Lea Bank ABOSTO:LEA -0.76%5 Return-on-Tangible-Equity is 9.33% as of Mar. 2026, which is 17% above its 10-year median of 7.97. GuruFocus rates OSTO:LEA with a GF Score™ of 5/100. The stock has 4 warning signs investors should review. Among 1,521 Banks companies, Lea Bank AB ranks worse than 60.82% 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. Lea Bank AB's annualized net income for the quarter that ended in Mar. 2026 was kr125.5 Mil. Lea Bank AB's average shareholder tangible equity for the quarter that ended in Mar. 2026 was kr1,344.9 Mil. Therefore, Lea Bank AB's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 9.33%.
The historical rank and industry rank for Lea Bank AB's Return-on-Tangible-Equity or its related term are showing as below:
OSTO:LEA'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -0.25 Med: 7.97 Max: 10.09
Current: 9.4
During the past 4 years, Lea Bank AB's highest Return-on-Tangible-Equity was 10.09%. The lowest was -0.25%. And the median was 7.97%.
OSTO:LEA's Return-on-Tangible-Equity is ranked worse than 60.82% of 1521
companies
in the Banks industry
Industry Median: 11.19
vs OSTO:LEA: 9.40
Lea Bank AB (OSTO:LEA) 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.
Lea Bank AB Return-on-Tangible-Equity Related Terms
Lea Bank AB Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Lea Bank AB'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.
OSTO:LEA vs PNC, USB: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, Lea Bank AB'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.
Lea Bank AB Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, Lea Bank AB's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Lea Bank AB'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 9.33% mean?
Lea Bank AB (OSTO:LEA) has a Return-on-Tangible-Equity of 9.33% 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 Lea Bank AB and its competitors. This is 17% above median its historical median of 7.97. According to the industry distribution chart, Lea Bank AB ranks #925 out of 1521 companies in the Banks industry, placing it in the top 60.8%.
Is Lea Bank AB's Return-on-Tangible-Equity too high?
Lea Bank AB's current Return-on-Tangible-Equity of 9.33% is 17% above median its 10-year median of 7.97. The Banks industry median Return-on-Tangible-Equity is 11.19. Lea Bank AB's value of 9.33% is 16.6% below this industry median. Based on the distribution chart, Lea Bank AB ranks #925 out of 1521 companies in the Banks industry, which is below the industry midpoint. Overall, Lea Bank AB has a GF Score™ of 5/100, reflecting its overall financial health beyond just this single metric.
How does Lea Bank AB's Return-on-Tangible-Equity compare to PNC and USB?
According to the Banks industry distribution chart, Lea Bank AB ranks #925 out of 1521 companies for Return-on-Tangible-Equity. This places Lea Bank AB in the lower half of its industry. The industry median Return-on-Tangible-Equity is 11.19. Lea Bank AB's value of 9.33% is 16.6% below this benchmark. While the company's 10-year median is 7.97 vs. the industry median of 11.19, Lea Bank AB has consistently been below 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 1,521 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. Lea Bank AB's current Return-on-Tangible-Equity of 9.33% is 16.6% below 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 Lea Bank AB 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. Lea Bank AB's current Return-on-Tangible-Equity is 9.33%, which is 17% above median its own 10-year median of 7.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lea Bank AB stock overvalued right now?
Lea Bank AB (OSTO:LEA) has a current Return-on-Tangible-Equity of 9.33%. The current Return-on-Tangible-Equity is 9.33%, which is 17% above median its 10-year median of 7.97 and 16.6% below the Banks industry median of 11.19. Lea Bank AB's overall GF Score™ is 5/100 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 Lea Bank AB (OSTO:LEA), the current Return-on-Tangible-Equity is 9.33% 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.
Lea Bank AB is a digital niche bank. The bank offers unsecured loans and deposit products to the consumer market. The bank has lending operations in Sweden, Norway, Finland, and Spain, and offers deposit products in Sweden, Norway, Finland, Germany, Spain, Austria, and France.
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