Islandsbanki hfOISE:ISB +0.14%73 ROE % is 13.62% as of Mar. 2026, which is 27% above its 10-year median of 10.73. GuruFocus rates OISE:ISB with a GF Score™ of 73/100 and a GF Value™ of kr145.35 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,524 Banks companies, Islandsbanki hf ranks better than 66.4% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Islandsbanki hf's annualized net income for the quarter that ended in Mar. 2026 was kr29,824 Mil. Islandsbanki hf's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was kr219,039 Mil. Therefore, Islandsbanki hf's annualized ROE % for the quarter that ended in Mar. 2026 was 13.62%.
The historical rank and industry rank for Islandsbanki hf's ROE % or its related term are showing as below:
OISE:ISB'
s ROE % Range Over the Past 10 Years
Min: 3.9 Med: 10.73 Max: 12.41
Current: 12.41
During the past 9 years, Islandsbanki hf's highest ROE % was 12.41%. The lowest was 3.90%. And the median was 10.73%.
OISE:ISB's ROE % is ranked better than 66.4% of 1524
companies
in the Banks industry
Industry Median: 10.22
vs OISE:ISB: 12.41
Islandsbanki hf (OISE:ISB) 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.
Islandsbanki hf ROE % Related Terms
Islandsbanki hf ROE % Historical Data
* Premium members only.
The historical data trend for Islandsbanki hf's ROE % 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.
For the Banks - Regional subindustry, Islandsbanki hf'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.
Islandsbanki hf ROE % vs Banks Industry
For the Banks industry and Financial Services sector, Islandsbanki hf's ROE % distribution charts can be found below:
* The bar in red indicates where Islandsbanki hf'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.
Islandsbanki hf (OISE:ISB) has a ROE % of 13.62% 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 Islandsbanki hf and its competitors. This is 27% above median its historical median of 10.73. Over the past decade, Islandsbanki hf's ROE % has ranged from 3.90 to 12.41. According to the industry distribution chart, Islandsbanki hf ranks #512 out of 1524 companies in the Banks industry, placing it in the top 33.6%.
Is Islandsbanki hf's ROE % too high?
Islandsbanki hf's current ROE % of 13.62% is 27% above median its 10-year median of 10.73. Over the past 10 years, this metric has ranged from a low of 3.90 to a high of 12.41. The Banks industry median ROE % is 10.22. Islandsbanki hf's value of 13.62% is 33.3% above this industry median. Based on the distribution chart, Islandsbanki hf ranks #512 out of 1524 companies in the Banks industry, which is above the industry midpoint. Overall, Islandsbanki hf has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Islandsbanki hf's ROE % compare to PNC and USB?
According to the Banks industry distribution chart, Islandsbanki hf ranks #512 out of 1524 companies for ROE %. This puts Islandsbanki hf in the upper half of its industry. The industry median ROE % is 10.22. Islandsbanki hf's value of 13.62% is 33.3% above this benchmark. Historically, Islandsbanki hf's own ROE % has ranged from 3.90 to 12.41 over the past decade. While the company's 10-year median is 10.73 vs. the industry median of 10.22, Islandsbanki hf 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 1,524 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. Islandsbanki hf's current ROE % of 13.62% is 33.3% 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 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 Islandsbanki hf 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. Islandsbanki hf's current ROE % is 13.62%, which is 27% above median its own 10-year median of 10.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Islandsbanki hf stock overvalued right now?
Based on GuruFocus' analysis, Islandsbanki hf (OISE:ISB) is currently considered Fairly Valued. The stock's GF Value™ is kr145.35, compared to a current price of kr142.00 — trading 2.3% below its estimated fair value. The current ROE % is 13.62%, which is 27% above median its 10-year median of 10.73 and 33.3% above the Banks industry median of 10.22. Islandsbanki hf's overall GF Score™ is 73/100 with 3 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 Islandsbanki hf (OISE:ISB), the current ROE % is 13.62% 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 Islandsbanki hf (OISE:ISB) Overvalued in 2026?
Based on GuruFocus' analysis, Islandsbanki hf stock appears to be undervalued.
The current stock price of kr142.00 is trading 2.3% below its estimated GF Value™ of kr145.35.
GuruFocus considers Islandsbanki hf to be Fairly Valued.
Key valuation signals for OISE:ISB:
ROE %: 13.62% (27% above median its 10-year median of 10.73)
GF Value™: kr145.35 vs. price of kr142.00 (2.3% below fair value)
Industry Position: 33.3% above the Banks median (#512 of 1524)
No single metric tells the full story. See the OISE:ISB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Islandsbanki hf is a customer-centric universal bank. The company's segments include Personal Banking; Business Banking; Corporate and Investment Banking; Treasury and Proprietary Trading and Cost centres. It generates maximum revenue from the Business Banking segment. Business Banking provides small and medium-sized enterprises (SMEs) with comprehensive financial services, including Ergo, the Bank's asset financing service.
73GF Score
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