National BanksharesNKSH -1.77%64 Return-on-Tangible-Equity is 11.45% as of Mar. 2026, which is 24% above its 10-year median of 9.27. GuruFocus rates NKSH with a GF Score™ of 64/100 and a GF Value™ of $32.89 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 1,523 Banks companies, National Bankshares ranks worse than 53.84% 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. National Bankshares's annualized net income for the quarter that ended in Mar. 2026 was $19.92 Mil. National Bankshares's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $173.99 Mil. Therefore, National Bankshares's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 11.45%.
The historical rank and industry rank for National Bankshares's Return-on-Tangible-Equity or its related term are showing as below:
NKSH'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.47 Med: 9.27 Max: 17.13
Current: 10.64
During the past 13 years, National Bankshares's highest Return-on-Tangible-Equity was 17.13%. The lowest was 5.47%. And the median was 9.27%.
NKSH's Return-on-Tangible-Equity is ranked worse than 53.84% of 1523
companies
in the Banks industry
Industry Median: 11.19
vs NKSH: 10.64
National Bankshares (NAS:NKSH) 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.
National Bankshares Return-on-Tangible-Equity Related Terms
National Bankshares Return-on-Tangible-Equity Historical Data
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The historical data trend for National Bankshares'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.
National Bankshares Return-on-Tangible-Equity Chart
NKSH vs INBK, MRBK, FBLA: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, National Bankshares'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.
National Bankshares Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, National Bankshares's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where National Bankshares'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 11.45% mean?
National Bankshares (NKSH) has a Return-on-Tangible-Equity of 11.45% 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 National Bankshares and its competitors. This is 24% above median its historical median of 9.27. Over the past decade, National Bankshares' Return-on-Tangible-Equity has ranged from 5.47 to 17.13. According to the industry distribution chart, National Bankshares ranks #820 out of 1523 companies in the Banks industry, placing it in the top 53.8%.
Is National Bankshares' Return-on-Tangible-Equity too high?
National Bankshares' current Return-on-Tangible-Equity of 11.45% is 24% above median its 10-year median of 9.27. Over the past 10 years, this metric has ranged from a low of 5.47 to a high of 17.13. The Banks industry median Return-on-Tangible-Equity is 11.19. National Bankshares' value of 11.45% is 2.3% above this industry median. Based on the distribution chart, National Bankshares ranks #820 out of 1523 companies in the Banks industry, which is below the industry midpoint. Overall, National Bankshares has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does National Bankshares' Return-on-Tangible-Equity compare to INBK and MRBK?
According to the Banks industry distribution chart, National Bankshares ranks #820 out of 1523 companies for Return-on-Tangible-Equity. This places National Bankshares in the lower half of its industry. The industry median Return-on-Tangible-Equity is 11.19. National Bankshares' value of 11.45% is 2.3% above this benchmark. Historically, National Bankshares' own Return-on-Tangible-Equity has ranged from 5.47 to 17.13 over the past decade. While the company's 10-year median is 9.27 vs. the industry median of 11.19, National Bankshares 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 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. National Bankshares's current Return-on-Tangible-Equity of 11.45% is 2.3% 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 National Bankshares 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. National Bankshares's current Return-on-Tangible-Equity is 11.45%, which is 24% above median its own 10-year median of 9.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is National Bankshares stock overvalued right now?
Based on GuruFocus' analysis, National Bankshares (NKSH) is currently considered Modestly Overvalued. The stock's GF Value™ is $32.89, compared to a current price of $36.55 — trading 11.1% above its estimated fair value. The current Return-on-Tangible-Equity is 11.45%, which is 24% above median its 10-year median of 9.27 and 2.3% above the Banks industry median of 11.19. National Bankshares' overall GF Score™ is 64/100 with 4 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 National Bankshares (NKSH), the current Return-on-Tangible-Equity is 11.45% 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 National Bankshares (NKSH) Overvalued in 2026?
Based on GuruFocus' analysis, National Bankshares stock appears to be overvalued.
The current stock price of $36.55 is trading 11.1% above its estimated GF Value™ of $32.89.
GuruFocus considers National Bankshares to be Modestly Overvalued.
Key valuation signals for NKSH:
Return-on-Tangible-Equity: 11.45% (24% above median its 10-year median of 9.27)
GF Value™: $32.89 vs. price of $36.55 (11.1% above fair value)
Industry Position: 2.3% above the Banks median (#820 of 1523)
No single metric tells the full story. See the NKSH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
National Bankshares Inc is a bank holding company. It focuses on lending to small and mid-sized businesses and individuals. The types of loans it offers include commercial and agricultural loans, commercial real estate, construction loans for commercial and residential properties, residential real estate, home equity, and various consumer loan products. It also operates an insurance and brokerage subsidiary. The company earns its revenue from interest and fees on loans, non-interest income, and investments.
64GF Score
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