GCB BankXGHA:GCB +2.50%69 Return-on-Tangible-Equity is 52.85% as of Dec. 2025, which is 81% above its 10-year median of 29.18. GuruFocus rates XGHA:GCB with a GF Score™ of 69/100 and a GF Value™ of GHS10.42 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,523 Banks companies, GCB Bank ranks better than 98.16% 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. GCB Bank's annualized net income for the quarter that ended in Dec. 2025 was GHS3,053 Mil. GCB Bank's average shareholder tangible equity for the quarter that ended in Dec. 2025 was GHS5,777 Mil. Therefore, GCB Bank's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 52.85%.
The historical rank and industry rank for GCB Bank's Return-on-Tangible-Equity or its related term are showing as below:
XGHA:GCB'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -26.94 Med: 29.18 Max: 41.39
Current: 40.75
During the past 13 years, GCB Bank's highest Return-on-Tangible-Equity was 41.39%. The lowest was -26.94%. And the median was 29.18%.
XGHA:GCB's Return-on-Tangible-Equity is ranked better than 98.16% of 1523
companies
in the Banks industry
Industry Median: 11.19
vs XGHA:GCB: 40.75
GCB Bank (XGHA:GCB) 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.
GCB Bank Return-on-Tangible-Equity Related Terms
GCB Bank Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for GCB Bank'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.
XGHA:GCB vs PNC: Return-on-Tangible-Equity Comparison
For the Banks - Regional subindustry, GCB Bank'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.
GCB Bank Return-on-Tangible-Equity vs Banks Industry
For the Banks industry and Financial Services sector, GCB Bank's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where GCB Bank'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 (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 52.85% mean?
GCB Bank (XGHA:GCB) has a Return-on-Tangible-Equity of 52.85% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on GCB Bank and its competitors. This is 81% above median its historical median of 29.18. According to the industry distribution chart, GCB Bank ranks #28 out of 1523 companies in the Banks industry, placing it in the top 1.8%.
Is GCB Bank's Return-on-Tangible-Equity too high?
GCB Bank's current Return-on-Tangible-Equity of 52.85% is 81% above median its 10-year median of 29.18. The Banks industry median Return-on-Tangible-Equity is 11.19. GCB Bank's value of 52.85% is 372.3% above this industry median. Based on the distribution chart, GCB Bank ranks #28 out of 1523 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, GCB Bank has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does GCB Bank's Return-on-Tangible-Equity compare to PNC?
According to the Banks industry distribution chart, GCB Bank ranks #28 out of 1523 companies for Return-on-Tangible-Equity. This places GCB Bank in the top 2% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 11.19. GCB Bank's value of 52.85% is 372.3% above this benchmark. While the company's 10-year median is 29.18 vs. the industry median of 11.19, GCB Bank 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 11.19, 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. GCB Bank's current Return-on-Tangible-Equity of 52.85% is 372.3% 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 GCB Bank 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. GCB Bank's current Return-on-Tangible-Equity is 52.85%, which is 81% above median its own 10-year median of 29.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is GCB Bank stock overvalued right now?
Based on GuruFocus' analysis, GCB Bank (XGHA:GCB) is currently considered Significantly Overvalued. The stock's GF Value™ is GHS10.42, compared to a current price of GHS41.00 — trading 293.5% above its estimated fair value. The current Return-on-Tangible-Equity is 52.85%, which is 81% above median its 10-year median of 29.18 and 372.3% above the Banks industry median of 11.19. GCB Bank's overall GF Score™ is 69/100 with 3 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 GCB Bank (XGHA:GCB), the current Return-on-Tangible-Equity is 52.85% as of Dec. 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 GCB Bank (XGHA:GCB) Overvalued in 2026?
Based on GuruFocus' analysis, GCB Bank stock appears to be overvalued.
The current stock price of GHS41.00 is trading 293.5% above its estimated GF Value™ of GHS10.42.
GuruFocus considers GCB Bank to be Significantly Overvalued.
Key valuation signals for XGHA:GCB:
Return-on-Tangible-Equity: 52.85% (81% above median its 10-year median of 29.18)
GF Value™: GHS10.42 vs. price of GHS41.00 (293.5% above fair value)
Industry Position: 372.3% above the Banks median (#28 of 1523)
No single metric tells the full story. See the XGHA:GCB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
GCB Bank Ltd operates as a commercial bank in Ghana. The group's operating segments are Retail banking; Corporate banking; Treasury; and Commercial banking. It derives key revenue from the Retail banking segment. The bank offers various products and services including international money transfer, overdraft facilities, bulk cash collection, trade finance, payroll solutions, business advice, internet banking, and others. Geographically, it derives a majority of its revenue from Ghana.
69GF Score
Get the complete analysis for XGHA:GCB
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