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. First National Financial's annualized net income for the quarter that ended in Sep. 2025 was C$228.0 Mil. First National Financial's average shareholder tangible equity for the quarter that ended in Sep. 2025 was C$722.8 Mil. Therefore, First National Financial's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was 31.54%.
The historical rank and industry rank for First National Financial's Return-on-Tangible-Equity or its related term are showing as below:
TSX:FN'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 28.03 Med: 34.87 Max: 45.24
Current: 29.27
During the past 13 years, First National Financial's highest Return-on-Tangible-Equity was 45.24%. The lowest was 28.03%. And the median was 34.87%.
TSX:FN's Return-on-Tangible-Equity is not ranked
in the Banks industry.
Industry Median: 11.2
vs TSX:FN: 29.27
First National Financial (TSX:FN) 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.
First National Financial Return-on-Tangible-Equity Related Terms
First National Financial Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for First National Financial'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.
First National Financial Return-on-Tangible-Equity Chart
TSX:FN vs RKT, FNMA, FMCC: Return-on-Tangible-Equity Comparison
For the Mortgage Finance subindustry, First National Financial'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.
First National Financial Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, First National Financial's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where First National Financial'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 (Sep. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 31.54% mean?
First National Financial (TSX:FN) has a Return-on-Tangible-Equity of 31.54% as of Sep. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on First National Financial and its competitors. This is 10% below median its historical median of 34.87. Over the past decade, First National Financial's Return-on-Tangible-Equity has ranged from 28.03 to 45.24.
Is First National Financial's Return-on-Tangible-Equity too high?
First National Financial's current Return-on-Tangible-Equity of 31.54% is 10% below median its 10-year median of 34.87. Over the past 10 years, this metric has ranged from a low of 28.03 to a high of 45.24. The Banks industry median Return-on-Tangible-Equity is 11.20. First National Financial's value of 31.54% is 181.6% above this industry median. Overall, First National Financial has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does First National Financial's Return-on-Tangible-Equity compare to RKT and FNMA?
First National Financial's Return-on-Tangible-Equity of 31.54% can be compared against companies in the Banks industry. The industry median Return-on-Tangible-Equity is 11.20. First National Financial's value of 31.54% is 181.6% above this benchmark. Historically, First National Financial's own Return-on-Tangible-Equity has ranged from 28.03 to 45.24 over the past decade. While the company's 10-year median is 34.87 vs. the industry median of 11.20, First National Financial 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. First National Financial's current Return-on-Tangible-Equity of 31.54% is 181.6% 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 First National Financial 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. First National Financial's current Return-on-Tangible-Equity is 31.54%, which is 10% below median its own 10-year median of 34.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is First National Financial stock overvalued right now?
First National Financial (TSX:FN) has a current Return-on-Tangible-Equity of 31.54%. The stock's GF Value™ is C$59.71, compared to a current price of C$47.98 — trading 19.6% below its estimated fair value. The current Return-on-Tangible-Equity is 31.54%, which is 10% below median its 10-year median of 34.87 and 181.6% above the Banks industry median of 11.20. First National Financial's overall GF Score™ is 19/100 with 5 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 First National Financial (TSX:FN), the current Return-on-Tangible-Equity is 31.54% as of Sep. 2025. 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 First National Financial (TSX:FN) Overvalued in 2026?
Based on GuruFocus' analysis, First National Financial stock appears to be undervalued.
The current stock price of C$47.98 is trading 19.6% below its estimated GF Value™ of C$59.71.
Key valuation signals for TSX:FN:
Return-on-Tangible-Equity: 31.54% (10% below median its 10-year median of 34.87)
GF Value™: C$59.71 vs. price of C$47.98 (19.6% below fair value)
No single metric tells the full story. See the TSX:FN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
First National Financial Corp is a Canadian originator, underwriter and servicer of predominantly prime residential and commercial mortgages. The Company operates in two business segments, Residential and Commercial. These segments are organized by mortgage type and contain revenue and expenses related to origination, underwriting, securitization and servicing activities. It derives maximum revenue from Residential segment.
19GF Score
Get the complete analysis for TSX:FN
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSX:FN has been successfully added to your 
