East West BankingPHS:EW -0.16%77 ROE % is 9.09% as of Mar. 2026, which is 17% below its 10-year median of 10.95. GuruFocus rates PHS:EW with a GF Score™ of 77/100 and a GF Value™ of ₱13.63 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,524 Banks companies, East West Banking ranks better than 61.02% on this metric.
The historical rank and industry rank for East West Banking's ROE % or its related term are showing as below:
PHS:EW'
s ROE % Range Over the Past 10 Years
Min: 7.68 Med: 10.95 Max: 13.75
Current: 11.74
During the past 13 years, East West Banking's highest ROE % was 13.75%. The lowest was 7.68%. And the median was 10.95%.
PHS:EW's ROE % is ranked better than 61.02% of 1524
companies
in the Banks industry
Industry Median: 10.22
vs PHS:EW: 11.74
East West Banking (PHS:EW) 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.
East West Banking ROE % Related Terms
East West Banking ROE % Historical Data
* Premium members only.
The historical data trend for East West Banking'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, East West Banking'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.
East West Banking ROE % vs Banks Industry
For the Banks industry and Financial Services sector, East West Banking's ROE % distribution charts can be found below:
* The bar in red indicates where East West Banking'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.
East West Banking (PHS:EW) has a ROE % of 9.09% 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 East West Banking and its competitors. This is 17% below median its historical median of 10.95. Over the past decade, East West Banking's ROE % has ranged from 7.68 to 13.75. According to the industry distribution chart, East West Banking ranks #594 out of 1524 companies in the Banks industry, placing it in the top 39%.
Is East West Banking's ROE % too high?
East West Banking's current ROE % of 9.09% is 17% below median its 10-year median of 10.95. Over the past 10 years, this metric has ranged from a low of 7.68 to a high of 13.75. The Banks industry median ROE % is 10.22. East West Banking's value of 9.09% is 11.1% below this industry median. Based on the distribution chart, East West Banking ranks #594 out of 1524 companies in the Banks industry, which is above the industry midpoint. Overall, East West Banking has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does East West Banking's ROE % compare to competitors?
According to the Banks industry distribution chart, East West Banking ranks #594 out of 1524 companies for ROE %. This puts East West Banking in the upper half of its industry. The industry median ROE % is 10.22. East West Banking's value of 9.09% is 11.1% below this benchmark. Historically, East West Banking's own ROE % has ranged from 7.68 to 13.75 over the past decade. While the company's 10-year median is 10.95 vs. the industry median of 10.22, East West Banking 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 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. East West Banking's current ROE % of 9.09% is 11.1% 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 East West Banking 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. East West Banking's current ROE % is 9.09%, which is 17% below median its own 10-year median of 10.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is East West Banking stock overvalued right now?
Based on GuruFocus' analysis, East West Banking (PHS:EW) is currently considered Modestly Undervalued. The stock's GF Value™ is ₱13.63, compared to a current price of ₱12.26 — trading 10.1% below its estimated fair value. The current ROE % is 9.09%, which is 17% below median its 10-year median of 10.95 and 11.1% below the Banks industry median of 10.22. East West Banking's overall GF Score™ is 77/100 with 2 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 East West Banking (PHS:EW), the current ROE % is 9.09% 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 East West Banking (PHS:EW) Overvalued in 2026?
Based on GuruFocus' analysis, East West Banking stock appears to be undervalued.
The current stock price of ₱12.26 is trading 10.1% below its estimated GF Value™ of ₱13.63.
GuruFocus considers East West Banking to be Modestly Undervalued.
Key valuation signals for PHS:EW:
ROE %: 9.09% (17% below median its 10-year median of 10.95)
GF Value™: ₱13.63 vs. price of ₱12.26 (10.1% below fair value)
Industry Position: 11.1% below the Banks median (#594 of 1524)
No single metric tells the full story. See the PHS:EW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
East West Banking Corporation is a commercial bank providing financial services in the Philippines. The bank generates all revenue domestically. The bank operates through four segments: the Retail banking segment offers traditional branch banking products and services such as deposits, back-to-back/emerging market loans, and other over-the-counter (OTC) transactions, the Corporate banking segment handles lending and trade financing for both large corporations and middle-market clients, the Consumer banking segment caters to loans for individuals, and Treasury and Trust segment consists of treasury and trust operations of the Group. The company derives a majority of its revenue from the Consumer banking segment.
77GF Score
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