Wise GroupWSE -0.18%95 Return-on-Tangible-Equity is 27.23% as of Sep. 2025, which is 83% above its 10-year median of 14.91. GuruFocus rates WSE with a GF Score™ of 95/100 and a GF Value™ of $16.15 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 2,474 Software companies, Wise Group ranks better than 74.98% 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. Wise Group's annualized net income for the quarter that ended in Sep. 2025 was $506 Mil. Wise Group's average shareholder tangible equity for the quarter that ended in Sep. 2025 was $1,858 Mil. Therefore, Wise Group's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was 27.23%.
The historical rank and industry rank for Wise Group's Return-on-Tangible-Equity or its related term are showing as below:
WSE'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 9.72 Med: 14.91 Max: 46.86
Current: 29.12
During the past 7 years, Wise Group's highest Return-on-Tangible-Equity was 46.86%. The lowest was 9.72%. And the median was 14.91%.
WSE's Return-on-Tangible-Equity is ranked better than 74.98% of 2474
companies
in the Software industry
Industry Median: 8.785
vs WSE: 29.12
Wise Group (NAS:WSE) 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.
Wise Group Return-on-Tangible-Equity Related Terms
Wise Group Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Wise Group'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.
WSE vs APLD, CACI, IT: Return-on-Tangible-Equity Comparison
For the Information Technology Services subindustry, Wise Group'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.
Wise Group Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Wise Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Wise Group'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 two times the semi-annual (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 27.23% mean?
Wise Group (WSE) has a Return-on-Tangible-Equity of 27.23% 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 Wise Group and its competitors. This is 83% above median its historical median of 14.91. Over the past decade, Wise Group's Return-on-Tangible-Equity has ranged from 9.72 to 46.86. According to the industry distribution chart, Wise Group ranks #619 out of 2474 companies in the Software industry, placing it in the top 25%.
Is Wise Group's Return-on-Tangible-Equity too high?
Wise Group's current Return-on-Tangible-Equity of 27.23% is 83% above median its 10-year median of 14.91. Over the past 10 years, this metric has ranged from a low of 9.72 to a high of 46.86. The Software industry median Return-on-Tangible-Equity is 8.79. Wise Group's value of 27.23% is 210% above this industry median. Based on the distribution chart, Wise Group ranks #619 out of 2474 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Wise Group has a GF Score™ of 95/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Wise Group's Return-on-Tangible-Equity compare to APLD and CACI?
According to the Software industry distribution chart, Wise Group ranks #619 out of 2474 companies for Return-on-Tangible-Equity. This places Wise Group in the top 25% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.79. Wise Group's value of 27.23% is 210% above this benchmark. Historically, Wise Group's own Return-on-Tangible-Equity has ranged from 9.72 to 46.86 over the past decade. While the company's 10-year median is 14.91 vs. the industry median of 8.79, Wise Group 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 8.79, based on 2,474 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. Wise Group's current Return-on-Tangible-Equity of 27.23% is 210% 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 Wise Group and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wise Group's current Return-on-Tangible-Equity is 27.23%, which is 83% above median its own 10-year median of 14.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wise Group stock overvalued right now?
Based on GuruFocus' analysis, Wise Group (WSE) is currently considered Possible Value Trap. The stock's GF Value™ is $16.15, compared to a current price of $11.06 — trading 31.5% below its estimated fair value. The current Return-on-Tangible-Equity is 27.23%, which is 83% above median its 10-year median of 14.91 and 210% above the Software industry median of 8.79. Wise Group's overall GF Score™ is 95/100 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 Wise Group (WSE), the current Return-on-Tangible-Equity is 27.23% 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 Wise Group (WSE) Overvalued in 2026?
Based on GuruFocus' analysis, Wise Group stock appears to be undervalued.
The current stock price of $11.06 is trading 31.5% below its estimated GF Value™ of $16.15.
GuruFocus considers Wise Group to be Possible Value Trap.
Key valuation signals for WSE:
Return-on-Tangible-Equity: 27.23% (83% above median its 10-year median of 14.91)
GF Value™: $16.15 vs. price of $11.06 (31.5% below fair value)
Industry Position: 210% above the Software median (#619 of 2474)
No single metric tells the full story. See the WSE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Wise is a currency conversion platform that matches, where possible, offsetting currency transactions across borders to reduce costs. The group focuses primarily on private clients and small and midsize enterprises, but it is building out its platform business aimed at providing its services as a backend solution to banks. By operating local accounts in each jurisdiction Wise sends money to or receives money from, this fintech offers faster and cheaper currency transfer services than incumbents (banks). Wise has started to broaden its product offering, issuing its clients debit cards and allowing customers to invest funds in various asset management products.
95GF Score
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