% is 126.8% above this benchmark. Historically, State Street's own Return-on-Tangible-Equity has ranged from 12.53 to 17.52 over the past decade. While the company's 10-year median is 15.63 vs. the industry median of 7.19, State Street 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 an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.19, based on 1,588 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. State Street's current Return-on-Tangible-Equity of 16.31% is 126.8% 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 State Street and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. State Street's current Return-on-Tangible-Equity is 16.31%, which is near median its own 10-year median of 15.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is State Street stock overvalued right now?
Based on GuruFocus' analysis, State Street (MEX:STT) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN2,050.97, compared to a current price of MXN3,040.00 — trading 48.2% above its estimated fair value. The current Return-on-Tangible-Equity is 16.31%, which is near median its 10-year median of 15.63 and 126.8% above the Asset Management industry median of 7.19. State Street's overall GF Score™ is 62/100 with 10 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 State Street (MEX:STT), the current Return-on-Tangible-Equity is 16.31% 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 State Street (MEX:STT) Overvalued in 2026?
Based on GuruFocus' analysis, State Street stock appears to be overvalued.
The current stock price of MXN3,040.00 is trading 48.2% above its estimated GF Value™ of MXN2,050.97.
GuruFocus considers State Street to be Significantly Overvalued.
Key valuation signals for MEX:STT:
Return-on-Tangible-Equity: 16.31% (near median its 10-year median of 15.63)
GF Value™: MXN2,050.97 vs. price of MXN3,040.00 (48.2% above fair value)
Industry Position: 126.8% above the Asset Management median (#429 of 1588)
No single metric tells the full story. See the MEX:STT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
State Street is a leading provider of financial services, including investment servicing, investment management, and investment research and trading. With approximately $54 trillion in assets under custody and administration, and $5.7 trillion in assets under management, as of Dec. 31, 2025, State Street operates globally in more than 100 geographic markets and employs about 51,500 worldwide.
62GF Score
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