MetroMTRAF +2.00%77 Return-on-Tangible-Equity is 97.31% as of Mar. 2026, which is 36% below its 10-year median of 153.17. GuruFocus rates MTRAF with a GF Score™ of 77/100 and a GF Value™ of $66.74 (Fairly Valued). Among 300 Retail - Defensive companies, Metro ranks better than 90.67% 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. Metro's annualized net income for the quarter that ended in Mar. 2026 was $719 Mil. Metro's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $739 Mil. Therefore, Metro's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 97.31%.
The historical rank and industry rank for Metro's Return-on-Tangible-Equity or its related term are showing as below:
MTRAF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 95.25 Med: 153.17 Max: 699.53
Current: 95.25
During the past 13 years, Metro's highest Return-on-Tangible-Equity was 699.53%. The lowest was 95.25%. And the median was 153.17%.
MTRAF's Return-on-Tangible-Equity is ranked better than 90.67% of 300
companies
in the Retail - Defensive industry
Industry Median: 10.975
vs MTRAF: 95.25
Metro (OTCPK:MTRAF) 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.
Metro Return-on-Tangible-Equity Related Terms
Metro Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Metro'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.
MTRAF vs KR, SFM, ACI: Return-on-Tangible-Equity Comparison
For the Grocery Stores subindustry, Metro'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.
Metro Return-on-Tangible-Equity vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Metro's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Metro'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 97.31% mean?
Metro (MTRAF) has a Return-on-Tangible-Equity of 97.31% 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 Metro and its competitors. This is 36% below median its historical median of 153.17. Over the past decade, Metro's Return-on-Tangible-Equity has ranged from 95.25 to 699.53. According to the industry distribution chart, Metro ranks #28 out of 300 companies in the Retail - Defensive industry, placing it in the top 9.3%.
Is Metro's Return-on-Tangible-Equity too high?
Metro's current Return-on-Tangible-Equity of 97.31% is 36% below median its 10-year median of 153.17. Over the past 10 years, this metric has ranged from a low of 95.25 to a high of 699.53. The Retail - Defensive industry median Return-on-Tangible-Equity is 10.98. Metro's value of 97.31% is 786.7% above this industry median. Based on the distribution chart, Metro ranks #28 out of 300 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Metro has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Metro's Return-on-Tangible-Equity compare to KR and SFM?
According to the Retail - Defensive industry distribution chart, Metro ranks #28 out of 300 companies for Return-on-Tangible-Equity. This places Metro in the top 9% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 10.98. Metro's value of 97.31% is 786.7% above this benchmark. Historically, Metro's own Return-on-Tangible-Equity has ranged from 95.25 to 699.53 over the past decade. While the company's 10-year median is 153.17 vs. the industry median of 10.98, Metro 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 a Retail - Defensive company?
The median Return-on-Tangible-Equity among Retail - Defensive companies is 10.98, based on 300 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. Metro's current Return-on-Tangible-Equity of 97.31% is 786.7% 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 Metro and its competitors. For the Retail - Defensive industry, the median Return-on-Tangible-Equity is 10.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Metro's current Return-on-Tangible-Equity is 97.31%, which is 36% below median its own 10-year median of 153.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Metro stock overvalued right now?
Based on GuruFocus' analysis, Metro (MTRAF) is currently considered Fairly Valued. The stock's GF Value™ is $66.74, compared to a current price of $64.84 — trading 2.8% below its estimated fair value. The current Return-on-Tangible-Equity is 97.31%, which is 36% below median its 10-year median of 153.17 and 786.7% above the Retail - Defensive industry median of 10.98. Metro's overall GF Score™ is 77/100. 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 Metro (MTRAF), the current Return-on-Tangible-Equity is 97.31% 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 Metro (MTRAF) Overvalued in 2026?
Based on GuruFocus' analysis, Metro stock appears to be undervalued.
The current stock price of $64.84 is trading 2.8% below its estimated GF Value™ of $66.74.
GuruFocus considers Metro to be Fairly Valued.
Key valuation signals for MTRAF:
Return-on-Tangible-Equity: 97.31% (36% below median its 10-year median of 153.17)
GF Value™: $66.74 vs. price of $64.84 (2.8% below fair value)
Industry Position: 786.7% above the Retail - Defensive median (#28 of 300)
No single metric tells the full story. See the MTRAF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Metro is the third-largest grocery retailer in Canada (behind Loblaws and Sobeys) and also owns the top pharmacy chain in Quebec, Jean Coutu, following the 2018 acquisition. Its grocery banners include supermarket chain Metro, discounters Super C and Food Basics, and ethnic food grocer Adonis, while its pharmacies primarily operate under the Jean Coutu and Brunet trademarks. Metro operates both as a food retailer and a franchisor, licensing its trademarks and supplying merchandise to registered pharmacists. The firm also acts as a wholesaler and distributor to serve smaller, neighborhood grocery stores. Unlike peers Loblaws and Sobeys that operate chain stores across Canada, Metro's operations are concentrated in Quebec and Ontario, with no presence in western Canada.
77GF Score
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