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Foroya Banki P/FOCSE:FOBANK -0.18%38 Return-on-Tangible-Equity is 11.54% as of Mar. 2026, which is 3% below its 10-year median of 11.93. GuruFocus rates OCSE:FOBANK with a GF Score™ of 38/100 and a GF Value™ of kr165.03 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,521 Banks companies, Foroya Banki P/F ranks better than 73.31% 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. Foroya Banki P/F's annualized net income for the quarter that ended in Mar. 2026 was kr223.6 Mil. Foroya Banki P/F's average shareholder tangible equity for the quarter that ended in Mar. 2026 was kr1,938.3 Mil. Therefore, Foroya Banki P/F's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 11.54%.
The historical rank and industry rank for Foroya Banki P/F's Return-on-Tangible-Equity or its related term are showing as below:
OCSE:FOBANK'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 7.11 Med: 11.93 Max: 15.58
Current: 14.95
During the past 13 years, Foroya Banki P/F's highest Return-on-Tangible-Equity was 15.58%. The lowest was 7.11%. And the median was 11.93%.
OCSE:FOBANK's Return-on-Tangible-Equity is ranked better than 73.31% of 1521
companies
in the Banks industry
Industry Median: 11.44
vs OCSE:FOBANK: 14.95
Foroya Banki P/F (OCSE:FOBANK) 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.
Foroya Banki P/F Return-on-Tangible-Equity Related Terms
Foroya Banki P/F Return-on-Tangible-Equity Historical Data
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The historical data trend for Foroya Banki P/F'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.
Foroya Banki P/F Return-on-Tangible-Equity Competitor Comparison
For the Banks - Regional subindustry, Foroya Banki P/F'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.
Foroya Banki P/F Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Foroya Banki P/F's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Foroya Banki P/F'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 11.54% mean?
Foroya Banki P/F (OCSE:FOBANK) has a Return-on-Tangible-Equity of 11.54% 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 Foroya Banki P/F and its competitors. This is near median its historical median of 11.93. Over the past decade, Foroya Banki P/F's Return-on-Tangible-Equity has ranged from 7.11 to 15.58. According to the industry distribution chart, Foroya Banki P/F ranks #406 out of 1521 companies in the Banks industry, placing it in the top 26.7%.
Is Foroya Banki P/F's Return-on-Tangible-Equity too high?
Foroya Banki P/F's current Return-on-Tangible-Equity of 11.54% is near median its 10-year median of 11.93. Over the past 10 years, this metric has ranged from a low of 7.11 to a high of 15.58. The Banks industry median Return-on-Tangible-Equity is 11.44. Foroya Banki P/F's value of 11.54% is 0.9% above this industry median. Based on the distribution chart, Foroya Banki P/F ranks #406 out of 1521 companies in the Banks industry, which is above the industry midpoint. Overall, Foroya Banki P/F has a GF Score™ of 38/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Foroya Banki P/F's Return-on-Tangible-Equity compare to competitors?
According to the Banks industry distribution chart, Foroya Banki P/F ranks #406 out of 1521 companies for Return-on-Tangible-Equity. This puts Foroya Banki P/F in the upper half of its industry. The industry median Return-on-Tangible-Equity is 11.44. Foroya Banki P/F's value of 11.54% is 0.9% above this benchmark. Historically, Foroya Banki P/F's own Return-on-Tangible-Equity has ranged from 7.11 to 15.58 over the past decade. While the company's 10-year median is 11.93 vs. the industry median of 11.44, Foroya Banki P/F 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 11.44, based on 1,521 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. Foroya Banki P/F's current Return-on-Tangible-Equity of 11.54% is 0.9% 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 Foroya Banki P/F and its competitors. For the Banks industry, the median Return-on-Tangible-Equity is 11.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Foroya Banki P/F's current Return-on-Tangible-Equity is 11.54%, which is near median its own 10-year median of 11.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Foroya Banki P/F stock overvalued right now?
Based on GuruFocus' analysis, Foroya Banki P/F (OCSE:FOBANK) is currently considered Significantly Overvalued. The stock's GF Value™ is kr165.03, compared to a current price of kr282.00 — trading 70.9% above its estimated fair value. The current Return-on-Tangible-Equity is 11.54%, which is near median its 10-year median of 11.93 and 0.9% above the Banks industry median of 11.44. Foroya Banki P/F's overall GF Score™ is 38/100 with 6 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 Foroya Banki P/F (OCSE:FOBANK), the current Return-on-Tangible-Equity is 11.54% 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 Foroya Banki P/F (OCSE:FOBANK) Overvalued in 2026?
Based on GuruFocus' analysis, Foroya Banki P/F stock appears to be overvalued.
The current stock price of kr282.00 is trading 70.9% above its estimated GF Value™ of kr165.03.
GuruFocus considers Foroya Banki P/F to be Significantly Overvalued.
Key valuation signals for OCSE:FOBANK:
Return-on-Tangible-Equity: 11.54% (near median its 10-year median of 11.93)
GF Value™: kr165.03 vs. price of kr282.00 (70.9% above fair value)
Industry Position: 0.9% above the Banks median (#406 of 1521)
No single metric tells the full story. See the OCSE:FOBANK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Foroya Banki P/F is a banking company. It provides a range of banking products and financial services to private and corporate customers. Its business units include Banking and Non-life insurance. The Banking unit comprises of Personal Banking and Corporate Banking. Personal Banking comprises private customers in the Faroe Islands and Greenland. Corporate Banking comprises corporate customers mainly in the Faroe Islands and in Greenland. The corporate also comprises a few remaining corporate customers from Denmark. Non-life insurance comprises the insurance company P/F TRYGD based The Faroe Islands. TRYGD is responsible for the-life insurance products. It operates in the Faroe Islands, Denmark and Greenland of which key revenue is derived from the Faroe Islands.
38GF Score
Get the complete analysis for OCSE:FOBANK
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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