Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-07-31), Merchants Financial Group's 1-Year Sharpe Ratio is 2.76.
Merchants Financial Group (OTCPK:MFGI) 1-Year Sharpe Ratio Explanation
The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.
The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.
Merchants Financial Group 1-Year Sharpe Ratio Related Terms
MFGI vs BFCC, TSBK, MSBC: 1-Year Sharpe Ratio Comparison
For the Banks - Regional subindustry, Merchants Financial Group's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe Ratio 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.
Merchants Financial Group 1-Year Sharpe Ratio vs Banks Industry
For the Banks industry and Financial Services sector, Merchants Financial Group's 1-Year Sharpe Ratio distribution charts can be found below:
* The bar in red indicates where Merchants Financial Group's 1-Year Sharpe Ratio falls into.
Merchants Financial Group 1-Year Sharpe Ratio Calculation
The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.
Merchants Financial Group (MFGI) has a 1-Year Sharpe Ratio of 2.76 as of Jul. 31, 2026. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Merchants Financial Group and its competitors.
Is Merchants Financial Group's 1-Year Sharpe Ratio too high?
Merchants Financial Group's current 1-Year Sharpe Ratio is 2.76. Overall, Merchants Financial Group has a GF Score™ of 49/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Merchants Financial Group's 1-Year Sharpe Ratio compare to BFCC and TSBK?
Merchants Financial Group's 1-Year Sharpe Ratio of 2.76 can be compared against companies in the Banks industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 1-Year Sharpe Ratio for a Banks company?
A good 1-Year Sharpe Ratio depends on the Banks industry context. However, 1-Year Sharpe Ratio 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 1-Year Sharpe Ratio mean?
A high 1-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Merchants Financial Group and its competitors. Merchants Financial Group's current 1-Year Sharpe Ratio is 2.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Merchants Financial Group stock overvalued right now?
Based on GuruFocus' analysis, Merchants Financial Group (MFGI) is currently considered Significantly Overvalued. The stock's GF Value™ is $28.33, compared to a current price of $41.40 — trading 46.1% above its estimated fair value. The current 1-Year Sharpe Ratio is 2.76. Merchants Financial Group's overall GF Score™ is 49/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 1-Year Sharpe Ratio calculated?
1-Year Sharpe Ratio is calculated from a company's financial statements. For Merchants Financial Group (MFGI), the current 1-Year Sharpe Ratio is 2.76 as of Jul. 31, 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 Merchants Financial Group (MFGI) Overvalued in 2026?
Based on GuruFocus' analysis, Merchants Financial Group stock appears to be overvalued.
The current stock price of $41.40 is trading 46.1% above its estimated GF Value™ of $28.33.
GuruFocus considers Merchants Financial Group to be Significantly Overvalued.
Key valuation signals for MFGI:
1-Year Sharpe Ratio: 2.76
GF Value™: $28.33 vs. price of $41.40 (46.1% above fair value)
No single metric tells the full story. See the MFGI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Merchants Financial Group Inc is a bank holding company. Through its banking subsidiary, it provides retail, commercial loans, and deposit services to individual as well as business customers. The various products and services offered by the Group include business credit cards, treasury management services, online and mobile banking services, different types of loans, checking accounts, saving accounts, digital wallet, military banking services, mortgage loans, etc. These services are offered through a network of branch offices and a leasing division across Winona, Goodview, Rushford, Lanesboro, St. Charles, Rochester, La Crescent, Caledonia, Spring Grove, and other locations in the USA.
49GF Score
Get the complete analysis for MFGI
1-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MFGI has been successfully added to your 
