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Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Meridian's 5-Year RORE % for the quarter that ended in Jun. 2026 was -6.66%.
The industry rank for Meridian's 5-Year RORE % or its related term are showing as below:
FRA:M7X's 5-Year RORE % is ranked worse than 85.56% of 1399
companies
in the Banks industry
Industry Median: 10.51
vs FRA:M7X: -6.66
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Meridian 5-Year RORE % Related Terms
Meridian 5-Year RORE % Historical Data
* Premium members only.
The historical data trend for Meridian's 5-Year RORE % 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.
FRA:M7X vs FBLA, CMTV, PEBK: 5-Year RORE % Comparison
For the Banks - Regional subindustry, Meridian's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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.
Meridian 5-Year RORE % vs Banks Industry
For the Banks industry and Financial Services sector, Meridian's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where Meridian's 5-Year RORE % 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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Jun. 2026 and 5-year before.
Meridian (FRA:M7X) has a 5-Year RORE % of -6.66 as of Jun. 2026. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Meridian and its competitors. According to the industry distribution chart, Meridian ranks #1197 out of 1399 companies in the Banks industry, placing it in the top 85.6%.
Is Meridian's 5-Year RORE % too high?
Meridian's current 5-Year RORE % is -6.66. Based on the distribution chart, Meridian ranks #1197 out of 1399 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Meridian has a GF Score™ of 63/100, reflecting its overall financial health beyond just this single metric.
How does Meridian's 5-Year RORE % compare to FBLA and CMTV?
According to the Banks industry distribution chart, Meridian ranks #1197 out of 1399 companies for 5-Year RORE %. This places Meridian in the lower half of its industry. The industry median 5-Year RORE % is 10.51. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year RORE % for a Banks company?
The median 5-Year RORE % among Banks companies is 10.51, based on 1,399 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Meridian and its competitors. For the Banks industry, the median 5-Year RORE % is 10.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Meridian's current 5-Year RORE % is -6.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Meridian stock overvalued right now?
Meridian (FRA:M7X) has a current 5-Year RORE % of -6.66. The stock's GF Value™ is €13.28, compared to a current price of €16.40 — trading 23.5% above its estimated fair value. The current 5-Year RORE % is -6.66. Meridian's overall GF Score™ is 63/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For Meridian (FRA:M7X), the current 5-Year RORE % is -6.66 as of Jun. 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 Meridian (FRA:M7X) Overvalued in 2026?
Based on GuruFocus' analysis, Meridian stock appears to be overvalued.
The current stock price of €16.40 is trading 23.5% above its estimated GF Value™ of €13.28.
Key valuation signals for FRA:M7X:
5-Year RORE %: -6.66
GF Value™: €13.28 vs. price of €16.40 (23.5% above fair value)
No single metric tells the full story. See the FRA:M7X stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Meridian Corp is a bank holding company based in the United States. Through its banking subsidiary, it operates as a full-service, state-chartered commercial bank providing personal and business lending and deposit services. It operates in three reportable segments, including Bank, Wealth, and Mortgage. Meridian generates maximum revenue from the Bank segment, which consists of commercial and retail banking. It generates interest income from its lending (including leasing) and investing activities and is dependent on the gathering of lower-cost deposits from its branch network or borrowed funds from other sources for funding its loans. Geographically, it operates in Pennsylvania, New Jersey, and Delaware, as well as in the Central Maryland market and southwest Florida, U.S.
63GF Score
Get the complete analysis for FRA:M7X
5-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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