TWFGTWFG -0.46%21 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates TWFG with a GF Score™ of 21/100. Among 498 Insurance companies, TWFG ranks better than 99.8% 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. TWFG's annualized net income for the quarter that ended in Mar. 2026 was $7.0 Mil. TWFG's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $-73.8 Mil. Therefore, TWFG's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was Negative Tangible Equity%.
The historical rank and industry rank for TWFG's Return-on-Tangible-Equity or its related term are showing as below:
TWFG'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0 Med: 0 Max: 0
Current: Negative Tangible Equity
TWFG's Return-on-Tangible-Equity is ranked better than 99.8% of 498
companies
in the Insurance industry
Industry Median: 13.53
vs TWFG: Negative Tangible Equity
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.
TWFG Return-on-Tangible-Equity Related Terms
TWFG Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for TWFG'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.
TWFG vs AIFU, SLQT, QDMI: Return-on-Tangible-Equity Comparison
For the Insurance Brokers subindustry, TWFG'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.
TWFG Return-on-Tangible-Equity vs Insurance Industry
For the Insurance industry and Financial Services sector, TWFG's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where TWFG'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 Negative Tangible Equity% mean?
TWFG (TWFG) has a Return-on-Tangible-Equity of Negative Tangible Equity% 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 TWFG and its competitors. According to the industry distribution chart, TWFG ranks #1 out of 498 companies in the Insurance industry, placing it in the top 0.2%.
Is TWFG's Return-on-Tangible-Equity too high?
TWFG's current Return-on-Tangible-Equity is Negative Tangible Equity%. Based on the distribution chart, TWFG ranks #1 out of 498 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, TWFG has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does TWFG's Return-on-Tangible-Equity compare to AIFU and SLQT?
According to the Insurance industry distribution chart, TWFG ranks #1 out of 498 companies for Return-on-Tangible-Equity. This places TWFG in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 13.53. 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 13.53, based on 498 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. 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 TWFG and its competitors. For the Insurance industry, the median Return-on-Tangible-Equity is 13.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TWFG's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TWFG stock overvalued right now?
TWFG (TWFG) has a current Return-on-Tangible-Equity of Negative Tangible Equity%. The current Return-on-Tangible-Equity is Negative Tangible Equity%. TWFG's overall GF Score™ is 21/100. 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 TWFG (TWFG), the current Return-on-Tangible-Equity is Negative Tangible Equity% 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.
TWFG Inc is an independent distribution platform for personal and commercial insurance in the United States. It offers all lines of insurance, multiple distribution contract options, M&A services, proprietary virtual assistants, proprietary technology, proprietary premium financing, unlimited continuing education, recognition programs, co-op funding, marketing support and overall lower costs to operate.
21GF Score
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