Habib Metropolitan BankKAR:HMB -0.29%62 ROE % is 15.65% as of Mar. 2026, which is 20% below its 10-year median of 19.64. GuruFocus rates KAR:HMB with a GF Score™ of 62/100 and a GF Value™ of ₨78.03 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,525 Banks companies, Habib Metropolitan Bank ranks better than 88.07% on this metric.
The historical rank and industry rank for Habib Metropolitan Bank's ROE % or its related term are showing as below:
KAR:HMB'
s ROE % Range Over the Past 10 Years
Min: 14.1 Med: 19.64 Max: 29.05
Current: 17.54
During the past 13 years, Habib Metropolitan Bank's highest ROE % was 29.05%. The lowest was 14.10%. And the median was 19.64%.
KAR:HMB's ROE % is ranked better than 88.07% of 1525
companies
in the Banks industry
Industry Median: 10.22
vs KAR:HMB: 17.54
Habib Metropolitan Bank (KAR:HMB) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % 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 ROE %s can be extremely high.
* 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.
Habib Metropolitan Bank ROE % Competitor Comparison
For the Banks - Regional subindustry, Habib Metropolitan Bank's ROE %, along with its competitors' market caps and ROE % 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.
Habib Metropolitan Bank ROE % vs Banks Industry
For the Banks industry and Financial Services sector, Habib Metropolitan Bank's ROE % distribution charts can be found below:
* The bar in red indicates where Habib Metropolitan Bank's ROE % 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 ROE %, the net income of the last fiscal year and the average total shareholder 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.
ROE % is displayed in the 30-year financial page.
Habib Metropolitan Bank (KAR:HMB) has a ROE % of 15.65% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Habib Metropolitan Bank and its competitors. This is 20% below median its historical median of 19.64. Over the past decade, Habib Metropolitan Bank's ROE % has ranged from 14.10 to 29.05. According to the industry distribution chart, Habib Metropolitan Bank ranks #182 out of 1525 companies in the Banks industry, placing it in the top 11.9%.
Is Habib Metropolitan Bank's ROE % too high?
Habib Metropolitan Bank's current ROE % of 15.65% is 20% below median its 10-year median of 19.64. Over the past 10 years, this metric has ranged from a low of 14.10 to a high of 29.05. The Banks industry median ROE % is 10.22. Habib Metropolitan Bank's value of 15.65% is 53.1% above this industry median. Based on the distribution chart, Habib Metropolitan Bank ranks #182 out of 1525 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Habib Metropolitan Bank has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Habib Metropolitan Bank's ROE % compare to competitors?
According to the Banks industry distribution chart, Habib Metropolitan Bank ranks #182 out of 1525 companies for ROE %. This places Habib Metropolitan Bank in the top 12% of its industry — outperforming the majority of peers. The industry median ROE % is 10.22. Habib Metropolitan Bank's value of 15.65% is 53.1% above this benchmark. Historically, Habib Metropolitan Bank's own ROE % has ranged from 14.10 to 29.05 over the past decade. While the company's 10-year median is 19.64 vs. the industry median of 10.22, Habib Metropolitan 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 ROE % for a Banks company?
The median ROE % among Banks companies is 10.22, based on 1,525 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Habib Metropolitan Bank's current ROE % of 15.65% is 53.1% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Habib Metropolitan Bank and its competitors. For the Banks industry, the median ROE % is 10.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Habib Metropolitan Bank's current ROE % is 15.65%, which is 20% below median its own 10-year median of 19.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Habib Metropolitan Bank stock overvalued right now?
Based on GuruFocus' analysis, Habib Metropolitan Bank (KAR:HMB) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨78.03, compared to a current price of ₨117.11 — trading 50.1% above its estimated fair value. The current ROE % is 15.65%, which is 20% below median its 10-year median of 19.64 and 53.1% above the Banks industry median of 10.22. Habib Metropolitan Bank's overall GF Score™ is 62/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Habib Metropolitan Bank (KAR:HMB), the current ROE % is 15.65% 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 Habib Metropolitan Bank (KAR:HMB) Overvalued in 2026?
Based on GuruFocus' analysis, Habib Metropolitan Bank stock appears to be overvalued.
The current stock price of ₨117.11 is trading 50.1% above its estimated GF Value™ of ₨78.03.
GuruFocus considers Habib Metropolitan Bank to be Significantly Overvalued.
Key valuation signals for KAR:HMB:
ROE %: 15.65% (20% below median its 10-year median of 19.64)
GF Value™: ₨78.03 vs. price of ₨117.11 (50.1% above fair value)
Industry Position: 53.1% above the Banks median (#182 of 1525)
No single metric tells the full story. See the KAR:HMB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Habib Metropolitan Bank Ltd is a provider of commercial banking products and services to individual and corporate customers. The bank utilizes the medium of branch banking and electronic banking channels to render a hoard of products and services such as current and savings accounts, deposits, remittance, cash management services, E-salary accounts and web banking. Its operating segment includes Trade and Sales; Retail Banking and Commercial Banking, and Islamic Banking. The Bank conducts its operations in Pakistan including an offshore branch in Karachi Export Processing Zone.
62GF Score
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