ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Bajaj Holdings and Investment's annualizedNet Income for the quarter that ended in Mar. 2024 was $1,308.6 Mil.
Bajaj Holdings and Investment's average Total Assets over the quarter that ended in Mar. 2024 was $7,848.7 Mil. Therefore, Bajaj Holdings and Investment's annualized ROA % for the quarter that ended in Mar. 2024 was 16.67%.
The historical rank and industry rank for Bajaj Holdings and Investment's ROA % or its related term are showing as below:
LSE:BAUD'
s ROA % Range Over the Past 10 Years
Min: 3.84 Med: 10.71 Max: 15.41
Current: 12.12
During the past 13 years, Bajaj Holdings and Investment's highest ROA % was 15.41%. The lowest was 3.84%. And the median was 10.71%.
LSE:BAUD's ROA % is ranked better than 85.96% of 1716
companies
in the Asset Management industry
Industry Median: 2.965
vs LSE:BAUD: 12.12
Bajaj Holdings and Investment ROA % Historical Data
* 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.
Competitive Comparison of Bajaj Holdings and Investment's ROA %
For the Asset Management subindustry, Bajaj Holdings and Investment's ROA %, along with its competitors' market caps and ROA % 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.
Bajaj Holdings and Investment's ROA % Distribution in the Asset Management Industry
For the Asset Management industry and Financial Services sector, Bajaj Holdings and Investment's ROA % distribution charts can be found below:
* The bar in red indicates where Bajaj Holdings and Investment's ROA % 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2024) net income data.
ROA % is displayed in the 30-year financial page.
Bajaj Holdings and Investment (LSE:BAUD) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2024) net income data. The Revenue data used here is four times the quarterly (Mar. 2024) revenue data.
* 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
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Bajaj Holdings and Investment ROA % Related Terms
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Bajaj Holdings and Investment (LSE:BAUD) Business Description
Bajaj Holdings and Investment Ltd is an investment company that chooses equities from both the public and private equity markets. Traditionally, the company seeks to invest in companies that fit a five-year investment horizon. Investment portfolios are managed by an investment committee that meets frequently, and a team of fund managers and analysts. Bajaj's positions are placed into one of four portfolios, which include: strategic equity investments; other equities; fixed income securities; and property investments. Sector allocation for the company's other equities portfolio traditionally includes financials, technology/pharma, consumers/education, sugar, materials, construction, and telecom, and media.
Bajaj Holdings and Investment (LSE:BAUD) Headlines
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