National Bank of CanadaNTIOF -1.64%74 Return-on-Tangible-Equity is 17.27% as of Apr. 2026, which is 7% below its 10-year median of 18.48. GuruFocus rates NTIOF with a GF Scoreâ„¢ of 74/100 and a GF Valueâ„¢ of $108.69 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,523 Banks companies, National Bank of Canada ranks better than 79.25% 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 Bank of Canada's annualized net income for the quarter that ended in Apr. 2026 was $3,589 Mil. National Bank of Canada's average shareholder tangible equity for the quarter that ended in Apr. 2026 was $20,779 Mil. Therefore, National Bank of Canada's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 was 17.27%.
The historical rank and industry rank for National Bank of Canada's Return-on-Tangible-Equity or its related term are showing as below:
NTIOF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 13.93 Med: 18.48 Max: 21.34
Current: 16.18
During the past 13 years, National Bank of Canada's highest Return-on-Tangible-Equity was 21.34%. The lowest was 13.93%. And the median was 18.48%.
NTIOF's Return-on-Tangible-Equity is ranked better than 79.25% of 1523
companies
in the Banks industry
Industry Median: 11.2
vs NTIOF: 16.18
National Bank of Canada (OTCPK:NTIOF) 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 Bank of Canada Return-on-Tangible-Equity Related Terms
National Bank of Canada Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for National Bank of Canada'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 Bank of Canada Return-on-Tangible-Equity Chart
NTIOF vs JPM, BAC, WFC: Return-on-Tangible-Equity Comparison
For the Banks - Diversified subindustry, National Bank of Canada'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 Bank of Canada Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, National Bank of Canada's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where National Bank of Canada'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 (Apr. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 17.27% mean?
National Bank of Canada (NTIOF) has a Return-on-Tangible-Equity of 17.27% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on National Bank of Canada and its competitors. This is near median its historical median of 18.48. Over the past decade, National Bank of Canada's Return-on-Tangible-Equity has ranged from 13.93 to 21.34. According to the industry distribution chart, National Bank of Canada ranks #316 out of 1523 companies in the Banks industry, placing it in the top 20.7%.
Is National Bank of Canada's Return-on-Tangible-Equity too high?
National Bank of Canada's current Return-on-Tangible-Equity of 17.27% is near median its 10-year median of 18.48. Over the past 10 years, this metric has ranged from a low of 13.93 to a high of 21.34. The Banks industry median Return-on-Tangible-Equity is 11.20. National Bank of Canada's value of 17.27% is 54.2% above this industry median. Based on the distribution chart, National Bank of Canada ranks #316 out of 1523 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, National Bank of Canada has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does National Bank of Canada's Return-on-Tangible-Equity compare to JPM and BAC?
According to the Banks industry distribution chart, National Bank of Canada ranks #316 out of 1523 companies for Return-on-Tangible-Equity. This places National Bank of Canada in the top 21% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 11.20. National Bank of Canada's value of 17.27% is 54.2% above this benchmark. Historically, National Bank of Canada's own Return-on-Tangible-Equity has ranged from 13.93 to 21.34 over the past decade. While the company's 10-year median is 18.48 vs. the industry median of 11.20, National Bank of Canada 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 11.20, 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 Bank of Canada's current Return-on-Tangible-Equity of 17.27% is 54.2% 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 Bank of Canada 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. National Bank of Canada's current Return-on-Tangible-Equity is 17.27%, which is near median its own 10-year median of 18.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is National Bank of Canada stock overvalued right now?
Based on GuruFocus' analysis, National Bank of Canada (NTIOF) is currently considered Significantly Overvalued. The stock's GF Value™ is $108.69, compared to a current price of $155.91 — trading 43.4% above its estimated fair value. The current Return-on-Tangible-Equity is 17.27%, which is near median its 10-year median of 18.48 and 54.2% above the Banks industry median of 11.20. National Bank of Canada's overall GF Score™ is 74/100 with 7 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 Bank of Canada (NTIOF), the current Return-on-Tangible-Equity is 17.27% as of Apr. 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 Bank of Canada (NTIOF) Overvalued in 2026?
Based on GuruFocus' analysis, National Bank of Canada stock appears to be overvalued.
The current stock price of $155.91 is trading 43.4% above its estimated GF Value™ of $108.69.
GuruFocus considers National Bank of Canada to be Significantly Overvalued.
Key valuation signals for NTIOF:
Return-on-Tangible-Equity: 17.27% (near median its 10-year median of 18.48)
GF Value™: $108.69 vs. price of $155.91 (43.4% above fair value)
Industry Position: 54.2% above the Banks median (#316 of 1523)
No single metric tells the full story. See the NTIOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
National Bank of Canada is the sixth-largest bank in Canada. It is a diversified financial services company, offering personal and commercial banking, wealth management and capital markets services. The bank derives around 45% of its 2025 revenue from the province of Quebec, with additional operations in the rest of Canada and the United States. National Bank of Canada also owns ABA Bank, one of the largest commercial banks in Cambodia.
74GF Score
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