The historical rank and industry rank for LifeStance Health Group's ROE % or its related term are showing as below:
LFST'
s ROE % Range Over the Past 10 Years
Min: -23.83 Med: -12.64 Max: 1.56
Current: 1.56
During the past 7 years, LifeStance Health Group's highest ROE % was 1.56%. The lowest was -23.83%. And the median was -12.64%.
LFST's ROE % is ranked worse than 63.54% of 628
companies
in the Healthcare Providers & Services industry
Industry Median: 5.72
vs LFST: 1.56
LifeStance Health Group (NAS:LFST) 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.
For the Medical Care Facilities subindustry, LifeStance Health Group'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.
LifeStance Health Group ROE % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, LifeStance Health Group's ROE % distribution charts can be found below:
* The bar in red indicates where LifeStance Health Group'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.
LifeStance Health Group (LFST) has a ROE % of 3.80% 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 LifeStance Health Group and its competitors. According to the industry distribution chart, LifeStance Health Group ranks #399 out of 628 companies in the Healthcare Providers & Services industry, placing it in the top 63.5%.
Is LifeStance Health Group's ROE % too high?
LifeStance Health Group's current ROE % is 3.80%. The Healthcare Providers & Services industry median ROE % is 5.72. LifeStance Health Group's value of 3.80% is 33.6% below this industry median. Based on the distribution chart, LifeStance Health Group ranks #399 out of 628 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, LifeStance Health Group has a GF Score™ of 57/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LifeStance Health Group's ROE % compare to NHC and BKD?
According to the Healthcare Providers & Services industry distribution chart, LifeStance Health Group ranks #399 out of 628 companies for ROE %. This places LifeStance Health Group in the lower half of its industry. The industry median ROE % is 5.72. LifeStance Health Group's value of 3.80% is 33.6% below this benchmark. 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 Healthcare Providers & Services company?
The median ROE % among Healthcare Providers & Services companies is 5.72, based on 628 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. LifeStance Health Group's current ROE % of 3.80% is 33.6% 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 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 LifeStance Health Group and its competitors. For the Healthcare Providers & Services industry, the median ROE % is 5.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LifeStance Health Group's current ROE % is 3.80%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LifeStance Health Group stock overvalued right now?
Based on GuruFocus' analysis, LifeStance Health Group (LFST) is currently considered Modestly Overvalued. The stock's GF Value™ is $8.22, compared to a current price of $9.65 — trading 17.4% above its estimated fair value. The current ROE % is 3.80% and 33.6% below the Healthcare Providers & Services industry median of 5.72. LifeStance Health Group's overall GF Score™ is 57/100 with 5 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 LifeStance Health Group (LFST), the current ROE % is 3.80% 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 LifeStance Health Group (LFST) Overvalued in 2026?
Based on GuruFocus' analysis, LifeStance Health Group stock appears to be overvalued.
The current stock price of $9.65 is trading 17.4% above its estimated GF Value™ of $8.22.
GuruFocus considers LifeStance Health Group to be Modestly Overvalued.
Key valuation signals for LFST:
ROE %: 3.80%
GF Value™: $8.22 vs. price of $9.65 (17.4% above fair value)
Industry Position: 33.6% below the Healthcare Providers & Services median (#399 of 628)
No single metric tells the full story. See the LFST stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LifeStance Health Group Inc is a mental healthcare company that operates as a provider of outpatient mental health services, spanning psychiatric evaluations and treatment, psychological and neuropsychological testing, and individual, family, and group therapy. It treats a broad range of mental health conditions, including anxiety, depression, bipolar disorder, eating disorders, psychotic disorders, and post-traumatic stress disorder, using evidence-based approaches to ensure effective treatment. The group has a single operating and reportable segment of mental health services.
57GF Score
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