Phillips 66XSWX:PSX +0.02%68 Return-on-Tangible-Equity is 3.12% as of Mar. 2026, which is 81% below its 10-year median of 16.03. GuruFocus rates XSWX:PSX with a GF Score™ of 68/100 and a GF Value™ of CHF109.85. The stock has 6 warning signs investors should review. Among 945 Oil & Gas companies, Phillips 66 ranks better than 73.54% 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. Phillips 66's annualized net income for the quarter that ended in Mar. 2026 was CHF652 Mil. Phillips 66's average shareholder tangible equity for the quarter that ended in Mar. 2026 was CHF20,916 Mil. Therefore, Phillips 66's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.12%.
The historical rank and industry rank for Phillips 66's Return-on-Tangible-Equity or its related term are showing as below:
XSWX:PSX'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -21.21 Med: 16.03 Max: 50.06
Current: 16.26
During the past 13 years, Phillips 66's highest Return-on-Tangible-Equity was 50.06%. The lowest was -21.21%. And the median was 16.03%.
XSWX:PSX's Return-on-Tangible-Equity is ranked better than 73.54% of 945
companies
in the Oil & Gas industry
Industry Median: 6.71
vs XSWX:PSX: 16.26
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.
Phillips 66 Return-on-Tangible-Equity Related Terms
Phillips 66 Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Phillips 66'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.
XSWX:PSX vs MPC, VLO, DINO: Return-on-Tangible-Equity Comparison
For the Oil & Gas Refining & Marketing subindustry, Phillips 66'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.
Phillips 66 Return-on-Tangible-Equity vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Phillips 66's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Phillips 66'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 3.12% mean?
Phillips 66 (XSWX:PSX) has a Return-on-Tangible-Equity of 3.12% 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 Phillips 66 and its competitors. This is 81% below median its historical median of 16.03. According to the industry distribution chart, Phillips 66 ranks #250 out of 945 companies in the Oil & Gas industry, placing it in the top 26.5%.
Is Phillips 66's Return-on-Tangible-Equity too high?
Phillips 66's current Return-on-Tangible-Equity of 3.12% is 81% below median its 10-year median of 16.03. The Oil & Gas industry median Return-on-Tangible-Equity is 6.71. Phillips 66's value of 3.12% is 53.5% below this industry median. Based on the distribution chart, Phillips 66 ranks #250 out of 945 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Phillips 66 has a GF Score™ of 68/100, reflecting its overall financial health beyond just this single metric.
How does Phillips 66's Return-on-Tangible-Equity compare to MPC and VLO?
According to the Oil & Gas industry distribution chart, Phillips 66 ranks #250 out of 945 companies for Return-on-Tangible-Equity. This puts Phillips 66 in the upper half of its industry. The industry median Return-on-Tangible-Equity is 6.71. Phillips 66's value of 3.12% is 53.5% below this benchmark. While the company's 10-year median is 16.03 vs. the industry median of 6.71, Phillips 66 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 an Oil & Gas company?
The median Return-on-Tangible-Equity among Oil & Gas companies is 6.71, based on 945 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. Phillips 66's current Return-on-Tangible-Equity of 3.12% is 53.5% 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 Phillips 66 and its competitors. For the Oil & Gas industry, the median Return-on-Tangible-Equity is 6.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Phillips 66's current Return-on-Tangible-Equity is 3.12%, which is 81% below median its own 10-year median of 16.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Phillips 66 stock overvalued right now?
Phillips 66 (XSWX:PSX) has a current Return-on-Tangible-Equity of 3.12%. The stock's GF Value™ is CHF109.85, compared to a current price of CHF138.77 — trading 26.3% above its estimated fair value. The current Return-on-Tangible-Equity is 3.12%, which is 81% below median its 10-year median of 16.03 and 53.5% below the Oil & Gas industry median of 6.71. Phillips 66's overall GF Score™ is 68/100 with 6 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 Phillips 66 (XSWX:PSX), the current Return-on-Tangible-Equity is 3.12% 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.
Is Phillips 66 (XSWX:PSX) Overvalued in 2026?
Based on GuruFocus' analysis, Phillips 66 stock appears to be overvalued.
The current stock price of CHF138.77 is trading 26.3% above its estimated GF Value™ of CHF109.85.
Key valuation signals for XSWX:PSX:
Return-on-Tangible-Equity: 3.12% (81% below median its 10-year median of 16.03)
GF Value™: CHF109.85 vs. price of CHF138.77 (26.3% above fair value)
Industry Position: 53.5% below the Oil & Gas median (#250 of 945)
No single metric tells the full story. See the XSWX:PSX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Phillips 66 is an independent refiner that owns or holds interest in 10 refineries with a total crude throughput capacity of 2.0 million barrels per day, or mmb/d, at the end of 2025. The midstream segment comprises extensive transportation and NGL processing assets. It includes 70,000 miles of crude oil, refined petroleum product, NGL and natural gas pipeline systems, and a comprehensive set of refined petroleum product, NGL and crude oil terminals, gathering and processing plants and fractionation facilities and various other storage and loading facilities. Its CPChem chemical joint venture operates facilities primarily in the United States and the Middle East and produces olefins and polyolefins.
68GF Score
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