New China Life Insurance CoNWWCF +4.55%68 Return-on-Tangible-Equity is 22.95% as of Mar. 2026, which is 49% above its 10-year median of 15.38. GuruFocus rates NWWCF with a GF Score™ of 68/100 and a GF Value™ of $4.84 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 500 Insurance companies, New China Life Insurance Co ranks better than 88% 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. New China Life Insurance Co's annualized net income for the quarter that ended in Mar. 2026 was $3,773 Mil. New China Life Insurance Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $16,440 Mil. Therefore, New China Life Insurance Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 22.95%.
The historical rank and industry rank for New China Life Insurance Co's Return-on-Tangible-Equity or its related term are showing as below:
NWWCF'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 8.71 Med: 15.38 Max: 38.36
Current: 38.36
During the past 13 years, New China Life Insurance Co's highest Return-on-Tangible-Equity was 38.36%. The lowest was 8.71%. And the median was 15.38%.
NWWCF's Return-on-Tangible-Equity is ranked better than 88% of 500
companies
in the Insurance industry
Industry Median: 13.515
vs NWWCF: 38.36
New China Life Insurance Co (OTCPK:NWWCF) 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.
New China Life Insurance Co Return-on-Tangible-Equity Related Terms
New China Life Insurance Co Return-on-Tangible-Equity Historical Data
* 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.
New China Life Insurance Co Return-on-Tangible-Equity Chart
NWWCF vs AFL, MET, PRU: Return-on-Tangible-Equity Comparison
For the Insurance - Life subindustry, New China Life Insurance Co'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.
New China Life Insurance Co Return-on-Tangible-Equity vs Insurance Industry
For the Insurance industry and Financial Services sector, New China Life Insurance Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where New China Life Insurance Co'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 22.95% mean?
New China Life Insurance Co (NWWCF) has a Return-on-Tangible-Equity of 22.95% 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 New China Life Insurance Co and its competitors. This is 49% above median its historical median of 15.38. Over the past decade, New China Life Insurance Co's Return-on-Tangible-Equity has ranged from 8.71 to 38.36. According to the industry distribution chart, New China Life Insurance Co ranks #60 out of 500 companies in the Insurance industry, placing it in the top 12%.
Is New China Life Insurance Co's Return-on-Tangible-Equity too high?
New China Life Insurance Co's current Return-on-Tangible-Equity of 22.95% is 49% above median its 10-year median of 15.38. Over the past 10 years, this metric has ranged from a low of 8.71 to a high of 38.36. The Insurance industry median Return-on-Tangible-Equity is 13.52. New China Life Insurance Co's value of 22.95% is 69.8% above this industry median. Based on the distribution chart, New China Life Insurance Co ranks #60 out of 500 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, New China Life Insurance Co has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does New China Life Insurance Co's Return-on-Tangible-Equity compare to AFL and MET?
According to the Insurance industry distribution chart, New China Life Insurance Co ranks #60 out of 500 companies for Return-on-Tangible-Equity. This places New China Life Insurance Co in the top 12% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 13.52. New China Life Insurance Co's value of 22.95% is 69.8% above this benchmark. Historically, New China Life Insurance Co's own Return-on-Tangible-Equity has ranged from 8.71 to 38.36 over the past decade. While the company's 10-year median is 15.38 vs. the industry median of 13.52, New China Life Insurance Co 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 Insurance company?
The median Return-on-Tangible-Equity among Insurance companies is 13.52, based on 500 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. New China Life Insurance Co's current Return-on-Tangible-Equity of 22.95% is 69.8% 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 New China Life Insurance Co and its competitors. For the Insurance industry, the median Return-on-Tangible-Equity is 13.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. New China Life Insurance Co's current Return-on-Tangible-Equity is 22.95%, which is 49% above median its own 10-year median of 15.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is New China Life Insurance Co stock overvalued right now?
Based on GuruFocus' analysis, New China Life Insurance Co (NWWCF) is currently considered Significantly Overvalued. The stock's GF Value™ is $4.84, compared to a current price of $6.55 — trading 35.3% above its estimated fair value. The current Return-on-Tangible-Equity is 22.95%, which is 49% above median its 10-year median of 15.38 and 69.8% above the Insurance industry median of 13.52. New China Life Insurance Co's overall GF Score™ is 68/100 with 3 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 New China Life Insurance Co (NWWCF), the current Return-on-Tangible-Equity is 22.95% 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 New China Life Insurance Co (NWWCF) Overvalued in 2026?
Based on GuruFocus' analysis, New China Life Insurance Co stock appears to be overvalued.
The current stock price of $6.55 is trading 35.3% above its estimated GF Value™ of $4.84.
GuruFocus considers New China Life Insurance Co to be Significantly Overvalued.
Key valuation signals for NWWCF:
Return-on-Tangible-Equity: 22.95% (49% above median its 10-year median of 15.38)
GF Value™: $4.84 vs. price of $6.55 (35.3% above fair value)
Industry Position: 69.8% above the Insurance median (#60 of 500)
No single metric tells the full story. See the NWWCF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
New China Life Insurance Co Ltd is headquartered in Beijing and was established in 1996 by a combination of state-owned enterprises and private firms. It is currently the fourth-largest life insurer in China based on total assets. New China Life offers a wide range of life insurance products and services to both individual and institutional customers through its extensive distribution networks and diverse marketing channels. Additionally, it manages and invests insurance funds through its subsidiaries, including its Asset Management Company and Asset Management Company (Hong Kong).
68GF Score
Get the complete analysis for NWWCF
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